From the responses of an international survey conducted this year in 20,000 households, it turns out that we are a little lost in the digital life.
EY production Digital home decoding In a research entitled, representatives of a total of more than 20,000 households in 8 countries (US, UK, France, Canada, Germany, Italy, Spain, Sweden) were asked about their attitude to the technology used in their homes, digital. Media and communications devices.
During the data collection exercise conducted in February of this year, it was already clear that people had begun to adapt to a post-pandemic world. Due to lockdowns, online content consumption has skyrocketed in recent years, but now many people have reached saturation and are trying to reduce and restrict these activities. Many people feel they are spending too much on digital subscriptions, and a good number of respondents are not entirely satisfied with the service providers’ offerings either.
In addition to the above, the deteriorating economic prospects encourage consumers to spend with greater caution and awareness. More than half of those surveyed are concerned that internet (60%) and TV (55%) providers will increase their subscription fees, while 45% believe they are paying too much for content they don’t actually consume.
After recovering from the pandemic, the use of digital devices has become normal, and many people are trying to spend less time online (34%). Nearly a third of those surveyed (27%) would not subscribe to many different streaming services, and 21% are also open to reducing the number of playback devices in their home.
The research also highlights that the offer of service providers, in the opinion of consumers, is very complex. Two-thirds of respondents (33%) find it difficult to understand the content of different digital packages, and 38% see very little difference between the offerings of competing service providers.
The golden age is over
Of course, all this can already be seen in the business numbers and recent decisions of players in the broadcast sector. The best example of this is Netflix. The service provider, which has long been a prominent player in its field, has found itself in the middle of a perfect storm this year. Economic risks and the Russian invasion of Ukraine have challenged the company’s user base and ability to generate revenue, in addition, there are more and more competitors in more and more regions who can provide the same quality and supply. In terms of business report for the second quarter, management was already very happy with the loss of only 1 million customers.
To deal with the situation, Netflix is turning to tools that were previously considered almost taboo. For example, the head of the company previously did not consider a cheaper subscription plan enriched with ads a good solution. Compared to this, the partner providing the advertising platform has recently introduced itself as a Microsoft person. The new budget-friendly package is likely to debut next year in those developed regions where ad spending is high enough to justify an economic rollout.
