TV Everywhere is an untapped revenue stream, and a deterrent to cord-cutters

Pay-TV operators are leaving millions of dollars of potential revenue on the table as the demand for TV Everywhere products continues to grow in the United States, a new study has found. And, according to a new TDG study, offering a TV Everywhere solution is enough motivation to deter 40 percent of would-be cord cutters from discontinuing a pay-TV service.

Some 60 percent of adult broadband users are "enthusiastic" about TV Everywhere, and more than half of them would be willing to pay $5 or more in addition to their pay-TV subscriptions each month to access a TVE service.

"Current TVE-type offerings remain relatively fledging services with little in the way of compelling content," said Michael Greeson, TDG founding partner and author of the new report. "That's to be expected from a service breaking new ground and no doubt feeds operator belief that these services should be viewed as a free value-added service to existing residential TV subscribers as opposed to a new service capable of generating additional revenue."

More operators, Greeson said, are likely to emulate Hulu, which recently launched a premium catch-up service to complement its free offering, offering more content for a modest fee after establishing a strong audience--Hulu has recorded more than a billion visits to its service in each of the past several months--and building an attractive catalog of content.

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