goetzpartners analysis

Consumer willingness to pay for IPTV

goetzpartners general TIME
22. février 2012

Consumers in Germany, the UK and France are more willing to pay for IPTV products, content and better quality, but above all for content that is not freely available via other platforms. In terms of IPTV products, video-on-demand offerings are leading the way followed by interactive features. In contrast, the vast majority of consumers do not consider being able to use content on a mobile basis to be worth paying much more for. There are common denominators with regard to content – football, erotic content and movie packages. Around 40% to 50% of those surveyed are willing to pay more for HDTV, 3D content and better audio quality. These findings are the results of the latest IPTV study by goetzpartners based on a representative consumer survey conducted in Germany, France and the UK. Content providers must address willingness to pay by providing requirements-led offerings in order to maximize content financially.

How willing are consumers to pay when it comes to IPTV products, content and better quality? goetzpartners examined this issue in a representative survey among the population aged 14 to 69 in Germany, the UK and France.

Main challenge – meeting consumer requirements

Consumers are especially willing to pay for components and IPTV content that they are not able to use with their traditional TV connection. “The results of our analysis show that consumers are willing to pay significantly more, in particular, for VoD offerings, interactive features, such as access to an app portal, and content in 3D and HD,” explained Henschel. A key success factor for content providers now is taking account of current developments with regard to consumer requirements and systematically expanding their portfolio by offering content in demand and supplementary functions and services. This is the only way in which they can maximize their own content financially.