Research and Markets: The ability to offer on-demand TV services has become the Holy Grail for Pay-TV Operators across the board

Research and Markets: The ability to offer on-demand TV services has become the Holy Grail for Pay-TV Operators across the board

DUBLIN, Ireland, May 9 /PRNewswire/ -- Research and Markets (http://www.researchandmarkets.com/reports/c17147 ) has announced the addition of On-Demand TV, Part 2: Operators Must Move Fast to Add DVR to Their Digital Proposition to their offering.

(Logo: http://www.newscom.com/cgi-bin/prnh/20040820/RESEARCH )

This is the second part of a study about on-demand digital TV it focuses on the strengths of DVR as a service proposition that will address the needs of most digital TV consumers.

As digitization gathers pace across Europe's pay-TV markets, platform operators continue searching for new ways to attract and retain digital customers as well as raise ARPU beyond the levels that pay and premium multi channel services can realistically achieve. The ability to offer on-demand TV services-specifically those that give the consumer the choice and flexibility to consume (when they want it) only the content they choose, is rapidly becoming the Holy Grail for pay-TV operators on both the traditional (cable and satellite) platforms and the emerging broadband delivery channel.

The drive toward on-demand is most evident in advanced digital pay-TV markets such as France and the United Kingdom. In those countries, uptake and ARPU levels are flattening and platform operators need compelling services to strengthen loyalty and the value of their customer base. French and British DTH operators have led the way in developing a range of interactive services (often known as "red button" services because they encourage users to press the red button on their remote control) such as gaming, betting and a variety of services that enable customers to participate in programs (e.g., by voting). However, the incremental value of such services is often marginal and their true mass-market appeal remains unproven.

On-demand programming is the most promising among these red button services because it is a clear evolution of television programming services likely to resonate with a much wider section of consumers. On-demand services such as pay-per-view and near VoD (NVoD) were available on analog platforms before the arrival of digital television. Therefore, this product area has a clear and established development path. For this reason, operators in most markets have focused on providing more channels and limited on demand services rather than developing newer and less predictable iTV services.

Contents of this study are as follows;-

I. Introduction
On-Demand Services Definitions
DVR Definitions

II. Drivers and Barriers to Integrated DVR Services
DVR Drivers
DVR Challenges

III. DVR Deployments

IV. DVR Forecast
Case Studies

V. Conclusions and Recommendations
Conclusions
Recommendations

VI. Further Reading

By virtue of its versatility, the digital video recorder (DVR) is set to play a central role in the on-demand service strategies of most digital pay-TV operators. DVR service offers a wide range of value-added functions that will appeal to the needs of most digital TV consumers-not only replacing the VCR as the preferred means for recording broadcast TV, but also promising a cost- effective alternative to true video-on-demand (VoD).

Providers of integrated DVR services stand to reap a number of benefits, including:

- Perceived value of the service, increasing customer satisfaction with platform and service provider

- Enhanced, more compelling digital TV service, which will result in increasing loyalty and reduced churn

- Increased TV viewing time and consumption of a wider range of TV content

- Increase value of premium TV, which will result in higher uptake of premium packages

- The creation of a versatile technology platform for future services, including management of multiple content types and home networking

Operator-provided DVR service also faces numerous challenges, the most significant of which are marketing and consumer education as well as competition from standalone retail DVR and DVD-R units. However, as equipment prices continue to fall and platform operators increase their marketing push, consumer adoption of DVR service is on the increase.

For more information visit http://www.researchandmarkets.com/reports/c17147

Laura Wood
Senior Manager
Research and Markets
press@researchandmarkets.com
Fax: +353 1 4100 980

Photo: NewsCom: http://www.newscom.com/cgi-bin/prnh/20040820/RESEARCH
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Source: Research and Markets

CONTACT: Laura Wood, Senior Manager of Research and Markets,
press@researchandmarkets.com , or fax, +353-1-4100-980

Web site: http://www.researchandmarkets.com/reports/c17147

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