IPTV Loyalty Lies In Price, Services

Affordable services and an a la carte channel selection could sway customers from switching Internet protocol television providers, according to a study released Wednesday.

More than half, 52 percent, of consumers would switch pay TV services if they could get a better price for the same channel selection, followed by 46 percent who regard a la carte channel selection as a strong motivator, said the JupiterResearch report. High definition programming and a greater selection of video on demand (VoD) services remains less important, 6 percent and 3 percent, respectively.

Simple is best. Telephone carriers, from AT&T to Sprint, and cable operators, such as Time Warner, looking to offer IPTV services should avoid overwhelming consumers with "Jetsons-like TV of the future" services and focus on delivering "real value," said Joseph Laszlo, research director at JupiterResearch, in the report.

Potential new entrants into the U.S. TV market face challenges in undertaking billions of dollars in investment to build out infrastructure and design services capable of attracting subscribers in a saturated market.

Sixty six percent of current pay TV subscribers are satisfied with their service and will require aggressive pricing, better channel selection or other clear benefits to induce switching.Millions of customers, however, using cable-provided phone services create a threat to phone companies' core business and leave them with little choice but to match cable's triple-play bundle of voice, television and Internet services, the JupiterResearch study said.