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-owned and woman-led internationally recognized market research and consulting company, specializes in emerging technology solutions serving the consumer and small to medium business (SMB) markets. Celebrating its 35th year in 2021, Parks Associates is a partner to companies navigating the changing consumer technology landscapes through data-driven market insights, extensive consumer and industry intelligence, custom marketing services, and executive networking experiences and conferences.

The company's expertise includes home automation, control systems and security, digital media and platforms, entertainment and gaming, home networks, internet and video services, connected health and independent living solutions, mobile applications and services, support services, consumer electronics, and energy management solutions.

Each year, Parks Associates hosts industry webcasts, the CONNECTIONS™ Conference Series, Connected Health Summit, Smart Energy Summit: Engaging the Consumer, and Future of Video: OTT, Pay TV, and Digital Media. http://www.parksassociates.com

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