Consumer demand for free online content on the rise as home networks increase in popularity, says survey

November 27, 2007 – Consumers are demanding more online audiovisual content as the number of people with home networks increases, but are still reluctant to pay for it, according to new research from business law firm Olswang.

The third annual Convergence Consumer Survey found that over 30% of respondents are streaming or downloading movie and TV content on a monthly basis, while even greater numbers are watching free content on websites such as YouTube and accessing streaming music and podcasts.  Users are however far less willing to pay for audiovisual content, with free content being consumed by around three times as many people as paid content.

“True convergence is starting to take hold in UK households as more people network their devices to share content around the home and on the move,” said Matthew Phillips, a media, communications and technology partner for Olswang.  “This has intensified demand for free content, as consumers want a full range of content for these devices but are unwilling to pay for it.  New challenges are facing broadcasters, rights holders and service providers which are keen to target these consumers but need to overcome the issue of reluctance to pay.”

44% of survey respondents with computers at home said that they would be happy to have some adverts included at the beginning of a programme if it meant that they could watch it for free.