Reports

As we found in the first wave of “Battle Royale”, viewers are consuming video from more sources than ever.  But this is coupled with even greater expansion across other kinds of entertainment content like social media, gaming, music or podcasts.  This creates more competition for consumers’ disposable time and spending.  It also makes the process of managing individual platforms and subscriptions even more complicated.

Consumers’ desire for greater simplicity isn’t limited just to video.  So, this complexity is an opportunity for companies that can simplify things by offering a bundle that extends to *all* kinds of entertainment, as well as services beyond entertainment.  (Evan Shapiro of ESHAP TV has coined a name for this we think is appropriate: “lifestyle bundle”).

Most major pay TV operators already bundle traditional pay TV and streaming access with internet, wireless phone plans, or home security.  Amazon already offers video, gaming, music, and every other product imaginable under one roof (Amazon Prime).  Other big companies are following suit:

• Microsoft’s purchase of Activision enables them to bundle IP like Call of Duty to their Xbox distribution system and GamePass subscription.
• Their advertising partnership with Netflix could lay the groundwork to expand video content available through Xbox (by bundling Netflix with GamePass, for instance)
• This week we learned that Walmart has met with Disney, Paramount and Comcast to discuss bundling video with Walmart + memberships
• In the UK, Sky TV offers a monthly subscription bundle that combines video access with a new TV set

These macro bundles will change where consumers get their content, the way they choose which pieces to consume, and even what content gets to be part of their consideration set in the first place.

This wave of “Battle Royale” will trend key findings from the first study, but we’ll also dig more into the future of bundling, and how your company could position itself to be where those decisions are made.

Just when TV consumers thought some stability had come to the streaming space, they have faced another rush of change. Netflix and Disney+ launched ad-supported tiers. Peacock has turned off their free tier to any new subscribers. And everyone’s waiting for Netflix to launch their crackdown on password sharing later this year – a behavior they once encouraged as a marketing cost. Today’s consumers, already nervous because of inflation, now have to choose from an even more confusing variety of services.

In light of this, this year’s Best Bundle study will continue to explore how TV consumers are adjusting to this constantly evolving TV/streaming space. How are consumers discovering the bundle of services to find the combination that best meets their viewing needs? The study will identify the most common configurations of platforms: in particular, the extent to which consumers are bundling linear vs on-demand services, ad-supported vs. ad-free services, subscription vs. free streaming services, etc. And importantly, we’ll explore consumers’ perceptions of media, and 3^rd party tech+media, bundles.

It is only a slight exaggeration that in today’s world, every brand is a media brand. Nearly ubiquitous broadband access in or out of the home means almost every device Americans use –  smart TVs, smart doorbells, smart speakers, smartphones, exercise bikes, even beds –  is figuratively wired into the internet. And if the device isn’t serving up media itself, it’s probably feeding the data stream that algorithms use to deliver your media and advertising.

The traditional concept of “primetime” has become untethered from time, device, and activity. Media delivery and data collection never takes a break, whether consumers are watching a TV at night, using a smartphone during their commute, listening to a smart speaker while making lunch, or recording their exercise on a smart watch before breakfast. Understanding what consumers own and use is more important than ever for the ever-increasing list of stakeholders in the media world.

2023 marks the fifth year of Hub’s Entertainment+Tech tracking study. As in previous years, the Connected Home report will provide a broad look at entertainment and smart home technology in US households, as well as their intentions to purchase new media tech and how they approach those purchases. With historical trends going back to 2019, our data reveals what devices are trending hot – or cold – in today’s media technology environment.

This study will continue to provide media producers & distributors and device manufacturers insights to help them make better informed strategy and investment decisions.

Since 2019, Hub’s Evolution of Video Branding study has tracked awareness and perceptions of brands across the TV ecosystem.

The novelty of streaming services has worn off, with almost all Americans using at least one and most subscribing to multiple streamers. At this point, all media companies of note have launched their own pay or free service, and even newcomers like TV set manufacturers have thrown their hats in the ring with their own “OEM FASTs.”

The most important goal of providers is no longer to drive awareness, but to create differentiation.  With so many options, providers must now focus on how to stand out from their rivals: exclusive content, library content, stacking series based on IP or creators, bundling with their other lines of business, or offering multiple subscription tiers.

In 2023, the Evolution of Video Branding study will continue to track not just awareness of streaming services, but also which service or brand attributes have had the strongest impact on consumers’ perceptions. Where available, trends with the previous four waves of the report will be shown.

While the focus on new media technology is often about what’s in the living room or kitchen – streaming to TVs, smart speakers, and so on – there is another revolution happening in the garage. Cars, SUVs, and trucks have seen a revolution in their media tech as well. Old tech like broadcast radio and CDs have often been replaced by the music and audio apps found on consumers’ smartphones, which are now plugged into the car’s media systems. Kids who used to watch DVDs on in-car systems now often are using tablets with downloaded content, or even in-car hotspots.

Similar transitions are seen in other aspects of consumer travel, such as commuting, where digital options are supplanting analog media like newspapers and magazines – or providing new options for video and audio on-the-go.

This new report will explore how people use media while “on the move’ – with a particular emphasis on in-car usage, but also including other mobile use such as while commuting or traveling.

The report will look at the high-tech media world inside Americans’ cars, trucks and SUVs, including the presence and use of new media tech such as Apple CarPlay or Android Auto, voice commands, in-car Wi-Fi hotspots, and seatback screens as well as traditional built-in audio systems. It will also cover topics such as media sources people are more likely to consume in the car; what drivers want in entertainment versus passengers; and how kids drive in-car media choices. Additionally, we’ll look briefly at other out-of-home mobile use, such as while commuting (bus/train/subway) or traveling (train/airplane).

This report will provide guidance to media stakeholders better understand consumers’ use of media on the move to help guide business tactics and strategic investments.

The annual  Video Redefined study takes a step back from our typical focus on consumption of TV and movie content, and tracks use of the ever-expanding array of other types of video content at consumers’ disposal.

Past waves of the study have tracked the growing popularity of YouTube influencers, platforms like TikTok, and content categories like podcasts, livestreaming, and mobile videogames. We’ve looked at how consumption of non-TV content varies by consumer segment, we’ve identified the most common use-cases, and we’ve tracked consumers’ reaction to advertising on non-TV video platforms. And of course, one of the main goals of the study has been to measure the impact that consumption of this content is having on traditional TV viewing.

This year’s wave of the study will cover all of the above, but it will also measure adoption of a brand-new tool in the streaming  TV arsenal: the just-launched ad-supported tier of Netflix. The timing of the new tier’s introduction and of this wave of the study will allow us to take a deep look at early adopters of the new tier, including the consumer segmetns most likely to have signed up, the number of Netflix ad-free subs who have made the switch (or intend to make the switch) to ad-supported, the number of brand new Netflix subscribers lured by the lower priced plan, and the extent to which the new plan reduces the number of subscribers who churn in and out of Netflix as TV shows come and go.

In the end, the study will help our TV industry and advertising clients better understand the competitive challenges posed by non-TV content, how those challenges are evolving as new platforms emerge and gain popularity, and what strategies will be most effective in addressing the competitive threat. At the same time, the study will also point to opportunities for TV firms to join the non-TV fray, by developing their own offerings (e.g., Netflix’s foray into gaming) that stretch beyond their traditional content categories.