Netflix – MetaFacts' TUP findings

March 15, 2019January 15, 2021

Streaming Subscriptions – the Age Cliff for Music [TUPdate]

Streaming subscriptions are popular, with 69% of online adults actively using at least one type of free or paid digital media subscription. Penetration is highest among younger than older American adults. Nearly nine in ten online adults in the US aged 18-34 use a digital media subscription. This is based on results from the 2018 wave of MetaFacts TUP/Technology User Profile, based on 7,886 respondents in the US, and 12,680 respondents across the US, UK, Germany, and India.

The majority of subscribers have a paid subscription – 85% of all online adults. Only a small percentage of users limit themselves to only free subscriptions, and that’s true across all age groups.

Paid streaming music has a lower overall penetration at 28% of online adults. There is a usage cliff after age 44, with penetration being much stronger among younger than older adults. Less than one in five adults age 45 to 54 use a paid media music subscription, and that rate is even lower among the age 55-64 (12%), and 65 or older (8% of online males and 6% of online females).

For streaming video, NetFlix is the long-established leader with the highest penetration. While adoption of the 1-screen plan is stronger than the 2-screen or 4-screen plan in the US and India, in the UK and Germany each plan has comparable use. Amazon’s Prime Video offering, although relatively more recent, has reached half the share of NetFlix in the US and UK, two-thirds in India, and near-parity in Germany.

Family plans have gained widespread use. Nearly half of US online household with 4 or more persons are actively using a paid family streaming plan from one of the major services: NetFlix, Apple, Spotify, or Deezer.

Comparing over-the-top (OTT) digital media subscriptions to traditional TV subscriptions, in the US, UK, and India, active OTT use surpasses the use of cable, satellite, or phone cable TV subscriptions. DVD rental, while diminished, is still a regular practice among nearly a fifth of online Americans, and 10% of online adults in India.

Looking ahead

When it comes to fun, art, and entertainment, there’s room for many outlets. Although many creators work hard to exclusively own, control and entice viewers and listeners, consumers are free to change their minds and they often do.

Consequently, I expect the majority of consumers to continue expanding their subscriptions, both in the number they use and the range of type of media they subscribe to. However, as content providers continue to jockey for position, joining and then leaving various services, consumers will continue to churn between services. Similarly, as existing providers continue to experiment with varied packages – from family and student to single and multi-screen – consumers will join in the experiments, with many switching and swapping between services. In other words, for years to come I expect two opposing forces. Consumers will pay for more than they use, primarily for the convenience of enjoyment when they want it. Also, consumers will continue with their subscriptions through inertia and confusion, without remembering which content is enabled through which subscription.

Although subscription fatigue may be growing in awareness, habit consumption will prevail over a reasoned review of subscriptions.

About this TUPdate
The analysis in this TUPdate is based on results drawn from the most-recent wave of TUP (Technology User Profile), the 2018 edition which is TUP’s 36th continuous wave. This survey-based study details the use of technology products by a carefully-selected and weighted set of respondents drawn to represent online adults. This specific wave spanned the US, UK, Germany, India, and China.

Resources
Current TUP subscribers may request the supporting TUP information used for this analysis or for even deeper analysis. For more information about MetaFacts and subscribing to TUP, please contact MetaFacts.

February 1, 2018December 15, 2020

Pocket full of fun – Entertainment Activities [MetaFAQs]

Which is more fun – the one-trick-pony device that does one fun thing well, or the device you can use for many types of entertainment?

In India, the most-preferred connected device for fun is a Smartphone or Basic feature phone. Connected adults in India find more ways than those in other countries to entertain themselves with their Mobile Phones. Their breadth of entertainment activities is greater than with their PCs or Tablets.

This is based on our most recent wave of research – the MetaFacts TUP/Technology User Profile 2017 edition.

Unlike Connected Adults around the world in other countries, in India, Smartphones are used for a unique set of Entertainment Activities.

Well more than half of India’s Connected Adults use their Smartphones for music and movies. Watching videos/movies and listening to music on one’s Smartphone are regular activities at more than a third higher share of Connected Adults.

