27 March 2017

Pay TV customer satisfaction is on the decline

According to Park Associates’ TV Services: Changing the Channel Package report 20 per cent of US pay TV subscribers are dissatisfied with their pay TV service, representing a 100 per cent increase since early 2013. Only one-third of pay TV subscribers are ‘very’ satisfied with their service, a drop from 57 per cent who indicated very high satisfaction levels in 2013.

 

“The pay TV industry continues to experience worldwide growth, but the North American market is experiencing a decline in penetration,” advised Brett Sappington, Senior Director of Research, Parks Associates. “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 subsidised CPE, could entice potential Cord Cutters or Cord Shavers to keep their services.”

 

As the popularity of pay TV decreases, viewers are shifting to OTT to source the content and flexibility they desire. For operators that want to benefit from TV and retain customers, the introduction of an integrated OTT platform is the most effective way to do it. However, to fulfil the promise of TV Everywhere there are many things to consider, not least the complex mix of products that constitutes the modern TV experience.

 

The most important aspect for a user, more important than cost and content availability, is that a TV service works faultlessly and that sophisticated features are available wherever and whenever they watch. Failure to deliver the same level of experience that people have become used to in the home environment is unacceptable, driving customer dissatisfaction and complaints.

 

There are four key pillars that make modern television compelling: live TV; catch up TV; video on demand and the capability to record programme for viewing later. To drive compelling content on new devices such as smartphones and tablets, all four need to be present and delivered in one seamless experience. A consumer should be able to start watching a programme on an iPad on the commute home, pause and pick up again at exactly the same place.

 

TV technology is evolving and where pay TV once competed with OTT, it is now embracing it. Operators must customise services for viewers dedicated to online TV, and pay TV viewers. An integrated IPTV platform is a simple and cost effective way for telecommunications operators to deliver an engaging new service to subscribers.

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Using Perception, our customers can watch television when, where and how they want, with innovative, eye catching features and immense choice. Perception is there every step of the way, giving the scale needed and an expanding feature set to ensure that T-2’s services stand out as the best in a highly competitive market.

Sašo Todorović, CEO, T-2

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