Today, big-name networks like MTV, Disney and HBO are releasing TV Everywhere apps, which have proven to be a success in today’s mobile-dominated world. In fact, close to one in three U.S. households that subscribe to telco TV are predicted to access TVE services by the end of this year. Moreover, TV Everywhere (TVE) is forecasted to generate an upwards of $21 billion by 2015, according to research from NPD In-Stat. So what’s driving the TVE phenomenon?
- Proliferation of Mobile Devices: While in the past, it might have been a privilege to own a mobile device, today it’s the norm. In fact, 91 percent of American adults have a cell phone, while one-third of adults own a tablet. With the average adult spending 58 minutes a day on his or her mobile device, TV networks are releasing sophisticated TVE services to cater to today’s mobile generation.
- Consumer Behavior: Today’s consumer is on the go. Between work and play, consumers no longer have time to “schedule” a meeting with their TV. Instead, consumers are tuning into their favorite shows while riding the bus, walking to school or during their lunch break, hence the demand for TVE.
- Competition from Over-the-Top (OTT) Providers: TV Everywhere is quickly becoming a necessity for traditional operators looking to compete with OTT providers such as Netflix, Hulu and Amazon. In fact, the pay-TV industry lost around 40,000 subscribers during the second quarter of 2012, most likely at the hands of OTT providers.
- With the proliferation of mobile devices continuing to soar and competition from OTT providers showing no signs of slowing down, TVE is certainly here to stay –at least until traditional cable providers find another viable solution.