CONSTANT CONTENT: AMERICANSARE VORACIOUS VIDEO VIEWERSSTAY TUNED...DEVELOPMENTS TO WATCH
Kids are beginning to explore alternateviewing options beyond the primary TV, such as mobilephones, tablets, DVRs and game consoles. Among kids 2-11,timeshited viewing grew roughly 20 percent over last year,which may be partly the result o whole-house DVRs thatenable kids to watch timeshited content on the home’ssecondary TV set. Kids are also spending more time ongame consoles.
“The Best Screen Available” Goes Mobile:
As o February2012, smartphones now represent hal o all mobile phonesin the U.S
. With improving screens, Internet connectivityand the advantage o being “the best screen available”while on the go, smartphones are increasingly becomingportable TVs. In act, 33.5 million mobile phone ownersnow watch video on their phones—an increase o 35.7percent since last year. While mobile phones won’t replaceother screens anytime soon, they are part o the ever-increasing number o ways in which consumers can and willconsume content when and where they want.
Cable Provider-Enabled Timeshiting:
Cable companiesare making it easier than ever or consumers to watchtheir avorite shows—without even having to set theDVR. Video-on-demand and cloud-based DVRs areexamples o emerging technologies that are adding totime spent watching timeshited content.Dounia TurrillCross-Platorm Practice Lead
Traditional TV Viewership:
Ater several years o consistent year-over-year growth, traditional TV viewingdeclined one hal o one percent or roughly 46 minutes permonth. This may be the result o leveling o ater a periodo sustained growth, weather and economic actors or o other viewing options. As more homes adopt DVRs andtransition to timeshited viewing, timeshited TV growthhas oset the bulk o live TV declines. Other potentialactors include time spent using game consoles, tabletsand other emerging devices.
Defning the TV Home:
Last all saw a slight decline in thenumber o Traditional TV homes in the U.S. This shit isprompting an important conversation around the denitiono a “TV household” and a “TV viewer” as consumerscontinue to access Traditional TV content—in a varietyo dierent ways. The pie is expanding, driven in part bythe growing number o choices available to consumersor when, where, and how to watch content. As this trendcontinues, the media industry will be aced with some keydecisions on how to incorporate these changes in terms o who and what is measured and reported.The average American watches nearly ve hours o videoeach day, 98 percent o which they watch on a traditionalTV set. Although this ratio is less than it was just a ew years ago, and continues to change, the act remains thatAmericans are not turning o. They are shiting to newtechnologies and devices that make it easier or them towatch the content they want whenever and wherever ismost convenient or them. As such, the denition o thetraditional TV home will evolve.
“THE BEST SCREEN AVAILABLE”: THEEVOLUTION O THE TV SET
In the past year, the number o homes with an HDTV grewby more than 8 million. This suggests that the TV screenremains the dominant platorm on which to consumecontent, even though the means by which the contentis delivered to the screen might be shiting. Watchingtraditional—live and timeshited—TV remains the bulk o all activity on TV sets, accounting or more than 33 hoursper week despite a decline one hal o one percent in timespent compared to Q4 2010. Consumers are, however,nding new ways to use their TVs.When it comes to newly released movies, old TV shows andeverything in between, consumers are increasingly turningto devices that enable them to watch streamed content ontheir big screen. Two-thirds o game consoles in homes arenow connected to the Internet, creating a new conduit orcontent delivery. In act, more than hal o Netfix userswatch on their TV set via a game console or over-the-topstreaming device
2011 Nielsen Over-the-Top Video Study
Gaming Report: US Market 2011
Nielsen U.S. Mobile Insights, National (February 2012)
GAME ON: ROM PLAYTIME TO PLAYBACK
Consoles have become strategically positioned as asecondary gateway to TV content, and can now be oundin 45 percent o TV homes, an increase o three percentover last year. With Netfix and other streaming apps,Blu-Ray players, social gaming and point o purchaseseamlessly integrated into game consoles, it is no surprisethat consumers are relying on their consoles to perormdouble (and triple) duty. The activities are adding up andcontributing to the growing pie o content consumptionthrough a gaming device.In Q4 2011, Americans spent 30 percent more timeon game consoles than they did in the same period o 2010, which saw an increase o 13 percent over the prior year. While time spent on game consoles spans gaming,streaming and other activities, the recent rise mirrors anincrease in Internet-connected game consoles
, greaterinterest in streaming rom consumers and more contentavailable online.Households without children are leading the way innew game console adoption
, demonstrating that gameconsoles are appealing to a range o audiences or a varietyo purposes.
CONTENT DELIVERY: MORE OPTIONSTHAN EVER
Even though TV sets are connected to more than onebox or device these days, cable, telephone-company andsatellite subscriptions remain the primary ways Americansreceive their TV content. Despite shits between thosethree, it will take major industry changes or consumerbehavior swings to aect the subscription model anytimesoon. That being said, game consoles have increasinglymore access to content—whether paid or ree—and agreater penetration within TV homes than even the DVR,underscoring the potential audience or content providerson this platorm.
Q4 2008Q4 2009Q4 2010Q4 2011
M I N U T E S
Average Time Spent Per Person Per Day
4:44 4:40 4:38 4:350:140:170:200:220:09 0:090:100:130:160:150:130:11