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OTT Market Pulse Report Insights Into Subscriber Growth Trends & Drivers in the OTT Streaming Services Market

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OTT Market Pulse Report Insights Into Subscriber Growth Trends & Drivers in the OTT Streaming Services Market NEW OTT Market Pulse Report Insights Into Subscriber Growth Trends & Drivers In The OTT Streaming Services Market PROPRIETARY & CONFIDENTIAL Proprietary & Confidential 1 Stay Up To Date on OTT Streaming Service Trends With Our Monthly Market Pulse Report Answering Key Questions Such As: Current State of The OTT Market – Which Services Dominate? Which Services Need to Find Their Niche? Emerging Services – Which New Services are the Latest Threats and & Why? Building Brand Equity – How do Perceptions and Satisfaction Drive Customer Growth? Copyright © Phoenix Marketing International 2020. All rights reserved. Proprietary & Confidential 2 10% # of Subscriptions 9% 31% Overall State of the Market 0 1 2 3 Multiple subscriptions are the norm in the OTT Services 4 5+ 15% Market – more than 34% of Households have 3 or more subscriptions. 18% However, there is still room to acquire new subscribers - 17% 31% of Households Don’t Have an OTT Subscription. 10% 16% 19% 18-34 35-54 26% 9% The OTT Market is Young: . The 18-34 year old viewer is more represented in the 14% Streaming Market than it is in the Linear Viewing 16% 18% Market. 18% 18% 16% 19% . Younger subscribers are using the most services. 3% 3% Kids 17% . 55+ 7% 19% Households with Kids Under 25 also accumulate Under more subscriptions. 25 in HH 10% 49% 16% 15% 21% 21% 18% Copyright © Phoenix Marketing International 2020. All rights reserved. Proprietary & Confidential 3 10% # of Subscriptions 9% 31% Overall State of the Market – 0 1 2 3 Multiple Subscriptions Dominate 4 5+ 15% Netflix, followed by Amazon Prime Video are the market leaders, regardless of the number of subscriptions. 18% 17% Disney+ is quickly emerging as an OTT leader, hot on Hulu’s heels, especially among those # of Subscriptions with 3+ subscriptions. 1 2 3 4 5+ Netflix 53% 74% 84% 91% 88% Amazon Prime Video 23% 60% 74% 70% 83% Hulu 8% 24% 45% 69% 79% Disney+ 5% 16% 40% 67% 85% HBO Now 4% 7% 12% 38% 62% Apple TV+ 3% 7% 18% 22% 55% ESPN+ 0% 5% 14% 14% 56% CBS All-Access 2% 4% 7% 16% 47% Peacock 2% 3% 7% 11% 32% Copyright © Phoenix Marketing International 2020. All rights reserved. Proprietary & Confidential 4 Net 6 Month Growth Net Growth Intenders – Disney+ Expected Future Growth Peacock (3 Month) vs. Historical ESPN+ Apple TV+ Churn (3 Month) Hulu Disney + and Peacock stand out Redbox Free Live TV with vibrant future growth net of Redbox On Demand any early churn. CBS All Access Twitch is experiencing the opposite. Pluto TV Mixer Tubi TV Netflix Philo Britbox Amazon Prime Video HBO Now CBS All-Access -1% 0% 1% 2% 3% 4% 5% 6% Copyright © Phoenix Marketing International 2020. All rights reserved. Net 6 Month Growth = Plan to subscribe in next 3 months – Subscribed to but cancelled in last 3 months Proprietary & Confidential 5 Top Additional Subscriptions Among Disney+ Subscribers Disney+ Netflix Top Additional Subscriptions Disney+ Subscribers are Amazon Prime Video actively considering additional services, particularly the newly Hulu offered Peacock, niche oriented ESPN+ and Apple TV+. HBO Now Apple TV+ ESPN+ CBS All-Access Peacock 0% 10% 20% 30% 40% 50% 60% 70% 80% 90% Also Subscribe 6 Month Net Growth/Churn Copyright © Phoenix Marketing International 2020. All rights reserved. Proprietary & Confidential 6 6 Month Net Growth/Churn = Plan to subscribe next 3 months – Cancelled in last 3 months Top Additional Subscriptions Amongst Netflix Subscribers Netflix Amazon Prime Video Top Additional Subscriptions Not surprisingly, Amazon Prime Hulu Video and Hulu dominate for additional subscriptions among the Disney + Netflix fans. However, Netflix subscribers also seem to have an HBO Now affinity toward other services- such as Disney+, followed closely by Peacock, ESPN+ and Apple Tv+. Apple TV+ ESPN+ CBS All-Access Peacock 0% 10% 20% 30% 40% 50% 60% 70% 80% 90% Also Subscribe 6 Month Net Growth/Churn Copyright © Phoenix Marketing International 2020. All rights reserved. Proprietary & Confidential 7 6 Month Net Growth/Churn = Plan to subscribe next 3 months – Cancelled in last 3 months Top Box Satisfaction Overall OTT Streaming Netflix Hulu Service Satisfaction Disney + . Netflix leads in terms of overall HBO Now Subscriber Satisfaction. Amazon Prime Video . Disney + has managed to Tubi TV quickly break through, rivaling Peacock Hulu and outpacing Amazon CBS All-Access Prime Video on Satisfaction. Britbox Apple TV + Twitch ESPN+ Pluto TV Redbox Free live TV Mixer Philo RedBox On Demand 0% 10% 20% 30% 40% 50% 60% 70% Copyright © Phoenix Marketing International 2020. All rights reserved. Proprietary & Confidential 8 65% 65% 60% 60% 55% 55% 50% 50% 45% 45% 40% 40% RECOMMEND