The cable companies nightmare scenario of subscribers leaving in droves to an online alternative have been allayed, in Canada at least. New research from Deloitte says that a growing number of Canadian subscribers are adding an online streaming service to their existing Pay-TV package.
You can forget cord cutting says Deloitte’s tech predictions for 2014, in fact this coming year more Canadian households will be paying for multi-TV subscriptions than those that cut cable out of their lives.
Cord adders, or as the report dubs it, ‘cord stacking’ is, “all the rage,” and when this year is up, it will turn into a torrent. Currently over 2.5 million Canadian have multiple TV subscriptions, and by end of 2014, 50 million Canadian homes will have succumbed to the trend, a rise of over 150% on 2012.
Speaking about the findings, Duncan Stewart, director of research at Deloitte said, “Virtually nobody in Canada is actually stopping paying for TV,”
Cable services in the U.S. may be losing subscribers, but that doesn’t appear to be happening in Canada. In 2013 around 11.8 million Canadian homes had a traditional TV subscription whilst only approx 10,000 cancelled.
Stewart said, “People have been expecting for some time massive numbers of Canadians – and Americans – to cut the cord. And it hasn’t happened. The number of people who are paying for more than one service is up by at least one and a half million in the last two years,” Stewart said.
So internet services are complimenting cable, which may explain why European cable operators are adopting Netflix as a selling tool. And the report could explain why Canadian cable Co. Rogers are actively looking to launch a streaming service themselves.