Although there is a steady trend of cord-cutting of
traditional pay TV services -- as well as adding new digital TV-video platforms -- consumers are largely unsure if they are saving money.
A TiVo study said 11% cancelled their pay TV service -- cable, satellite, telco -- within the last six months, while 25% cancelled or cut services. And 73% said price was a factor.
However, the research also said 70% were “not sure” they were saving money on entertainment, while 55% said they were at their spending limit.
The study says that on average, consumers spend $142.20 a month on internet and video -- with $112.10 of that for a pay TV bundle and internet service. For those with a pay TV bundle, $32.70 is spent for SVOD subscriptions and $28.10 for SVOD for broadband-only customers.
The number of total video services used -- pay TV, SVOD, broadband, website (YouTube), pay-per-view, and others -- keeps growing. In the second quarter of 2021, the average number of services was 8.8 -- up from 6.9 in the fourth quarter of 2020.
Respondents had an average of five “paid” services and 3.7 “free” services.
While pay TV cord-cutting was common, the research also said there was cord-cutting when it comes to broadband: 18% cancelled or switched broadband services over the last six months, with 35% saying this was due to promotional offers.
The second quarter survey of 4,500 was for respondents 18 years and older in the U.S. and Canada.