By the end of 2024, less than 50% households will subscribe to a pay TV service, as per eMarketer.
With alternative media forms growing amid COVID-19, the pay TV industry could see 31.2 million US homes cutting the cable TV cord by the end of 2020. In the same period, 6.6 million households may cancel their pay TV subscriptions.
This translates to a 7.5% YoY drop in Pay TV in 2020, with only 77.6 million US households having cable, satellite, or telecom TV packages. A combination of high prices of cable TV versus streaming services and there being no live sports amid lockdown are driving factors.
Compared to 2014’s peak, the total has declined by 22.8%. This loss of viewers will impact traditional TV ad spending, as total ad spend could drop 15.0% this year to $60.00 billion.
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