SATISFACTION 35% 35% 30% 30% 25% 25% 40% 45% 50% 55% 60% 65% 40% 45% 50% 55% 60% 65% TRUST EASE OF BUSINESS . Netflix has capitalized on its early entry into the market, driving strong performance across Perceptions & key perception & recommendation pillars Recommendations: . Interestingly, Hulu does well in all areas but Trust, where it lags the other lead services. Apple TV+ poses an interesting addition to the market. Given their scores, trust from Netflix Currently Apple’s other offerings may have produced a halo effect on their streaming offering Leads the pack . However, Apple TV+ limited content selection may have contributed to low Likelihood To Recommend Copyright © Phoenix Marketing International 2020. All rights reserved. Proprietary & Confidential 9 OTT Services & Phoenix Brand Health Pillars Brand Health Score Dependent Variables: Consideration | Trial | Price Premium | Loyalty Our framework acknowledges 5 pillars that contribute to brand success CORE PILLARS Established with over 200 brands across VALUE SALIENT + DISTINCT 20 categories RELEVANT MEANINGFUL ADVANCED ANALYTICS Knowledge Offering Providing Reputation Connection The contribution of each pillar’s relevant component metrics have been derived via Structural Equation Modeling Copyright © Phoenix Marketing International 2020. All rights reserved. Proprietary & Confidential 10 OTT Services and Phoenix Brand Pillars . Netflix, Amazon Prime & Disney+ lead the way on the core levers of power in the OTT space. Amazon Prime Video is not necessarily seen as being Relevant. This may be due to content, marketing or both. Disney+’s tenure in this market is still short, likely leading to its library not yet being seen as overly Reputation Meaningful. As familiarity grows, its library of titles High Quality { Meaningful } should help its growing reputation in this area. { Distinct } OTHER TOP PLAYERS: . ESPN+ has a core audience, but given its sports niche, likely doesn’t have the broad offerings to Current stand out among more established services and { Relevant } meet all the needs of the OTT subscriber. HBO NOW is seen as an expensive service and Value for Money one that is difficult to do business with, leading { Value } respondents to not necessarily want to be associated with it. Apple TV+ is the unknown in the market. Their most on brand path in is through their image. But that alone is unlikely to drive needed market penetration. Copyright © Phoenix Marketing International 2020. All rights reserved. Proprietary & Confidential 11 Additional Phoenix . Phoenix provides a portfolio of Customer Experience, Media Research & Solutions For OTT Marketing Communication Solutions. Our Solutions will help you continue to build a successful OTT Offering & Streaming Services deliver an outstanding OTT Customer Experience. CUSTOMER EXPERIENCE MEDIA INSIGHTS AD SALES RESEARCH . Phoenix Customer Experience . Phoenix Custom Media solutions . Phoenix Brand Effect delivers real Platform can be tailored to your enable you to understand what will world, in-flight ad performance specific needs drive viewers to your service . Understand how your OTT streaming . Our CX Consultants can identify the . Program & Ad Testing, Consumer content drives audience engagement moments that matter, respective Engagement & Brand Positioning and advertising ROI for your performance vs competitive Research help you align your service advertising clients benchmarks, and will highlight best with audience needs in class insights Copyright © Phoenix Marketing International 2020. All rights reserved. Proprietary & Confidential 12 Getting Started Copyright © Phoenix Marketing International 2020. All rights reserved. Proprietary & Confidential 1313 What We Offer STATE OF THE OTT MARKET STANDARD Subscription to our Monthly OTT Streaming Services Market Pulse Report SURVEY FLOW REPORT Standard Report Includes: . Syndicated reporting on the state of the market, plus a deep dive into subscriber flow Qualification (growth, churn, retention) for your brand Demographics . A review of subscriber perceptions, satisfaction, & recommendation across the market . Topline Brand Equity review for your brand and leading brands in the market # OTT Services By . Includes tracking for 20+ on-demand Streaming video subscription & Live Streaming Subscriber TV services Standard Survey Includes . Core Brand Attributes Battery for your brand & the Top 6 brands in the market Subscriber . Survey Sample: N=1000 sample/month across all services A18+ Growth & Churn . Enables us to determine overall subscription incidence & churn OTT Service Perceptions 3 Month Subscription & Recommendations EXPANDED . Additional 500 Survey Sample/Month (A18+) OTT Services . Additional 2-3 survey questions REPORT & Brand Equity . Includes BrandPi Brand Equity Model Copyright © Phoenix Marketing International 2020. All rights reserved. Proprietary & Confidential 14 Who
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