Wednesday, October 22, 2008

Telco and Satellite TV Subs "More Satisfied"

Cable television customers say they are less satisfied than customers of satellite and telco TV providers, according to Parks Associates. A new study by Parks Associates suggests, as other surveys have found, that subscribers to satellite television and telco IPTV are significantly more likely to be satisfied with their services than both basic cable and digital cable subscribers.

“Cable subscribers are generally less satisfied, which creates opportunities for satellite and telco/IPTV providers to grab customers,” says Kurt Scherf, Parks Associates VP. “Although cable operators have improved service efforts, cable operators will still hemorrhage subscribers unless they are perceived as offering leading-edge features at equal or better value. In today’s economic climate, carriers cannot afford to ignore these findings.”

Cable operators have struggled in selling the value of their services, Scherf said, and framing their services as an enhanced and convenient form of entertainment will be critical in reestablishing higher satisfaction. Video on demand initiatives, particularly those aimed at delivering a “Primetime, Anytime” experience, should be key elements in this effort.

“Subscribers who actively use primetime VoD services show significantly higher satisfaction levels,” Scherf says.

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