According to Nielsen NTI data, cable penetration represented 60.7% of households in November, down from 61.7% in November 2009, while national alternate delivery system penetration reached 30.5% of television households last month, an all-time high that represents 33.7% of subscription television customers (those paying for video delivery), another all-time high.
TVB ANALYSIS
Cable Penetration Hits 21-Year Low
Wired-cable penetration of American TV households hit a 21-year low as more consumers opted to receive video programming via an alternate delivery system (ADS) than ever before, according to a TVB analysis of Nielsen Media Research data for November 2010.
According to Nielsen NTI data, national ADS penetration reached 30.5% of television households last month, an all-time high that is up from 29.3% in November 2009, and now represents 33.7% of subscription television customers (those paying for video delivery), another all-time high.
Meanwhile, wired-cable penetration represented 60.7% of households in November 2010, down from 61.7% in November 2009. The only time it had been lower was in November 1989 when wired-cable penetration was at 59.7%.
“Advertisers who buy cable locally need to know that local wired cable systems’ ability to deliver commercials continues to erode,” said Susan Cuccinello, SVP, research, TVB.. “In fact, in 34 markets, a majority of those paying for video programming are now getting that programming via ADS rather than from a wired-cable system. Local cable commercials are not seen in ADS homes, and so local advertisers need to deduct the ADS percentage of the audience if they are included in the cable systems’ submissions,” she added.
In November 2003, Nielsen Media Research began making available hard-wired local cable numbers and excluding ADS homes via its Total Viewing Sources DVD. But some third-party processors are still adjusting their software products to use the DVD and the printed Nielsen books do not break out the numbers separately, so advertisers will need to make ADS deductions manually for some time.
Below are the leading markets for ADS penetration in the top 50 DMAs, DMAs ranked 51-100, and DMAs 101 and higher, according to November 2010 Nielsen Media Research/NSI data:
BRAND CONNECTIONS
Markets 1-50
|
|
|
Television HH |
Subscription TV HH |
|||
|
DMA Rank |
DMA Name |
% Wired Cable and/or ADS |
% Wired Cable |
% ADS |
% Wired Cable |
% ADS |
|
44 |
Albuquerque-Santa Fe |
83.6 |
39.4 |
44.6 |
47.2 |
53.3 |
|
36 |
Greenvll-Spart-Ashevll-And |
93.2 |
47.0 |
46.6 |
50.4 |
50.0 |
|
31 |
Salt Lake City |
82.8 |
42.9 |
40.1 |
51.9 |
48.5 |
|
40 |
Birmingham (Ann and Tusc) |
93.6 |
49.2 |
45.1 |
52.6 |
48.2 |
|
50 |
Memphis |
90.9 |
50.2 |
41.4 |
55.2 |
45.5 |
|
16 |
Denver |
90.1 |
50.3 |
40.3 |
55.9 |
44.8 |
|
21 |
St. Louis |
89.9 |
50.3 |
39.9 |
56.0 |
44.4 |
|
5 |
Dallas-Ft. Worth |
84.3 |
48.4 |
36.7 |
57.4 |
43.5 |
|
20 |
Sacramnto-Stkton-Modesto |
90.5 |
51.8 |
39.3 |
57.3 |
43.5 |
|
12 |
Phoenix (Prescott) |
87.0 |
49.9 |
37.6 |
57.3 |
43.2 |
Markets 51-100
|
|
|
Television HH |
Subscription TV HH |
|||
|
DMA Rank |
DMA Name |
% Wired Cable and/or ADS |
% Wired Cable |
% ADS |
% Wired Cable |
% ADS |
|
74 |
Springfield, MO |
81.8 |
30.0 |
52.4 |
36.6 |
64.0 |
|
82 |
Shreveport |
91.5 |
35.8 |
56.4 |
39.2 |
61.6 |
|
78 |
Paducah-Cape Girard-Harsbg |
90.6 |
35.7 |
55.4 |
39.4 |
61.2 |
|
55 |
Fresno-Visalia |
80.3 |
34.2 |
46.7 |
42.6 |
58.2 |
|
67 |
Roanoke-Lynchburg |
89.8 |
39.2 |
50.9 |
43.6 |
56.7 |
|
90 |
Jackson, MS |
91.3 |
40.3 |
51.5 |
44.2 |
56.4 |
|
56 |
Little Rock-Pine Bluff |
91.6 |
42.6 |
49.6 |
46.5 |
54.1 |
|
75 |
Spokane |
84.8 |
40.2 |
45.1 |
47.4 |
53.1 |
|
92 |
Colorado Springs-Pueblo |
86.2 |
43.3 |
43.4 |
50.2 |
50.4 |
|
91 |
South Bend-Elkhart |
80.0 |
41.6 |
38.9 |
52.0 |
48.7 |
Markets 101+
|
|
|
Television HH |
Subscription TV HH |
|||
|
DMA Rank |
DMA Name |
% Wired Cable and/or ADS |
% Wired Cable |
% ADS |
% Wired Cable |
% ADS |
|
112 |
Boise |
70.8 |
24.1 |
46.9 |
34.1 |
66.3 |
|
133 |
Columbus-Tupelo-W Pnt-Hstn |
89.8 |
32.1 |
58.5 |
35.8 |
65.2 |
|
185 |
Meridian |
87.9 |
33.5 |
55.5 |
38.1 |
63.1 |
|
130 |
Chico-Redding |
85.3 |
33.1 |
52.9 |
38.8 |
62.0 |
|
137 |
Columbia-Jefferson City |
85.9 |
34.2 |
52.2 |
39.8 |
60.7 |
|
109 |
Tyler-Longview(Lfkn&Ncgd) |
91.2 |
36.5 |
55.3 |
40.0 |
60.6 |
|
162 |
Idaho Fals-Pocatllo(Jcksn) |
78.0 |
31.3 |
47.3 |
40.1 |
60.6 |
|
165 |
Abilene-Sweetwater |
89.2 |
36.7 |
53.3 |
41.1 |
59.8 |
|
126 |
Yakima-Pasco-Rchlnd-Knnwck |
85.3 |
36.0 |
49.9 |
42.3 |
58.5 |
|
193 |
Twin Falls |
81.2 |
34.4 |
47.5 |
42.4 |
58.5 |
For more information about ADS, including the penetration levels in each of the 210 DMAs, click here: http://www.tvb.org/planning_buying/4722/4729
Comments (6)
Susan Baurenfeind says:
December 16, 2010 at 4:55 pm
Competition. costs to subscribers.
