DALLAS—As cord cutting continues and pay TV operators look to find ways to hang onto existing subscribers, Parks Associates has released a new survey that highlights the top reasons for keeping a pay TV service.
The white paper, “Unified Streaming: Unlocking Next-Gen Advertising”, developed in partnership with Philo found having access to live programming was one important factor, with 44% saying they wanted access to live news and programming and 39% reporting that they wanted live sports.
Another important factor was the advantages of having a unified video platform that bundles services and aggregates programming. About 38% cited the fact that they bundled video packages with internet access; 33% of pay-TV subscribers say they keep pay TV services because they can find more of the content they want all in one place.
The shift in consumer sentiment towards appreciating the value of bundles and aggregated content is somewhat ironic given the fact that bloated costly programming packages and bundles were one of the early factors driving cord cutting.
"Aggregation is now a strategic advantage," said Elizabeth Parks, president and CMO, Parks Associates. "Unified platforms simplify discovery, deepen engagement, and provide advertisers with more consistent measurement and targeting capabilities. A key finding of our research shows the strength of streaming TV (vMVPD) audiences as a foundation for next-generation advertising."
Other key findings include:
- The average US internet household subscribes to 5.3 streaming services, contributing to growing complexity and "decision fatigue."
- More than 300 streaming services exist in the US market, reinforcing fragmentation challenges.
- Streaming TV is the anchor for the unified video platform, and its users are far more likely to engage with interactive ad formats, creating new opportunities in advertising innovation:
- 55% of streaming TV subscribers are interested in clicking on items in content for more information vs. 31% of non-vMVPD subscribers.
- 51% are interested in clicking on items in ads vs. 27% of non-users.
- 49% are interested in shopping for special merchandise/memorabilia related to a show or sporting event vs. 23% of non-users.
"vMVPD subscribers, like Philo's lifestyle and entertainment viewers, are watching longer than nearly anyone else in streaming. What this research confirms is what our advertising partners already see in their results: sustained, engaged viewing creates some of the strongest environments for CTV advertising," said Reed Barker, head of advertising, Philo.
The research also highlighted the growing importance of hybrid monetization models, combining subscription, ad-supported, and transactional offerings. These models allow providers to balance profitability with audience growth while delivering more flexible viewing experiences.
In addition, the white paper identifies lifestyle content as a major opportunity for advertisers. These audiences show strong alignment with commerce-driven advertising, with higher-than-average mobile purchasing behavior and interest in interactive features.
