Quarter of Latin Americans ready to cut the cord
Details
Juan Fernandez Gonzalez
| 17 April 2016
Over-the-top (OTT) video platforms and pay-TV services have been in a balanced relationship in LATAM so far, but a new Nielsen report shows 23% subscribers might cut the cord in the near future.
Nearly seven in ten Latin Americans are already using some kind of video-on-demand (VOD) service, although only 21% said to be paying for one. Still, subscription VOD (SVOD) is more common in Mexico (28% Mexicans pay for it), Colombia (25%) and Brazil (23%).
According to the report, 76% of VOD consumers are also paying for a traditional cable or satellite platform, indicating cord-cutting is not threatening pay-TV industry yet.
But, as highlighted by Nielsen, 23% Latin Americans are using VOD services more than once a day, reducing pay-TV watching time, thus thinking of cutting the cord as VOD subscriptions are also a more affordable video option. Indeed, 37% VOD subscribers think quality-price ratio is better than for pay-TV.
In addition to price, convenience is another factor making Latin American habits to change. Over half of VOD users like this kind of service because they can watch their favourite programmes anywhere at any time, just when they like to. Besides, 35% think VOD is convenient for families, so everybody can watch different contents at the same time.
“Latin American viewers’ habits are changing, they are now on control of what they watch, and how and when they watch it,” stated Nielsen in the report. “And advertisers are also using the different platforms and technologies to reach potential customers in newer and more creative ways.
Details
Juan Fernandez Gonzalez
| 17 April 2016
Over-the-top (OTT) video platforms and pay-TV services have been in a balanced relationship in LATAM so far, but a new Nielsen report shows 23% subscribers might cut the cord in the near future.
Nearly seven in ten Latin Americans are already using some kind of video-on-demand (VOD) service, although only 21% said to be paying for one. Still, subscription VOD (SVOD) is more common in Mexico (28% Mexicans pay for it), Colombia (25%) and Brazil (23%).
According to the report, 76% of VOD consumers are also paying for a traditional cable or satellite platform, indicating cord-cutting is not threatening pay-TV industry yet.
But, as highlighted by Nielsen, 23% Latin Americans are using VOD services more than once a day, reducing pay-TV watching time, thus thinking of cutting the cord as VOD subscriptions are also a more affordable video option. Indeed, 37% VOD subscribers think quality-price ratio is better than for pay-TV.
In addition to price, convenience is another factor making Latin American habits to change. Over half of VOD users like this kind of service because they can watch their favourite programmes anywhere at any time, just when they like to. Besides, 35% think VOD is convenient for families, so everybody can watch different contents at the same time.
“Latin American viewers’ habits are changing, they are now on control of what they watch, and how and when they watch it,” stated Nielsen in the report. “And advertisers are also using the different platforms and technologies to reach potential customers in newer and more creative ways.