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More than a third of TV and video viewing now watched on demand

Thursday, September 3rd 2015 by Ellen Branagh

More than a third of all TV and video viewing is now watched on demand, according to a new report.

The Ericsson ConsumerLab TV & Media Report 2015, launched today, shows that consumers now spend six hours a week watching streamed on-demand TV series, programmes and movies.

This has more than doubled since 2011, when weekly viewing was estimated to be 2.9 hours a week.

With recorded and downloaded content added to the equation, it means that 35% of all TV and video viewing is spent watching video on demand (VOD).

The report, described as representative of the views and habits of 680m consumers, found that more than 50% said they watch streamed on-demand video content at least once a day – up from 30% in 2010.

It revealed considerable growth in the number of consumers who watch video on a mobile device – 61% watch on their smartphones today, up 71% since 2012.

When taking tablets, laptops and smartphones into account, nearly two thirds of time spent by teenagers watching TV and video is on a mobile device.

According to the report, traditional or ‘linear’ TV is still high, mainly due to its access to live content like sport.

But linear viewing is linked to age, with 82% of 60 to 69-year-olds saying they watch linear TV on a daily basis, compared to 60% of ‘millennials' – those aged 16-34.

Nearly eight out of 10 teenagers said they watch on-demand TV and video daily, but fewer than three out of 10 60 to 69-year-olds do so.

'Great content'

The report found that half of consumers watching linear TV said they can’t find anything to watch at least once a day, while 62% of those aged 25-34 found this was a problem on a daily basis.

Consumers also feel that recommendation features were not smart or personal enough, the report said.

Binge-watching, or watching multiple TV episodes in a row, is also playing a major part in TV and video viewing, especially among Subscription Video-on-Demand (S-VOD) users of services like Netflix, Amazon Prime, and HBO, of whom 87% binge-view at least once a week.

More and more people are watching ‘user-generated content’, the report found, with nearly one in 10 consumers watching YouTube for more than three hours a day.

Anders Erlandsson, senior advisor at Ericsson ConsumerLab, said: "The continued rise of streamed video on demand and UGC services reflects the importance of three specific factors to today's viewers: great content, flexibility, and a high-quality overall experience.

“Innovative business models that support these three areas are now crucial to creating TV and video offerings that are both relevant and attractive."

The Ericsson ConsumerLab TV & Media Report 2015 is based on interviews with more than 22,500 people.

Its findings are representative of 680m consumers, Ericsson said, making it the largest study of its kind in the TV industry.

All respondents had a broadband internet connection at home, and watch TV/video at least once a week, and almost all used the internet on a daily basis.

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