September 25, 2009 - The expansion of broadcast and cable TV to the Internet has been among the hottest topics in all of consumer technology. TDG has been on cutting edge of research on this subject, examining the value of multi-screen video delivery as well as Over-the-Top models. And we did so years ahead of other research and consulting firms.
This week's chart takes a step back from the "bleeding edge" of digital video and instead reminds us just how much consumers actually spend each month on their home TV services. This is, after all, the "pie" from which competitive video services are looking to slice, right?
As illustrated, 16% of broadband households spend more than $100 each month on their PayTV services, while 24% spend between $76 and $100. In industry terms, these are "high ARPU' households, consumers willing to paying higher fees in order to get their favorite video content and services. In other words, this very sizable segment -- 40% of broadband households -- is the proper target for all sorts of value-added TV services, as proven by TDG's primary research.
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