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Reasons For Dropping OTT Subscription Video Services


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Reasons For Dropping OTT Subscription Video Services


The following post comes from Kagan, a research group within S&P Global Market Intelligence.

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U.S. consumer survey results on why people are dropping OTT subscription video services.

As competition heats up among OTT subscription video services, keeping subscribers happy becomes ever more important.  With that in mind, in our recent 3Q 2016 U.S. Consumer Insights Survey, we asked previous subscribers of OTT subscription video services why they dropped the service.  The responses we got were diverse and varied significantly by service.

For example, over one-third (35%) of previous Netflix subscribers indicated that the recent price hike was a factor in their decision to drop the service.  Nearly one-third (31%) reported dropping their subscription because of fewer recent movies in the Netflix video library.  Other factors impacting subscriber churn were the ending of a free trial and not enough new TV content.

Reasons for dropping a subscription OTT service

For Amazon Prime Instant Video, pricing and the lack of new movie titles were major reasons leading to subscriber churn.  However, 34% indicated that they did not continue their subscription following the end of their free trial period.  The inability to retain subscribers after a free trial has ended is also an issue for Hulu (32%), as was the lack of original programming (14%).  

For more information on OTT subscription video churn and other media and communications consumer behavior research, please request a call.

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