Does SVOD Churn Hold a Cultural Element?

Dimitar Serafimov| Mon Jun 03 2019 CET| OTT Industry

New SVOD players are entering the arena every month, but many are fading out. In these dynamic times, media brands are fighting for subscribers and high subscriber churn is a pain that many try to deal with. Here, we will discuss if there is a cultural dimension that affects subscriber churn.


As such, regardless of niche or genre, today’s SVoD consumers are spoiled for choice – which means that the competition for content and service providers has never been more fierce.

Churn is a concept that affects the ongoing success and growth of today’s SVoD providers – but does it hold a cultural element?

The generational differences

Recent studies suggest that we’ve entered a stage of ‘quick-fire cancellation’ with 30% of consumers across all age brackets likely to cancel a subscription or service after the boxset or series they’ve been watching has come to a close.

But, despite this recent trend of service cancellations, there are differences between generations, as this chart shows:

Data: Frank Magid & Associates; Chart: Axios Visuals

Most people only plan to keep using video subscription services for less than 6 months upon initially signing up, according to the most recent Video Entertainment Survey. That number decreases for older age groups.

Gamers’ affinity towards video subscriptions

These numbers are interesting indeed and these fluctuations show clear-cut differences in longevity between each cohort. And culturally speaking, these trends may also be fuelled by differences in lifestyle with research suggesting that on average, gamers are far more likely to subscribe to multiple SVoD services.

Adults usage pattern’s

Another particularly notable cultural element concerning SVoD churn boils down to unidentifed viewing.

As this chart from the recent BARB report shows, adults that use SVoD services on a weekly basis are responsible for an excess of 40% of all unidentified TV viewing – suggesting that more mature digital cohorts are more consistent in their viewing patterns and behaviors.

At this point, it’s difficult to say just how deep the cultural impact on SVoD churn runs but there’s no denying it: a cultural element does exist.

More will be revealed in time but by taking the time to absorb this information and enhance your offerings accordingly, you stand to reduce churn while growing your audience on a sustainable basis – it’s all to play for.


Learn more about you can grow by tackling OTT churn:  

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