Pay TV: The Only Constant is Change

25% of U.S. Subs Tweaked Service in Past 12 Months, Study Says
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About one-fourth of U.S. pay TV subs made changes to their service over the past 12 months, Parks Associates found in its Q2 batch of cord-cutting research.

Drilled down further, the firm also found that 11% of pay TV subs downgraded service, while 9% upgraded. During this 12-month span, about 4% of consumers subscribed to a pay TV service for the first, time, and 8% switched to another provider.

On the broadband end, 10% of U.S. high-speed Internet subs said they intend to upgrade to a faster tier, and 4% are looking to tighten their belts and downgrade to a slower speed offering, Parks Associates found.

Additionally, 13% of those broadband homes received a higher speed without paying more over the past 12 months, and 25% of those that switched providers did so to get a faster speed at a comparable price.

About 85% of U.S. broadband homes had pay TV in the second quarter of 2015, down from 87% in the third quarter of 2011, the research firm said.

“Some consumers are definitely looking for ways to cut costs. With the hype around new OTT video services, people are considering their options in video services,” Brett Sappington, director of research at Park Associates, said in a statement. “At the same time, a notable portion of consumers are upgrading their pay-TV services to higher tiers or premium features.”