Parks Associates: 76% of Broadband Households Say It Would Be Very Difficult To Be Without Broadband Service, A Finding Likely To Grow Stronger Given The Public Health Emergency Mandating Stay-At-Home Period
DALLAS, March 24, 2020 /PRNewswire/ -- New consumer research from Parks Associates finds that more than three-fourths of US broadband households report it would be difficult for them to do without broadband service, a finding likely to increase following the widespread COVID-19 outbreak. 360 View: Broadband Services in the US reports that 60% of households would cancel their pay-TV subscription before canceling their broadband service.
The study, conducted in the third quarter of 2019, examines uptake and perception of broadband services among US households.
"Consumers with OTT subscriptions are shifting away from internet bundles, with this group much more likely to have standalone internet service than non-subscribers," said Steve Nason, Director of Research, Parks Associates. "This finding indicates providers need to adjust their bundling strategies, to include more OTT video services as options. Currently less than one-fifth of subscribers receive an OTT service bundled with their broadband package."
The research also shows that consumers have little understanding of how much broadband speed their home needs and uses. Demographic factors, such as age, rather than the number of connected platforms in the home, largely determine the choice of broadband speed. Demand for 1+ Gbps services is highest among younger consumers who use connected platforms and services heavily. As social distancing and self-isolating habits increase across the country, the demand for these higher-speed services could spike across all demographics and households.
"Current conditions, with many people working at home and entertaining-in-place, put more stress on the home's broadband capacity, so service providers need to step up their efforts to help customers better understand their throughput needs," Nason said. "Customers will be more willing to upgrade their speed to match their increased consumption habits, provided they get the right information and assurances it will meet their needs, which will ultimately lead to higher satisfaction levels."
360 View: Broadband Services in the US, a Quantified Consumer study, assesses perception of broadband providers, service bundling, adoption of services, upgrades and downgrades of broadband, and perception of broadband speeds received. It also compares perceptions among various groups of consumers, including those with mobile data services.
Parks Associates is launching multiple surveys in April 2020 to quantify the impact of the COVID-19 outbreak on consumer behaviors, purchasing, and usage of connected devices and services, titled COVID-19 Impact on Communications and Entertainment and COVID-19 Impact on Telehealth and Independent Living. For more information on Broadband Services in the US and these other studies, contact 236534@email4pr.com.
To request data or an interview, please contact Rosey Ulpino at 236534@email4pr.com, or 972.996.0233.
About Parks Associates
Parks Associates is an internationally recognized market research and consulting company specializing in emerging consumer technology products and services. Founded in 1986, Parks Associates creates research capital for companies ranging from Fortune 500 to small start-ups through market reports, primary studies, consumer research, custom research, workshops, executive conferences, and annual service subscriptions.
The company's expertise includes digital media and platforms, entertainment and gaming, home networks, Internet and television services, digital health, mobile applications and services, support services, consumer apps, advanced advertising, consumer electronics, energy management, and home control systems and security.
Each year, Parks Associates hosts industry webcasts, the CONNECTIONS(TM) Conference Series, Connected Health Summit: Engaging Consumers, Smart Energy Summit: Engaging the Consumer, and Future of Video: OTT, Pay TV, and Digital Media. http://www.parksassociates.com
Rosimely Ulpino
Parks Associates
972.996.0233
236534@email4pr.com
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