Consumers continue to shift their video consumption away from traditional TV screens to tablets and mobile phones. That’s why TV providers need to more aggressively redefine the TV package to remain relevant to today’s consumers and aligned with consumers’ evolving viewing habits. Learn about the three key actions for creating more relevant offerings that drive greater viewer loyalty and bigger profits.

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Redefining the cord by
playing offense in the rapidly
changing TV industry

2. A dramatic shift
• Total video consumption is
expected to increase at a
0.8% CAGR from 2016 to
2020.
• But the proportion of time
viewers consume video over
“second screens” such as
tablets and mobile phones
is expected to grow 13% by
2020, helped by a 5.8%
boost in connected devices.
• Leading companies lost
nearly 700,000 subscribers
in the second quarter of
2016 and TV providers
continue to reach record
lows.
Copyright © 2016 Accenture All rights reserved. Accenture, its logo, and High Performance Delivered are trademarks of Accenture.
Consumers continue to shift their video
consumption away from traditional TV
screens to tablets and mobile phones.

3. Copyright © 2016 Accenture All rights reserved. Accenture, its logo, and High Performance Delivered are trademarks of Accenture.
A wake-up call
TV providers need to more aggressively
redefine the TV package to remain relevant to
today’s consumers and aligned with
consumers’ evolving viewing habits.
Specifically, they need to leverage their large
base of existing consumers and content
relationships to aggregate video products with
relevant, personalized content available
anyplace, anytime, via any device.
• 80% of viewership is concentrated on 15
channels and consumers only watch an
average of 20—30% percent of subscribed
content.

4. Copyright © 2016 Accenture All rights reserved. Accenture, its logo, and High Performance Delivered are trademarks of Accenture.
A mindset
switch
TV providers have to fundamentally switch their mindsets.
Instead of playing defense and trying to protect the legacy
business, they need to go on offense.
That means investing in analytics to understand
who their consumers are and innovatively serving
up what they really want to watch.

5. A way forward
“Playing offense” requires taking aim at
price and content, the two key drivers of
viewership. Three actions are key to
influencing both of these factors:
Copyright © 2016 Accenture All rights reserved. Accenture, its logo, and High Performance Delivered are trademarks of Accenture.
1.
Reduce pricing to increase profits.
Consumers continue to watch more video, but they concentrate on a smaller range of content.
Providers need to abandon their “more channels for more money” legacy strategy and offer
smaller packages tailored to what people watch.
• By using viewership analytics to offer smaller, flexible and more relevant packaging, TV
providers can mitigate cord-cutting and improve overall package margins by at least 5—10%.

6. A way forward
“Playing offense” requires taking aim at
price and content, the two key drivers of
viewership. Three actions are key to
influencing both of these factors:
Copyright © 2016 Accenture All rights reserved. Accenture, its logo, and High Performance Delivered are trademarks of Accenture.
2.
Do more with anytime, anywhere viewing.
Time-shifted and place-shifted viewing continues to grow in popularity among consumers.
Providers need to continually revisit their feature roadmap to make sure they are delivering a
richer in-home and out-of-home experience.
• In 2015, 47% of all video content hours was time-shifted, and consumers under 40 years
watched more than 75% of their content at times other than the scheduled airing.

7. A way forward
“Playing offense” requires taking aim at
price and content, the two key drivers of
viewership. Three actions are key to
influencing both of these factors:
Copyright © 2016 Accenture All rights reserved. Accenture, its logo, and High Performance Delivered are trademarks of Accenture.
3.
Provide cross-platform content and
recommendations.
Consumers expect TV providers to carry content from Over-the-Top (OTT) providers. Providers
should aggregate content across disparate sources and platforms and deliver very specific,
personalized and timely content suggestions across all content.
• 79% of consumers prefer a bundled content solution from the same provider.

8. LEARN MORE
about how providers can redefine the TV
package and viewership experience with our
full report:
Copyright © 2016 Accenture All rights reserved. Accenture, its logo, and High Performance Delivered are trademarks of Accenture.
Redefining the cord by playing offense in
the rapidly changing TV industry
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