The number of pay-TV subscribers in Spain will reach 10 million by 2020, up from the current 3.8 million, according to industry experts who gathered for the forum ‘The Arrival of Telcos in the Audiovisual Sector’.
The conclusion was that the involvement of telco companies like Telefonica, Vodafone and Orange in the pay-TV market will give a major boost to the business tripling the current number of subscribers.
The key to success, emerging from the forum, is better pricing of pay-TV services and an added-value service with convergent services bundled in a package.
“This is the way taken by the States where few clients have abandoned the service because they perceive that it (pay TV) has an added-value, and the same applies to other services like Netflix”, explains Luis Velo, director of Audiovisual Content at Telefonica. He claims that the rewamped Movistar TV plans to capture 1.5 million subscribers in the first year and up to 3 million in 2016.
Marino Sánchez-Cid, at accountants BDO, believes that Spain’s viewers have been ill-educated by offering him premium content on FTA and thinks that the way to change this will be hard.
Pablo Romero, director at Yomvi, thinks that the Spanish TV market has been more concentrated on the impact of advertising and GRPs, whose “figures are clearly inflated”.
Isaac Mendoza, responsible for Vodafone TV, says that “it is necessary to make a balance between costs and clients willing to pay for the content” in a country with a pay TV penetration below 25 per cent.
Jesús Moreno, from Nubeox, the Atresmedia OTT service, it is necessary to clarify the legal framework because “we cannot move in grounds like the one we have been involved in over the last months with the closure of 9 DTT channels”.
Source: http://cablequest.org/news/international-news/item/5359-cq-spain%E2%80%99s-pay-tv-subs-to-triple-by-2020.html
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