In contrast, when Germans use their connected devices for Entertainment Activities, they prefer their PCs. And when they use their PCs for Entertainment, most Germans use a PC to play a game (39% of Connected Adults), Hobbies (38%), and to watch videos/movies (37%). Very practical, those Germans, to use the larger screens of PCs.

Tablets have yet to make their way as being the most-entertaining connected device. Although Tablets are growing in regular use throughout the world, only in the U.S. and U.K. do they account for more than one-tenth of the preferred entertainment device.

Looking ahead

Entertainment continues to remain one of the reasons why people use connected devices. As both wired and wireless networks continue to expand their speed, this has made for more enjoyable experiences, especially for bandwidth-hogging activities such as watching movies or television. Similarly, as wireless carriers such as T-Mobile in the U.S. have removed or reduced data caps, this has reduced barriers for many customers. Consequently, these types of entertainment activities have reached a broader swath of consumers. Consumers continue to be the leading innovators in finding ways to get to the content they want, meaning they’ll consider moving beyond the devices they’re using today.

Source

This MetaFAQ is based on TUP 2017 WW table 580 ACT_ENTxCOUNTRY – Entertainment Activities by Country. This is based on our most recent research among 13,572 US adults as part of the TUP/Technology User Profile (TUP) 2017 survey.

This MetaFAQs research result addresses one of the many questions profiling active technology users.

Many other related research answers are part of the TUP service, available to paid subscribers. The TUP Lenses with the most information about Notebook/Laptop PC use by country are the TUP PC Lens, TUP Devices Lens, and TUP User Profile Lens.

These MetaFAQs are brought to you by MetaFacts, based on research results from their most-recent wave of TUP/Technology User Profile. For more information about MetaFacts and subscribing to TUP, please contact MetaFacts.

December 16, 2016October 29, 2020

Life Stages and Technology Adoption – TUPdate

Life Stage and Technology Adoption – a TUPdate by Dan Ness, December 16, 2016

The stages of life – although many take different paths – are a useful component of understanding technology users. Pivotal life events shape us – forming a family or empty-nesting, passing key birthdays, or joining or leaving from the workforce.
Kids matter – in many ways, and very much so when it comes to understanding technology spending, usage, adoption, and the future of tech. Simply knowing whether children are present or not provides a lot of explanatory power for a technology user’s profile.

Presence of children is one of three factors that make up life stage analysis, with the other two being age and employment status.
Within the TUP study, MetaFacts determines life stage by creating eight mutually-exclusive groups, each formed by two values of three components. We grouped respondent’s ages into 18-39 (“younger”) and 40 and above (“older”), and presence of children into present or not present. Being employed in the workforce includes any working full-time, part-time, or self-employed. Those not employed outside the home include students, the retired, homemakers, seasonally unemployed and temporarily unemployed.
Life stage analysis is a useful and productive way to quickly sift through mountains of sociodemographics. These three factors, although not exhaustive, provide strong definitional power with respect to predicting and profiling technology acquisition and usage.

Tech Spending by Life Stage

The biggest tech spenders are those adults within the life stage group: younger, employed, and with children. Adults age 18-38 who have kids and are actively employed full-time, part-time, or self-employed spend 66% more on tech devices and services in a year than the average adult. The second-biggest life stage group in tech spending also have kids and are employed, although are age 40 and up. This group’s tech spend is 16% higher than the national average.
At the other end of the spectrum, with the lowest tech spending levels, are adults age 40+, not employed, and without kids. Their index of 67 reflects their tech spending levels 33% below the national average for connected adults. All of the life stage groups without children spend below the national average for tech devices and services. Also, adults who are not employed outside the home spend less than the average connected adult on tech.

Consumer Electronics and Life Stage

Life stage analysis reveals both laggards and early adopters of many leading technology products. The connected home appears to be doing well – although only among one life stage segment. Employed adults age 18-39 with children stand heads and shoulders above all other segments in market penetration. From smart locks to video doorbells, this group’s usage is significantly stronger than other life stage groups. This group is also clearly strongest in the use of certain other consumer electronics products – golf swing analyzers, GoPro-type headcams, and to further feather the nest, home projectors. Relative penetration of this last item is not quite as different, reflecting in part the higher price of home projectors compared to these other devices, and that they have been available for more years than the other devices.

