TV Everywhere Services Lack Awareness

So-called TV Everywhere services -- which were supposed to be the coordinated response of pay TV operators like Comcast, Time Warner Cable and DirecTV to threatening over-the-top TV/video services like Netflix and Hulu -- are suffering from a lack of visibility, according to Parks Associates’ Brett Sappington.

In a column for Fierce Online Video, Sappington reveals that only one-fourth or fewer subscribers to most of the big pay TV operators are even aware of the TV Everywhere services that are available to them.

“This lack of subscriber awareness negates the efficacy of TV Everywhere as a tool to combat OTT services and underscores the marketing challenges for providers going forward,” Sappington writes.

“TV Everywhere” services refer to the delivery of TV content, including live and on-demand programming, from a pay-TV provider to any Web-connected device. These services are often authenticated, meaning that subscribers must log in using their pay TV account information to gain access to the TV content these services offer.

Sappington also reveals that while cord-cutting was the main focus of pay TV operators in 2011, the threat of so-called “cord shaving” is “potentially a greater danger.”

“Cord shavers” are pay TV customers who downgrade their service to basic packages, realizing they can get much of the premium TV content they desire through online video sources.

Like cord cutters, cord shavers want to save money -- but according to Sappington, they consume more content than cord cutters, who tend to be light video users. Cord shavers tend to be heavy users of Netflix, for instance, consuming nearly eight hours of video per week on a computer.

He adds that 12 percent of U.S. broadband households that were pay TV subscribers have downgraded their pay TV service in the last year, while another 8 percent are likely to do so next year. 

1 comment about "TV Everywhere Services Lack Awareness".
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  1. Joe Q Bretz from One Pass Media, June 1, 2012 at 11:28 a.m.

    Ross: Great article!

    Lot's of interesting things happening in 2012 as we are all well aware. New channels on "OTT" boxes have given anyone the ability to provide premium or "not" such premium options direct to consumers. I am a "cord shaver" with many TV's in my home and office with one set top box without the need for a DVR. I began with no set top box and basic Time Warner, but found it difficult to control my Logitech Revue without the basic STB, I gave in and can now easily switch between using GOOGLE TV -ROKU- Boxee- Western Digital -Apple TV with a 5-port HDMI switch with one button from my AVR (allowing Dolby surround when supported). Giving me the ultimate solution of choice. NOW the issue becomes "Search" - when the UI (User interface) becomes easier for these varied "OTT" boxes, I believe this will become the standard - when the standard is created.

    Joe Q. Bretz
    The Digital Development Group(OTCBB)DIDG

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