US OTT providers grow strongly and drive ‘return of the living room’ | Media Analysis | Business
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All of the leading US over-the-top (OTT) services have increased their subscriber base over the past year, with Netflix retaining its top position, while services Sling TV, Showtime, and CBS are moving up, says Parks Associates.

Parks OTT 26 Oct 2016As it updated the top list for OTT video services, based on number of subscribers and excluding transactional or ad-based services, in its OTT Video Market Tracker, Parks calculated the top ten as being Netflix, Amazon Video (Amazon Prime), Hulu, MLB.TV, WWE Network, Sling TV, HBO Now, Crunchyroll, Showtime and CBS All Access. Most of these services received a positive. Netflix’s NPS in the first quarter of 2016 was 38, while the overall NPS for US pay-TV services among customers is -38.

In all, nearly two-thirds (63%) of US broadband households subscribe to an OTT video service as of the third quarter of 2016, up from 57% at the beginning of 2015. One of the key trends picked up in the research was a ‘clear’ move for OTT video to the television, particularly smart TVs. In 2014, the computer outranked the TV in use among OTT subscribers. Parks found that users watch OTT services on their TV screens between 17-20 days per month, much more than platforms such as PCs, smartphones or tablets.

“The top five OTT services have stayed consistent, primarily through maintaining or growing the massive user and subscriber bases that they have built over the past several years,” said Brett Sappington, senior director of research, Parks Associates and author of the OTT Video Market Tracker. “Showtime and CBS All Access have made a significant push into the OTT space. Their recognised brands and popular content, including Showtime’s Homeland and Ray Donovan, have provided them with a good basis for building an OTT service. Sling TV has continued to evolve its offering, testing new options and adding several new channels in order to grow its customer base.”

“In addition to MLB.TV’s organic growth, T-Mobile subscribers received a free subscription to MLB.TV at the beginning of the baseball season,” Sappington said. “The WWE Network has continued its growth. In its 2Q 2016 financials, WWE reported that it had 1.5 million paying subscribers for its WWE Network, up from 1.2 million a year earlier.”