Verizon's FiOS Is Tops in Pay Television Satisfaction Study

Customers of Verizon Communications' FiOS TV are happier with their service than subscribers of six other major U.S. cable, satellite and telco TV providers, according to a survey by analyst firm Strategy Analytics.

Cable customers surveyed had the lowest satisfaction levels, with Time Warner Cable subscribers the most likely to switch providers if they were offered a compelling price discount, said Strategy Analytics analyst Ben Piper.

“Telco TV providers had the highest loyalty — their customers were least likely to churn,” he said.

The survey of 842 consumers, conducted in the second half of 2008, evaluated seven TV providers: AT&T, Verizon, Comcast, Time Warner Cable, Cox Communications, DirecTV and Dish Network.

Of the FiOS TV customers surveyed, 89% were “somewhat” or “very” satisfied with their service, according to the survey, while just 1% said they were “somewhat” or “very” dissatisfied.

About 80% of AT&T U-verse TV, Dish and DirecTV customers were “somewhat” or “very” satisfied, while 72% of Comcast, 67% of Cox and 65% of Time Warner Cable customers fell into the same bucket.

The survey polled subscribers on the “three pillars” of customer churn: customer satisfaction levels, propensity to churn and perceived obstacles to defecting.

According to Piper, while satisfaction was relatively high among U.S. pay-TV subscribers, about two-thirds of those surveyed said they would be willing to switch if they were offered a 20% price break.

The research firm fielded the Web survey from August to September 2008. Only respondents self-identifying as “decision makers” were selected to complete the entire survey; respondents below the age of 20 were excluded.

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