In the UK more people now subscribe to Netflix and Amazon than they do subscription TV

[Master Disaster]

According to Ofcom, the UKs TV regulation body, subscriptions to internet TV has now grown to be larger than subscription to traditional paid TV services like Sky, Virgin or BT.
 

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Video streaming services such as Netflix and Amazon Prime now have more subscribers than traditional pay TV services in the UK, new data from Ofcom has revealed.

 

The media regulator says British TV will have to change the way it operates if it wants to compete with the internet giants.

 

Sharon White, Ofcom's chief executive, says: "We'd love to see broadcasters such as the BBC work collaboratively with ITV, Channel 4 and Channel 5 so that they have got that scale to compete globally, making shows together, co-producing great shows that all of us can watch.

"I think it would be great to see a British Netflix."

 

The BBC, ITV and Channel Four have already held preliminary talks looking at the idea of creating a joint streaming service to compete with Netflix and Amazon.

 

The BBC said in its recent annual report that it is facing rapidly rising costs in producing drama and comedy because of the financial power of its new internet rivals.

There are around 15.1 million subscribers to traditional TV in the UK and around 15.4 million Internet TV subscribers.

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Nearly 40% of UK households now subscribe to Netflix, Amazon Prime or Now TV. The 15.4 million subscriptions have now passed the 15.1 million who pay for Sky, BT, Virgin and other satellite/cable providers.

While the UK spends around a billion pounds less on subscription TV now compared to 20 years ago the subscription TV providers still make more money than Internet TV does.

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Ofcom has also revealed that spending on TV by the BBC, ITV, Channel 4 and Channel 5 has dropped by nearly £1 billion over the last 20 years.

 

The decrease from £3.4 billion to £2.5 billion represents a 28% drop in spending.

 

The new data shows that the long growth of traditional pay TV services stopped last year with a revenue decline of 2.4%. Advertising revenue was also down by 7%.

 

However, Sky and other similar pay TV services made much more money than their new online rivals, with revenues of £6.4 billion versus £895 million for subscription video on demand services.

Both teenagers and children both now watch significantly less traditional TV than they used to as well.

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The number of hours spent watching traditional TV schedules also continued to drop. Teenagers and young people now watch around 40% less than they did seven years ago.

 

Viewing among five to 15-year-olds dropped by 15% in 2017 and by 12% for 16 to 24-year-olds. These figures also include TV that is recorded and watched within seven days after broadcast.

https://www.bbc.co.uk/news/entertainment-arts-44862598

 

Can't say I'm surprised by this tbh, traditional TV has had its day. Being able to pick and choose what you watch and when is far more convenient than being tied to a schedule.

[ZeouLs]

I too can say I'm not surprised. In Austria I pay I think 50€ or something along those lines just for a handfull of tv-channels per month or per quarter or something like that. Amazon prime costs me the same for a whole year. Netflix only costs me 10€ a month AND on both platforms I dont have to watch ads. I can watch what I want, pause when I want, rewind when I want, dont have to watch ads, why bother watching TV.

[mr moose]

Wow, the UK has more Netflix subscribers than Australia has landline internet connections.  

[NelizMastr]

Lmao, they finally got sick of getting a TV license.

 

[vanished]

Yes, TV has had its day and I'm not surprised by this.  Between Netflix for movies and shows, and YouTube for a lot of other content, there's little if any reason for normal TV.  It runs on its own time instead of yours, it's bloated with commercials, the selection and quality are often terrible even with hundreds of channels, the devices we use to watch it often suffer from terrible UIs as well as generally poor reliability, and there's no way to interact with or vote on the content the way you can with YouTube.  I think the fact it's still holding on at all is just a combination of people who haven't properly discovered the internet, and people who are just staying subscribed out of habit. Edit: and people watching sports

Edited July 18, 2018 by Ryan_Vickers

[mr moose]

10 minutes ago, Ryan_Vickers said:

Yes, TV has had its day and I'm not surprised by this.  Between Netflix for movies and shows, and YouTube for a lot of other content, there's little if any reason for normal TV.  It runs on its own time instead of yours, it's bloated with commercials, the selection and quality are often terrible even with hundreds of channels, the devices we use to watch it often suffer from terrible UIs as well as generally poor reliability, and there's no way to interact with or vote on the content the way you can with YouTube.  I think the fact it's still holding on at all is just a combination of people who haven't properly discovered the internet, and people who are just staying subscribed out of habit.

