Video consumers of entertainment, sports, marketing, education content – the trends Alistair Taylor, Sports Video & Data Analyst, MIDiA Research

1. Alistair Taylor
Sports Video & Data Analyst
MIDiA Research | midiaresearch.com
November 2019
The Attention Economy | Beyond
the Peak

2. midiaresearch.com
The Attention Economy | Beyond the Peak
1. Attention Economy
2. Peak Attention
3. Post-Attention
4. Conclusions

3. Volume of attention
Post-peak Economics: All Consumer ‘Downtime’ Is Now Tapped, So All
Time Gained Is at Another’s Expense
Peak Attention: App
volume has saturated
attention volume
Attention Boom:
Attention volume
exceeds volume of apps
Post Peak: Consumers
prioritise apps,
discarding others
Attention limit
Source: MIDiA Research
Unaddressed
attention
Addressed attention

4. [2017] We’re competing with
sleep…sleep is my greatest
enemy.
“
[2019] We compete with (and lose to)
Fortnite more than HBO…
Reed Hastings

5. midiaresearch.com
The Attention Economy | Beyond the Peak
1. Attention Economy
2. Peak Attention
3. Post-Attention
4. Conclusions

6. PEAK ATTENTION
• The digital economy is driven by growing
consumption
• There are only so many hours in the day
• Growth will now increasingly come at the
expense of others in mature markets
• Key success metric was engagement

7. There Is Now More Content Than Ever to Choose From
23
39 35
50 56 56
75
97
152
223
2010 2011 2012 2013 2014 2015 2016 2017 2018 2019
1 16 23
65
162
300
1000
2012 2013 2014 2015 2016 2017 2018
Netflix Originals US TV Shows In Production
Netflix Originals and Number of US TV Shows In Production

8. Average hours per Netflix
subscriber (US)
2015
2018 616
617
Average hours per Netflix
subscriber (International)
410
600
Streaming Peaks: Even Netflix Is Feeling the Impact of the
Post-Peak Attention Economy

9. midiaresearch.com
The Attention Economy | Beyond the Peak
1. Attention Economy
2. Peak Attention
3. Post-Attention
4. Conclusions

10. THE POST-ATTENTION CHALLENGE

11. %penetrationPropensity for Multiple Subscriptions Declining as Consumers
Specialise
Penetration for holding digital subscriptions – Q3 2019, US, UK, Australia, Canada, Germany, Spain, Sweden,
Italy, France, Netherlands, Mexico
43%
32%
40%
43% 43%
46% 45% 45%
39%
45%
50%
45%
23%
10%
17%
25%
13%
24%
22%
19% 20%
28%
25% 24%
13%
5%
9% 9% 10% 10%
12%
13% 13%
17% 17%
19%
Total
weighted
average
France Germany Italy Netherlands Canada UK Australia Mexico US Spain Sweden
I pay a monthly subscription for video
I pay a monthly subscription for more than one video service
I have three or more different digital subscriptions
Source: MIDiA Research Consumer Survey (09/19), US, UK, Australia, Canada, Germany, Spain, Sweden, Italy,
France, Netherlands, Mexico

12. %penetrationSVOD Subscriptions the Mainstream Consumption Format in Most
International Markets
Penetration for holding digital subscriptions – Q3 2019, US, UK, Australia, Canada, Germany, Spain, Sweden,
Italy, France, Netherlands, Mexico
43%
32%
39% 40%
43% 43%
45% 45% 45% 45% 46%
50%
36%
22%
3…
26%
22%
56%
42%
24%
42%
55%
51%
33%
19%
14%
23%
18%
15%
24%
19%
22% 20%
41%
20%
18%
Total
weighted
average
France Mexico Germany Italy Netherlands US Australia UK Sweden Canada Spain
I pay a monthly subscription for video
I or someone in my household pays for a TV subscription
I pay a monthly subscription for music
Source: MIDiA Research Consumer Survey (09/19), US, UK, Australia, Canada, Germany, Spain, Sweden, Italy,
France, Netherlands, Mexico

13. 45%
49%
45%
21%
24%
17%
Q4 2016 Q1 2017 Q2 2017 Q3 2017 Q4 2017 Q1 2018 Q2 2018 Q3 2018 Q4 2018 Q1 2019 Q2 2019 Q3 2019
SVOD subscription Have three or more different digital subscriptions
Post-Peak: Subscriptions Adoption has Peaked as Consumers
Prioritise Their Digital Resources
Digital Service Adoption, Q4 2016 to Q3 2019, US
%ofUSconsumers
Source: MIDiA Research Brand Tracker Survey data (12/16 – 09/19), US n = 1,000