One consumer electronic product has reached entirely different life stage segments – the venerable record player. Although turntables and vinyl albums have enjoyed some resurgence following their near-extinction, current usage is primarily among adults age 40 and up, and less so among younger adults. In addition to nostalgic ties and musical memories, these listeners also are more likely to have old LPs.

Life Stage Penetration of Key Tech Devices

Life stage analysis also reveals differences in the use of many key computing and printing devices. The notebook penetration rate among adults employed 18-39 with kids is double that of adults not employed 40+ without kids. There’s an even stronger difference for use of a second PC, with Employed 18-39 with kids having triple the penetration rate of not employed 40+ without kids. And, with nearly a quintuple rate difference, use of game consoles among not employed adults age 18-39 with kids is two-thirds (66%), 4.8 times higher than the 14% rate among not employed 40+ without children.

Number of Devices by OS

Windows dominates computing devices, as it has for decades. Among all life stage groups, the average number of devices is highest for Windows devices. Apple and Google Android/Chrome devices are gaining in the average number in active use. Among adults 18-39 not employed, there is no difference between Windows and Apple in the number of each OS in active use.
Apple ranks second among all life stage segments except one – 40+, Not employed with Kids. Although the difference is small, this reflects the lower penetration Apple devices have among older adults.

Looking Ahead

Life stage analysis reveals important market segments, especially to separate laggards from early adopters of the newest technology. This approach also helps in predicting future adoption. As technology users navigate their own life courses and transitions. Although it isn’t true that parents leave a maternity ward with additional tech devices, it’s typically not too long that tech accumulation begins.

About this TUPdate

This TUPdate includes a complimentary brief summary of recent MetaFacts TUP (Technology User Profile) research results. These results are based on the most-recent results of the MetaFacts Technology User Profile 2016 survey, its 34th wave, with 7,334 respondents (US). For more information about MetaFacts and subscribing to TUP, please contact MetaFacts.

Resources

Current TUP subscribers can tap into any of the following TUP information used for this analysis or for even deeper analysis. This TUPdate is based on the TUP Life Stage section, which is within the TUP 2016 User Profile Chapter.

November 2, 2016October 29, 2020

TV Boxes and Sticks – The Scrum (MetaFAQs)

TV or not TV, is n0t the question.

TV is alive and well enough, although being viewed in many different ways than before.

In the battle for eyeballs on the largest and multiple screens throughout American households, more than one over-the-top box or stick has made inroads. These devices are being actively used by 31% of Connected Adults. Also, most viewers use more than one, with the average number in active use being 1.4.

In a bid for dominance, Apple has recently released its revision to its Apple TV, in an app that allows discovery and watching of content through Apple TV, iPhones or iPads.

One first question that may be asked – Who’s leading the market?

Roku can make that claim, with one in eight (12%) of connected adults using any of their various Roku boxes or sticks.

However, with the average number in active use being 1.4, a great deal of users have more than one.

As in any competitive scrum, a next question is the position of the other major entrants. Google, with it’s various entries of Google TV, and Nexus has the #2 overall position, and is also #2 behind viewers with Amazon Fire TV, Apple TV, and ASUS Cube.

So, while at first glance Apple’s announcement might be about Apple extending its integration of content that can be enjoyed across Apple devices, there’s more to this. This move is also about Apple strengthening its position against Google in the quest for broader market leadership.

This MetaFAQs research result addresses one of the many questions profiling active TV viewers, and the devices they use to watch.

Many other related answers are part of the full TUP service, available to paid subscribers. The TUP chapter with the most information about TV viewers across all devices and platforms is the TUP 2016 Consumer Electronics Chapter.

These MetaFAQs are brought to you by MetaFacts, based on research results from their most-recent wave of Technology User Profile (TUP).

For more information about MetaFacts and a complimentary subscription to insights from MetaFacts, simply make a request. For corporate marketers interested in paid access to the full results, analysis, and datasets, please contact MetaFacts.