I enjoy the live sport broadcast.  It's free on tv.

[porina]

I'm on Virgin and for historic reasons I still pay for one of their basic TV packages. I used to like Sky and Animal Planet but don't watch those any more. Last time I tried to cancel TV, they straight up told me it would make no difference to the price I was paying, as there was a bundle discount that just happened to match the cost of that service. On that note, I haven't checked if I can get a better deal recently...

 

On the sub side, I do currently have Amazon Prime. It is interesting what films they rotate into that, although I have to admit rewatching Top Gear + Grand Tour mostly. 

 

My gripe is the TV Licence system. This is more antiquated than the Royal Family and alternate (indirect) funding should be implemented. It is occasionally raised but no one has the balls to do anything about it. With the current government, it is the least of our worries.

[vanished]

1 minute ago, mr moose said:

I enjoy the live sport broadcast.  It's free on tv.

I think that might actually be the only thing of value it still has,  I forgot about that, and for some people that will be important, but if you're not watching that, idk what else is worth having it for.

[grayperview]

No surprised given how obscenely expensive pay TV is here. Lots will be using IPTV too.

[porina]

3 minutes ago, mr moose said:

I enjoy the live sport broadcast.  It's free on tv.

I used to watch F1 when it was free to air. Now the rights are bought by deeper pockets premium channels (whichever one it is...) I don't like it enough to pay for that. Choice will always be a problem on "free" to air channels.

[mr moose]

3 minutes ago, Ryan_Vickers said:

I think that might actually be the only thing of value it still has,  I forgot about that, and for some people that will be important, but if you're not watching that, idk what else is worth having it for.

I don't know how the free to air tv companies here are still operating.  They have suffered the worst down turn in advertising revenue over the last 2 decades it is unbelievable.  They have absolutely been annihilated by internet advertising (which is cheaper and typically goes overseas). 

[mr moose]

3 minutes ago, porina said:

I used to watch F1 when it was free to air. Now the rights are bought by deeper pockets premium channels (whichever one it is...) I don't like it enough to pay for that. Choice will always be a problem on "free" to air channels.

I have the same gripe with the AFL, free to air gives me 3 (4 if I'm lucky) of the 9 matches on the weekend and the rest is only available by sub. 

[Sfekke]

"Netflix"

LETS RAISE OUR PRICES - INTRODUCE A NEW SUBSCRIPTION PLAN - YET OFFER NO NEW FEATURES!

[Dylanc1500]

6 minutes ago, mr moose said:

I enjoy the live sport broadcast.  It's free on tv.

That's why I have a 30' tri-pole tower with a 150" amplified antenna on it. Call me odd, but it's for the free local weather (Kansas has mood swings), Sunday NASCAR, and the NFR.

[dizmo]

This doesn't surprise me. Cable has been in a downward spiral for quite a while.

Though it will be odd to see the day when no one uses it, and it's considered vintage.

 

[Tcrumpen]

1 hour ago, Master Disaster said:

According to Ofcom, the UKs TV regulation body, subscriptions to internet TV has now grown to be larger than subscription to traditional paid TV services like Sky, Virgin or BT.
 

There are around 15.1 million subscribers to traditional TV in the UK and around 15.4 million Internet TV subscribers.

While the UK spends around a billion pounds less on subscription TV now compared to 20 years ago the subscription TV providers still make more money than Internet TV does.

Both teenagers and children both now watch significantly less traditional TV than they used to as well.

https://www.bbc.co.uk/news/entertainment-arts-44862598

 

Can't say I'm surprised by this tbh, traditional TV has had its day. Being able to pick and choose what you watch and when is far more convenient than being tied to a schedule.

It's cos a HD Netflix Subscription costs around £10 a month to get SkyTV it's like £45 a month for a decent package

[porina]

8 minutes ago, Tcrumpen said:

It's cos a HD Netflix Subscription costs around £10 a month to get SkyTV it's like £45 a month for a decent package

How does the content compare though? For example, on my basic Virgin TV package, I get some channels that are not free to air, like Sky One (used to be big into Simpsons etc), Animal Planet, think I don't get stuff like Discovery on mine but I haven't used in so long, I'm not sure. On Amazon Prime, it is a different selection. Films, TV series, some original content. I see them as complementing each other.

