Roku users reject legacy pay-TV more than other streamers | OTT | News | Rapid TV News
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Research from The Diffusion Group has found that OTT users are not all one homogenous bunch and that user behaviour, particularly when it comes to legacy pay-TV uptake, is somewhat dependent on the streaming device they use.

TDG roku OTT 24Oct2018In its ninth iteration of Benchmarking the Connected Consumer, the analyst confirmed the basic notion that use of dedicated streaming devices is correlated with lower uptake of traditional pay-TV services. Yet one brand, Roku, was especially particularly detrimental to legacy. In all, TDG found that 35% of Roku users do not subscribe to a legacy pay-TV service, compared with 27% of adult broadband users in general, most of which enjoy streaming TV.

“Given its substantial footprint and brand strength, Roku devices are becoming a favourite of those living without legacy pay-TV,” noted TDG president Michael Greeson. “The assortment of free and fee-based video apps in the Roku portal is undoubtedly a reason why we observe these correlations. For many TV streamers, buying a Roku, and getting access to the Roku video ecosystem, is no longer just an easy way to supplement their legacy pay-TV service, but a means of replacing it.”

Going forward, TDG forecasts that by 2020, streaming sticks will near 45% penetration among US broadband households, with iSTBs close behind.

“Should Roku remain the dominant brand, and continue to expand its vast OTT content ecosystem [and] legacy pay-TV will suffer,” Greeson added.