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40m US homes trialled and subscribed to at least one OTT service in H1 2021

July 15, 2022 11.39 Europe/London By Julian Clover

At least 40 million US internet households tried out and then went on to subscribe to at least one OTT service during the first half of 2021.

The data from international research firm Parks Associates’ new consumer study OTT: Perception, Use, and Business Models also reveals nearly 50% of US internet households trialled at least one service in past six months, and 78% of those households ended up subscribing to at least one of these services.

Parks has found that while the larger services such as Netflix and Disney+ have now dispensed with free trials, smaller services find them invaluable to attract subscribers.

“Trials are an effective onboarding tool, with 40 million households trialling and then subscribing to at least one service in the past six months,” said Eric Sorensen, Sr. Contributing Analyst, Parks Associates. “The more services consumers try, the more they are likely to subscribe to at least one. Consumers who frequently trial different services are highly engaged video consumers in general, so services need to cater to these users.”

In the long run it is content that drives the decision to maintain a subscription. Netflix is set to spend more than $17 billion on content in 2022, while Disney+ has committed to spending $33 billion on programming and content.

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Filed Under: Editor's Choice, Newsline, Research Tagged With: Disney, Netflix, Parks Associates Edited: 18 July 2022 13:04

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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 Twitter @julianclover, on Facebook or by email at jclover@broadbandtvnews.com.

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