the hundreds of “channels” we never use….cost the consumer…. We can only watch one cable channel at a time.
We can DVR to watch later. I have had Time Warner Cable since about 1965. I could watch other area stations….not now. The basic and the premium….HDTV tiers are expensive….when you pay more for only three other channels which keep changing…often losing the ones you wanted. The ever changing line up ….is confusing. (Favorite, I, 2, and all listings as with Direct TV….which has a superior lineup….and easier user friendly …..search name, channel, program, movie…etc. Not found with Time Warner. The bundled, Road Runner (thought it was high speed….not offering a turbo speed?) Digital phone…. TV…. cost more than many can afford….. The search for a better provider at a lower cost….wake up…. They are out there….
Direct TV had a better means of search….and favorites….and had many additional channels for free. Time Warner does not offer screen resolution of HDTV 1080p…….for which many bought HDTV with that screen resolution…capability.
The stations and the cable channels should be on the screen….the basic and the options….HDTV, etc.. listed on the same screen. In order ot select the HDTV or basic channels.
No COLA…. gasoline is up three dollars a gallon… Pay for Cable or Satellite…..other entertainment goes first….for food and prescriptions…and other inflated costs…
OTA is a better picture..quality. FREE. The Woodstock and free love era…programming….trash…. Some of us do not want to be paying for such that goes way beyond our morals and our faith and family values.
It is as paying a news stand to provide the Penthouse and such……for them to make money to splash the dirty laundry ….only on our screens in our homse…. A select cable channel tier…only the few we want or watch….a lower fee…..for what we actually do view…. is the answer. Or the providers are going to see their subscribers continue to flee.
Many people still do not know how to find the programs they want….. Have no idea how to program a VHS machine..
Keep it simple Stupid.
Brian Bussey says:
December 16, 2010 at 5:15 pm
The only reason I keep Comcast is because they provide a thousand middle class, benefit providing jobs in the Houston area. Those folks in turn buy my widgets,. Together we make a economy. Since Comcast absorbed all those old TCI monopolists, I don’t think they are remotely interested in what their subscribers actually want to pay for. They did not even have my block in their computer. The customer service woman talked to me like I did know where I lived.? great way to begen a romance….
mike tomasino says:
December 16, 2010 at 5:52 pm
I sent Comcast a letter asking them to please take me off their advertising mailing list because I would rather go without TV, internet, and phone service than buy it from them. Their marketing is dishonest, their prices are out of hand, their service stinks, and I hope everyone gets smart and dumps them. The sooner they die the sooner their people can start working at honest jobs.
Andrew Salomon says:
December 16, 2010 at 7:30 pm
The broadcast industry, under the leadership of TVB and/or NAB, should launch an aggressive campaign of acquisition, in the same way they attacked the analog to digital transition. Do you remember just a year and a half ago how many PSA’s TV stations ran telling people to get their digital boxes? The market is ripe for unplugging cable/satellite. People are tired of a hundred or so useless channels. If broadcasters want to protect their spectrum from FCC incursions and want to demonstrate to cable companies, that nickle and dime them in retrans negotiations, they should use the power of their pulpit to tell people to go out, get some rabbit ears and get they best entertainment and news for free. Or else, as Gordon Smith says, we can, in the near future, watch the Superbowl on cable.
Christina Perez says:
December 16, 2010 at 9:07 pm
Do broadcast executives even know that most of the great unwashed has no idea they can get network broadcast HDTV for free? Go whale-watching in Wal-Mart and ask some of them. As for Gordon Smith, I wonder if he gets it. The new TV campaign says nothing about free, universal access OTA, free HDTV, and a tradition of localism and public service. Is he a Trojan horse for the pay TV crowd? I hope he reads this and proves me wrong.
Jeff Groves says:
December 17, 2010 at 6:40 am
I got rid of Cable for two reasons:
1. Too Many Commercials
2. Too Little Variety