Video | Agriculture | Confidence | Economy | Energy | Employment | Finance | Media | Property | RBNZ | Science | SOEs | Tax | Technology | Telecoms | Tourism | Transport | Search

 


TDG Opinion: Pay-TV Households Have Peaked

~~~~~

Pay-TV Households Have Peaked and Are Set to Decline thru 2017

Michael Greeson, Founding Partner ~~~~~

January 10, 2013 Now here's a forecast that might wake you up...at least in time for the fireworks. According to new forecasts from TDG, the number of US households that subscribe to traditional cable-like pay-TV peaked in the last two years and is projected to decline from nearly 101 million in 2012 to less than 95 million in 2017. TDG strongly believes that the number of pay-TV subscribers will undergo a noticeable decline in the next few years. Of course, any decent forecast has a long list of stipulations, a few of which are listed below. Let's be clear:

* This forecast assumes that pay-TV operators forgo à la carte during the stated period, which is a relatively safe assumption. Should MVPDs embrace a la carte, the forecast could change dramatically. I happen to believe that operators will not wake up to the fact that the market demands à la carte - at least not in time to avoid the decline illustrated above.

* American operators should have learned from Canadians five years ago (as we noted at that time). Though hesitant to offer anything close to a true à la carte package, many Canadian operators introduced "modified" à la carte offerings. Why? Not out of the goodness of their heart, but because "the local markets demanded it," and because it was a "compromise" needed to retain subscribers. But let's not get carried away: the loss of six million subs in the next five years is hardly the end of the world for traditional pay-TV. My question is whether it constitutes a paradigm shift - a tipping point in the evolution of home television and video viewing in general - or just a short-term blip on the radar. I tend to think it's a tipping point, a structural shift will long-term tectonic implications.

ENDS


© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

Royal Society: Review Finds Community Water Fluoridation Safe And Effective

A review of the scientific evidence for and against the efficacy and safety of fluoridation of public water supplies has found that the levels of fluoridation used in New Zealand create no health risks and provide protection against tooth decay. More>>

ALSO:

Scoop Business: Croxley Calls Time On NZ Production In Face Of Cheap Imports

Croxley Stationery, whose stationery brands include Olympic, Warwick and Collins, plans to cease manufacturing in New Zealand because it has struggled to compete with lower-cost imports in a market where the printed word is giving way to electronic communications. More>>

ALSO:

Prefu Roundup: Forecasts Revised, Surplus Intact

The National government heads into the election with its Budget surplus target broadly intact, delivering a set of economic and fiscal forecasts marginally revised from May to reflect weaker commodity prices and a lower tax take. More>>

ALSO:

Convention Centre: Major New SkyCity Hotel And Laneway For Auckland

Today SKYCITY Entertainment Group Limited revealed plans to build a new hotel and pedestrian laneway of bars, restaurants and boutique shopping on land it owns in the Nelson and Hobson Streets block, expanding the SKYCITY Entertainment Precinct. More>>

ALSO:

Igniting The Spark: Bringing The Digital Enabler To Life

Changing a name is, relatively speaking, the easy part of a re-invention. Changing a culture, getting all the ducks in a row, turning yourself inside-out to become customer-inspired is a much bigger challenge. More>>

ALSO:

Ebola And NZ: Targeted Screening At Airport But Risk Low

The risk of any cases of Ebola in New Zealand remains very low, but health and border authorities are well prepared... anyone arriving in New Zealand who in the last three weeks has visited countries affected will be screened for symptoms of the disease. More>>

ALSO:

Scoop Business: Brewer Seeking Crowd-Funding Cancels Shareholders’ Dividends

Shareholders in Renaissance Brewing company, the first business to seek equity through crowd-funding in New Zealand, have cancelled their claim on $147,000 of accumulated earnings “to make Renaissance a more attractive investment opportunity.” More>>

ALSO:

Get More From Scoop

 
 
Computer Power Plus

Standards New Zealand

Standards New Zealand
 
 
 
 
 
 
 
 
Business
Search Scoop  
 
 
Powered by Vodafone
NZ independent news