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US Cable Networks Increase Market Share

US Cable Networks Increase Market Share

Cable networks in the US have increased their share of viewing this summer, beating broadcast television by two to one, enjoying a 61% share compared to broadcast’s 36.2%, according to a new report from Turner Broadcasting.

The report reveals this to be the fifth summer in a row that cable has topped broadcast in, with Jack Wakshlag, chief research officer for Turner Broadcasting asserting that despite rumours that the internet and other media are siphoning away viewers, “TV viewing is stronger than ever, led by the growth of cable”.

However, research from J.D Power and Associates shows that the number of households subscribing to satellite television has increased dramatically over the past year, with the platform eroding cable’s market share (see Satellite Continues To Creep Up On Cable).

The 2005 Residential Cable/Satellite TV Satisfaction Study, shows that 27% of US households currently subscribe to satellite services, up from 19% in 2004 and 12% in 2000, while 60% subscribe to cable, down from 62% in 2004.

However, J.D Power and Associates also reveal that the average amount consumers spend monthly on satellite television services continues to be less than cable, with an average of $57.72 per month spent on satellite, compared to $58.51 being spent on cable.

Despite cable and satellite providers actively promoting personal video recorders (PVRS), just 12% of customers currently own a PVR device. According to J.D Power and Associates, 41% of consumers indicate that they plan to use one in the future.

Over the next five years PVRs are set to enjoy massive growth, with penetration expected to reach over 11% of television households worldwide, according to a report from Informa Media (see PVRs Causing Increasing Threat To Advertisers).

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