The subscription video on demand market is on the rise, and OTT streaming devices have recently moved past tablets as a more popular tool for watching a video. More consumers enjoy the freedom of watching video on the go. Learn about OTT monetization solutions: https://www.vindicia.com/solutions/ott-monetization-solutions/

1. 1
How Do
Consumers Prefer
To Watch SVOD?
© 2015 Vindicia, Inc. All rights reserved. Vindicia Confidential.

2. 2
How Do Consumers Prefer To Watch SVOD?
© 2015 Vindicia, Inc. All rights reserved. Vindicia Confidential.
The subscription video on demand market has taken off in just the last few years, but
there is already major competition for dominance. Netflix and Hulu may have been some
of the first to arrive on the scene, but in no way does that mean they're the only ones
capturing a fair share of the market.
However, complicating the conversation about SVOD and over-the-top streaming
services is the role technology plays in influencing consumer behavior. With the arrival of
devices like tablets and phablets, there's greater diversity facing consumers in how, when
and where they consume streaming video, and how service providers leverage them for
the greatest benefit.
"Roughly half of all
mobile data traffic
will be composed
of video by 2019."
Divisive devices
How much difference does the viewing platform make for
consumers of SVOD services? According to a recent article
in Streaming Media Magazine online, which cites data from
Ericsson, it's predicted that roughly half of all mobile data
traffic will be composed of video by 2019. This is a 10
percent rise over the levels seen in 2013, but will this
content be viewed primarily on Android or iOS devices?
Currently, consumers in the U.S. tend to favor the former
over the latter by roughly 12 percent.

3. 3© 2015 Vindicia, Inc. All rights reserved. Vindicia Confidential.
In response to the popularity of tablets and phablets, some content providers have
decided to create videos that are optimized for this technology. This may end up being
too big of a step as viewing habits suggest that consumers are opting for a more familiar
format for streaming content.
Over-the-top streaming technology overtakes tablets
Research posted by MarketingCharts, citing from a FreeWheel report, found that OTT
streaming devices have recently moved past tablets as the more popular tool for
watching video. Two of the big players mentioned in the article are Apple TV and
Google's Chromecast, which essentially attach to a regular television and allow the user
to stream online content.
This news should be a signal that consumers enjoy the freedom of watching video on the
go, but there's nothing to suggest they're giving up the experience of viewing content on
a larger screen. In fact, the report found that OTT streaming device users display very
similar viewing patterns as TV watchers. The argument is supported by the fact that 91
percent of video ad views stem from long-form and live content, MarketingCharts wrote.
On the other hand, just 54 percent of ad views occurred as consumers were watching
the same time of content.

4. 4© 2015 Vindicia, Inc. All rights reserved. Vindicia Confidential.
While content related to sports draws the greatest traffic, broadcast television
programming has gained ground and increased the popularity of OTT streaming service
use. The various SVOD service providers, such as Netflix, Amazon, HBO and Google,
each have proprietary apps and services, meaning consumers have to choose which
provider they want to access specific content. This competition will likely lead users to
select the company that provides the video selection that's most attractive. Or
consumers may subscribe to multiple SVOD organizations. But that remains to be seen.

5. 5© 2015 Vindicia, Inc. All rights reserved. Vindicia Confidential.
About the Author: Bryta Schulz
Bryta joined Vindicia in 2013 and serves as Senior Vice
President of Marketing. She is responsible for building brand
awareness, creating go-to-market strategy and promotion, and
driving growth. With over a decade of executive level marketing,
product management and PR experience, Bryta has led
marketing teams in enterprise technology and SaaS companies.
Her experience includes heading product marketing at GoGrid,
PGP, RSA and Symantec and business development and
product management positions at Xcert, Thales, and
Persistence Software. Bryta holds a MA in Translation from the
Johannes Gutenberg University Mainz and an MBA from the
University of Reutlingen.
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© 2015 Vindicia, Inc. All rights reserved. Vindicia Confidential.