Providing market intelligence for more than 35 years

In The News

OTT Services Make Pay TV Look Like a Poor Value, Parks Finds

When consumers can get a streaming video service with live channels and an on-demand library for $15 per month, their $80 per month cable or satellite service starts to look like a poor value. That's one finding from Parks Associates, which revealed video OTT and pay TV data today.

Looking at households that have changed their pay TV service in the past year, Parks finds 33 percent of those cutting the cord and 10 percent of those trimming their service see streaming options as a substitute for pay TV. Streaming is emerging as a better value for many viewers.

"The primary driver for pay TV cancellation and downgrades continues to revolve around pricing and perceived value. While some consumers consciously plan to use OTT video services to address the absence of pay TV content, most consider each offering on its own merits," says Brett Sappington, senior director of research at Parks Associates.

From the article "OTT Services Make Pay TV Look Like a Poor Value, Parks Finds" by Troy Dreier.

Previously In The News

Pay-TV Providers Are Signing Up a Lot of Netflix Subscribers

As of last month, around one out of every five pay-TV households subscribe to an online video service through their pay-TV providers, according to a survey from Parks Associates. That's good news for...

The Simple Reason Why I Won't Buy Roku Inc.

Roku (NASDAQ:ROKU) went public on Sep. 28, its stock surging nearly 70% from its IPO price of $14 per share. The stock hit almost $30 the following day, but subsequently pulled back to the low $20s....

Cable Boxes Suck. One Day They’ll Die. Until Then We Have to Fix Them.

“Nothing in our proposal would prevent Comcast or TimeWarner from what they’re doing with Roku or Apple TV, or how they decide to pick what devices to share their app with,” says an FCC spokeswoman....

AT&T Deal: Merger For New Media Era Or A Bad Remake?

Pay-TV operators are seeing a "slow erosion of the core business," analyst Brett Sappington at Parks Associates said. "After years of attempts to be more than just a 'dumb pipe,' pay-TV operators h...