One third subscribe to Netflix, one
quarter download TV, one fifth will cut cable
TORONTO September
4th, 2014 In a random sampling of public opinion taken by the Forum
Poll™ among 1202 cable subscribers across Canada, one half prefer the current
model of cable TV pricing, where channels are sold in 'bundles' (48%), while
one third prefer a model similar to the CRTC's proposed 'Pick and Pay' system
(33%). When it is explained that 'Pick and Pay' may mean the disappearance of
some smaller Canadian channels, the proportion preferring bundled programming
stays at half (47%) and the proportion approving 'Pick and Pay' decreases to
one quarter (27%). Preference for 'Pick and Pay' (including Canadian channel
losses) is common to older subscribers (34%), the wealthier ($80K to $100K -
33%), the best educated (post grad - 30%), Conservative Party supporters (33%),
in the prairies (38%) and BC (31%), among Telus customers (35%), those who
watch fewer than 5 channels regularly (31%) and those who pay between $150 and
$200 a month in cable fees (38%).
Just one fifth approve of 'Pick and Pay'
concept
Two
thirds disapprove of 'Pick and Pay' when it is described to them (63%), and
just one fifth approve (21%). One seventh have no opinion (16%). Approval of
the 'Pick and Pay' model is common to the oldest (26%), the least wealthy
(27%), the least educated (26%), mothers of kids (25%), in the prairies (32%)
and BC (27%), among those who watch fewer than 5 channels regularly (29%) and
those paying $150 to $200 a month for cable (37%).
Would watch 1 less channel with 'Pick
and Pay'
On
average, cable customers watch about 11 channels on a regular basis. Under a
'Pick and Pay' system, they would subscribe to, on average, about 10 channels,
for a potential downsizing of, on average, 1 channel.
Would pay $9 for specialty channels on
'Pick and Pay'
On
average, cable subscribers would pay $9 for each specialty channel (HBO and The
Movie Network are presented as examples), which is less than the amount
presented for basic channels ($10 per basic channel per month).
One third subscribe to Netflix; one
quarter download TV
One
third of cable TV subscribers also subscribe to Netflix (34%) and one quarter
download TV programming from iTunes or other sources (27%). Subscribing to
Netflix is common to the youngest (less than 45 - 48%), the wealthiest ($100K
to $250K - 47%), mothers of kids (46%), in the Atlantic provinces (56%), the
prairies (54%), Alberta (40%) and BC (42%), customers of Bell (40%) and Telus
(49%), those with premium packages (38%), those who regularly watch 20 channels
or more (40%) and those who spend between $150 and $200 on cable (53%).
Downloading from iTunes and other sources is common to the youngest (46%),
males (32%), the wealthiest ($100K to $250K - 33%), in the Atlantic provinces
(41%), the prairies (40%), among those who watch less than 5 channels (40%) and
those who pay $150 to $200 in fees (43%).
Two thirds watch only cable TV
Two
thirds of cable subscribers watch mostly cable TV (66%) while one tenth mostly
watch internet TV content (10%). One fifth do both regularly (18%). Online TV
viewing is most common to the youngest (18%), males (13%), the wealthiest
($100K to $250K - 16%), those with children (17%), in Atlantic Canada (17%) and
the prairies (18%), those with basic cable (15%), who watch fewer than 5
channels (24%) and who pay less than $50 a month for cable.
One seventh plan to cut the cable
One
seventh say they will cancel their cable subscriptions in the next year (15%)
and this is common to Gen Y (35 to 44 - 19%), males (18%), the least wealthy
(25%), the least educated (18%), those with children (23%), in Ontario
(21%), among Cogeco and Bell customers
(20% each), those with basic cable (19%), who watch fewer than 5 channels (29%)
and who pay $150 to $200 in cable fees (17%). The primary reason given for
cancelling cable is a need to downsize (29%), followed by those who don't watch
much TV or those who get most of their TV content from the internet (15% each).
One quarter with Bell, majority have
premium package, drama, comedy series watched most often, average amount paid
$85
Among
the three quarters of Canadians who subscribe to cable TV (73%), one quarter
are with Bell (25%), and this is followed by Rogers (21%), Shaw (18%),
Videotron (12%) and Telus (10%). More than half have a premium cable package
(57%), and the plurality say they watch drama and comedy series most often
(29%), followed by documentaries and educational programming (14%), 24 hour
news (13%) and sports and movies (11% each). On average, cable subscribers pay
$85 for their subscriptions, and this is higher in Atlantic Canada ($97, on
average) and Alberta ($98, on average) and among Shaw customers ($97, on
average).
“While it does not appear that doomsday predictions of mass
cable cutting are accurate, nevertheless, a significant minority are getting
their TV programming from sources other than cable, and this is bound to grow.
The fact the current bundled model is preferred to the 'Pick and Pay' model is
probably due to familiarity and inertia, more than anything else. It is
instructive that those with the most interest in 'Pick and Pay' are those
currently paying the most but watching the fewest channels," said Forum Research President, Dr.
Lorne Bozinoff.
Lorne
Bozinoff, Ph.D. is the president and founder of Forum Research. He can be
reached at lbozinoff@forumresearch.com or at (416)
960-9603.
