Monday, March 25, 2013

Programming Blackouts and Subscriber Behavior

Carriage disputes between content owners and video service providers are becoming more common. A recent research report from Parks Associates indicates that 34% of consumers have lost access to video content as a result of these clashes. The research firm surveyed more than 2,000 broadband household to examine how consumers respond to these video blackouts.

Only 7% of respondents that have lost access to video content have switched video providers as a result, according to Parks. The report shows that more than twice as many, 16%, have instead viewed desired programs online in the event of a blackout. More than one third of consumers (36%) expressed a willingness to pay more to regain access to content that has been cut off.

According to a Parks spokesman, high income households with children were the most likely to switch providers in order to regain access to desired content. The spokesman also notes that the fact that more customers decided to view desired programming online, rather than switch providers, appeared to mitigate the impacts of channel loss. However, the report also indicates that approximately 65% of consumers that have lost access to content have simply chosen to watch other programs, while roughly one third have complained to their provider about the lack of access.

From the blog posting, " Programming Blackouts and Subscriber Behavior" by Steve Pastorkovichclose.

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