Following up my cord-cutting article from a few weeks ago, I picked up some staggering evidence that we are witnessing a seriously disruptive trend for cable companies. At the same time, these stats provide sunny evidence for online video sites. Check out these tidbits:
According SNL Kagen’s recent analysis:
The US multichannel market fell by 216,000 subs in Q2 2010 and again was down 119,000 subs in Q3 2010. This represents the single largest dip for cable subs since 1980!
Customer behaviors are shifting
In a study of 800 customers (ok, it’s not a HUGE group surveyed but I think is decent directional data):
39% watch TV online or on a handheld device at least once a week; 25% watch TV online or on a handheld device at least once a day
And obviously the next generation of viewers is shifting
37% of 18-34 year olds watch TV on an alternative platform; 44% of 15-17 year olds do the same
More time is being spent watching video online
175 million US Internet users watched online video content in October for an average of 15.1 hours while US Internet audience engaged in 5.4 billion video sessions
And advertising is following
There were close to 4.6 billion ads viewed in October…
1.1 billion video ad impressions at viewed at Hulu (that’s 37 million per DAY), 533 million through Tremor Media Video Network, 435 million through ADAP.TV (a video ad network), 374 million through BrightRoll Video Network.
Those are some pretty big numbers…And to put things in perspective, another article talked about TV’s effectiveness at pulling an audience together and cited Super Bowl 2010 with 121 million viewers at its peak. Indeed, TV still rules for pulling together a one day audience, but Hulu and the others sustain some massive audiences.
This all adds up to some bleak news for cable companies. But I’m thrilled with the abundance of choice out there that’s damn near free.
So for now, where are those scissors?