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More than half the people who trial OTT convert to paying subs

April 4, 2019 07.19 Europe/London By Broadband TV News Correspondent

58% of US broadband households who trial a OTT video subscription service convert to paying subscribers, according to Parks Associates.

“Some OTT providers have expressed concerns that consumers might be churning through trials to avoid paying. While some trial abuse likely occurs, the high rate of conversion suggests that most users are actively evaluating for genuine adoption,” said Brett Sappington, Senior Director of Research, Parks Associates.

“Among users trialing three or more services, almost 80% subscribe to at least one of the services that they tested.”

“Free trials are an established and effective part of the OTT landscape, but as they become a commoditized offering in an increasingly crowded market, services will experiment with the model to make their service stand out,” Sappington said.

“For example, Sling TV recently began allowing non-subscribers unauthenticated access to limited content, essentially a pre-trial opportunity that encourages viewers to begin an actual trial.”

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Filed Under: Newsline, OTT, Research Tagged With: Parks Associates, US Edited: 4 April 2019 07:23

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