new ott market pulse report - phoenix mi

1Proprietary & Confidential

OTT Market Pulse ReportInsights Into Subscriber Growth Trends & Drivers In The OTT Streaming Services Market

N E W

PROPRIETARY & CONFIDENTIAL


Answering Key Questions Such As:

Copyright © Phoenix Marketing International 2020. All rights reserved.

Stay Up To Date on OTT Streaming Service Trends With Our Monthly Market Pulse Report

Current State of The OTT Market –Which Services Dominate?Which Services Need to Find Their Niche?

Emerging Services –Which New Services are the Latest Threats and & Why?

Building Brand Equity –How do Perceptions and Satisfaction Drive Customer Growth?


19%

16%

16%18%

14%

16%26%

18%19%

18%

9%

10%

49%

21%

16%

7%3% 3%

19%

15%

18%21%

10%

17%


Overall State of the Market# of Subscriptions

Kids Under 25 in HH

18-34 35-54

55+

Multiple subscriptions are the norm in the OTT Services Market – more than 34% of Households have 3 or more subscriptions.

However, there is still room to acquire new subscribers -31% of Households Don’t Have an OTT Subscription.

The OTT Market is Young: The 18-34 year old viewer is more represented in the

Streaming Market than it is in the Linear Viewing Market.

Younger subscribers are using the most services. Households with Kids Under 25 also accumulate

more subscriptions.

31%

18%17%

15%

9%

10%

0 12 34 5+

4Proprietary & ConfidentialCopyright © Phoenix Marketing International 2020. All rights reserved.

Overall State of the Market –Multiple Subscriptions Dominate

# of Subscriptions

Netflix, followed by Amazon Prime Video are the market leaders, regardless of the number of subscriptions.

Disney+ is quickly emerging as an OTT leader, hot on Hulu’s heels, especially among those with 3+ subscriptions.

31%

18%17%

15%

9%

10%

0 12 34 5+

# of Subscriptions

1 2 3 4 5+

Netflix 53% 74% 84% 91% 88%

Amazon Prime Video 23% 60% 74% 70% 83%

Hulu 8% 24% 45% 69% 79%

Disney+ 5% 16% 40% 67% 85%

HBO Now 4% 7% 12% 38% 62%

Apple TV+ 3% 7% 18% 22% 55%

ESPN+ 0% 5% 14% 14% 56%

CBS All-Access 2% 4% 7% 16% 47%

Peacock 2% 3% 7% 11% 32%


Disney + and Peacock stand out with vibrant future growth net of any early churn. CBS All Access is experiencing the opposite.


Net Growth Intenders –Expected Future Growth (3 Month) vs. Historical Churn (3 Month)

-1% 0% 1% 2% 3% 4% 5% 6%

CBS All-Access

HBO Now

Amazon Prime Video

Britbox

Philo

Netflix

Tubi TV

Mixer

Pluto TV

Twitch

Redbox On Demand

Redbox Free Live TV

Hulu

Apple TV+

ESPN+

Peacock

Disney+

Net 6 Month Growth

Net 6 Month Growth = Plan to subscribe in next 3 months – Subscribed to but cancelled in last 3 months


Disney+ Subscribers are actively considering additional services, particularly the newly offered Peacock, niche oriented ESPN+ and Apple TV+.


Disney+ Top Additional Subscriptions

0% 10% 20% 30% 40% 50% 60% 70% 80% 90%

Peacock

CBS All-Access

ESPN+

Apple TV+

HBO Now

Hulu

Amazon Prime Video

Netflix

Top Additional Subscriptions Among Disney+ Subscribers

Also Subscribe 6 Month Net Growth/Churn

6 Month Net Growth/Churn = Plan to subscribe next 3 months – Cancelled in last 3 months


Not surprisingly, Amazon Prime Video and Hulu dominate for additional subscriptions among the Netflix fans. However, Netflix subscribers also seem to have an affinity toward other services- such as Disney+, followed closely by Peacock, ESPN+ and Apple Tv+.


Netflix Top Additional Subscriptions

0% 10% 20% 30% 40% 50% 60% 70% 80% 90%

Peacock

CBS All-Access

ESPN+

Apple TV+

HBO Now

Disney +

Hulu

Amazon Prime Video

Top Additional Subscriptions Amongst Netflix Subscribers

Also Subscribe 6 Month Net Growth/Churn

6 Month Net Growth/Churn = Plan to subscribe next 3 months – Cancelled in last 3 months


Netflix leads in terms of overall Subscriber Satisfaction.

Disney + has managed to quickly break through, rivaling Hulu and outpacing Amazon Prime Video on Satisfaction.


