Temporary Price Reduction: Was $595, Now $295. With nearly 90 percent of U.S. households subscribing to either satellite- or cable-TV services, satellite providers are locked in a battle with cable providers for customer dollars. Meanwhile, technological advances and business alliances are changing the nature of competition among TV-service providers to encompass broadband Internet access and telephony. This report discusses the findings of Lyra's DTV View survey of more than 600 existing users of satellite-TV services, half of whom previously subscribed to cable-TV services at their current homes. Weather-related reception problems ranked as the top reason satellite users would consider switching from satellite to cable-TV. Commonly called rain fade, rain or snow may interrupt satellite-TV reception. Viewing TV without rain fade is cited as the biggest inducement for subscribers to make the switch to cable-TV services (see figure).
Other survey questions address satisfaction with various aspects of satellite-TV service, reasons for choosing satellite TV over cable TV, factors that might induce respondents to switch to cable, and interest in bundled Internet and telephone services. Results are cross-tabulated by demographic and technographic traits. Satellite- and cable-TV executives, service marketers, product managers, and financial analysts are among those who will be interested in the findings presented in this report. 52 pages, including 31 figures. (A companion report on a survey of existing cable-TV users, #107, is also available.) List of Figures: 1. Respondent Demographics 2. Type of Residential Area among Satellite-TV Users 3. Type of Housing Structure among Satellite-TV Users 4. Satellite-TV Service Provider 5. Length of Having Subscribed to Satellite TV 6. Number of Television Sets Connected to Satellite Service 7. Type of Retailer Where Satellite-TV Equipment Was Purchased 8. Primary Method of Receiving Local Channels with Satellite-TV Service 9. Respondents Owning HDTV, by Satellite Service 10. Subscriptions to Satellite Premium Channel Packages, by Household Income 11. Subscriptions to Satellite Premium Channel Packages, by Satellite Service 12. Respondents Owning DVR, by Satellite Service 13. Importance of Having DVR as Part of Satellite-TV Service 14. Awareness of Video-on-Demand among Satellite-TV Users, by Household Income 15. Monthly Price of Satellite-TV Service, by Service Provider 16. Monthly Price of Satellite-TV Service, by Subscription to Premium Movie Channels and Sports Packages 17. Monthly Price of Satellite-TV Service, by Residential Area 18. Bundling of Satellite-TV Billing with Telephone Service and Internet Access 19. Interest in Having Satellite-TV Billed Together with Telephone Service and Internet Access 20. Cable-TV Availability to Satellite-TV Users, by Residential Area 21. Satellite-TV Users Who Have Previously Subscribed to Cable TV at Current Home, by Residential Area 22. Type of Cable-TV Service among Satellite-TV Users Who Previously Subscribed to Cable 23. Rank Score of Most Important Reasons for Using Satellite TV Rather Than Cable TV, among Satellite Users with Cable TV Available 24. Rank Score of Most Important Reasons for Using Satellite TV Rather Than Cable TV, among Satellite Users without Cable TV Available 25. Rank Score of Most Important Reasons for Using Satellite TV Rather Than Cable TV, among Satellite Users with DVRs 26. Rank Score of Most Important Reasons to Consider Switching from Satellite TV to Cable TV, among Satellite Users with Cable TV Available 27. Rank Score of Most Important Reasons to Consider Switching from Satellite TV to Cable TV, among Satellite Users without Cable TV Available 28. Likelihood of Switching in Next 12 Months from Satellite TV to Cable TV If Available 29. Satisfaction with Aspects of Satellite-TV Service 30. Satisfaction with Cost of Satellite-TV Service, by Size of Monthly Satellite-TV Bill 31. Overall Satisfaction with Satellite TV Service
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