People who stream video are now almost in the majority but this does not mean they are necessarily cutting the cord with their more traditional TV services. You may have heard a lot about cord cutting recently. This is the situation whereby people remove themselves from traditional TV viewing and choose to stream video online instead. Despite what you may have been told, cord cutting is not yet that prevalent, despite the ever rising popularity of video streaming.
A recent survey by Consumer Reports in the US found that 47% of households use a streaming service regularly, such as Netflix (subscription based) or Apple iTunes (pay as you go). Despite these findings, as many as 68% of people still subscribe to a pay TV service. It appears that people are currently using video streaming as a means of supplementing pay TV, not as a means of replacing it.
Why are people not giving up Pay TV?
It may seem odd that people choose to both stream video and pay for TV services, but they have their reasons for doing so. Perhaps surprisingly, three-quarters of people use pay TV services because they are happy with the service. Others remain with the service because they like the bundles of shows on offer, because it’s the best way of watching their favourite shows or simply because it’s too awkward to change.
There is some effect from video streaming
Whilst people are not cutting the cord in high numbers, the rise of video streaming is having some effect on Pay TV. According to Consumer Reports, 20% of the people they asked had made a decision to use less pay TV (11% said they were reducing the service and 9% said they were getting rid of it altogether). One of the main reasons for people deciding to do this is that the cost of subscription TV continues to rise. People have also said that they find it easier to locate the content they want to watch using a video streaming service.
What to think about before quitting Pay TV?
If you are one if those people who is thinking of quitting their pay TV service altogether there are some things you may want to think about before you do so. If you have the same provider for your broadband as you do for your TV service you may find your payment rates for a broadband increase if you no longer have the TV service. This means that you may not actually save very much money. You may have to pay even more money if you need a faster connection to enable you to stream video. It’s also worth noting that you may not be able to access your favourite TV content through video streaming. This includes many items of live sports content.
At the end of the day, whether to cord cut is a personal decision. Whether you decide to do so, or simply decide to stream video to supplement your pay TV viewing, there are plenty of services to choose from. Most people automatically think of Amazon Prime and Netflix, but in the US cable networks such as HBO and Showtime have actually begun offering their own independent streaming service. As the popularity of video streaming continues to rise so does the amount of choice when it comes to providers. If you watch a lot of movies and Netflix and Amazon original shows then video streaming alone should provide the entertainment you need. If you want to watch newer movie releases and TV based shows then you may have to choose Pay TV or combine it with selective video streaming.