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UK VOD market hit by fragmentation

January 29, 2009 11.34 Europe/London By Julian Clover

A new study into video-on-demand usage in the UK has painted a picture of a market fragmented by delivery technologies, rights restrictions and expensive download charges.

Essential Research says viewers want a TV-based VOD service, presumably along the lines on the Virgin Media offer, which has already found favour with more than 50% of the cablenet’s subscriber base. Its report says eight out of ten PC users access VOD services “occasionally”. 26% say they use peer-to-peer technology or torrents with 42% of these illegal users saying they are driven by programmes not yet available in the UK.

“Viewers want a hassle-free, cinematic TV experience with the right content and the right commercial model. When this happens TV is going to change forever, says Stuart Knapman, partner at Essential Research and director of the study. “But for most people the current reality is a computer screen with confusing rights restrictions and lots of proprietary software.”

The report divides its respondents into market segments that attempt to explain the various usage patterns.

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Filed Under: Newsline, Research Edited: 29 January 2009 11:34

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About Julian Clover

Julian Clover is a Media and Technology journalist based in Cambridge, UK. He works in online and printed media. Julian is also a voice on local radio. You can talk to Julian on X @julianclover, or by email at jclover@broadbandtvnews.com.

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