[Tcrumpen]

1 minute ago, porina said:

How does the content compare though? For example, on my basic Virgin TV package, I get some channels that are not free to air, like Sky One (used to be big into Simpsons etc), Animal Planet, think I don't get stuff like Discovery on mine but I haven't used in so long, I'm not sure. On Amazon Prime, it is a different selection. Films, TV series, some original content. I see them as complementing each other.

Sky does have a HELL of a lot more channels but i'd argue not enough diverse content for the £35 a month extra cost, granted you can get things like Stargate Atlantis on Sky that you can't get on Netflix there are a lot of animal documentaries on UK netflix

 

Plus The whole recording of programs is kind of null and void with Netflix

[Peter S]

I think this suggest that pay-TV providers must create new improvements in their platforms and services, for this situation marks a major competitive shift in the TV industry to the rise of the modern streaming services like Netflix and Amazon and etc. Today’s research finds that this situation can create a major shift in the UK’s viewing habits as viewers moved to new digital services, especially among younger viewers.

[Nicnac]

yea I only watch tv when I am extremely hungover or have that weird urge to watch some reality tv with my sister lol.

other than that TV is ridiculously annoying with movie snippets dispersed between ad segments.

[Tartandy]

As a student in the UK honestly I'm surprised netflix subscriptions are so low. I do not know a single student at uni that does not have netflix. I'm guessing in reality a higher percentage of people in the UK have access to a netflix account considering accounts can have multiple users, however I have absolutely nothing to base that on beond personal experience.

As for TV? I literally never watch it at home. Ever. The fact it's still doing so well is beyond me, other than those watching certain sports that isn't on BBC.

[TekSupport]

2 hours ago, NelizMastr said:

Lmao, they finally got sick of getting a TV license.

 

Ohhh but it gets better, you don't have to have have a TV to pay TV licensing.

If you use any service that provides live TV, you have to pay for it. YOUTUBE is included.

 

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What is live TV and when do I need a licence for it?

Live TV means any programme you watch or record as it’s being shown on TV or live on any online TV service. It’s not just live events like sport, news and music. It covers all programmes on any channel, including soaps, series, documentaries and even movies.

If you’re watching live TV, you need to be covered by a TV Licence:

• if you’re watching on TV or on an online TV service
• for all channels, not just the BBC
• if you record a programme and watch it later
• if you watch a programme on a delay
• to watch or record repeats
• to watch or record programmes on +1, +2 and +24 channels
• to watch live programmes on Red Button services
• even if you already pay for cable, satellite or other TV services

Find out more about watching live TV.

An online TV service is any streaming or smart TV service, website or app that lets you watch live TV over the internet. This includes services like All 4, Sky Go, Virgin Media, Now TV, BT TV, Apple TV, YouTube, Amazon Instant Video and ITV Hub.

http://www.tvlicensing.co.uk/check-if-you-need-one

 

[NelizMastr]

2 minutes ago, TekSupport said:

Ohhh but it gets better, you don't have to have have a TV to pay TV licensing.

If you use any service that provides live TV, you have to pay for it. apparently YOUTUBE is included.

 

http://www.tvlicensing.co.uk/check-if-you-need-one

 

[mr moose]

14 minutes ago, TekSupport said:

Ohhh but it gets better, you don't have to have have a TV to pay TV licensing.

If you use any service that provides live TV, you have to pay for it. YOUTUBE is included.

 

http://www.tvlicensing.co.uk/check-if-you-need-one

 

So you don't need a license if you are not watching live tv then?  They do not define youtube as being "live tv", but that it can be used to stream live tv,  that to me reads that if you don't watch "Live TV' on any device but choose to watch something else that is not "Live TV" then you don't need a license.

[sof006]

Reason? Because the quality of shows Vs the quantity is better. Yes there is more TV channels than most of what's on Netflix or Amazon, but the difference is in the quality of the content available and the fact it's easily available on pretty much any device with an internet connection.