Local wired cable systems’ ability to deliver commercials continues to erode

   
      29.3% OF AMERICAN TV HOUSEHOLDS NOW SUBSCRIBE
     TO ALTERNATE DELIVERY, AN ALL-TIME HIGH

 

NEW YORK, Dec. 17, 2009 — More American TV households are receiving video programming via an alternate delivery system (ADS) than ever before, according to a TVB analysis of Nielsen Media Research data for November 2009.

According to Nielsen NTI data, national ADS penetration reached 29.3% of television households last month, an all-time high that is up from 28.7% in November 2008, and now represents 32.5% of subscription television customers (those paying for video delivery), another all-time high.

Direct broadcast satellite (DBS) delivery, the largest component of ADS, is now estimated at 29.0%, up from 27.4% in November 2008.

“Advertisers who buy cable locally need to know that local wired cable systems’ ability to deliver commercials continues to erode. In fact, in 29 markets, a majority of those paying for video programming are now getting that programming via ADS rather than from a wired-cable system,” said Susan Cuccinello, Senior Vice President, Research, TVB. “Local cable commercials are not seen in ADS homes, and so local advertisers need to deduct the ADS percentage of the audience if they are included in the cable systems’ submissions.” In November 2003 Nielsen Media Research began making available hard-wired local cable numbers and excluding ADS homes via its Total Viewing Sources DVD. But some third-party processors are still adjusting their software products to use the DVD and the printed Nielsen books do not break out the numbers separately, so advertisers will need to make ADS deductions manually for some time.

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