The ‘cord-cutting revolution’ continued in 2018 with Netflix surpassing cable and satellite usage in the US for the first time, according to PwC research.
The firm’s ‘A new video world order’ report found that pay TV subscriptions among US consumers fell to 67% in 2018, down from 73% in 2017 and 77% in 2016.
By comparison, Netflix use climbed to 76% of US consumers last year, up from 73% in 2017 and 70% in 2016.
“Our data shows that there is a convergence between older and younger generations,” said PwC.
“Older consumers are increasingly cutting the cord and accessing more video content online, while younger consumers are showing signs of positive pay TV relationships.”
The report found that 29% of US consumers aged 50-plus have now cut the cord, up from 19% in 2017, and that 61% of over 50s now access TV content online – up from 48% in 2016.
At the same time, 22% of consumers aged 25-34 reported being in a ‘healthy’ and ‘committed’ partnership with their pay TV provider, compared to 16% among those aged 50 and above.
Fewer people overall said they felt “trapped” by their pay TV provider – 20%, down from 22% last year.
The research is based on a PwC survey of 2,016 people in the US, aged 18-59, with annual household incomes above US$40,000. This was carried out in October 2018.
To download PwC’s full ‘A new video world order: What motivates consumers?’ report, click here (pdf).
