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Virtual MVPD Subscriber Satisfaction Rises to 76%

As the product category evolves, and operators get better at the science of live-streaming video over the open internet, users of virtual pay TV platforms are becoming happier with their service. 

An online survey of 6,462 U.S. households conducted by Leichtman Research Group found that 76% of respondents are very satisfied with their vMVPD service compared to use 69% in 2018. 

Only 14% are inclined to switch to another virtual pay TV service in the next six months compared to 27% in 2018, the last time LRG conducted its Internet Delivered Pay-TV Services study. 

The vMVPD category includes Hulu Plus Live TV, Sling TV, YouTube TV, AT&T TV Now, fuboTV, Philo and Vidgo. 

The 2020 version of LRG’s report suggests the category still isn’t all that accretive to the overall pay TV business. Only 12% of vMVPD subscribers were most recently non-subscribers to any type of pay-TV service.

The biggest share of users, 44%, arrived from traditional cable, satellite or telco platforms, while 26% have kept their traditional service and 18% switched from another vMVPD. 

Overally, 18% of adults ages 18-44 have a vMVPD service, with that age group accounting for 65% of U.S. vMVPD subscribers.

LRG found that 79% of all households have at least one SVOD or direct-to-consumer streaming video service, and 44% have three or more of these services.

“More than ever, consumers are exploring the trade-offs between traditional and vMVPD pay-TV services—along with an increasing number of streaming options—to find the combination of content and cost that best meets their needs,” said Bruce Leichtman, president and principal analyst for Leichtman Research Group, Inc.  “Younger adults and those with more people and TVs in the household have thus far proven to be most attracted to the lower-cost and lower-channel vMVPD options.”