Small Production Companies Take Advantage of Cord Cutting


Households around the country are cutting ties with cable and satellite TV. In fact its increasing faster than originally predicted. Experts are now saying that by the end of 2022 the number of cord cutting households will total more than a quarter of U.S. Households (according to a study done by eMarketer).

In 2019 over 22 million US households have already given up the traditional satellite and cable pay service making up of 17.3% of all U.S. Households according to the study. The number of cord-cutters is predicted to continually climb at a steady rate in the upcoming years. In fact by 2023 it is expected to reach 34.9 million households.

This may be bad news for pay and cable TV providers however its fantastic news if you are a small video production company. The opportunities provided to small broadcasters looking for an audience is like a “dream come true”.

Cord-cutters are not stooping or changing their viewing habits, but rather adapting to newer technologies. In other words they are still consuming video content, but they are finding new sources of video content that is more economical or more tailered to their exact viewing niche or interests.

There are also those that are we call generation Z (born after 1998) who will never pay a subscription fee to a cable or satellite operator because they were raised on online content. So the trend is set – Cable and satellite pay subscription will suffer a slow death, and online television will continue to rise.

Many small broadcasters and production companies are taking advantage of the cord cutting by maximizing the leverage that online TV brings. Never before in history has there been access to such large audiences for such a small investment. Its the best way to leverage production against large production and media conglomerates.

With companies like TvStartup a small production company or business can start their own online TV network for a fraction of the price it would of cost a decade ago. They give broadcasters the ability to broadcast live, create VOD experiences with categories similar to NetFlix, create playlists, schedule playlists and even simulcast to social media.

Verizon predicted the video tidal wave would begin in 2021 and last for several years. Smart broadcasters are positioning themselves to not only ride the wave but to cash in on it with technologies like ad injection. Ad injection is where advertisers can inject ads into your channel automatically through an algorithm. This allows broadcasters to automatically monetize their content library without selling advertising or needing a sales team.

If you would like to learn more you can schedule a live demo with a TvStartup Specialists by clicking here.

Brock Fisher
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