TVB To Advertisers: Non-Cable TV Thriving

Despite concerns over the weakening satellite-distributed video businesses, more American TV households are receiving video programming via non-cable distribution systems than ever before--including satellite-delivered TV.

The Television Bureau of Advertising says that as of this May, 30.2 million households are getting TV signals via "alternate delivery system" (ADS). According to Nielsen NTI data, that is 27.1% of all U.S. TV--up from 22.6% in May 2006.

Non-cable TV distribution rose from 24.2 million households in May 2006 to 30.2 million in May 2007. The biggest part of the ADS group is direct broadcast satellite (DBS) delivery, which has grown to 26.5% of all households from 22.0% in May 2006.

At the same time, the cable industry has been losing ground. National cable penetration dropped to 61.2% from 63.4%--the lowest since February 1990. Wired cable subscribers dropped to 68.2 million in May, from 69.9 million a year earlier.

The data from TVB, which represents TV stations, is intended to show to TV advertisers how local cable systems have been losing strength.

"Advertisers that buy cable locally need to know that local wired cable systems' ability to deliver commercials continues to erode," said Susan Cuccinello, TVB senior vice president, research, in a press release. "56 markets now have ADS penetration of 40% or more."

But the overall health of the cable business continues--especially in selling consumers its triple play of video, telephone and Internet services.

Below is a list of the top-performing markets, as it relates to alternative delivery systems of TV programming:

Top 10 in Markets 1-50

DMA
Name

ADS as a %
TV HH


ADS as a %
Subscription
TV HH*

1

Salt Lake City

36.9

49.5

2

Albuquerque-Santa Fe

39.6

48.7

3

Dallas-Ft. Worth

35.4

45.5

4

Greenvll-Spart-Ashevll-An

38.8

44.5

5

Sacramnto-Stkton-Modesto

35.8

42.6

6

St. Louis

32.3

40.5

7

Memphis

34.2

40.3

8

Birmingham (Ann, Tusc)

36.3

40.0

9

Nashville

34.0

39.2

10

Los Angeles

30.4

37.3

* Wired cable and/or ADS

Top 10 in Markets 51-100

DMA
Name

ADS as a %
TV HH


ADS as a %
Subscription
TV HH*

1

Springfield, MO

46.3

60.2

2

Shreveport

47.1

53.9

3

Paducah-Cape Girard-Harsb

42.6

50.0

4

Jackson, MS

43.5

49.0

5

Little Rock-Pine Bluff

41.8

48.5

6

Spokane

38.4

46.8

7

Fresno-Visalia

34.9

46.4

8

Roanoke-Lynchburg

39.7

45.9

9

South Bend-Elkhart

32.5

42.8

10

Burlington-Plattsburgh

36.7

42.1

* Wired cable and/or ADS

Top 10 in Markets 100+

DMA
Name

ADS as a %
TV HH


ADS as a %
Subscription
TV HH*

1

Missoula

46.0

58.5

2

Idaho Falls-Pocatello

45.7

57.8

3

Columbus-Tupelo-West Poin

48.8

55.9

4

Meridian

48.0

55.8

5

Chico-Redding

43.6

54.1

6

Abilene-Sweetwater

46.3

53.5

7

Twin Falls

44.1

53.3

8

Tyler-Longview(Lfkn&Ncgd)

45.2

52.0

9

Columbia-JeffersonCity

41.6

50.9

10

Boise

34.5

50.5

* Wired cable and/or ADS

Source: Television Bureau of Advertising

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