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PRESS RELEASE

18 AUG 2005

 

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Interactive services key to early IPTV success in the U.S.

Consumers interested in interactive services such as voting on game shows, targeted advertising, and gaming, who total 27% of all U.S. households, represent a lucrative early market for IPTV services and applications, according to Parks Associates’ IP Video Services: Analysis and Forecasts.

This segment, identified in Parks Associates’ multinational study Global Digital Living, is highly receptive to advanced TV services. Service providers, particularly telecom operators, could boost current revenues on their quad-play service packages, which include voice, data, video, and wireless, by 33% by garnishing the bundle with services such as video-on-demand as well as home monitoring, gaming, and wireless broadband. This percentage increase would add $1.81 billion in revenues over the basic quad-play package.

“The market for interactive services is very promising in the U.S.,” said Deepa Iyer, a research analyst at Parks Associates. “Telecom operators have a great opportunity to create new revenue streams by developing and deploying services catered toward this specific market.”

As they increase their service offerings, telecom operators could also draw revenue from targeted advertising, according to IP Video Services: Analysis and Forecasts. The IP network allows for real-time customer measurement, so telecom operators can build targeted advertising pieces into their bundle of services and increase customer ARPU. To realize these new possibilities, telecom operators will have to form strong partnerships with network, software, and other solutions providers to ensure the proper service infrastructure.

“It is all about experience in this market,” Iyer said. “If telecom operators want to venture into the video market, they have to do away with their ‘traditional fixed-line provider’ image and offer services that really excite consumers. It is through this strategy that telecom operators can build strong customer loyalty.”

IP Video Services: Analysis and Forecasts provides an analysis of the drivers, inhibitors, and opportunities for IPTV services. It provides overviews of the major players along the IPTV value chain and delivers a country-by-country analysis of the consumer demand for advanced TV services.

The Global Digital Living project is a study of worldwide consumer technology trends and surveyed Internet households in thirteen nations: France, Italy, Spain, Germany, Canada, Taiwan, Japan, India, China, South Korea, Australia, the United Kingdom, and the United States.

For additional information on IP Video Services: Analysis and Forecasts or Global Digital Living, visit http://www.parksassociates.com or contact 972-490-1113 or sales@parksassociates.com.

About Parks Associates: Parks Associates is an internationally recognized market research and consulting company specializing in emerging consumer technology products and services. Founded in 1986, Parks Associates creates research capital for companies ranging from Fortune 500 to small start-ups through market reports, primary studies, consumer research, custom research, workshops, executive conferences, and annual service subscriptions.

The company's expertise includes new media, digital entertainment and gaming, home networks, Internet and television services, digital health, mobile applications and services, consumer electronics, and home control systems and security.

Each year, Parks Associates hosts executive thought leadership conferences CONNECTIONS™, in partnership with the Consumer Electronics Association (CEA®), and CONNECTIONS™ Europe. In addition, Parks Associates produces the online publication Industry Insights in conjunction with the CONNECTIONS™ Conference series.

http://www.parksassociates.com | http://www.connectionsconference.com | http://www.connectionseurope.com | http://www.connectionsindustryinsights.com

 

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