It’s well known by now that media content owners and providers are facing a crisis. Their audiences are increasingly drawn toward alternative ways of watching TV and video content. Pay TV is still a formidable market force, but it is most deeply entrenched in older generations of viewers. While large cable and satellite providers have been worrying over cord-cutters ending their subscriptions in favour of streaming services like Netflix, they have yet to wrap their heads around the biggest threat to their bottom line: cord-nevers. These are people who have never paid for television, and with the growth of streaming alternatives, as well as Roku and Apple TV, probably never will.
#1 Flexibility (That Means Go Mobile)
Many viewers have already turned away from cable and satellite subscriptions, but still watch content on their laptop or a connected television screen. Nevertheless, mobile video has exploded in recent years (170% since 2013), and it continues to grow. Larger screen formats like tablets are the format of choice for videos that are 10 minutes or longer, while smartphones continue to do well with shorter videos as data becomes more affordable and WiFi more widespread. Content owners need to make the move into mobile space if they want to grow or even just retain their audiences, and that means building native, value-added apps for viewing shows. Content owners who need to build a new app can visit Clearbridgemobile.com for tips on finding the right development partners.
YouTube is the second largest search engine in the world, and mobile accounts for 25% of its views (at 1 billion per day). Today’s media audiences want content to be flexible, and that means that they can get it whenever and wherever they want it.
#2 Deliver a Better Viewing Experience
Cord-nevers are very price conscious when it comes to media consumption, largely because they aren’t used to paying large amounts every month to big cable companies. Most of them know how to access video for free, but they are willing to pay for better quality. Media app development company Clearbridge Mobile suggests that successful apps have to combine the right price point with quality content and a great user experience. Cord-nevers won’t see the difference between degraded free services and apps that are slow to load or cumbersome to use. In its explanation of the cord-never generation, Clearbridge Mobile also suggests that programs need to be available across all devices, from Apple TV to smartphones.
#3 More Flexibility (That Means Freedom to Choose Content)
As old-fashioned media companies struggle to keep tight-fisted control over TV shows, they lose out on millions of consumers who would pay, but not for programs they don’t want. HBO’s fiasco with Game of Thrones in Canada is one example of an old giant that’s going to lose out in the long run by ignoring its audience. Due to a licensing agreement with Bell, the popular TV show is only available to stream legally through a service offered exclusively to cable or satellite subscription providers. But customers are simply unwilling to pay for programming they don’t want, and simply won’t pay to view the show.
Cord-nevers are a serious threat to old media giants that don’t want to pay attention to tomorrow’s audiences. Smarter competitors are turning to the help of mobile app development companies to reach audiences that expect television on their own terms.