The market research firm Parks Associates recently found that 40% of all video consumption hours among Gen Z heads of U.S. broadband households are watched on either a smartphone or tablet.
This is double the amount when compared to total U.S. broadband households.
According to the report, device preference is largely generational; the older the viewer the likelier they are to prefer streaming on a connected TV. While Americans overall prefer streaming video on TVs, Gen Z viewers dedicate the majority of their time to mobile devices, followed by PCs. Millennials, on the other hand, dedicate the majority of their viewing hours to TVs compared to PCs and mobile independently. However, collectively, the two newer platforms account for almost two-thirds of viewing time.
Parks Associates conducted its research in conjunction with Penthera, a software development company that works with video providers to improve the mobile video experience.
"The data from this report tells a clear story. Viewers are watching OTT video across all devices, and Gen Z's high affinity for mobile means its role is going to continue growing in the upcoming years," said Jodi Susman, CMO of Penthera, in a statement. "There's also an important lesson here for the industry: it's crucial to ensure a seamless experience on all platforms."
The Parks Associates report follows news of a failed OTT business venture in 2020.
RELATED: The end may be near for Quibi
Quibi, a new streaming service launched in April, bet nearly $2 billion in start-up capital on the idea that millennials and Gen Z viewers crave short-form mobile entertainment. But in less than seven months the service shut down.
Executives, producers, investors, and even consumers, have tossed around theories for its failure. Some attribute the pandemic as the main culprit, while others blame a lack of hits or the late addition of a connected TV app.
To what extent each of these factors had in the platform's ultimate demise, we’ll never know. Quibi may have been on to something that could have truly shaken up the industry. Nonetheless, one thing remains clear: mobile is a critical part of any OTT mix.