METRICS

Consumers may want the added features and convenience IPTV allows them, but what are they willing to pay? According to a recent white paper from Parks Associates, “IPTV: A Survival Strategy or Revenue Generator for Telcos?” consumers interested in interactive services are willing to spend up to $220, or 20% more on entertainment services. This highest revenue group represents the “Interact with Me” sector, which is interested in services such as voting on game shows, targeted advertising and gaming. Parks Associates broke consumers down into other segments based on preferences. The “TV on My Terms” group is interested in personalization services such as one-button access to news and weather and personalized recommendations from service providers, while the “Don't Bother Me” group isn't interested in any additional services. The “Converge Me” group, though interested in content services such as sharing video, music and photos, is only willing to spend an additional 9% more per month to get those perks.“CMs are a classic example that proves high interest toward certain services may not correlate to increased ARPU,” said Parks Associates research analyst Deepa Iyer, author of the study.