Video Streaming Study - January 2021 - Streaming During and Post a Covid-19 World - Tailor Research
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Streaming During and Post a Covid-19 World
Video Streaming Study
January 2021
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Table of Contents
3 Key Takeaways
4 General Brand Analysis
7 Pricing Sensitivity
8 COVID-19
8 Appendix
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Key Takeaways
This study explores Price Sensitivity
consumers’ choices There have recently been price increases or scheduled price increases for the major vendors
(Disney Plus, HULU, Amazon Prime, Netflix, etc.) We asked consumers we surveyed, who noted
among streaming that more than 10% of their viewing was dedicated to original content, whether they were less
video companies. sensitive to price increases; Counter-intuitively, 63% of our respondents stated that original
content did not make them less-sensitive to price increases. However, when we asked the same
Respondents were
consumers about particular steaming providers, the responses were different. For Disney+, 28%
asked questions of respondents stated that they would continue with the service even if they raised prices $10,
such as, what which represents over a 100% increase; For Netflix, 23% stated that they would continue to
streaming video subscribe; and for HULU, 24% stated they would continue. Almost all respondents also stated
that recent price changes or announced price changes would not get them to cancel their
subscriptions they services.
have, their
sensitivity to Brands Doing Well:
The streaming provider valued the most by respondents, which had double the number of
upcoming price
respondents of the next highest, was Netflix at 55.2%. Amazon's Prime Video was also rated
increases, what highly at 18.7%, then HULU at 8.1%. The rest of the streaming providers were valued
services they plan to moderately. We asked respondents (whether they subscribe to the service or not) to rank the
use less or more of, Top-3 streaming service providers with the best original content. Two names were by far ranked
the most: Netflix (89% of all respondents) and Prime Video (65%). Also rating high were HULU
and much more.
(43%), Disney+ (40%) and HBO (36%). The highest percentage of users stating that that they
Respondents were would use more of their services were YouTube TV (58%), Netflix (54%) and AT&T TV NOW
(51%).
also asked to rate
the streaming video Brands Lagging:
companies with the We asked respondents what service they valued the least as well. However, instead of dividing
by the number of all respondents, we divided by the percentage of respondents who have that
best content, how service. Sling TV and fuboTV were the services that faired the worse (albeit fuboTV had a small
much that content number of respondents, therefore accurate conclusions cannot be drawn from these results.
influence them These brands do not create a lot of content and therefore were not rated on how good their
using that services. content is. The highest percentage of users stating that that they would use less of their services
were fuboTV (3 out of 10 users), Sling TV (3 out of 16 users), and Cinemax (3 out of 18 users).
In total, 250
consumers were COVID-19:
surveyed Most respondents stated that their streaming usage would remain the same (58%) post COVID-
19 pandemic. However, surprisingly 30% state that they would actually increase their usage post
throughout the pandemic. Those who stated an increase, stated that they would increase by 39%, on average.
United States.
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General Brand Analysis
Streaming Services Used:
In total, 250 consumers were asked about the streaming video providers that they pay for rather than what they
receive for free; The most recognized service providers were Netflix (75%) and Prime Video (62%). The least paid for
services (besides the “Other” category) were AT&T Now (39%) and fuboTV (10%). fuboTV added 169,000
subscribers during the third quarter of 2020, a whopping 58% increase, quarter-over-quarter. The fuboTV increase,
coupled with a lack of penetration found in this survey, could indicate that fuboTV has a lot of room for growth. For
a more detailed analysis of the results for each streaming service provider, please see the chart below.
Which services do you PAY to stream?
80% 75%
62%
60%
41%
40% 31%
21% 16%
20% 14% 14% 19% 12%
6% 7% 4% 4%
0%
Netflix Prime Disney Plus ESPN Sling CBS YouTube TV HULU HBO Cinemax Showtime AT&T TV Fubo TV Other
(Amazon) Now
(DirectTV
Online not
satellite)
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How They Streamed:
We asked the respondents, how they video streamed, the most popular answer was their own television (40%),
but Roku (32%) and Amazon Fire (32%) were also popular answers.
How do you stream?50%
40%
50%
40%
40%
32% 32%
30%
20% 17%
10%
10%
0%
Amazon Fire My TV Apple TV Roku Other
We also asked whether they used a traditional cable provider and 68% of our users (169/250) stated that
they did use a traditional cable T.V. provider.
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Increased Usage of Services:
Consumers were asked of the services that they currently have, which do they plan to use more (or less of) moving
forward. Three streaming service providers were clearly above the rest. The highest percentage of users stating that
that they would use more of their services were YouTube TV (58%), Netflix (54%) and AT&T TV (51%). Worth noting,
these three vendors provide different services. Netflix offers ready-made content, while YouTube TV and AT&T TV
Now provide live services primarily. Interestingly, of the popular services, Prime and Hulu had the lowest figures.
Please see chart on next page:
What services do you plan to use MORE of ?
