TV Purchase Intentions Back to Pre-Recession Levels

NEW YORK: Forty percent of U.S. consumers indicate that they will shop for a new TV set in the next year, with the proportion of those buying for a new primary television up to 28 percent from a low of 23 percent in 2009, according to an annual survey from Frank N. Magid Associates.

The annual study of consumer video consumption habits reveals that while more than 50 percent of online consumers watch TV shows and movies online at least occasionally, there is still growth in the use of on-demand, DVR and DVD options. The more alternative platforms that consumers use, the more they tend to spend on traditional TV subscription services.

Satisfaction with HD service has reached an all-time high among pay-TV customers. The intention to purchase HDTV sets is the strongest, with the proportion of those planning to buy a 3D TV having dropped significantly from 67 percent to 49 percent. Three percent of households now own a 3D TV.

Superior display, wide-screen format and Internet-connectivity top the list of the features in greatest demand among TV shoppers. The survey finds that 62 percent of TV shoppers said Internet-connectivity is an important factor in their decision to purchase a new set.

"Consumers have been streaming TV shows and movies to the TV screen enabled by a very diverse set of devices, including game consoles, computers, streaming specific devices like Apple TV and Blu-ray players, so an Internet-connected Smart TV is the desirable next step," said Maryann Baldwin, the VP of Magid Media Futures and author of Magid’s tenth annual survey of consumer video entertainment behaviors and attitudes across traditional and emerging platforms.