It’s said that in hard economic times people tend to consume entertainment to an even greater degree than would otherwise be the case. That theory looks like it’s holding up, and these days that’s benefiting multimedia content delivery via the Internet over other media channels, according to the results of a tracking survey recently released by Port Washington, NY market research company The NPD Group.
Thirty-eight percent of Internet-enabled households in the U.S. subscribe to premium entertainment services for DVD delivery, music and/or gaming downloads, according to the survey. Fifty-five percent subscribe to newspapers or magazines and 80 percent subscribe to premium television services such as cable, satellite or fiber optic.
“These services have been reporting aggressive subscriber growth in the face of economic stress,” according to Russ Crupnick, NPD entertainment industry analyst. “Despite the recession, there are dedicated consumers who remain committed to premium entertainment experiences.”
According to NPD’s latest “Entertainment Trends in America” tracking survey, 18 percent of Web-enabled households subscribe to a premium DVD service such as Blockbuster Online or Netflix; six percent subscribe to an online music service; 12 percent subscribe to satellite radio and 12 percent subscribe to a premium gaming service such as Xbox Live.
“For just a few dollars a month consumers can get a vastly expanded library of movies, music or gaming options; and that represents real value, especially as many consumers are economizing by spending more time at home,” Crupnick added. Such results ad support to arguments that suggest broadband carriers should look to expand value added services, especially those that derive entertainment value.