IDEAS home Printed from https://ideas.repec.org/a/idt/journl/cs9201.html
   My bibliography  Save this article

Video-Viewing Behavior in the Era of Connected Devices

Author

Listed:
  • Aniruddha BANERJEE

    (Centris Marketing Science, USA)

  • James ALLEMAN

    (University of Colorado, USA)

  • Paul RAPPOPORT

    (Temple University and SBRC, USA)

Abstract

In the United States and elsewhere, traditional sources of television programming (or "pay TV") are facing rising competition from bypass or over-the-top ("OTT") alternatives in the form of streamed or downloaded access to video content. As a result, consumers of video content now fall into three segments: "cord loyalists" that continue to use pay TV exclusively, "non-pay TV" that includes consumers who have cut the video cord, i.e., dropped pay TV entirely in favor of OTT, and "cord couplers" that use both pay TV and OTT. Household demographics, use of connected OTT-capable devices, and availability of subscription-based and free streaming video services are hypothesized to influence how consumers choose to view video content. This paper reports on an empirical study of US households to answer two questions: (1) do households transition among the three OTT segments over time? and (2) what factors determine the household's decision to stay in, or move from, an OTT segment? Using a longitudinal survey panel of 7,655 unique households observed over three consecutive quarters in 2011 and relative risk ratios from multinomial choice models estimated using the data, the study confirms that connected devices (both their use and their variety) and certain key demographics (age, annual household income, and race/ethnicity) influence the household choice of OTT segment.

Suggested Citation

  • Aniruddha BANERJEE & James ALLEMAN & Paul RAPPOPORT, 2013. "Video-Viewing Behavior in the Era of Connected Devices," Communications & Strategies, IDATE, Com&Strat dept., vol. 1(92), pages 19-42, 4th quart.
    • Handle: RePEc:idt:journl:cs9201
    as

    Download full text from publisher

    File URL: http://repec.idate.org/RePEc/idt/journl/CS9201/CS92_BANERJEE_et_al.pdf
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Sophia Rabe-Hesketh & Anders Skrondal & Andrew Pickles, 2002. "Reliable estimation of generalized linear mixed models using adaptive quadrature," Stata Journal, StataCorp LP, vol. 2(1), pages 1-21, February.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Kwak, Kyu Tae & Oh, Chae Ju & Lee, Sang Woo, 2021. "Who uses paid over-the-top services and why? Cross-national comparisons of consumer demographics and values," Telecommunications Policy, Elsevier, vol. 45(7).
    2. Fudurić, Morana & Malthouse, Edward C. & Viswanathan, Vijay, 2018. "Keep it, shave it, cut it: A closer look into consumers’ video viewing behavior," Business Horizons, Elsevier, vol. 61(1), pages 85-93.
    3. Katherine Chen, Yi-Ning, 2019. "Competitions between OTT TV platforms and traditional television in Taiwan: A Niche analysis," Telecommunications Policy, Elsevier, vol. 43(9).
    4. Park, Sungwook & Kwon, Youngsun, 2019. "Research on the Relationship between the Growth of OTT Service Market and the Change in the Structure of the Pay-TV Market," 30th European Regional ITS Conference, Helsinki 2019 205203, International Telecommunications Society (ITS).
    5. Chen, Yi-Ning Katherine, 2017. "Competitions among OTT TV Platforms and Traditional Television in Taiwan: A Niche Analysis," 14th ITS Asia-Pacific Regional Conference, Kyoto 2017: Mapping ICT into Transformation for the Next Information Society 168477, International Telecommunications Society (ITS).

