Highlighting the subscription video-on-demand industry’s growing impact on the country’s TV market, research from MTM has found that Netflix’s iron grip on the UK SVOD arena is very much persisting.
The London-based research and strategy consultancy’s bi-annual ScreenThink syndicated research tracker, conducted from a survey of more than 3,000 UK online users aged 16, found that if it can keep churn levels down, the leading subscription service’s subscriber total is set to grow by 1.1 million from the just over nine million posted at the end of Q1 2018.
MTM believes that churn has been a significant challenge for many SVOD providers, but notes that Netflix subscribers are amongst the most satisfied users in the UK, with 88% claiming to be satisfied, the highest rating for any subscription TV or video service in the UK.
Furthermore, MTM believes that the integration of Netflix into the Sky Q offer could support further growth for the SVOD service, with 200,000 current Sky Q users looking to subscribe to Netflix by the end of 2018 with an added boost from the ability to easily access Netflix’s service on the primary TV screen within Sky Q homes. By way of context, MTM observed that 31% of all Virgin Media’s TiVo homes currently access Netflix via their set-top box.
“The...study provides a fascinating snapshot of a market in transition, demonstrating the significant impact of Netflix and other OTT video services in the UK market,” said MTM managing partner Jon Watts, commenting on the research. “The UK’s broadcasters and pay-TV providers remain in a strong position and have developed world-class OTT products – the BBC iPlayer, All4, the ITV Hub, My5 and NOW TV – but we’re clearly seeing signs of significant shifts in consumer attitudes and perceptions of quality, in terms of content, value for money and innovation.”
Source: Rapid TV News.