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/ 12.03.2009 3:00PM
Some HDTV Owners Don’t Know It
NEW YORK: A recent study of
high-definition TV ownership and viewing demonstrates the ongoing disparity
between the two. More people own HDTV sets than actually use them for
displaying HD content. That’s the latest from research firm Frank N. Magid
Associates.
The DTV transition drove “unprecedented adoption of HDTV sets,” Magid said--from
20 percent of U.S. households in 2007 to 32 percent in 2008.” Adoption
continued to grow into this year; about 35 percent of U.S. consumers report
owning an HDTV set, and more still say they use a widescreen plasma or an LCD
for their primary set, “suggesting that an additional 8 percent of households
own an HDTV set but aren’t truly aware of it. This translates to 43 percent, or
approximately 49 million households in the U.S. that own an HDTV set.”
Magid said the 8 percent of HDTV owners unaware their TV sets can display in
high definition indicates continued confusion among consumers.
“In addition, consumers remain uninformed about the offerings and value of HDTV
programming,” Magid said. “Those who describe their home as owning at least one
HDTV set and subscribing to HD service remains limited, at 66 percent of HDTV
set owners--nearly the same level of service subscription at 64 percent in
2008.”
The percentages translate into about 14 million HDTV sets displaying plain, old
vanilla standard def. It’s a bit of a waste of HD programming, Magid’s Maryann Baldwin
said.
“The disparity between HDTV ownership and service adoption reveals challenges
for programmers,” she said. “Some consumers were driven to purchase HDTVs under
the erroneous assumption that they would be prepared for the digital
transition--and didn’t buy an HDTV set for the value of the programming in the
first place.”
Conversely, the contingent of seemingly clueless HDTV owners also represents an
opportunity for HD subscription growth for pay TV operators, Magid researchers
said.
“Since marketing buzz has waned after the digital transition, HD is fading as a
top-of-mind feature for some consumers,” said Jill Rosengard Hill. “The need
for improved marketing is clearly demonstrated by the fact that 13 percent of
consumers indicate that they have not seen or heard anything about
high-definition television, the highest percentage since this survey was
initiated in 2002.”
HD programmers made progress during the DTV transition, with 43 percent of
buyers arranging for HD service when they bought their set, up from an average
of 32 percent in the past five years, Magid said. They have failed, however, to
demonstrate the value of HD programming to legacy owners of HDTV sets who
aren’t receiving hi-def fare. (Magid doesn’t specify if over-the-air HD is
considered.)
Among the most recent buyers of HDTV sets, 16 percent said they may sign up for
satellite HD in the next six months, while 22 percent may sign up for cable HD,
suggesting that service providers have the opportunity to pick up another 4.5
percent of TV households as HD programming customers.
Magid collected its data in an online survey was conducted in October 2009
using a nationally representative sample of 1,373 adults age 21 years or more
who own an HDTV set.
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