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. repec:ebl:ecbull:v:3:y:2008:i:42:p:1-13 is not listed on IDEAS
    2. Jan Brenner, 2007. "Parental Impact on Attitude Formation - A Siblings Study on Worries about Immigration," Ruhr Economic Papers 0022, Rheinisch-Westfälisches Institut für Wirtschaftsforschung, Ruhr-Universität Bochum, Universität Dortmund, Universität Duisburg-Essen.
    3. Wenjia Zhang & Ming Zhang, 2018. "Incorporating land use and pricing policies for reducing car dependence: Analytical framework and empirical evidence," Urban Studies, Urban Studies Journal Limited, vol. 55(13), pages 3012-3033, October.
    4. Peter Sivey, 2012. "The effect of waiting time and distance on hospital choice for English cataract patients," Health Economics, John Wiley & Sons, Ltd., vol. 21(4), pages 444-456, April.
    5. Marino, Maria Francesca & Alfó, Marco, 2016. "Gaussian quadrature approximations in mixed hidden Markov models for longitudinal data: A simulation study," Computational Statistics & Data Analysis, Elsevier, vol. 94(C), pages 193-209.
    6. Bambio, Yiriyibin & Bouayad Agha, Salima, 2018. "Land tenure security and investment: Does strength of land right really matter in rural Burkina Faso?," World Development, Elsevier, vol. 111(C), pages 130-147.
    7. Xia, Ye-Mao & Tang, Nian-Sheng & Gou, Jian-Wei, 2016. "Generalized linear latent models for multivariate longitudinal measurements mixed with hidden Markov models," Journal of Multivariate Analysis, Elsevier, vol. 152(C), pages 259-275.
    8. Massimiliano Bratti & Alfonso Miranda, 2010. "Non‐pecuniary returns to higher education: the effect on smoking intensity in the UK," Health Economics, John Wiley & Sons, Ltd., vol. 19(8), pages 906-920, August.
    9. Björn Andersson & Tao Xin, 2021. "Estimation of Latent Regression Item Response Theory Models Using a Second-Order Laplace Approximation," Journal of Educational and Behavioral Statistics, , vol. 46(2), pages 244-265, April.
    10. Stephen Schilling & R. Bock, 2005. "High-dimensional maximum marginal likelihood item factor analysis by adaptive quadrature," Psychometrika, Springer;The Psychometric Society, vol. 70(3), pages 533-555, September.
    11. Nicolette D. Manglos-Weber, 2017. "Religious Transformations and Generalized Trust in Sub-Saharan Africa," Social Indicators Research: An International and Interdisciplinary Journal for Quality-of-Life Measurement, Springer, vol. 133(2), pages 579-599, September.
    12. Aksoy, Ozan, 2019. "Social identity and social value orientations," SocArXiv 83rzv, Center for Open Science.
    13. Stanislav Kolenikov, 2009. "Confirmatory factor analysis using confa," Stata Journal, StataCorp LP, vol. 9(3), pages 329-373, September.
    14. Emran, M. Shahe & Shilpi, Forhad, 2015. "Gender, Geography, and Generations: Intergenerational Educational Mobility in Post-Reform India," World Development, Elsevier, vol. 72(C), pages 362-380.
    15. Jokela, Markus & Kivimäki, Mika & Elovainio, Marko & Viikari, Jorma & Raitakari, Olli T. & Keltikangas-Järvinen, Liisa, 2009. "Urban/rural differences in body weight: Evidence for social selection and causation hypotheses in Finland," Social Science & Medicine, Elsevier, vol. 68(5), pages 867-875, March.
    16. Lee, Yongwoong & Rösch, Daniel & Scheule, Harald, 2016. "Accuracy of mortgage portfolio risk forecasts during financial crises," European Journal of Operational Research, Elsevier, vol. 249(2), pages 440-456.
    17. Choo, Lawrence, 2016. "Market competition for decision rights: An experiment based on the “Hat Puzzle Problem”," MPRA Paper 73408, University Library of Munich, Germany.
    18. Bishai, D. & Sindelar, J. & Ricketts, E.P. & Huettner, S. & Cornelius, L. & Lloyd, J.J. & Havens, J.R. & Latkin, C.A. & Strathdee, S.A., 2008. "Willingness to pay for drug rehabilitation: Implications for cost recovery," Journal of Health Economics, Elsevier, vol. 27(4), pages 959-972, July.
    19. Peter Haan & Arne Uhlendorff, 2006. "Estimation of multinomial logit models with unobserved heterogeneity using maximum simulated likelihood," Stata Journal, StataCorp LP, vol. 6(2), pages 229-245, June.
    20. Michael J. Crowther & Keith R. Abrams & Paul C. Lambert, 2013. "Joint modeling of longitudinal and survival data," Stata Journal, StataCorp LP, vol. 13(1), pages 165-184, March.
    21. Xiaohui Zheng & Sophia Rabe-Hesketh, 2007. "Estimating parameters of dichotomous and ordinal item response models with gllamm," Stata Journal, StataCorp LP, vol. 7(3), pages 313-333, September.

    More about this item

    Keywords

    pay TV; OTT; cord loyalists; non-pay TV; cord couplers; transition among OTT segments; household demographics; connected devices; relative risk ratio.;
    All these keywords.

    JEL classification:

    • C35 - Mathematical and Quantitative Methods - - Multiple or Simultaneous Equation Models; Multiple Variables - - - Discrete Regression and Qualitative Choice Models; Discrete Regressors; Proportions
    • D12 - Microeconomics - - Household Behavior - - - Consumer Economics: Empirical Analysis
    • L82 - Industrial Organization - - Industry Studies: Services - - - Entertainment; Media

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:idt:journl:cs9201. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: BLAVIER Thomas (email available below). General contact details of provider: https://edirc.repec.org/data/idatefr.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.