Tuesday, 21 April 2015

One third of American adults owns a smart TV or device to stream video to their TV

"The Interactive Advertising Bureau (IAB) today released “The Changing TV Experience: Attitudes and Usage Across Multiple Screens,” an in-depth study that explores new ground in the ongoing dramatic shift in consumers’ television viewing habits, and offers marketers insights into reaching audiences as connected TV ownership and multiscreening become more prevalent.
Connected TV Versus Traditional TV:
The study revealed that one in three Americans over the age of 18 owns either a smart TV or a device that streams video to their TVs, with two in five (38%) of those individuals spending at least 50 percent of their TV viewing time streaming video to their television.
Half of connected TV owners say they are more likely to stream content than watch traditional TV because there are fewer commercials, while 40 percent considered commercials on these platforms to be less intrusive than standard TV ads. In addition, they are quite satisfied with their new viewing experience, with 76 percent saying it is just as good or better than traditional TV (“as good” 51%, “better” 25%). They also cite a preference for streaming since it gives them greater control (33%) and better selection/more content of interest (29%).
In the connected TV universe, people watch a range of programming at least once a month:
Over three-quarters stream Netflix and YouTube video content
About half stream traditional TV shows, Amazon Prime programming, and videos from portals such as AOL, Google and Yahoo
Two out of five stream videos from Hulu Plus

Over a third (35%) of connected TV owners are streaming more video to their TV than a year ago. One in four smartphone and tablet owners, and one in five computer owners say the same. Meanwhile, 19 percent of adults 18 and older state that they are watching less traditional TV year-over-year.
Traditional TV Undergoes Multiscreen Transformation:
According to the report, 78 percent of U.S. adults simultaneously use another device while watching traditional TV, with browsing the internet being the most popular activity across devices and smartphones serving as the predominant second screen. More than two-thirds (69%) of smartphone users regularly conduct activities on their mobile phone during TV viewing, and 84 percent do so daily. In addition, more than half of computer and tablet owners multiscreen during TV viewing, with 79 percent of computer users doing so daily, and 65 percent of tablet owners doing so with the same frequency.
A significant portion of smartphone, tablet, and computers user perform tasks related to the TV shows or commercials they are watching, including:
Email/IM/text with friends about the show/movie (54% smartphones, 37% tablets, 38% computers)
Search for information about show/movie/actor (49%, smartphones, 43% tablets, 44% computers)
Read/post on social media pages of the show/movie/actor (42% smartphones, 31% tablets, 33% computers)
Search for reviews of a product/service shown in a commercial (37% smartphones, 40% tablets, 40% computers)
Post on social media about a commercial (34% smartphones, 28% tablets, 26% computers)

The study’s results confirm that multiscreening is on the upswing overall, with 40 percent of smartphone users saying that they have increased multiscreening activity over the past year. The rise year-over-year is similar for tablet users (39%), with a solid increase among computer users (28%) as well."
Full report 'The Changing TV Experience' here

There are more than 20,000 Uber drivers in San Francisco

"At Uber we are thrilled to be playing a role in unlocking economic opportunity and empowering entrepreneurs across the Bay Area, and we are even more excited to be able to accomplish this at such a large scale.
Today we’re proud to announce that we reached a new milestone: The number of Bay Area driver-partners on the Uber platform exceeded 20,000 for the first time… and we were not even halfway there just one year ago."

Spotify is worth more than the entire US recording industry

"Sources: Spotify valuation ($8.4 billion) calculated by Wall Street Journal, based on an upcoming, $400 million+ capital round led by Goldman Sachs..  US-based recording valuation for 2014 ($6.972 billion) published this month by recording trade group RIAA."
From the comments:
"The valuation of a company is based on expected future profits. In the case of an established business, these are estimated on the basis of current profits adjusted upwards or downwards according to the market’s judgement of future trends, and discounted for time and risk (which means that possible earnings far in the future have little present value). Current earnings (profits) are usually only a small proportion (maybe 10%) of current revenue. So expected future earnings over, say, a 10 year period might well be of the same order of magnitude as current revenue.
In the case of a speculative start-up venture like Spotify, where there are no current profits, the valuation is little more than guesswork. A valuation of $8 billion implies that the market is expecting future profits of the order of $800 million a year over a substantial period in the future."
Also - note that it's comparing a global valuation to a US one.

