Overheating in sight on the SVOD market?


As mentioned recently, the more competition between platforms intensifies, the more the risks of unsubscribing increase. Content is at the center of the attractiveness of services and therefore one of the main factors of unsubscription. Parks Associates, the American firm specializing in the digitalization of homes confirms this: “For services to retain their users beyond their first interaction, regular, relevant and engaging content is essential. »

In this context, we are witnessing the piling up of SVOD services by American consumers, who thus always have an alternative solution if a service does not offer them the series or films they want to watch. to see. This phenomenon is particularly marked in the United States, where Parks Associates estimates that in the third quarter of 2021, 49% of American households equipped with broadband internet took out at least 4 subscriptions, compared to 22% in the first quarter of 2020.

The other figure published by Parks Associates reveals that 26% of people who cancel an OTT service say they did so because they had finished watching the programs they liked.

This phenomenon of multiple subscriptions per household is expected to become widespread throughout the world under the effect of the launch of international platforms, which will inevitably cause increasingly frequent arbitrations on the part of consumers, driving up the rates of churn, especially if the big platforms make price hikes in the next few months. The risk of overheating of the SVOD market is very real in the United States and could become widespread in Europe during the course of the year.





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