By Michelle Gamble-Risley, director, HomePNA Marketing and PR
In the obnoxious theme of "we told you so," our fellow Americans still seem to be doing exactly what we said they would be doing during the recession – going home for their entertainment. A survey from Amplitude Research said 70 percent of 600 respondents said they plan to keep current cable and satellite television service this year. On the flipside, only two of the 600 said they plan to drop their multichannel video service to cut household expenses; however, 15 percent said they intended to downgrade to a lower-priced video subscription service.
Also interesting, the study found that a "substantial number" said they are turning to the Web to watch video and about 32 percent said they "regularly watch video from Web sites such as Hulu, YouTube and iTunes."
We think we can safely say that with the vast majority continuing to keep their home entertainment service despite what's going on with their pocketbooks, the home entertainment industry will not be taking any real hits in 2009 and will grow at a steady, even pace. We also think the economic environment may be accelerating the move away from the traditional cable model and toward an on-demand model that relies more and more on over-the-top Web content delivered to your TV over IPTV and a home network.