The Parks Associates' OTT Video Market Tracker report says churn rates for many OTT video subscriber services were high over the past 12 months, with 4% of US broadband households having cancelled their Netflix service.
This represents nearly 9% of Netflix’s current subscriber base.
By comparison, 7% have cancelled their Hulu Plus subscription within the past 12 months, representing half of Hulu Plus's current subscriber base.
As a group, smaller OTT video services have extremely high churn rates as well, with 7% of US broadband households subscribe to an online video service other than Hulu, Amazon Instant Video, or Netflix.
The number of people cancelling one or more of these services over the past year represents 60% of those who subscribe currently.
"The high churn rate for many of these services suggests that consumers are holding onto their Netflix account while experimenting with the wide variety of other video subscription options," says Brett Sappington, director of research, Parks Associates.
Currently, 85% of US broadband households subscribe to a pay-TV service, and 59% of US broadband households access an OTT video subscription. Of those who use OTT video, just under 50% use two or more services.
"To shed a number of subscribers equal to half or more of your current subscriber base is a huge problem," says Sappington. "OTT video services will eventually have to capture and retain their customer bases over time in order to survive in the long term."