The broadcast and TV industry faces multiple disruptions from all angles each year. Technological advancements make huge leaps every few years and having to adapt to those changes has proven to be quite a challenge. People easily adjust to new changes but not the cable TV industry which is left struggling to find ways to survive.
Over the years, cable and TV industries have dramatically transformed their business models to keep up with the times. One of the reasons behind this is consumer demand. Viewers want to watch content on any device, anytime and anywhere.
The dramatic technological revolution has pushed people to adopt a whole new lifestyle. People were once dependent on broadcast television to view content until cable came along and took over the broadcast industry like a storm. Imagine a hybrid communication system coming out and ultimately transforming television technology since the 1940s. That’s big news.
Streaming services: a threat to cable tv?
The introduction of cable TV threatened many networks by bringing in international programming. They charged a fee for every subscription and in doing so revolutionized the industry. The introduction of streaming services to is having the same effect.
Internet connectivity and Smart TVs give you access to streaming platforms like Netflix, Disney Plus, and Amazon Prime, posing a considerable threat to the industry. As expected, the sector has witnessed a massive increase in people cutting the cord in the last 2 years. For years people depended on the subscription model to receive exceptional programming. However, internet connectivity changed the game for cable operators.
This trend brings forward two questions:
- Will cable business models take a new form to build a better future?
- How will cable operators remain competitive in this market right now?
Technology introduces innovation exponentially, pushing businesses to revamp plans and reconsider reactions, making it difficult to cope.
Will cable TV adapt to the new normal?
Comfortable with the large profits rolling in, major cable operators became complacent and didn’t think to innovate or think of plan B. Why fix something that is working flawlessly? Well, it came back to haunt them. Call it a rookie mistake or a flaw in the industry; having a contingency plan, especially when there’s a technological revolution, is essential. It’s a must for every business in this digital age. The broadcast and cable industry didn’t feel the need to develop one.
Online streaming services swooped in and with time became the preferred choice for users as they’re a more cost-effective option than cable TV bundles. These bundles do a great job of offering all popular and significant channels in an overall costlier package, but streaming services give subscribers a more cost-effective alternative.
The major cable TV providers have a sense of fear for their uncertain future. So what can they do? Should they follow their old business plan or come up with a new one?
One thing’s for sure. Users love streaming their favorite shows and movies on these digital platforms. A report by Netflix stated that its subscribers watched 4 billion hours of content in total in just the first 3 months of 2013. It’s watched more than any other cable television network out there. This statistic gives cable tv companies the push and motivation to deliver or upgrade to a product that delivers what the consumer wants, no matter how many times their demands change.
The positive side!
The good news is that shift isn’t an overnight event. Millions of users around the world are still willing to pay for cable television. This gives cable companies enough time to develop a plan to avoid obsolescence. These cable companies are now striving to identify new ways to deliver content and value and satisfy their subscribers. And, Spectrum is leading the way/
Spectrum TV is a US-based internet service provider dedicated to delivering high-speed internet and exceptional cable programming. Their Spectrum Gold package offers more than 200+ channels in HD. What’s more, you can also stream your favorite shows, movies, documentaries, news, and live sports streaming as well through the Spectrum TV app! Now, this is one cable provider ready for the entertainment apocalypse. Make sure to check out the Spectrum Gold Package lineup, it’s sure to contain everything your heart desires.
Like Spectrum, several other cable companies to are taking initiative to deliver the best content, the best colors, the sharpest resolution, and insane details in their bundles and package. They want their subscribers to know they’re getting their money’s worth and for that reason, they are putting in time and money to developing platforms that offer a more personalized and smarter experience to their subscribers. Finding a platform that satisfies your entertainment and learning needs is all you need from a cable box anyway, right?
Cable companies are also taking the lead in collaborating with social media platforms to identify plausible partnerships between cable services and social media services. This is a potential new business model cable companies seem eager to embrace. Either way, at some point, cable companies will need to revamp their existing business models and build a new one.
Because they have huge profit margins, it’s much wiser for cable companies to invest or purchasing streaming services than developing one. Just like Netflix owns exclusive rights to original content on its platform, cable companies can establish exclusive rights to specific television programming on their platforms. They can offer a fantastic range of top-tier shows, movies, and documentaries on a silver platter and greatly benefit from them. It’s a win-win for everyone!
Change is coming inevitably. The sooner the cable industry accepts it, the better it is for them. They can either develop a whole new business plan to keep up with the competition and dominate a higher market share or carry on with their regular cycle until the industry collapses. Survival is difficult, but once cable companies adapt to changing consumer demands, they will once again have domination over the industry.
Baldwin Jackson is a successful digital marketer with expertise in search engine optimization and content marketing. The perfect balance of his analytical ability and creative thinking is what sets him apart from other practitioners in the digital marketing realm. He has helped a lot of small and medium-sized businesses in crafting their digital marketing strategies that are not only cost-effective but delivers results as well.
Baldwin is also a proud father of two kids and a Sports enthusiast. When he is not working, you will find him watching ESPN and NFL network. He has been able to get an amazing package on his favorite channels from Buytvinternetphone.com.