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About 1/3rd of free OTT trials lead to a paid subscription

Roshan Dwivedi Published on : 09 May 2017
OTT Trial Conversions

About 37% of OTT free trials result in conversion to a paid subscription , according to new connected entertainment research by Parks Associates.

According to the research firm, more than 1/4th of households in U.S with broadband connectivity that signed up for the trail of atleast one OTT service in the previous six months and of these users, 47% subscribed to atleast one trial service upon the expiration of the free trial period.

Average monthly spending on subscription OTT video has gone up touching $7.95 per broadband household in 2016.  Netflix, Amazon and Hulu are the most preferred services for most households that also result in most effective trial conversion rates , according to senior analyst Glenn Hower.

Hower further stated that since there isn’t much money left for nice OTT services, hence these services should not expect to expand in excess of their particular audience niche and may have to implement tiered services or hybrid business models in order to diversify their subscriber bases and for incremental revenue generation wherever possible. Read More

Written by: Roshan Dwivedi

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