More Than 90 Percent of Consumers Open to ‘Cutting the Cord’; Shift Led by the Desire for Flexibility and Increasing Availability of On Demand Programming
TEMPE, Ariz.--(BUSINESS WIRE)-- Limelight Networks, Inc. (“Limelight”) (Nasdaq:LLNW), a global leader in digital content delivery, today revealed the results of its “The State of Online Video,” research report, which demonstrated a clear shift in video consumption trends led by Millennials. Among the findings, the research reveals that, under the right circumstances, 90 percent of consumers are open to “cutting the cord” and cancelling their cable and pay-TV subscriptions in favor of over-the-top (OTT) video services such as HBO Now and Hulu.
“Our findings show that consumers are increasingly moving away from the traditional television experience towards online viewing,” says Jason Thibeault, senior director at Limelight and author of the report. “With Millennials leading this change, consumers are driven by the flexibility of being able to watch what they want, where they want, and on whatever device they choose.”
While OTT service offerings are in their early stages, consumers are beginning to move in that direction choosing to get the content they want directly from the content owner over the Internet rather than from a pay-TV service provider. In fact, 90 percent of respondents said they either don’t have cable or would be willing to cut the cord for reasons such as price increases or the ability to subscribe directly to the channels they want. Flexibility of watching on demand and cost are two main drivers of this shift.
On average Millennials view 4-7 hours of online video a week, nearly twice that of all other age groups surveyed. Despite the popularity of mobile devices and smartphones, today personal computers are the top choice for consuming online video across all age groups. However, younger viewers are 10 percent more likely to watch on a smartphone than any other age group.
“The State of Online Video” study is Limelight Network’s latest in a series of annual surveys that explore consumer perceptions and behaviors around digital content. The survey was conducted in April 2015 and is based on responses from 1,200 consumers globally. To view the full report, please click here.
Limelight Networks (NASDAQ: LLNW), a global leader in digital content delivery, empowers customers to better engage online audiences by enabling them to securely manage and globally deliver digital content, on any device. The company’s award winning Limelight Orchestrate™ platform includes an integrated suite of content delivery technology and services that helps organizations secure digital content, deliver exceptional multi-screen experiences, improve brand awareness, drive revenue, and enhance customer relationships — all while reducing costs. For more information, please visit www.limelight.com, read our blog, follow us on Twitter, Facebook and LinkedIn and be sure to visit Limelight Connect.
Source: Limelight Networks, Inc.