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Profiling OTT Video Consumer Needs & Wants

Strategy Analytics recently conducted in-depth interviews across five countries with early-adopters who already use over-the-top (OTT) video services with their television sets. This group accesses OTT video content via a variety of methods.

Some own new connected TVs, BluRay players or gaming consoles. Others have purchased digital media center PCs or purpose-built low-cost digital video players. Despite this diversity, the market study found that people's needs an wants are often surprisingly similar.

The study also uncovered that while saving money is a deciding factor for consumers (especially in Spain or China), the majority are also using OTT video services as a way of increasing the variety of content available to them -- providing greater convenience and flexibility.

According to the Strategy Analytics assessment, OTT video typically supplements broadcast TV viewing. Broadcast TV and OTT content serve different purposes. Watching broadcast TV is likely to be considered a social activity, including others. In contrast, OTT video is more often associated with personal interests.

The study also found that when observing these consumers in their homes that attention levels for broadcast TV are generally much lower, when compared with OTT video consumption.

Finding interesting content is considered the biggest frustration for consumers. Most are willing to pay to be able to find all of their favorite content in one place. The research results also suggests that strong demand exists for access to international content.

The study participants crave personalization -- placing a much greater emphasis on the relevance of the content to their individual tastes. Therefore, many choose to watch their preferred shows via Video on Demand (VoD) services. Meaning, they select OTT content more carefully and seek guidance.

Meaningful content suggestions based on other consumer reviews -- or referrals from friends -- is of the highest value, while recommendations automatically generated (by recommendation engines) are also considered valuable.

Consumers want fewer and smaller device controllers in their living rooms. Yet, they don't believe that typical universal remote controls are the solution. A simplified remote control -- designed specifically for OTT consumption -- will likely be vital to driving video service adoption.

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