Overall OTT Streaming Service Satisfaction

0% 10% 20% 30% 40% 50% 60% 70%

RedBox On Demand

Philo

Mixer

Redbox Free live TV

Pluto TV

ESPN+

Twitch

Apple TV +

Britbox

CBS All-Access

Peacock

Tubi TV

Amazon Prime Video

HBO Now

Disney +

Hulu

Netflix

Top Box Satisfaction


Netflix has capitalized on its early entry into the market, driving strong performance across key perception & recommendation pillars

Interestingly, Hulu does well in all areas but Trust, where it lags the other lead services.

Apple TV+ poses an interesting addition to the market. Given their scores, trust from Apple’s other offerings may have produced a halo effect on their streaming offering

However, Apple TV+ limited content selection may have contributed to low Likelihood To Recommend


Perceptions & Recommendations: Netflix Currently Leads the pack

25%

30%

35%

40%

45%

50%

55%

60%

65%

40% 45% 50% 55% 60% 65%25%

30%

35%

40%

45%

50%

55%

60%

65%

40% 45% 50% 55% 60% 65%

SAT

ISFA

CTI

ON

RE

CO

MM

EN

D

TRUST EASE OF BUSINESS


OTT Services & PhoenixBrand Health Pillars

CORE PILLARS Established with over 200 brands across 20+ categories

ADVANCED ANALYTICSThe contribution of each pillar’s relevant component metrics have been derived via Structural Equation Modeling

Our framework acknowledges 5 pillars that contribute to brand success

Brand Health ScoreDependent Variables: Consideration | Trial | Price Premium | Loyalty

RE

LEVA

NT

SA

LIE

NT

VALU

E

DIS

TIN

CT

ME

AN

ING

FUL

Offering Providing Reputation ConnectionKnowledge


Netflix, Amazon Prime & Disney+ lead the way on the core levers of power in the OTT space.

Amazon Prime Video is not necessarily seen as being Relevant. This may be due to content, marketing or both.

Disney+’s tenure in this market is still short, likely leading to its library not yet being seen as overly Meaningful. As familiarity grows, its library of titles should help its growing reputation in this area.

OTHER TOP PLAYERS: ESPN+ has a core audience, but given its sports

niche, likely doesn’t have the broad offerings to stand out among more established services and meet all the needs of the OTT subscriber.

HBO NOW is seen as an expensive service and one that is difficult to do business with, leading respondents to not necessarily want to be associated with it.

Apple TV+ is the unknown in the market. Their most on brand path in is through their image. But that alone is unlikely to drive needed market penetration.


OTT Services and Phoenix Brand Pillars

Value for Money{ Value }

Current { Relevant }

Reputation{ Meaningful }High Quality

{ Distinct }


Phoenix provides a portfolio of Customer Experience, Media Research & Marketing Communication Solutions.

Our Solutions will help you continue to build a successful OTT Offering & deliver an outstanding OTT Customer Experience.


Additional Phoenix Solutions For OTT Streaming Services

CUSTOMER EXPERIENCE Phoenix Customer Experience

Platform can be tailored to your specific needs

Our CX Consultants can identify the moments that matter, respective performance vs competitive benchmarks, and will highlight best in class insights

MEDIA INSIGHTS Phoenix Custom Media solutions

enable you to understand what will drive viewers to your service

Program & Ad Testing, Consumer Engagement & Brand Positioning Research help you align your service with audience needs

AD SALES RESEARCH Phoenix Brand Effect delivers real

world, in-flight ad performance Understand how your OTT streaming

content drives audience engagement and advertising ROI for your advertising clients


STANDARD REPORT

Subscription to our Monthly OTT Streaming Services Market Pulse Report

Standard Report Includes: Syndicated reporting on the state of the market, plus a deep dive into subscriber flow

(growth, churn, retention) for your brand A review of subscriber perceptions, satisfaction, & recommendation across the market Topline Brand Equity review for your brand and leading brands in the market Includes tracking for 20+ on-demand Streaming video subscription & Live Streaming

TV servicesStandard Survey Includes Core Brand Attributes Battery for your brand & the Top 6 brands in the market Survey Sample: N=1000 sample/month across all services A18+ Enables us to determine overall subscription incidence & churn

3 Month Subscription


What We Offer

OTT Service Perceptions & Recommendations

Subscriber Growth & Churn

QualificationDemographics

STATE OF THE OTT MARKET

SURVEY FLOW

# OTT Services By Subscriber

OTT Services& Brand Equity

EXPANDED REPORT

Additional 500 Survey Sample/Month (A18+) Additional 2-3 survey questions Includes BrandPi Brand Equity Model

15Proprietary & Confidential 15Proprietary & Confidential

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new ott market pulse report - phoenix mi

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