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Pay TV includes subscriptions to cable, satellite, and IPTV services. IPTV is eating into traditional pay TV. Cable and satellite services (from the likes of Rogers, Bell Media, Cogeco and Shaw) will account for 61.9% of total pay TV households this year, but that share will shrink each year.

The pivot to streaming won鈥檛 include everyone: Millions of consumers will remain without streaming in coming years. Here鈥檚 how brands can reach them.

Turning point: The significant decline in traditional pay TV and cable memberships is a sign of US consumers鈥� declining appetite for pay TV services. That is, unless the pay TV service offers a specific killer app: sports. Sporting events are the most-viewed broadcasts on traditional pay TV and cable, with the NFL accounting for 93 of the top 100 broadcasts in 2023, per Nielsen.

Unlike cable companies, satellite providers can鈥檛 easily diversify into other services like internet access. Listen to the full episodes (Part One, Part Two). This was originally featured in the 蘑菇AV Daily newsletter. For more marketing insights, statistics, and trends, subscribehere.

The news: Charter Spectrum is adding Max to its Spectrum TV Select cable package at no additional cost in a renewed carriage deal with Warner Bros. Discovery. This early renewal, more than a year before the deadline, contrasts markedly with last year鈥檚 drawn-out carriage fee battle with Disney.

In a world where linear broadcast and cable represent roughly half (51.7%) of overall TV viewing, according to Nielsen data, the traditional TV season鈥檚 rule over the calendar may be shifting. Buyers and sellers will need to operate with more agility and flexibility. The upfronts still have a critical role to play but perhaps not as a harbinger of the whole TV schedule anymore. 2.

Amazon has said that ads on TNF generated a 70% higher Google search rate than those on broadcast and cable. Prime Video ascendant: TNF was a crucial proving ground for Prime Video鈥檚 ad capabilities, laying the ground for its highly successful advertising launch in January. In fact, Prime Video has become one of the leaders in the ad-supported streaming race.

Take the NFL, for example, whose games are now split across cable, its own NFL+ streaming service, Thursday Night Football (TNF) on Amazon Prime Video, and Sunday Ticket on YouTube. It鈥檚 a similar case for Major League Baseball, whose games are split across cable, YouTube, Apple TV+, TBS, and more.

As audience measurement evolves to include data from smart TVs and cable boxes, it will be critical that people remain the center of the equation. Learn how Nielsen鈥檚 Big Data + Panel approach to measurement balances the media industry鈥檚 needs for innovation and continuity.

While the top two channels by ad spend in 2023 were broadcast and cable TV, marketers are increasing their spend on search engine marketing and social media. Local marketers should prioritize investments in channels they know customers are looking for information on local businesses. 72% of US adults have used Google search to look up information about local businesses, per December data from SOCi.

Time spent with cable TV and broadcast radio skews older. Where they overindex in media usage is in music and gaming. According to a November 2022 WPP Unite and Choreograph report, LGBTQ+ consumers have higher usage in video games, music streaming, and short videos compared with the total population in the US, UK, and Canada.

Virtual multichannel video programming distributors, for example, have become popular alternatives to traditional cable packages, growing to account for a record high 5.7% of total TV usage in September 2023, per Nielsen. But media planning is contingent on what鈥檚 being watched, not how content is accessed.

Traditional: TV bundles sold by cable, satellite, and telecom companies. 111.1 million US adults or 41.5% of the population will be traditional pay TV viewers this year, per our February 2024 forecast. That figure is declining as people swap out traditional cable bundles for digital pay TV and streaming.

And CNN CEO Mark Thompson is trying to transition the iconic brand away from its cable roots into a digital business. In July, CNN cut about 100 positions, or 3% of its workforce. FAST saves advertisers money as well. CPMs (cost to reach 1,000 users) for FAST inventory are typically $10 to $15 and can be even lower if purchased on a non-guaranteed basis, per Digiday.

Netflix is taking over the rights to the awards ceremony, which officially parted ways with its broadcasters, cable networks TNT and TBS, last May. What it means: This move is part of the streaming leader鈥檚 continued exploration of bringing live programming to its service as it experiments with live broadcasting, including possibly bringing live sports to the platform.

-based subscription video services (Netflix, Disney+, Hulu, Prime Video, Max, Apple TV+, Paramount+ and Peacock) and major broadcast and cable networks during January 2020 and August 2023. Luminate provided data on the networks' content output, including premiere dates, season counts, genres and renewal status, which was analyzed by the Variety Intelligence Platform.

Cable will see $1.9 billion in spending, but connected TV (CTV) is making gains even on the local level, bringing in $1.3 billion. Beyond politics: The decline of regional sports could also be responsible for local advertising growth. Increased cord-cutting has been a death knell for regional sports.

With empty slots in its fall lineup, CBS is airing 鈥淵ellowstone,鈥� which originally premiered on cable sister-channel Paramount Network. The strike will impact advertisers, but the severity depends on how long work stoppages last. The monthslong strikes have already dampened upfront commitments and disrupted fall media planning.

In July, for the first time, the share of viewing time among US adults on cable and broadcast TV fell to a combined 49.6%, according to Nielsen. Are low ad loads, especially in some of the newer premium services, sustainable? Benes: 鈥淸Ad loads] will probably increase.

Broadcast and cable would pretty much be neck and neck at about 20%, cable falling a bit faster than broadcast. And then you have 14% for other. Paul, what do you make of that, those kind of shares if we looked at how people are going to watch TV in 2026? Paul Verna (15:13):.

Cable and pay TV subscriptions declined significantly in Q2 2023, but YouTube TV was an outlier, gaining 300,000 subscribers during a quarter that coincided with the start of the football season, per Nielsen. But the 鈥渇astest-growing鈥� product also had a lot of room to grow.

High TV penetration in the US is tied to a broad array of options including over-the-air network TV and cable channels that specialize in news, sports, and daytime or primetime entertainment. Almost all (99.1%) of respondents watched TV in any form in H1 2023. This includes TV content from on-demand/streaming services, live TV, and recorded TV.

This downturn was exacerbated by a dispute with Charter, which dropped eight Disney cable channels last fall, and a general decline in linear ratings. In a contrasting performance, ESPN managed a 3% growth in revenues, though its operating income dropped by 9% due to increased programming costs and subscriber losses.

The number of households using vMVPDs like fuboTV or Sling TV to access cable via the internet will be around 25 million more than those that do not this year, according to our forecast. So yes, the cords have been cut. But the majority of households still watch TV much like cable viewers. 2. Streaming spend won鈥檛 catch up to time spent streaming.

According to Nielsen's May Gauge report, 31% of our TV time is spent with cable, that's in second place, and 23% with broadcast. So cable plus broadcast is linear TV. That is 54% together to streaming's 36. But when you break them apart, broadcast and cable streaming is ahead of those individual pieces. If you zoom in on streaming, YouTube tops the list with 8.5%, Netflix eight, Hulu four.