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Apr 21, 2009
Article

New Chart: Internet Video Gains Popularity with TV Viewers

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SUMMARY: To better predict whether or not consumers would adopt the practice of watching TV programs online, we asked a sample of 1,438 regular Americans what they watch, how they watch it, and why. We expected some pretty big skews in attitudes toward watching TV over the Internet once we divvied up the sample by age. While we saw some definite differences in usage, when we looked at some of the driving factors behind this, the different age groups showed a surprising degree of uniformity.
Most Important Factors in Adoption of Streaming Video by Age
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When asked why they would or would not adopt online video, all age groups were most concerned with picture quality and download speed. Tech-savvy young adults put more emphasis on the ability to stream straight from the Internet to a large-screen TV, and 47% want to do that in high-definition. This is good news for websites, such as Hulu.com, and very scary news for cable TV providers. Budget-conscious consumers are more likely than ever to cut their cable subscriptions in favor of watching TV via Internet. These days, it’s not just college kids watching their budgets.

Key takeaway:
What that means for marketers is that a gradual shift of media dollars from TV to the Internet is very likely. Advertiser budgets must follow consumer eyeballs.

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