The proportion of households in the United States with online video services grew by 2% in the second quarter of 2022 to 88%, after lack of growth in the first quarter. There are now 113 million households in the United States using online video services. There is increasing competition for new subscribers, but Amazon has been consistently taking a leading share.
Analysis from the Kantar Entertainment on Demand research shows that online video subscription services without advertising are now used by 82.9% of homes in the United States, up by 1.5% over the last quarter. Online video subscription services with advertising are used by 26.9%, while free online video services with advertising are used by 22.3%.
The average household using online video services in the United States uses five different services.
Churn remains high, with 8% of subscriptions being cancelled in the second quarter.
Amazon Prime Video remains the most popular service for new subscriptions, taking over a fifth of them in the United States in the quarter.
Disney+ and Apple+ also picked up a good share of new subscriptions in the United States, with 14.8% and 10.6% respectively.
61% of households using online video are using Netflix, down 6% year on year. 6% of the Netflix subscriber base churned during the second quarter. Netflix has one of the highest net promoter scores, but subscribers are becoming less satisfied with its value. Netflix picked up 6% of new subscriptions.
Hulu has attracted 1 in 3 homes using online video services to its subscription and advertising supported tiers. However, it is gaining a smaller share of new subscriptions since the entry of other players.
HBO Max now enjoys a 20% market share of homes using online video services, up 8% in 2022. Growth is coming from both its premium and advertising supported subscription tiers.
With a growing number of premium online video subscription services, it is becoming more challenging for each of them to attract new subscribers.
Outside the leading contenders, other services were second only to Amazon in taking their share of new subscriptions, accounting for 16.8% of the total, the highest proportion seen in recent years.