Contact Information: Contact: Mindi Sue Sternblitz-Rubenstein Parks Associates 972-490-1113 Email: mindi.sue@parksassociates.com
Pay-TV Providers Missing the Middle Market for Gaming
Premium Gaming Features Too Expensive to Maximize Market Potential, Lower Price Point Could Boost U.S. Annual Revenues to $300 Million
| Source: Parks Associates
DALLAS, TX--(Marketwire - December 15, 2009) - Premium pay-TV gaming features do not currently
maximize the market's revenue potential, according to a new
report from international research firm Parks Associates.
Many pay-TV providers, including Comcast, Cablevision, DISH Network, and
DirecTV, offer premium packages that include simple, single-player games.
Gaming ARPU: Games & the Service Provider finds roughly 5%
of broadband households in North America and Western Europe are willing to
pay about $5 per month for a premium gaming feature, the current average
cost per game.
The number of subscribers would increase threefold if cost per game were
lowered to $2.50. In the U.S. in particular, the boost in adoption rates
would push annual revenues for single-player TV games over $300 million.
Every country surveyed had similar growth in interest except the U.K.,
where the adoption increase would not compensate for the lower price point.
"Pay-TV providers are leaving money on the table," said John Barrett, Director, Research, Parks
Associates. "The industry's attention is split between free gaming and more
expensive, advanced features. Between the two extremes is an opportunity
that has not been fully exploited."
Despite this finding, Barrett predicts providers will continue to
focus their efforts elsewhere. "Most service providers are giving up on
the middle ground in gaming because the results have been unimpressive so
far. It's ironic because the rest of the gaming industry is trying to
follow the success of the Nintendo Wii and target a more moderate gamer."
For information on Gaming ARPU: Games & the Service Provider, visit
http://www.parksassociates.com or contact 972-490-1113,
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.
Each year, Parks Associates hosts executive thought leadership conferences
CONNECTIONS™, with support from the Consumer Electronics Association
(CEA®), and CONNECTIONS™ Europe. 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
