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A major new study by Accenture has found that consumers of all ages in seven major markets around the world are choosing to watch video content delivered over-the-top (OTT) via the Internet using their televisions, PCs, smartphones and other electronic devices.

Out of the total 6,550 consumers surveyed, 85% of participants aged 18 to 24, 82% of participants aged 35 to 44 (described as an especially important demographic for advertisers) and 64% of participants over the age of 65 are now accessing and interacting with video over desktop PCs, laptops, Internet-connected TVs and mobile devices. The survey was conducted with consumers in Australia, Brazil, Germany, Italy, Spain, the UK and the US in March of this year.

“Consumption of video over the Internet is no longer a millennial-generation phenomenon; it’s an activity that crosses all age groups,” said Francesco Venturini, Accenture’s global broadcast lead. “Video over the Internet is well on its way to becoming a mass medium. Furthermore, it’s clear that consumers are ready and, in some instances, may be ahead of the industry in terms of the vision they have for how, when and where they watch and interact with video content.”

Accenture adds that the survey results reveal that although the television still dominates consumers' viewing preference (at 92%), the diversity of electronic devices that consumers use to view online video is believed to be very evenly divided: according to the survey, 75% of respondents use a desktop computer, 72% use a laptop and 63% use mobile devices. Tablet computers such as the iPad lag behind at 21%, but the report acknowledges that they are new to the marketplace, and states that it is a just a question of time before that number climbs significantly.

“These results suggest a ‘form factor’ challenge when it comes to mobile video viewing,” said Mr. Venturini. “With broad access to video across devices with large screens, mobile video viewing will rarely be the first choice among many consumers. Because of this, providers will need to focus on creating video content specifically for smaller screens such as mobile phones and tablets or on creating programming that complements the large TV screen experience.”

The myriad of content delivery choices is also believed to have changed the nature of the entire viewing experience, including traditional TV watching, according to Accenture, which states that there is no longer a single delivery channel or device that receives the uninterrupted attention of viewers. Of those surveyed, 81% said that they multi-task with other devices while watching TV, with nearly half (48%) using a laptop while watching, 41% using a mobile device and 28% using a desktop computer.
 
“This fragmented viewing experience may appear to present challenges to advertisers, but companies able to leverage this multi-device, multi-channel addiction of consumers across devices may gain even more viewer awareness and loyalty,” added Mr. Venturini.

The survey also corroborated industry suspicions that while catch-up TV is consumers' favourite Internet TV feature (reported by 40% of respondents), only 14% wish to surf the Web on their televisions and only 11% currently desire interactive and social networking functionality.
 
“Viewers want many of the same freedom of choice options that they experience when using their computers to apply to video consumption,” said Venturini. “They value the ability to watch content anytime, however, they do not necessarily want to surf the Web and they see relatively little value in using the TV as a gateway device for other applications.”

The majority of tablet-enabled consumers (54%) are interested in using their tablets for fairly standard video-on-demand and catch-up functions, although 44% of tablet users are interested in the ability to interact with on-air programming to receive additional content related to what they are viewing, according to the report - findings which bode well for technology providers keen to advance the case for multiscreen experiences.

Although consumers are demonstrably viewing video on more and more devices, quality still rules the roost when it comes to selecting new services, according to the survey: of those quizzed, 48% consider clarity of picture and speed of content delivery as the most important technical features they look for in an Internet video service. This proportion is described as being statistically consistent across all age groups. High-definition was a distant second at 27%, while a user interface which offers search and content management came in at 14%, and the use of content recommendation engines came in at 11%.
 
“The biggest frustration consumers currently experience with Internet video is the time required to buffer, download and play a video,” concluded Mr. Venturini. “One of the major issues providers must anticipate and solve if they are to be successful in the IP video marketplace is the ability to handle congestion on the network and perform streaming in such a way as to deliver a high-quality experience.
 
“Consumers are strongly indicating that they are ready for a true multi-device experience – one that goes beyond simply replicating traditional TV on another device. They want an experience where content is important, quality is critical and personalisation of the service is a must. Only through embracing and understanding new consumer behaviours will companies be positioned for success in the burgeoning over-the-top TV market.”

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