80% of US consumers expect pay TV-a la carte blend by 2020

LAS VEGAS – More than 80% of U.S. consumers expect their TV experience to be a blend of a la carte services and pay TV by 2020, with more than a quarter of them expecting SVOD services like Netflix and Amazon Prime to be their primary source of content, a new survey released at CES says.

Just 18% of U.S. respondents and 21% of respondents in the United Kingdom said they expect pay-TV services to be their primary source.

The survey, from security specialist Irdeto, showed 18-34 year olds were most likely to see the Internet as their likely source of content; in the United States, 40% said they expected to watch most content over the Internet, compared to nearly 20% of Millennials in the U.K.

Neither result is terribly surprising, as similar numbers have been unearthed by any number of previous studies. But, the study does point to an acceleration of adoption, and the need for increased personalization of content and experience as we move forward.

Of the adults who plan to use Internet TV, 41% said they feel the user experience – specifically search and recommendation – are better, 40% cited the ability to watch on multiple devices, and 39% said they prefer to binge view.

The study also reinforced the need for service providers to have strategic plans in place for mobile video services.

Irdeto’s survey said more than half of U.S, respondents said they own or plan to own a smartphone, followed by more than a third who said the same of tablets. In APAC, mobile devices play an even more important role, with 63% of respondents saying they own or plan to buy a smartphone in the next 12 moths, and 46% who said they own or would buy a tablet in the next year.

Stay tuned.

Jim O’Neill is Editor of Videomind and Principal Analyst at Brightcove. You can follow him on Twitter @JimONeillMedia and on LinkedIn