Some Millennials are accessing TV content solely via broadband, and the majority of those don’t have any plans to return to pay-TV, reports pivot in a recent study [pdf] conducted by Beagle Insight and Miner & Co. Studio. The researchers set out to spotlight the 18-34-year-old market for TV content, segmenting respondents into distinct groups depending on their method of consuming TV content and future inclinations.
The 3 main segments in the study were:
- “TV traditionalists” (set-top box TV, TV+DVR, TV+DVDs);
- “Cross-Platformers” (set-top box TV, streaming TV, laptops, tablets, phones); and
- “Broadbanders” (streaming TV, laptops, tablets, phones).
In the 18-34 demo, among those who have broadband access, 13% counted as Broadbanders, streaming TV to their broadband-powered TVs, PCs, laptops, and mobile devices without a traditional TV service. That 13% figure was a combination of 8% who are “Independent Broadbanders,” planning to stay away from set-top box TV subscriptions, and 5% who are “Pay TV Craving Broadbanders,” intending to return to a pay-TV subscription.
Given that 91% of the 18-34 age group has broadband access, that translates to 12% of the 18-34 population as a whole counting as Broadbanders, without a traditional pay-TV subscription.
That number is poised to see rapid growth, per the report. Among 18-34-year-olds with broadband access, a significant 27% are categorized as “Straying Cross-Platformers.” This group currently streams TV and has a pay-TV subscription, but intends to become Broadbanders one day, cutting the proverbial cord. (That 27% is significantly larger than the 5% who are currently Broadbanders and expect to return to a pay-TV subscription.)
Interestingly, 18-34-year-old females with broadband access are far more likely than their male counterparts to count as Broadbanders, relying on streaming only (16% vs. 9%). But over time, that gender discrepancy might smooth out. That’s because a greater proportion of these females are looking to return to pay TV (6% vs. 3%), while a smaller proportion are looking to cut the cord and rely solely on streaming options (24% vs. 29%).
Looking at the current demographics of Broadbanders (relying on streaming only), the study shows that they tend to be younger than the average 18-34-year-old, skew female (64%), live in smaller households, and have a smaller average household income. Two of those attributes (youth, small households) showed up in Nielsen’s recent profile of its new “Zero-TV households,” too.
A detailed analysis of traditional TV consumption trends among America’s youth can be found here.
About the Data: The data is based on interviews of 2,500 adults aged 18-49, with supplemental interviews (n=310) conducted to specifically profile Millennial (18-34) Broadbanders.
Participants were representative by age and gender, were required to have high-speed internet service (at home or mobile), and were required to be the current decision-maker or share in the decision for services.
Universe estimates based on the US Census and Pew Internet & American Life Project, Post-Election Survey, Nov/Dec 2012.