Research from CTAM, the entertainment and technology marketing organisation, and Hub Entertainment Research, the insights agency tracking how people choose and consume content, reveals the streaming industry’s hidden retention challenge. Rather than price or content quality, the streaming user experience (UX) is cited by 36 per cent of viewers, and 43 per cent of viewers under 25, as the sole reason they’ve cancelled a streaming subscription, according to the study.

The research report, Value by Design: Building a Better Streaming UX and Discovery Experience,  examines the importance of the streaming user experience to consumers’ overall satisfaction.

Additional findings include:

• TV apps are evaluated against all apps across categories. Two-thirds (68 per cent) of viewers do at least some of their decision-making outside of dedicated TV apps. Users judge their experience against all other apps across categories including Instagram and TikTok.

• TV apps are delivering; 90 per cent of those surveyed were very or somewhat satisfied by their user experience.

• But there is room to improve; 72 per cent experience at least one problem that leaves them “extremely frustrated” and 80 per cent experience one problem that happens “all the time”.

Hub tested 20 UX problems to learn how often they happen and how frustrating they are when they do. Then 13 design solutions were tested, with five found to most likely add value to a subscription. The most damaging design and navigation issue was found to be ‘burying’ of common tasks like having to scroll too far for ‘Continue Watching’ and a hard-to-find ‘Watch List’. The study identifies some potential solutions, with the two that would most impact viewer behaviour including:

• Pinned ‘Continue Watching’ – 46 per cent loved this feature; 63 per cent say they would absolutely use it; 42 per cent think it would make their subscription more valuable; and 48 per cent say it would make them more likely to keep their subscription.

• Pinned Watch Lists – 39 per cent loved this feature; 56 per cent say they would absolutely use it; 36 per cent think it would make their subscription more valuable; and 43 per cent say it would make them more likely to keep their subscription.

Viewers reward apps that open straight into content – relevant, actionable, and free of decision fatigue.

• One survey respondent over age 35 said: “When I open an app, I want it to already be where I left off or already doing what I need. The ones I like don’t make me figure anything out.”

Young viewers have less tolerance when the app experience fails.

• For Gen Z viewers, the idea of more relevant recommendations was highly appealing, with 59 per cent of viewers ages 13-24 saying that TV recommendations don’t feel like they are designed for them vs 45 per cent of older viewers.

• Younger viewers also make viewing decisions well before turning on the TV, with 43 per cent reporting they decide what to watch in advance vs 35 per cent of older viewers.

• Plus, they look to social media for those recommendations; 48 per cent of viewers 13-24 said they hear about shows and movies from trailers on social platforms vs 38 per cent of older viewers.

“This latest research highlights the pivotal role CTAM plays to give our members a big picture perspective on industry-wide challenges,” said Vicki Lins, President and CEO, CTAM. “Consumers by and large are satisfied with streaming apps, but a negative user experience can be a silent killer, quietly eroding loyalty while price and content grab the headlines. The full report for CTAM members reveals the extent of the threat posed by poor user experience, and how the industry can give consumers more clarity and control.”

“This research underscores the extent to which TV apps are compared not just to other TV apps, but to all of the apps consumers use across categories,” added Jon Giegengack, founder of Hub Entertainment Research and one of the research authors. “Viewers have high expectations, and even small moments of friction can quickly accumulate to cause frustration and abandonment.  The findings are clear that improving even seemingly small frustrations can have a big impact on satisfaction, engagement and churn.”

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Categories: Articles, Consumer Behaviour, IPG, Middleware, Research, Search/Recommendation

Tags: CTAM, Hub, search, UX