Skip to main content

Cable TV Must Prepare for a Mass Migration

According to a Parks Associates market study, cable television could see a mass migration away from its services, if providers do not improve their consistently low satisfaction ratings among current subscribers.

Their new report reveals that subscribers to satellite television and telco/IPTV are significantly more likely to be satisfied with their services than both basic and digital cable subscribers.

These market conditions leave cable carriers vulnerable to subscriber churn, and the market analysis recommends they quickly enhance advanced services like video-on-demand (VoD) to reverse this trend.

"Cable subscribers are generally less satisfied, which creates opportunities for satellite and telco/IPTV providers to grab customers," said Kurt Scherf, vice president, principal analyst, Parks Associates.

Although cable operators have improved service efforts, cable operators will still hemorrhage subscribers unless they are perceived as offering leading-edge features at equal or better value. In today's economic climate, carriers cannot afford to ignore these findings.

Cable operators have struggled in selling the value of their services, Scherf said, and framing their services as an enhanced and convenient form of entertainment will be critical in reestablishing higher satisfaction. VoD initiatives, particularly those aimed at delivering a "Primetime, Anytime" experience, should be key elements in this effort.

"Subscribers who actively use primetime VoD services show significantly higher satisfaction levels," Scherf said. "Primetime VoD offerings are potential ARPU generators and trigger churn toward the provider, a reversal of current market trends."

Popular posts from this blog

The Evolution of Personal Computing in 2025

The personal computing device market continues to demonstrate remarkable resilience despite recent fluctuations. According to the latest worldwide market study by International Data Corporation (IDC), global PC shipments are projected to reach 273 million units in 2025—a modest but significant 3.7 percent increase over the previous year. This growth reflects the market's adaptation to post-pandemic realities and evolving technology needs across the globe. Personal Computing Market Development While COVID-19 initially triggered unprecedented demand for computing devices during the shift to remote work and online education, we now see a more measured growth pattern. IDC has slightly adjusted its projections downward, indicating a market growing steadily rather than explosively. "In light of so many challenges around the world, Japan is a much-needed source of double-digit growth this year. Enterprises there as well as SMBs have been quickly replacing PCs in advance of the Window...