Why do we see a fewer number of cable companies in the US? Is the cable industry declining? This has been a topic of discussion for a few years. Some providers have been consistently popular no matter what the circumstances. Whether there are enticing offers by streaming services, providers like Xfinity will not seem worried. Xfinity customer service has bagged its strong repute and earned the trust of the customers. Thus some high-quality providers continue to stand strong in the industry due to the seamless services they offer to the customers. Yet we see an overall decline in terms of competition in the cable industry.
Is Bundling enough?
Almost all the cable providers seem to be rolling out bundles deals where you can combine multiple services and enjoy some better discounts. It is mostly the cable internet that is the bigger attraction here for the users. People often tend to opt for cable internet-primarily where they can also enjoy a good channel lineup and/or cheaper or in some cases free phone services along. Even the cost of the bundle deals seems to be going up. Considering the current scenario, bundling might not be enough to sustain the tough market. Cable companies surely need to oomph up the game and come up with better strategies and rates to maintain their subscriber base.
Is the cable industry leading to a slow death?
There is no denying the fact that cord-cutting is indeed on the rise. This is why we see more discussions and predictions regarding the demise of cable TV in near future. The question arises is this true? Is cable TV slowly dying and will become obsolete? Will cable TV be a thing of the past for the next generations? On the other hand, the cable companies keep saying that they are not worried about the rise of the streaming industry and that the cable industry will stay. Well, that is for time to tell but some reasons are quite genuine and do highlight the weak areas of the struggling cable industry.
Do viewers want a plethora of Channels?
The cable companies are always flaunting their massive channel lineups where they have hundreds of channels to offer to the viewers. For some viewers, this might work. But there are more customers, who do not want to pay extra money for getting access to hundreds of channels they do not watch. The fact is that an average TV viewer watches a handful of channels mostly, including their favorite ones. This may add up to ten to twenty channels maximum that the subscriber is watching. Hence, the majority of the channels coming with the cable TV plan go unwatched.
Why no new competitors?
We do not see any new competition in the cable industry. The media companies instantly noticed the change in TV watching behavior and habits and started launching their streaming apps and content. Thus, it shows that the big networks have more interest in streaming platforms considering the changing dimensions of the entertainment industry and audience preferences.
Are monthly cable bills an issue?
Yes, the cost is a big issue. The streaming services offer cheaper plans and more content. You also have the facility to watch your favorite shows whenever you want and wherever you want. Streaming apps give you more options to watch your favorite content. On the other hand, we see frequent hikes in the monthly bills. More often we see providers charging a certain hidden fee in the monthly bills or charges that eventually add together and the monthly bill goes up increasing. This is not the case with streaming plans. Also, the subscribers do not have to worry about any early termination fee since there are usually no contracts involved.
The Bottom Line
The aforementioned pointers identify the areas where the cable industry seems to struggle in the US market. The rapid growth of the streaming industry also seems to be posing a threat to the mere existence of the cable world in years to come.
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