Deloitte | Sharing news, research, blogs, podcasts, and more from Deloitte Global and the Deloitte network of member firms. DTTL and each of its member firms are legally separate and independent entities. During the pandemic, nearly half (47%) of consumers cited using at least one free ad-supported streaming video service. Please enable JavaScript to view the site. Consumers were adding, sampling, and canceling various content services in search of the best value for their time and money, according to the 14th edition of Deloitte’s Digital media trends survey, conducted from December 2019 to January 2020. © 2020. London, 14 December 2020. For example, 20% of U.S. consumers changed their streaming music subscriptions: 12% added at least one service, 5% canceled at least one, and 3% added some and canceled others. More U.S. consumers want access to cheaper, ad-supported streaming video options, both before (62%) and since the COVID-19 pandemic (65%), while 35% of consumers don’t want ads and will pay to avoid them. Following a rollercoaster year for mergers and acquisitions (M&A), the increase in year-over … News Corp is a network of leading companies in the worlds of diversified media, news, education, and information services. Certain services may not be available to attest clients under the rules and regulations of public accounting. About Deloitte This trend has continued during the pandemic. Deloitte: COVID-19 Accelerates Cycle of Paid Entertainment Subscriptions and Cancellations has been saved, Deloitte: COVID-19 Accelerates Cycle of Paid Entertainment Subscriptions and Cancellations has been removed, An Article Titled Deloitte: COVID-19 Accelerates Cycle of Paid Entertainment Subscriptions and Cancellations already exists in Saved items. Eighty percent of U.S. consumers say their households now subscribe to at least one paid streaming video service, up from 73% in the pre-COVID-19 survey. For Gen Z and Gen X, those numbers hovered around 30%. +1 201 290 9119, Jon Pace The role of digital marketing has expanded due to the proliferation of social media platforms, mobile devices and wireless connectivity. Many consumers are trying new media and entertainment options during the pandemic, according to the 14th edition of Deloitte’s Digital media trends survey. … But with less money to spend, the competition for consumer attention and retention has never been fiercer. Sports fans, meanwhile, turned to other options when professional leagues shut down. The most popular activities are viewing livestreamed events and watching video with others through a social platform, web application, or videoconference. We launched the initial Digital media trends survey, 14th edition, at the end of 2019 (pre- COVID-19 survey). An error has occurred, please try again later. High costs (36%) and expiring discounts or free trials (35%) were cited as the top reasons for cancellation. Join us for a presentation on Deloitte’s Digital Media Trends, 14th edition, and learn and understand these and other consumer trends … In that same survey, 29% of consumers noted they were binge gaming weekly, for an average of 3.3 hours per session. Share on Twitter Tweet Why this matters Earlier this year, 24% of consumers surveyed listed playing video games among their top three favorite entertainment activities. In just a few months, since the COVID-19 outbreak, Forty-seven percent of U.S. consumers cited, A third of U.S. consumers and nearly half of Gen Z and Millennials say that. A follow-up survey in May shows that customer acquisition has increased, especially in paid streaming video. Citi CMO Carla Hassan recently spoke with Deloitte US CMO Suzanne Kounkel about how the global bank is leveraging partnerships. As the data came in, we saw some interesting trends emerging. To win subscribers rapidly, many streaming video services are offering low introductory rates and free trials. Providers should consider which business model will resonate best with different consumers as they fight for viewers. Perhaps unsurprisingly, esports are becoming even more popular with millennials, with 19% of respondents tuning in. This 2020 edition … The streaming wars were already in full force, with consumers having lots of options. Video gaming has become a social experience, but also a family experience as more kids and teenagers embrace it and draw in their parents as well. For example, 20% of U.S. consumers made changes to their streaming music subscriptions: 12% added at least one music service, 5% cancelled at least one, and 3% added some and cancelled others. Free ad-supported streaming could gain market share from paid services as budgets tighten. DTTL (also referred to as “Deloitte Global”) does not provide services to clients. Deloitte is proud to be part of the largest global professional services network serving our clients in the markets that are most important to them. Before the crisis, the video gaming market was already growing in the United States—but with the onset of the pandemic, video game sales have spiked. Learn how Deloitte’s more than 312,000 people worldwide make an impact that matters at www.deloitte.com. @DeloitteUS. Customer acquisition of media and entertainment has accelerated, especially in paid streaming video, music, and gaming subscriptions — but so has churn. Deloitte’s digital media trends survey provides insights into how five generations of U.S. consumers are interacting with media, products and services, mobile technologies and the Internet, as well as their preferences when it comes to advertising and social media.. Deloitte’s national Telecom, Media and Entertainment Leader Kevin Westcott and Dallas-based Technology, Media … As they search for value, their choices will likely shape the future of the media and entertainment industry. Deloitte refers to one or more of Deloitte Touche Tohmatsu Limited, a UK private company limited by guarantee (“DTTL”), its network of member firms, and their related entities. Since the pandemic began, survey respondents report they have been adding and canceling subscriptions across the media landscape. Social login not available on Microsoft Edge browser at this time. Consumers were adding, sampling, and canceling various content services in search of the best value for their … For nearly a quarter of subscribers, a free or discounted rate was a big factor in choosing a paid streaming video service. The May survey found that some consumers sign up for free trials, cancel when the trial ends or a favorite show or series is completed, and switch services in search of fresh content. Consumers have been spending more time playing video games, especially