Movie streaming has picked up the pace tremendously in the past decade. The US is without a doubt the online television industry leader with revenue projections of approximately 15.5 billion dollars by the year 2020. A recent survey revealed that approximately 76% of American households had a video on demand subscription plan by the year 2014. The advance in technology coupled with the ubiquitous nature of the internet have made life easy especially regarding movie streaming. Online TV users, mostly comprised of the young middle class generation, and mobile technology users prefer streaming movies because they save on time and are very convenient.
This trend is not just an American phenomenon. Traditional TV is almost becoming a thing of the past for a huge percentage of the global population. Between 2012 and 2013, more than 1.08 million households in the US cancelled their traditional TV subscriptions with the figure expected to go higher in a few years to come. Instead of TV subscriptions, people would rather pay for Wi-Fi or cellular so as to access online video services. The most used mobile access devices include Android and iOS. Experts predict an unprecedented growth in the number of internet TV connected households in the coming years.
When it comes to choosing which online package subscription to work with, speed of service appears to be top on the list. For this reason, Amazon Prime seems to be the most preferred bundle for most people as the service delivery is quite fast. Amazon guarantees a 2-day free shipping which has been the main attraction for new subscribers. In addition, this bundle offers unlimited streaming of both shows and movies which is also why most users have signed up for it. Netflix and Hulu Plus package follow behind closely with 43% of Americans in favor of both packages.
Netflix’s movie streaming statistics has seen an increase since the year 2000. Their annual revenue which was around 500 million dollars in the year 2004 currently stands at 6.78 US dollars. This figure is expected to increase in the coming years as more subscribers sign in to Netflix. The current number of US Netflix subscribers that use their streaming services is 33.42 million while that of subscribers in both the United Kingdom and Ireland is 1 million. The overall number of subscribers worldwide by the year 2015 was approximately 70 million. Out of this, the non-US subscribers were estimated to be 26 million subscribers. By 2020, this number is forecasted to have risen to 100 million.
Apart from time management and convenience, movie streaming has gained popularity because of being cost effective as well. Subscription video on demand (SVoD) allows users pay for services at their convenience. This means that you can save tons of money while enjoying only what you want to subscribe to. Online movie streaming also allows for versatility. The number of movies and shows available to you are limitless. The viewer is completely in charge of which original programming to watch.
Numbers do not lie. It is clear that internet TV is taking over as the new way of watching television. Interestingly, this is not only true in first world countries but in the developing countries as well. For instance, Netflix recently announced their entrance in the East African Market. This new trend will without doubt hugely impact the television industry.