Amazon TV Device Owners Are Happier With Amazon Prime Video
There's a halo effect around Amazon Fire TV device ownership, finds London-based marketing research company IHS Markit: People who own an Amazon device really like Prime Video, and they're more likely to use an Amazon Alexa device, as well.
It's not enough to sell a product or service, anymore, as real success comes from selling an ecosystem. No company has been as successful at doing that as Amazon. With its Fire TV devices and Echo smart speakers, it's able to create a whole-home network that works with a variety of third-party products, as well. Consumers are responding positively to Amazon integration, and that's pushing them to use more of the company's products and services.
IHS Markit finds that 1 in 5 U.S. households has at least one Amazon device, such as a Kindle, Echo speaker, or Fire TV streamer. The vast majority of consumers with a Fire TV device also subscribe to Amazon Prime Video, and they're more likely to rate Prime Video as the "best video service for content on-the-go" and for "flexibility of viewing."
U.S. households with both a Fire TV device and an Echo speaker are twice as likely to look to Prime Video first when searching for something new to watch. They're also more likely to interact with Alexa, Amazon's voice control interface. Most notably, Amazon device owners are more likely to buy additional Amazon devices.
This data comes from an April 2018 IHS Markit survey of connected devices and media consumption.
No doubt Amazon could use a little good news today, as viewers are upset about its poor streaming of the U.S. Open in the U.K., with many complaining about poor image quality and the lack of a replay option.
As Amazon pushes into the living room with TV voice control, broadcasters push back. Channel 4 is worried that niche programming will be hidden from the viewer.
Viewers are streaming more video to their mobile devices, and demanding mobile supports in the subscription video services they choose.
Netflix is now available on 32 percent of all connected devices in the U.S., making it the de facto rival to any other video service in the country.
While some pay TV operators have seen increased customer satisfaction with Netflix integration, others will likely face lower average revenues.