during the pandemic. In a conversation with Deloitte US CMO Suzanne Kounkel, General Motors Global CMO Deborah Wahl discusses how the automaker is embracing change. This fatigue may lead to increased cancellations. While some people may be eager to return to the experience of big-screen theaters, others clearly enjoy the comfort and convenience of home viewing. The 13th edition of Deloitte’s Digital Media Trends Survey was conducted between December 2018 and February 2019, using an online methodology to sample 2,003 US consumers. Brodeur Partners For relevant content at your fingertips, download the Dow Jones and Deloitte Insights app. Since the pandemic began, 17% of subscribers have already cancelled a service. —Dr. For Gen Z and Millennials, it was 44% and 37% respectively. However, as more media providers join the fray, competition is growing and putting pressure on content and pricing. Subscribers are drawn to streaming video services with a broad range of shows and movies (51%) and content they can’t get anywhere else (45%) — both originals and old favorites. More than two-thirds of consumers said they are likely to continue their new activity or subscription. The most popular are viewing livestreamed events and watching video with others through a social platform, web application, or videoconference. ‘Since the pandemic began, 38% of consumers surveyed have tried a new digital activity or subscription for the first time.’. During the pandemic, 38% of consumers have tried a new digital activity or subscription for the first time. Get the Wall Street Journal $12 for 12 weeks. Back to Digital… Public Relations However, there is growing frustration in trying to navigate the flood of streaming options, all while trying to manage costs. —by Kevin Westcott, principal, Deloitte Consulting LLP; and Jeff Loucks, executive director, Center for Technology, Media, & Telecommunications; Kevin Downs, senior manager; and Chris Arkenberg, research manager for Deloitte’s Center for Technology, Media, & Telecommunications, all with Deloitte Services LP, Follow us on Twitter Since COVID-19 emerged, that strategy has become even more important, according to Chief Marketing and Communications Officer Paul Matsen, who talked about the clinic’s evolving approach to marketing in a recent interview. Four-fifth of U.S. consumers have a streaming video subscription according to the 14th edition of Deloitte’s Digital Media Trends Survey. Jeff Loucks, executive director, Deloitte Center for Technology, Media and Telecommunications, Deloitte LLP. At the same time, it has become harder for media and entertainment companies to retain customers. But with cheap trials and easy cancellations, consumers can binge watch their favorite shows, drop the subscription, and then return when the next season launches. In the early months of 2020, … One-third of consumers noted they will not be comfortable attending live events for the next six months. Gen Z and millennials are more likely than older generations to prefer the subscription-only model they grew up with; Boomers and Matures like the ad-only option that closely resembles TV. With coronavirus cases continuing to surge in the U.S., Deloitte’s Digital Media Trends 14th edition fall pulse survey asked consumers how they felt about attending a movie in a theater. For media and entertainment executives, the challenge is to identify new opportunities and position their organizations to thrive in a highly competitive landscape. Our people work across the industry sectors that drive and shape today’s marketplace — delivering measurable and lasting results that help reinforce public trust in our capital markets, inspire clients to see challenges as opportunities to transform and thrive, and help lead the way toward a stronger economy and a healthy society. In fact, a third of U.S. consumers and nearly half of Gen Z and Millennials say that video games helped them get through a difficult time. Yet competition is fierce, and some … The Global Media Intelligence Report is a concise yet detailed compilation of data and insights about internet users’ traditional and digital media usage in 42 key markets worldwide. Pre-pandemic, the survey found consumers were still enjoying digital entertainment more than ever and were willing to pay for multiple subscriptions. Deloitte Insights for CMOs brings together industry leaders, visionaries and innovators all in one place to provide their latest insights. Yet many consumers, especially younger ones, had already been feeling subscription fatigue. Together, the surveys provide insight into how media consumption has changed. download the Dow Jones and Deloitte Insights app. Certain services may not be available to attest clients under the rules and regulations of public accounting. Nine key trends for digital publishing this year #1 Audience loyalty through acquisitions. Consumers cite having more time to watch shows and movies as the top reason for adding a streaming service. Of those that did, 90% said they would likely do so again. That is why the twelfth edition of the Digital Media Trends survey … Two surveys were fielded by an independent research firm. About Deloitte Consumers have more time on their hands to watch, listen and play games. Media and entertainment companies can take this unprecedented moment to ask insightful questions and reevaluate their business in order to take advantage of windfalls, recover from setbacks, and thrive in the decade to come. Notably, a third of U.S. consumers and nearly half of Gen Z and millennials say that video games have helped them get through a difficult time. While, Yes: Being on social media isn’t a competitive advantage, it’s entry-level; there are many ways to get yourself on par.First, take a quick look at this blog post 5 Key To Social Media Success as well as the Digital … Thirty-five percent of consumers don't want ads right now and will pay to avoid them, according to the Deloitte Digital Media Trends Survey, 14th Edition. Taking action against systemic bias, racism, and unequal treatment, Key opportunities, trends, and challenges, Go straight to smart with daily updates on your mobile device, See what's happening this week and the impact on your business. Conditions ripe for already resilient M&A activity to accelerate in 2021 and beyond. Pre-pandemic, 27% of U.S. consumers said they plan to add a new streaming video service in the coming year; since COVID-19, 32% have added at least one new paid streaming video service. Twenty-Seven percent of consumers noted they were binge gaming weekly, for average. 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