Connected TV and Over-the-Top Video: The Living Room's Place in the US Digital Video Ecosystem - eMarketer
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Connected TV and Over-the-Top Video: The Living Room's Place in the US Digital Video Ecosystem

eMarketer Report

By: eMarketer

Published: November 15, 2016

Jump to: Executive Summary | Table of Contents | List of Charts

Executive Summary

Connected TV and over-the-top (OTT) video viewing are growing on the strength of streaming technologies and premium content aimed at living room screens. The advertising market will follow as connected TV amasses more scale.

  • US connected TV users and households will increase by over 20% in 2016 and are on track to continue growing through 2020, albeit at single-digit rates starting next year. The trend is led primarily by the popularity of smart TVs and streaming devices from Amazon, Google and Roku.
  • OTT video viewership is also increasing, particularly on subscription services such as Netflix, Amazon and Hulu. Ad-supported YouTube is nearly saturated, so its growth has slowed.
  • Advertising on connected TV lacks the immense scale of its linear counterpart, but marketers are experimenting with new approaches that seek to marry the visual appeal of TV-style ads with the targeting and measurement capabilities of digital.

"US connected TV users will reach 202.1 million in 2020, up from 181.8 million this year. Growth rates, which will top 20% in 2016, will slow as the category matures."

Table of Contents

Connected TV Users and Households

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OTT/SVOD Users

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Advertising on Connected TV

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30 charts are included in the full report:

Connected TV and Over-the-Top Video: The Living Room’s Place in the US Digital Video Ecosystem

US Connected TV Users and Penetration, 2015-2020 (millions, % of population and % of internet users)

Connected TV Users and Households

US Connected TV Users and Penetration, 2015-2020 (millions, % of population and % of internet users)

US Connected TV Users, by Segment, 2015-2020 (% of total and millions)

US Connected TV Users, by Device, 2015-2020

US Connected TV Households, 2015-2020 (millions, % change and % of total households)

US Internet Users Who Own a Connected TV Device, 2014, 2015 & 2016 (% of respondents)

Share of Weekly Time Spent Viewing Digital Video Among US Digital Video Viewers, by Device, Aug 2016 (% of total)

US TV Household Penetration of Select Devices/Technologies, Q2 2016 (% of total)

Device Penetration Among US Internet Users, Aug 2016 (% of respondents)

Smart TVs

US Smart TV Users and Penetration, 2015-2020 (millions, % of population and % of internet users)

US Smart TV Households, 2015-2020 (millions, % change and % of total households)

OTT/SVOD Users

US Over-the-Top (OTT) Video Service Users, 2015-2020

US Over-the-Top (OTT) Video Service Users, by Service Provider, 2015-2020

Select Over-the-Top (OTT) Video Service Users, by Provider, 2015-2020 (% of total OTT video service users)

Subscription Video-on-Demand (SVOD) Services Used by US Internet Users, 2015 & 2016 (% of respondents)

Primary Device Used to View Subscription Video-on-Demand (SVOD) Content According to US SVOD Viewers, April 2016 (% of respondents)

Connected TV Devices Used by US Internet Users to View Movies/TV Shows, 2015 & 2016 (% of respondents)

Devices Used by US Digital Video Viewers to View Streaming Video Content, July 2016 (% of respondents)

Cord-Cutting

US Pay TV and Non-Pay TV Household Share, April 2016 (% of respondents)

US TV Viewers Who Subscribe to Pay TV vs. Subscription Video-on-Demand (SVOD), June 2016 (% of respondents)

Pay TV and Non-Pay-TV User Share Among US Digital Video Viewers, July 2016 (% of respondents)

Connected TV Penetration Among US Cord-Cutters, by Device, Aug 2016 (% of respondents)

US Pay TV Subscribers and Net Additions, by Provider, Q2 2016

US Households with Select Pay TV Services, Q2 2015 & Q2 2016 (millions)

Demographic Segmentation

US Internet Users Who Subscribe to Subscription Video-on-Demand (SVOD) Services, by Demographic, 2013-2016 (% of respondents in each group)

Weekly Time Spent Viewing Video-on-Demand (VOD) Among US Affluent VOD Viewers, by Generation, July 2016 (hours)

US Adults Who Use Subscription Video-on-Demand (SVOD) Services, by Age, June 2016 (% of respondents in each group)

Subscribing to Multiple SVOD Services

Number of Subscription Video-on-Demand (SVOD) Services Used by US Households, 2015 & 2016 (% of respondents)

Number of Subscription Video-on-Demand (SVOD) Services Used by US TV Viewers, March 2016 (% of respondents)

Advertising on Connected TV

Digital Video Ad Benchmarks: Completion Rates, by Device, July 2015-July 2016 (among ads served by SpotX)

Reasons that US Digital Video Viewers Prefer Viewing Original Digital Video* over Linear Primetime** TV Shows, March 2016 (% of respondents)