45% 41% 40%
40%
35%
30%
25% 23%
20% 16%
15% 13%
11%
9% 8%
10%
4% 5% 4%
5% 3% 2%
1% 0%
0%
Netflix Prime Disney Plus ESPN Sling CBS YouTube HULU HBO Cinemax Showtime AT&T TV Fubo TV Nothing, I Other
(Amazon) TV Now will use all
(DirectTV services the
Online not same way
satellite)
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Decreased Usage of Services:
Consumers were also asked of the services that they currently have, which do they plan on using less of moving
forward. The highest percentage of users stating that that they would use less of their services were fuboTV (3
out of 10 users), Sling TV (3 out of 16 users), and Cinemax (3 out of 18 users). In the next Streaming Video
Survey, we intend to explore whether this trend continues and if so, what are the reasons for consumer
dissatisfaction. For a detailed analysis, please see the chart below:
What services do you plan to use LESS of ?%
40%
35%
30%
30%
25%
19%
20% 17% 17%
15%
13% 14%
15%
10%
9%
10% 8% 8%
5%
4%
5%
0%
Netflix Prime Disney Plus ESPN Sling CBS YouTube TV HULU HBO Cinemax Showtime AT&T TV Fubo TV
(Video) Now
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Best Content:
We asked all respondents, whether they subscribe to the service or not, to rank the Top-3 streaming service
providers with the best original content. Two names were by far ranked the most: Netflix (89% of all respondents)
and Prime Video (65%). Also rating high were HULU (43%), Disney+ (40%) and HBO (36%). For a complete list of
those who were rated, please see below:
Which services do you feel provide the best original content? (top-3)
100%
89%
90%
80%
70% 65%
60%
50% 43%
40%
40% 36%
30%
20% 15%
8%
10% 5%
0%
Netflix Amazon Disney+ HULU HBO Cinemax Showtime Other
We then asked respondents what percentage of their streaming services usage was dedicated to original
programming. Of course, many service providers do not have original programming, while others hire some of
the best actors in the world. Seemingly, there is a trend toward original content but to what extent. According
to our respondents, 41% of their viewing is dedicated to original programming.
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The Most Valued Service:
We wanted check whether respondents were consistent in the answers they gave, so we asked them what service
their household values the most. The streaming provider with the highest percentage by more than double the next
highest was Netflix at 55.2%. Amazon’s Prime Video was also rated highly at 18.7%, then HULU at 8.1%. The rest
were valued moderately. See the following graph:
Which services does your household value the MOST ?
60% 55.28%
50%
40%
30%
18.07%
20%
8.13%
10% 4.07% 3.66%
0%
Netflix Prime ( Amazon ) HULU HBO Disney Plus
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sales@tailorresearch.comThe Least Valued Service:
We asked respondents what service they valued the least as well. However, instead of dividing by the number of
respondents, we thought it best to divide by the percentage of respondents who have that service. Sling TV and
fuboTV were the services that faired the worse (albeit fuboTV had a small number of respondents, therefore
accurate conclusions cannot be formed).
For more details of each service provider, please see the chart below.
Which service does your household value the LEAST ?
45%
40%
40% 38%
35% 33%
30% 28%
26%
24%
25% 22%
21% 21% 21%
19%
20%
15%
10%
10% 8%
5%
0%
Netflix Prime Video HULU HBO Disney Plus AT&T TV Now YouTube TV CBS Sling ESPN Cinemax Showtime Fubo TV
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Recently there have been price increases or scheduled price increases for the major vendors (Disney Plus, HULU, Amazon
Prime, Netflix, etc.) We asked the consumers we surveyed who noted that more than 10% of their viewing was dedicated to
original content, whether they were less sensitive to price increases, in general. Counter-intuitively, 63% of our respondents
stated that they were not less-sensitive to price increases because of original content.
Disney+ and HULU Price Sensitivity: We then wanted to quantify that for the respondent and name specific service providers,
to capture their thoughts. First, we asked about Disney+, which on Investor Day announced that they were raising prices from
$6.99 to $7.99, whether they planned to continue to subscribe, an overwhelming percentage (86%) stated that they would
continue with the 14% price increase.
The next question became would a large increase of $10 (rather than the $1 increase Disney made) affect respondents enough
to terminate their subscription. Of course, this would represent more than a 100% increase. Surprisingly, more than one-
quarter (28%) of our respondents stated they would not terminate even after a $10 increase.
We asked HULU, Disney+, ESPN users whether they bundle their services with one of the other Disney owned services. The
following table tabulates the results.
Disney Plus ESPN HULU
# of % of # of % of # of % of
Region
respondents respondents respondents respondents respondents respondents
Yes 45 18% 28 11% 48 19%
No 33 13% 6 2% 55 22%
Don't use it 172 69% 216 86% 147 59%
Total 250 100% 250 100% 250 100%
HULU recently announced a price increase. For those who have not bundled, whether the scheduled price increase
would cause them to terminate service, only 17% percent stated that they would terminate service with the fee
increase. Even at a $10 per month increase, 24% would continue to use the service.
Netflix Price Sensitivity: We then asked Netflix users the same set of questions. Netflix announced in the U.K. and
Europe a price increase (2 pounds in the U.K.), and in the fall Netflix announced that those in the U.S. who have the
option of two simultaneous streams and access, would have their price go from $12.99 per month to $13.99
(7.7%). Furthermore, those who have the premium plan, which has four streams at the same time and ultra-high-
definition content, will have their prices increased from $15.99 to $17.99 (12.5%). Despite these increases, 93% of
our U.S. based respondents stated that they would continue to use Netflix and 23% state they would continue to
subscribe even if prices increased a whopping $10 per month.
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We asked respondents whether they will increase or decrease their streaming services, after the COVID-19
pandemic was reduced substantially. Most respondents stated that their streaming usage would remain the
same (58%). However, surprisingly 30% state that they would actually increase their usage post pandemic.
Those who stated an increase, stated that they would increase by 39%, on average.
Appendix
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