MOST POPULAR

News

‘Cord-cheaters’ opt for third-party services

More consumers are obtaining their on-demand content from third-party OTT services instead of from their pay-TV provider, new research says.

Digitalsmiths says ‘cord-cheating’ is an “emerging problem” as viewers increasingly use streaming services like Netflix and Hulu.

The research agency says: “Despite the investments in on-demand infrastructure, pay-TV providers are being cheated out of additional revenue possibly due to the quality of the user experience provided by these third-party services.”

The research finds that 35% of respondents have a subscription to one of these OTT services, with just over 22.1% using a third-party rental service.

Nearly four in five – 73.8% say they never purchase video on demand from their pay-TV provider’s catalogue. And 68% of smartphone and tablet owners hadn’t downloaded their pay-TV provider’s app.

More than four in 10 – 41.8% – said they would consider keeping their existing service if their pay-TV provider made it easier to find something they wanted to watch.

The researchers said: “Similar to recent industry reports regarding the top pay-TV providers, 4.3% of survey respondents plan to ‘cut’ their cable/satellite service in the next six months. Even worse, there are 27.5% who are on the fence, answering “maybe” to cutting their cable/satellite service in the next six months.

“Of the survey respondents who are unsatisfied with their service, the top reasons span from increasing fees to poor cable/satellite services and poor channel selection,”

Digitalsmiths: Q2 Video Discovery Trends Report

We welcome reader discussion and request that you please comment using an authentic name. Comments will appear on the live site as soon as they are approved by the moderator (within 24 hours). Spam, promotional and derogatory comments will not be approved

Post your comment

Facebook, Instagram and Sky case study: Game of Thrones

BT at IBC: 'unlocking the power of fibre IPTV'

IP&TV News tries out 4G Broadcast at the FA Cup Final

Thomas Riedl: “Google TV has evolved into Android TV”

Tesco and blinkbox: what went wrong?

Reed Hastings and 2030: is he right?