Despite The Headlines, Cable TV Isn’t Dead
Although there are a lot of stories and articles written about the death of cable TV, this branch of entertainment isn’t withering on the vine quite yet. The digital era is making waves; however, studies show that cable subscribers that also use a subscription video-on-demand (SVOD) service are more likely to keep cable and drop the broadband or video-on-demand service. Times are changing and businesses can too.
The digital era has disrupted many traditional businesses as indicated in “No, the Sky Isn’t Falling for the Cable Industry,” posted by Tien Tzuo on MultiChannel.com. Many thought newspapers would become obsolete and the music industry would be snuffed out by pirates. However, while there have been major changes in the news and music industries, many are finding success with paid subscription services. The Guardian has seen over 120 million unique hits per month which is fueling their paid membership strategy. Sony Music is also experiencing success with paid streaming subscriptions which could be the dominate force in this digital era. Tzuo notes that paid subscriptions are the fastest growing segment with approximately 39% year-over-year growth and 46% increase in the users of paid subscription services.
Streaming video platforms are also increasing in popularity, which may indicate that there are fewer cord-cutters than we may think. A Nielson study suggests cable subscribers with SVOD were more likely to drop broadband or SVOD over cable. Though TV viewing may be down 3% from last year and video viewing on the internet and other devices is up 45%, 91% of all video viewing is on TV.
Though the newspaper, music, and entertainment industries may all face some level of disruption in this digital era, you can strengthen operations and protect profit margins by deploying a powerful enterprise resource planning (ERP) solution. In addition, a customer relationship management (CRM) solution can strengthen important customer relationships and improve their experience. Combining ERP and CRM can provide even greater visibility into your business so you can optimize your strengths and address weaknesses before becoming disrupted. Contact AKA Enterprise Solutions to learn more about using ERP and CRM to navigate the changes brought on by the digital era and drive successful growth.