2016 Over-The-Top Outlook : A Monumental Shift in Distribution
Since mass market success in the late 70's, cable providers (MVPDs) have driven the adoption of multiple TV sets in a single household, infrastructure for consumer broadband, advancement of quality content production and even on-demand viewing when they helped introduce the DVR. However, as innovative as they have been, cable companies haven't been focused on building for the benefit of their customers for decades now. It's this lack of concern for subscriber satisfaction and emerging alternative technologies that has brought us near an inflection point in media consumption habits.
"...for the first time OTT is positioned to become an equally popular pipeline for entertainment."
Over-the-top (OTT) video viewing has been gaining adoption for years, but it has not been until the past 24 months that cable companies, most networks and studios alike have begun to take the internet distribution pipeline seriously. In this report we will take a close look at why cable has been on a path to customer attrition for quite some time, and how they plan to combat displacement, while uncovering telling trends within the OTT landscape that are pushing consumers further into streaming consumption. We also take moment to recognize the growing purchase power of millinnials and where these new consumers will take the market over the next 5 years.
Certainly there will always be a segment of consumers who subscribe to TV, but for the first time OTT is positioned to become an equally popular pipeline for entertainment.