Rural Video Usage Survey Bucks the National Trends

MITCHELL, S.D. - March 30, 2017 - PRLog -- Numerous reports have been written on the national trend of "cord cutting" or homes eliminating their cable or satellite service and accessing their television content over the Internet and from antennae.   For the second year in a row, 82% of North American rural video consumers surveyed are still subscribing to a traditional video service provider.  The number of rural homes that are getting all of their video over the Internet is a modest 4%.

The national news stories of mass cord cutting is heavily biased by the fact that 80% of Americans live in urban and suburban areas (U.S. Census Bureau).  Rural demographics are much different with an older average age, fewer children in the home, and less access to broadcast channels by antennae. Innovative Systems, a software and technology company based in Mitchell, SD, has commissioned a survey of rural homes to determine the status of subscription video and to quantify the impact of streaming video specifically in the rural marketplace for two consecutive years.

This survey of approximately 400 homes was conducted by Cronin Communications, a national telecom research firm (http://cronincom.net/)

Highlights of the research:

• Although the overall subscription rate remained the same at 82%, the number of homes that have cut the video cord increased from 1% to 4% in 2017. There was also a 3% increase in homes adding television service.

• Independent telecommunications companies gained 8% of the video market share compared to 2016, while the satellite providers lost a combined 11%.

• Video streaming increased to 34% of homes (from 23% in 2016), and the average number of hours per week increased to 9.73 (from 7.59 in 2016).

• The interest in a free on‐demand service for catch‐up viewing is strong. Twenty‐percent (20%) of customers would like to have it.

• Sixteen percent (16%) of video subscribers would move to a cloud‐based DVR service if it were available to them.