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Showing posts with label Video Subscribers. Show all posts
Showing posts with label Video Subscribers. Show all posts

September 7, 2011

Social Media War For Video Subscribers:Netflix vs Hulu

Netflix has more subscribers than any single cable company, a number that is up 10 million from last year. While major online players Inc., Apple Inc., Sears Holdings Corp. and even Facebook Inc. are part of the digital video landscape, there is only one dominant retailer in the space—Netflix Inc., according to a report from the NPD Group.
The market research firm says that Netflix claimed 61% of the digital video market, which is composed of both downloads and streaming, in the first two months of this year; that figure is based on consumer views of video content. Its next closest competitor, Comcast Corp., had 8% of the market.

There was a three-way tie for third place, with Apple’s iTunes, Time Warner Cable and DirectTV each having 4% of the market. Netflix accounts for approximately 30 percent of all United States web traffic.

That’s in line with Netflix’s evolution from a company that mailed consumers DVDs of movies and TV shows to video streaming. Since introducing a streaming-only subscription plan last November more than one-third—over 2.5 million—of the retailer’s 7.7 million new subscribers signed up for the pure streaming plan, which means they do not receive discs in the mail, the company said in January.
Those results led Goldman Sachs to suggest that Netflix would end its DVD distribution by 2020. “Going forward, we anticipate that management will be most focused on acquiring digital content rights, and that digital will represent 80%-90% of additions over the next few years,” says the Goldman Sachs report.  

Netflix also wants to expand its digital reach. The retailer is building an integration with Facebook, wrote Reed Hastings, the company’s CEO, in a January letter to investors.“We’re working on an extensive Facebook integration, which will further the notion of a personal Netflix account,” he wrote. “This evolution from household to personal relationship will take several years, and there will always be some households that only have one account.” He did not provide further details.
NPD’s research is based on online surveys of 10,618 consumers conducted in January and February. When it comes to subscription streaming services in the United States, Netflix is more  popular with users
According to a new infographic from social media monitoring company Mashwork, users in the United States prefer Netflix over its subscription streaming competitor Hulu Plus.

monitored more than 10,000 tweets between June 28, 2010 and July 6, 2011 and found that 29% of users had a Netflix account while 20% had a Hulu Plus account.

The real eye-opener, however, is the revelation that 51% of the tweets were from users looking to cut their cable subscriptions in lieu of a streaming subscription service.We’re not surprised that Netflix has the upper hand. The service has been around longer, is available on more devices and has a larger library of television shows and movies. Still, Hulu continues to add features, shows and compatible devices to its Hulu Plus lineup. With rumors that Google and Yahoo are interested in acquiring the service