Tuesday, April 16, 2013

Over 40% of pay-TV re-subscribers lured back by discounts and promotions

Parks Associates to analyze pay-TV and Netflix subscribers in webcast April 17

Parks Associates today previewed consumer data from its upcoming webcast "Pay-TV Re-connectors and the Netflix Exes,"showing traditional promotions, such as offering free or discounted premium channels, are the most-effective tool for pay-TV providers in luring back lost subscribers.

During the April 17 webcast, the firm will present research and analysis of consumers who recently re-subscribed to pay-TV service after cutting the cord and those who have canceled their subscription to Netflix Watch Instantly. Parks Associates' consumer research finds 44% of customers who re-subscribed to pay-TV services in the past 18 months said a promotion was a significant reason for their return.

"Most people leave pay-TV services due to economic factors, and these are the main influencers bringing them back," said John Barrett, director, research, Parks Associates. "They are not dissatisfied with Internet video. In fact, many cited Netflix Watch Instantly as a very satisfying experience. These re-subscribers were simply ready to take advantage of a promotion as their own financial situation improved."

Promotions and/or discounts were the leading factors for re-subscribers with Comcast, Time Warner, DirecTV, and Dish Network. For AT&T and Verizon, re-subscribers cited content-related reasons at a higher rate, slightly ahead of promotions.

"Content availability is an important consideration for TV viewers, and these promotions seem to be the final push many consumers need to jump back into the pay-TV fold," Barrett said. "At the same time, economic factors work against Internet video services. Consumers who cancelled their Netflix account cited a need to save money or were responding to the company's price increases."

Barrett will present "Pay-TV Re-connectors and the Netflix Exes" on April 17 at 1 p.m. CT/2 p.m. ET. In addition to consumer segmentation analysis, he will identify the key factors influencing consumers' decisions to leave and return to pay-TV service and the implications these trends have for the pay-TV industry.

Go to www.parksassociates.com to register or contact sales@parksassociates.com, 972-490-1113. Press passes are available for qualified media.

Parks Associates will also present consumer and industry research on the video markets at CONNECTIONS™: The Premier Connected Home Conference, May 20-23, co-located with CTIA and featuring sessions such as  "Premium Video on Mobile Devices" and "The Price of Victory: The Future for Video Services."

About Parks Associates: Parks Associates, a woman-founded and certified business, is an internationally recognized market research and consulting company specializing in emerging consumer technology products and services. Founded in 1986, Parks Associates provides business intelligence and research services through its proprietary methodologies developed over decades, including quarterly surveys of 10,000 internet households.

The company's expertise crosses many industries: home security and smart home, streaming video, broadband and pay-TV services, digital media and platforms, gaming, Wi-Fi and home networks, connected health, support, consumer electronics, home control systems, energy management, and tech solutions for the multi-dwelling (MDU), small-to-medium business (SMB), and commercial building markets.

Each year, Parks Associates brings thousands of leaders together for its webinars and annual events. The firm hosts the annual executive research and strategy conferences CONNECTIONS™, Connected Health Summit, Smart Energy Summit, Smart Spaces, and Future of Video. https://www.parksassociates.com

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