| DTH Offers Tremendous Potential for Business Savvy Operators
In the Asia Pacific region, there are five times the number of television house-holds
and more pay-television subscribers than in the North American
market. Yet, there are only one quarter as many DTH satellite television
households. The potential for success in this marketplace is enormous, but
DTH operators must plan their eventual profitability by making their services
a viable, long-term competitor to traditional, terrestrial cable offerings.
This Frost & Sullivan research provides an insightful view of the emerging Asia
Pacific DTH satellite television services markets. By individually examining the
growth potential of 12 nations and providing accurate forecasts for each, this
research offers a comprehensive guide to this flourishing industry.
Lack of Consolidation Proves Profitability Paradox
“Due to an overabundance of industry participants within the Asia Pacific
DTH markets, no service provider has yet to attain profitability, despite
continued subscriber growth,” states the analyst. The Australian market is a
casebook example, where aggressive efforts to lure subscribers away from
other participants is challenging the survival of the industry as a whole.
A similar pattern was identified in Japan as three competitors entered the
market. After much struggling and loss of investor money, the industry finally
consolidated into one major DTH participant competing against cable
service providers. “Industry analysts are seeing this same paradigm
developing in India where at least three major companies have announced
plans to enter a market which can support two strong competitors at best,"
says the study’s author.
Interactive Capabilities Key to Future Success
Integrating interactive capabilities into basic DTH packages is an increasingly
important initiative for operators. These services aid in improving the
subscriber/provider relationship, reducing subscriber churn and increasing
subscription pricing and overall revenues.
"The integration of interactive features becomes essential in order to remain
competitive as more terrestrial service providers offer bundled services
(telephony, Internet access and pay-television) in markets as diverse as Japan,
Australia and China," states the author.
This Frost & Sullivan analysis provides companies the most comprehensive
information available on the Asia Pacific markets, enabling your firm to
successfully plan its future within the industry.
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