Monday, 20 April 2015

WhatsApp has 800m active monthly users

"WhatsApp - now serving 800,000,000 monthly active users. Reminder for the press out there: active and registered users are not the same thing"
Source:  Facebook post by WhatsApp founder Jan Koum, 18th April 2015

Friday, 17 April 2015

The average Netflix subscription watches over 50 hours on Netflix per month

“Video streaming pioneer Netflix Inc added more subscribers than projected in the United States and abroad during the first quarter, news that sent its shares up nearly 12 percent on Wednesday.
Net subscriber additions rose 22 percent year-over-year to 4.88 million in the March quarter, beating the company's forecast of 4.05 million.
The company that shook up television with original shows such as "House of Cards" has been aggressively building its overseas presence as growth slows in the United States. It launched services in Australia and New Zealand in the quarter and expects to start in Japan later this year.
Netflix added 2.6 million customers in its nearly 50 international markets in the quarter ended March 31, bringing the total to 62.27 million users worldwide.
Customers spent more time than ever watching Netflix, streaming 10 billion hours of programming in the quarter, the company said.”
Source:  Reuters, 15th April 2015
10bn hours over 60m subscribers = 166 hours per quarter
(So that’s over 50 hours per subscription per month…)
Note that each subscription can use up to six devices, so potentially multiple users and anecdotally people give their spare places to friends and family

Wednesday, 15 April 2015

57% of American broadband households subscribe to a paid online video service

"Access and entertainment research from Parks Associates finds 57% of consumers in U.S. broadband households subscribe to an OTT (over-the-top) video service, such as Netflix or Hulu Plus. The research firm, which will participate at the NAB Show next week in Las Vegas, reports the average U.S. broadband household spends $9 per month on Internet video, up from $7 in 2012.
Parks Associates is partnering with NAB to host the Super Session “Constant Cravings - Using OTT to Win the Next Generation of Viewers” on Monday, April 13, 10:30 a.m. – 12 p.m., in room S222 of the Las Vegas Convention Center. The session, with executives from CBS Interactive, Vubiquity, Discovery Communications, and Parks Associates, features an in-depth discussion of the challenges, opportunities, and threats for OTT video and pay-TV providers.
"The number of hours watching video content continues to rise, exceeding 36 hours per week in 2014, with Internet video accounting for 36% of that time, or approximately 13.3 hours a week," said Brett Sappington, Director of Research, Parks Associates. "Rather than cannibalizing the consumption of broadcast, pay-TV, and packaged media content, Internet video is increasing overall consumption levels for video.""

Daily screen usage in the US across generations

Source:  Getting Audiences Right, Millward Brown, March 2015

Changes in the preferred device when accessing video content

Source:  Digital Video & The Connected Consumer Report by Accenture, April 2015
(Lots more charts & data)
Press release from Accenture, 13th April 2015
"The research was conducted online in October and November 2014, with 24,000 consumers in 24 countries: Australia, Brazil, Canada, China, Czech Republic, France, Germany, India, Indonesia, Italy, Japan, Mexico, Netherlands, Poland, Russia, Saudi Arabia, South Africa, South Korea, Spain, Sweden, Turkey, United Arab Emirates, United Kingdom, and the United States.
The sample size in each country was representative of the online population, with respondents ranging in age from 14 to 55 and over. The survey polled respondents about their usage, attitudes and expectations related to digital device ownership, content consumption, broadband constraints, digital trust and the Internet of Things."

Facebook accounted for three quarters of global social network ad spend in 2014

"Boosted by solid growth in usage and advertising spend across major social networks, the global social network market continued to show strong growth in 2014, according to Strategy Analytics Global Social Network Forecast. Globally, Social Networks surpassed 2 billion users for the first time in 2014, of which Facebook accounted for 68%.
Ad spend on social networks grew a robust 41% globally in 2014 totaling over $15.3 billion, accounting for 11% of global digital ad spend. Facebook accounted for three-quarters of global social network ad spend in 2014, while Twitter accounted for 8%. In 2015, ad spend on social networks is expected to grow by 29%, totaling $19.8 billion.
“Overall, the social network market continues to show strong growth across all regions as the major social network platforms drive usage and engagement via improved integration of digital media content,” said Leika Kawasaki, author of the report. “While Facebook currently dominates the global social network market, its absence in China allows local social networks such as QZone and Tencent Weibo to gain traction in the rapidly expanding Chinese digital advertising market.”
Other Key Findings from this report include:
Nearly half (46%) of social network users reside in the Asia Pacific region.
China accounts for almost 25% of global social network users with 495 million users in 2014.
North America had the highest ratio of social network users to its population (64%) in 2014, followed by Western Europe at 55%.
The US accounts for the largest share of global social network ad spend (41%), totaling $6.2 billion in 2014, up 35% YoY.
The UK. is the second largest market for social network ad spend, accounting for 8.2% of global social network ad spend in 2014, just edging out China (8%).
The US had the highest social network ad spend per social network user at $31.37 in 2014. This is expected to grow 27% to $39.84 in 2015."

HBO vs Netflix

Source:  Redef, 5th March 2015
Other stats and charts in the full article