14. Consumption Habits Highlight Risks of Not Diversifying Content
Offering
Rankings for Most Consumed Video Genre – Q3 2019, US, UK, Canada
GENRE PENETRATION
1
Comedy 56%
2
Movies 52%
3
Action and thrillers 51%
4
News 36%
5
Crime and courtroom drama 34%
6
Sports 32%
7
Documentaries 31%
8
Reality TV 26%
9
Food and travel 26%
10
Horror 25%
Source: MIDiA Research Video Brand Tracker Q3 2019, US, UK, Canada= 3,000
US
GENRE PENETRATION
Action and thrillers 53%
Movies 48%
Documentaries 48%
Comedy 48%
News 39%
Sports 34%
Crime and courtroom drama 32%
Food and travel 28%
Soap operas 26%
Period drama 23%
UK
GENRE
PENETRATIO
N
Movies 57%
Comedy 57%
Action and thrillers 55%
News 35%
Crime and courtroom drama 35%
Documentaries 34%
Sports 31%
Sci-fi 27%
Reality TV 25%
Food and travel 24%
Canada

15. Question: Imagine you could create your ideal TV or streaming video service. Which of the following features would be most
important to you?
Source: MIDiA Research Video Brand Tracker Q1 2019, US n = 1,000
Catalogue and Functionality Most Important Factors for Consumers of
Video Services
Rankings for Preferred Features of a Video Service – Q1 2019, US
Functionality
Pricing
Catalogue
8…
12%
15%
17%
19%
19%
21%
21%
23%
41%
Ability to record shows
Live sports
Ability to stream / watch shows on demand…
No ads
The latest and best movies
Premium channels
Only pay for the channels I want to pay for
Catch up TV
Ability to pause and rewind live TV
Wide choice of channels

16. A RECESSION IS
COMING
The coming recession will catalyse the impacts of the
post-peak attention economy

17. Recession Impact: Consumers More Likely to Cut Leisure Activities
Ahead of Reducing / Trimming the Services They Subscribe To
Recessionary Impact on Spending Behaviours – Q3 2019, US
Leisure
Services
Immune
12%
13%
17%
19%
22%
23%
24%
29%
35%
49%
Cancel a digital news subscription
Cancel a games subscription
Go to fewer concerts
Cancel a music subscription and downgrade to the free…
Cancel a pay-TV subscription (e.g. cable, satellite)
Cancel one or more video subscriptions
Reduced spend on pay-TV subscription (e.g. cut movies or…
None – I would not stop doing / subscribing to any of the…
Go out less
Eat out less
Question: If you found yourself having to reduce your entertainment spending because your financial circumstances changed
unexpectedly, please indicate which three of the following would you do first? (Select three)
Source: MIDiA Research Quarterly Brand Tracker Q3 2019, US n = 1,000

18. RECESSION IMPACT
• Millennials were the fuel for the digital media engine, but
could have greatest job insecurity in a downturn
• Digital subscriptions will be vulnerable because they are
contract-free and the free alternatives are so good
• De-risking of investor balance sheets could result in a
slowdown in investment into media and tech
• Multi-format subscriptions and bundles will thrive in a
recession, with Amazon set to be a big winner

19. POST-PEAK
• Going from ownership to access, (dis)solved
consumers’ desire to own more
• If they can own/access anything, what do
you give them next?

20. POST-PEAK
• Attention is like labour. It is a product of
human behaviour; it is finite → scarce
• Content supply could exceed attention
output
• Positive sentiment could become more
important than overall engagement volumes

21. midiaresearch.com
The Attention Economy | Beyond the Peak
1. Attention Economy
2. Peak Attention
3. Post-Attention
4. Conclusions

22. • Age of decluttering
• Peace of mind
WHAT COMES NEXT

23. CONCLUSIONS
• Post-peak attention has arrived
• Growth comes at the expense of others in mature markets
• More content is no longer an effective way of competing for
attention
• Building, measuring and fostering positive sentiment will
become more important than ever before

24. THANK YOU
Alistair Taylor | alistair@midiaresearch.com |
midiaresearch.com/get-updates