While it’s not surprising that Millennials (consumers in the 16-24 year-old age group) watch a lot of TV online, it might be more unexpected that the vast majority of them haven’t cut the cord, according to a new study (PDF) from Verizon Digital Media Services, the company’s cloud video unit.
As a group that gravitates to multiple screens and represents about 21% of total consumer spending, Millennials spend three times as much of their TV time watching online -- 34% versus 12% among non-Millennials, VDMS found in a study that surveyed 1,000 consumers (800 Millennials and 200 non-Millennials) and based its findings in part to in-home interviews with eight selected Millennials.
But 75% of the Millennials surveyed haven’t cut the cord and still pay for TV through a traditional MVPD, the study showed. And most (64%) also pay for an online streaming subscription, versus 33% of surveyed non-Millennials. Only 14% of the Millennials surveyed said they had never watched TV from an online source, versus 44% among non-Millennials.
As for how the Millennials surveyed broke down their total TV distribution time, 41% was for live TV, 34% online, 15% on the DVR, and 10% using VOD.
But broadcasters could have some reason for concern. While Millennials are generally brand loyal, not a single broadcast network made the top ten list of brand loyalties among the Millennials surveyed, VDMS said.
According to the survey, the top 10 brands among Millennials were: Amazon, YouTube, Facebook, Google, Walmart, Netflix, Apple, Microsoft, McDonald’s, and Samsung. Verizon was 16th.
Among other findings: 40% of Millennials want access to live TV online, 40% want 4K/Ultra HD video, 25% want device and session shifting, and 19% want interactive TV.
“Bottom line, Millennials demand their entertainment and willing to pay for it, wherever it is available. They want convenience. Those media companies that can deliver a transparent experience, be it online or over the air, will win the millennial audience,” said VDMS, a unit that has been shoring up its cloud video platform via the recent acquisitions of EdgeCast and upLynk.
The smarter way to stay on top of the multichannel video marketplace. Sign up below.
Thank you for signing up to Multichannel News. You will receive a verification email shortly.
There was a problem. Please refresh the page and try again.