The monopoly cable TV companies once enjoyed is slowly eroding as streaming is becoming more and more popular. In fact, according to a recent Forbes.com article, [1] there are more people with subscriptions for streaming services then there are those who pay for cable packages. With this shift in power come many changes that are affecting customer expectations and the way cable companies develop and deliver their products. Here are the most notable trends:
Content Is Getting Shorter
One of the big changes stems from the fact that millennials on average want to watch shorter length content as seen on platforms like YouTube. Six to ten-minute long videos are common there and this fits with reports that more than 96% of Americans now use a smart phone. [2]
Due to shorter form content, advertisers have to be creative and come up with new ways of placing ads. For comparison, a traditional TV show episode lasting 22 minutes can have three longer commercial breaks, while today’s short videos might only have 10-20 second slots for ads or banners.
Customers Want Greater Access
Since so many people tend to use their smart phone or tablet, cable companies are starting to offer more and more access through mobile devices connected to the internet. Nowadays, most providers have packages that include live TV that you can watch no matter where you are, along with the option to add specific shows or additional services.
It’s also become more affordable to be a sports fan since you can access live sporting events by streaming them online or through a number of other options. And with better internet speeds and 5G connectivity, we can only expect mobile streaming to get better.
Access to Bundles Is Changing
Streaming services like Hulu, Netflix, and Amazon distribute various content, along with specialists streaming services that focus on a particular niche. For example, FilmStruck lets you watch classic Criterion movies.
While this is happening, cable TV providers are slowly making bundles smaller as they remove channels that don’t perform well. In other words, there are just too many channels and consumers don’t want to pay something they won’t watch.
There’s a Shift from Hardware to Software
Once a cable box was the focal point of the living room but with an influx of different streaming devices used to watch live TV, there’s an even stronger shift to software happening. As a result, you won’t have to pay for costly hardware with your cable TV bills and you will have more choice about what devices you want to use.
What’s on the Horizon for Cable Companies?
On top of everything mentioned already, VR or Virtual Reality and wearable tech are the next big thing, and they haven’t been used before to deliver content. Therefore, companies that find a way to attract consumers with unique content tailored to the technology while achieving effective delivery will not only help with consumer adoption but also make huge profits. However, at this time, the cable industry is focusing on producing content with a dash of better connectivity.