A new report from Cloud video platform Grabyo suggests 74 per cent of pay-TV customers say they intend to stop their subscriptions within five years.
The company used data from 13,000 consumers across 11 territories including the UK, France, Germany, Italy, Spain, US, Brazil, Argentina, Thailand, Japan and Australia.
Its Value of Video Report 2020 found that online streaming has now surpassed pay-TV adoption for the first time, with 55 per cent of consumers saying they stream compared to 50 per cent opting for pay-TV.
Of the global consumers who plan to stop paying for pay-TV, or have already cut the cord, 26 per cent said the number one reason was the price of services.
In the UK, the report found that 66 per cent of consumers spend up to £20 per month on video services, while 28 per cent said they subscribe to two or more online video services. This compares with 35 per cent of consumers in the US, and 32 per cent across Europe with multiple online streaming subscriptions.
The report also found 13 per cent of UK video customers said they plan to subscribe to Disney Plus when it launches later this month.
“2020 will be the year we see the true impact of the streaming wars on viewing habits and what this means for the wider video industry,” said Gareth Capon, Grabyo’s CEO. “Broadcasters, rights holders and publishers need to cater to an audience that is moving away from traditional TV. The transition to Cloud services will support this shift, but these changes need to accelerate.”