Football And Television: The Impact Of Football On TV Viewers And The Cable And Satellite Industry
- American television subscribers pay, on average, about $100 a year for sports programming.
- How do US adults watch their NFL football?: 1) Television - 60%; 2) Computer - 8%; 3) Live in person - 6%; 4) Smartphone - 3%; 5) Tablet - 2%.
- TV viewing habits. US adults who watch the NFL - 64%: 1) US males watch football - 73%; 2) US females watch football - 55%.
- Eight in ten (79%) Americans say they never record televised sporting events.
- 1 in 5 record some games & special events (such as the Super Bowl): 1) Men - 27%; 2) Women - 15%. Only 4% record all or most of their team's games.
- Americans who do not subscribe to any football cable or satellite package - 90%.
- Among adults who watch football on TV, six in ten (60%) say they spend 5 hours or less per week watching during the NFL season. Hours spent watching football among NFL viewers: 1) 5 hrs or less - 60%; 2) 6-10 hrs - 27%;
3) 11-15 hrs - 7%; 4) 16 hrs or more - 6%.
- Cable and satellite companies are using social media to address customer service issues: 1) By creating new departments for social network customer service; 2) Provides customers with a personal link to the
brand through Twitter.
How cable and satellite are changing?
- Cable operators are still enjoying growth in their Internet-access broadband business. The number of Internet-only subscribers increased 28% from a year earlier.
- Global market for insulated wire and cable is projected to reach $249 billion in the US by 2018, primarily driven by the telecom industry.
- Growth is likely to be fuelled by increasing telecom infrastructure spending in developing as well as developed economies around the world.
Customer service blind spots
- If addressed successfully, should result in increased customer retention.
- In 2010 social media sites have improved overall engagement of consumers with providers and their brands, up from 14% to 21%.
- Consumers want companies to interact with them via social media before they are customers - 27%.
- Reported greater chance of doing business with providers that are engaged in social media - 24%.
- Companies are failing to keep promises they make on the service experience. The study found that consumers rate "having the service experience match the promise a company makes to me up front" as one of the most important
areas of customer service.
- Yet the greatest service frustration cited is a provider's failure to deliver on the service experience promised.
Why is it changing?
- #1 Churn rates. The cable industry, which saw a nice round $97.6 billion in revenue last year, claims around 60.7 million video customers in the US. According to research firm parks associates. However, basic cable subs continue to
leave. migrating to satellite and in particular Internet protocol television (IPTV), which is expected to see healthy growth for video going forward. By 2017, cable's share will fall to 52% (56.1 million subs), while IPTV's will rise to 18%
(18.6 million subs, up from just 8.8 million in November). Of course, the cable sector is making up for lost revenue on the video side with healthy gains for broadband - a trend that over-the-top (OTT) video would prove to aid.
- #2 Customer service. Overall customer satisfaction with telecom, cable and utility service provides rose in 2011, yet poor customer service lead: 2 out of 3 consumers to switch providers. "Companies are improving many of the most
frustrating parts of the customer service experience, but they are facing a customer who is increasingly willing to engage multiple providers for a service and is apt to switch quickly", said Robert Wollan. Compliant to the FCC from
cable and satellite subscribers increased by 9% during the fourth quarter of 2010. The were 1.724 complaints about cable and satellite services during the fourth quarter, up from 1.581 reported during the third quarter of 2010, the FCC
said. There was some good news for cable and satellite providers in the report. The FCC said that the total number of inquiries it received about cable and satellite decreased by 26 percent during the fourth quarter to 1.911.
Don't get penalized for bad customer service
Developed by NowSourcing | clickSoftware - Making Service Click | Sources: http://www.telecompetitor.com/report-customre-churn-rises-along-with-satisfaction-in-2011; http://www.firecable.com/story/fcc-reports-increased-cable-
satellite-customer-complaints/2011-08-16; http://www.videoworldinsider.com/topics/video-world-insider/articles/314916-facing-continued-churn-us-cablecos-turn-sillicon-valley.htm; http://online.wsj.com/article/SB000087239639044
3792604577574901875760374.html; http://tvbythenumbers.zap2it.com/2011/10/14.no-surprise-64-americans-watch-nfl-football-73-of-men-55-of-women/107308; http://www.nytimes.com/2011/12/16/business/media/for-pay-tv-