http://www.foxnews.com/tech/2016/04/21/cord-cutters-are-few-but-tons-us-are-streaming-video.html
Cord Cutters Are Few, But Tons of Us Are Streaming Video
If you’re not already using some type of streaming video service, guess what:
You'll soon be in the minority. But while there's a lot of talk about cord
cutters, our recent surveys show that it's still a relatively small percentage
of users.
To gain a better understanding of how we're using streaming video services to
supplement or replace traditional pay TV services, Consumer Reports surveyed a
representative sample of more than 1,000 U.S adults by phone in early February
2016. We also analyzed responses to our annual questionnaire of more than
82,000 Consumer Reports subscribers.
Among the key findings was that almost half of U.S. households—47 percent—now
use some type of streaming service, whether it’s a subscription service like
Netflix, or a pay-as-you-go one such as Apple iTunes.
With the growing availability of such alternatives to pay traditional TV,
cord-cutting has become a popular point of conversation. But are people really
ditching their cable, satellite and telco TV providers?
Not yet in a major way. Our surveys show that while traditional TV services
continue to lose customers, cord cutters makes up a trickle of users rather
than a torrent. Despite the widespread availability of both paid and free
advertising-supported streaming services, more than two-thirds of us—68
percent—still subscribe to a cable TV or similar pay TV service. Perhaps more
surprising is that nearly three-fourths of cable subscribers deciding to keep
cable say they won’t drop it because they’re relatively happy with their
provider.
In the table below you'll find additional reasons that people provide for
sticking with a pay TV service.
Streaming Is Having an Effect
But streaming is prompting at least some people to cut back on cable. For the
20 percent of Consumer Reports subscribers who have decided to either reduce
(11 percent) or completely eliminate their cable connection (9 percent), about
a third say they did so due the availability of streaming options. Not
surprisingly, rising pay TV rates were the single biggest motivator for
Consumer Reports subscribers trimming or eliminating their pay TV service. But
convenience is another big factor: More than two-thirds of the streamers in our
nationally representative phone survey said they found it either faster or
easier to find shows and movies through a streaming service than on cable TV.
If you are thinking about untethering from your pay TV service, there are a few
things to consider. One is that many cord cutters find that the same company
that supplies them with TV programming also provides their Internet service,
and the price for broadband service often rises when you debundle it from a TV
service. So the savings could be less than you were hoping. You might also
need, and have to pay for, a faster connection if you're getting more
entertainment via streaming.
Another cord-cutting obstacle is finding a way to get live local broadcast
channels, such as ABC, CBS, Fox, and NBC, which usually aren’t offered by
streaming services. (Hulu is the notable exception.) You can get these channels
for free using an antenna, but not everyone can get great reception with one.
Sling TV now offers a local channel—either Fox or ABC, depending on the plan—in
some markets, but it's still quite limited.
Then there are sports. In fact, live sports have been called the glue that
keeps viewers stuck to cable packages. ESPN isn’t yet available as a standalone
streaming service (though it is included in some cord-cutting services such as
Sling TV). Some professional sports leagues, such as MLB, the NBA, and the NHL,
offer monthly or yearly online subscriptions, but local games could be blacked
out, and it can be expensive to subscribe to multiple individual sports leagues.
Finally, make sure your Internet service is fast enough to handle the extra
load. Your broadband speed will help determine picture quality, since Netflix
and other services adjust the signal you get based on the quality of your
Internet connection. Netflix and others say you’ll need a speed of at least
5Mbps to stream high-def video, but that’s just for one user at a time. Most
homes will need 10Mbps or more, and the FCC recently updated its definition of
broadband to 25Mbps. (That's also about what you'll need if you're streaming 4K
videos with HDR.) And if you’re connecting to your network using Wi-Fi, make
sure you have a modern, relatively quick router.
More Streaming Options
While major subscription services, such as Amazon Prime, Netflix, and Hulu,
tend to get all the attention, there's now a dizzying array of streaming
options from which to choose. For instance, some premium cable networks,
including HBO and Showtime, now offer standalone streaming services that don't
require a pay TV subscription.
In general, subscription streaming services make the most sense for those who
watch a lot of shows and movies, and for fans of original series, such as
Netflix's "House of Cards" or Amazon's "Transparent." Hulu is the best way to
get TV shows from the major networks, and it's starting to branch out into
original fare such as the J.J. Abrams–produced time-traveling political
thriller "11.22.63," based on the Stephen King novel about an attempt to
prevent JFK's assassination.
Pay-per-view services, including Amazon Video, CinemaNow, FandangoNow (formerly
M-Go), and Vudu—tend to work best for those who watch only an occasional movie
or show, and whose tastes run more to current theatrical releases and recent
Hollywood blockbusters.
But there are also a growing number of lesser-known services that cater to more
niche interests. We highlighted seven of them in our recent article on Netflix
alternatives; they range in price from free, ad-supported sites to $10 a month.
One of them—Acorn TV, a $5-per-month service that specializes in British TV
fare—recently topped our new Ratings of streaming services. In the chart below,
you can see the most popular other services used by Netflix subscribers.
Service Percent
Acorn
1
Amazon (both Prime and Video)
46
Apple iTunes
13
GooglePlay
2
HBO Now
3
Hulu
12
M-Go (FandangoNow)
1
Sling TV
2
Vudu
3
Finally, with more of us using multiple streaming services, sifting through
them all individually to find the content you want to watch can be tedious.
These five cool sites and apps will do the hunting for you. Most will let you
create a watchlist of TV shows and movies you want to see, and get alerts when
they become available on a streaming service or when their price drops. Some of
these tools have a social aspect so you can share your lists with friends.
If you've recently joined the cord cutters club or have been thinking about
making the move, let us know in the comments section. And tell us which
streaming services you're now using as an alternative.
