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TVN Entertainment Releases Findings From National Consumer Research Study

September 3, 2008

TVN Entertainment Corp., the world’s largest television on demand company, today unveiled attitude and usage findings from a national consumer research study it commissioned to understand the impact TVN’s barker videos have on VOD usage. Among the results is confirmation of on demand’s continued growth among digital subscribers and its high marks for satisfaction.

Key Findings

VOD is now mainstream

 --  71% of enabled subscribers have recently used video on demand --  More than half of those users purchased VOD content      

Teens like (and buy) VOD

 --  Nearly 70% of users are highly satisfied with on demand --  Satisfaction is strongest amongst VOD's heaviest buyers, 18 to 34 year-     olds and teen girls --  More teens (15-17) than adults are purchasing VOD movies -- especially     teen girls... but 74% of teens ask permission from their parents first      

Movies are a group activity

 --  A large majority of on demand users will only watch transactional     content in a group --  Even free movies are watched as a group with more than half only     watching them with others      

Convenience is king… followed by speed

 --  Convenience reigns large with 68% of respondents citing not having to     leave the house as their number one reason for buying movies on demand with     "speed" following closely behind --  Ease of use came in relatively high, ranking 4th, in the top reasons     for buying movies on demand      

“While these findings show tremendous growth and widespread adoption of VOD in the last few years, they also highlight the need to regularly monitor and track consumers’ on demand usage and perceptions,” said Amy Kan, vice president marketing and communications, TVN Entertainment. “We found it encouraging to see the high rate of adoption amongst the technically-savvy teen population who some may have feared would have leapfrogged the TV on demand platform.”

The findings from the barker-specific section of the VOD research found that perceptions of barker videos went up dramatically after sampling a TVN barker. In fact, 66% of respondents said that TVN’s barker would highly influence what they watch on demand.

TVN is the industry leader in VOD marketing services and produces barker channels for 36 affiliates. In addition, TVN produces highly-customized barkers for Charter, Cox, Verizon, and Mediacom and recently added Suddenlink and Atlantic Broadband. TVN will be presenting the detailed VOD research findings to its customized barker affiliates, studios, and other business partners in the coming weeks.

Sampling and Methodology

The 2 part study was recently conducted by Lieberman Research Worldwide using 5 focus groups — of which 2 were of teens. The second part was made up of a national online survey.

 For more information, contact: Art Maulsby Bob Gold & Associates 310.784.1040 Email Contact

SOURCE: TVN Entertainment




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