More Bad News for Traditional Pay TV




Just when you thought things could not get worse for pay TV…

This week Parks Associates published a new survey that showed the number of dissatisfied cable TV subscribers has doubled in just a few years. Even worse, only one-third of pay-TV subscribers are satisfied with their service.

“The pay-TV industry continues to experience worldwide growth, but the North American market is experiencing a decline in penetration,” Sappington said. “A combination of factors, including high monthly fees and a wide selection of OTT services, are pushing consumers away from traditional pay TV. Operators are now adjusting their strategies to address this new environment, including partnering with OTT video services or launching their own independent OTT services. Our research also shows that promotional options, including free or subsidized CPE, could entice potential Cord Cutters or Cord Shavers to keep their services.”

With feedback like this it is no surprise that the number of cord cutters is skyrocketing, especially as more and more Americans become unhappy with their current pay-TV service and streaming becomes easier.

This growing unhappiness is a market more services want to jump in on. Currently Sling TV, PlayStation Vue, and DIRECTV NOW are offering a competing service. Other companies such as Hulu and YouTube are also working on new live TV streaming services expected to be released this year.

For the first time the traditional pay-TV model is facing competition and it seems to be struggling in the newly crowded market.

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