Netflix, Hulu and Other Streaming Services Trounce Pay TV on Customer Satisfaction

Variety | 4/19/2017 | Todd Spangler
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This won’t come as a huge shock: Customers of streaming-video companies like Netflix and Hulu are far happier with their service overall than subscribers of traditional cable, satellite and telco TV operators.

That’s according to the American Customer Satisfaction Index, a research org that maintains widely recognized benchmarks in multiple industries. This year, for the first time, the ACSI measured video-streaming services — which debuted with an average score of 75 out of 100.

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That crushed the U.S. pay-TV average of 62, which fell 3% year-over-year to an 11-year low on the 2018 report. Indeed, pay TV continues its dubious distinction as one of the most-hated industries among American consumers: The sector’s average score of 62 is tied with U.S. internet service providers for the lowest customer satisfaction of all 46 industries tracked by the ACSI.

By nearly every measure, customers of streaming providers say they’re more satisfied than those of traditional pay-TV services.

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“Video streaming services significantly outperformed subscription TV,” David VanAmburg, ACSI’s managing director, said in announcing the findings.

For one thing, cable TV has been around for decades — and has a longer history of angering customers with continual rate hikes and subpar customer service. In addition, Netflix, Hulu, Amazon Prime Video and other services are cheaper and simpler to use than cable or satellite TV offerings, and they don’t have the hidden fees typically associated with cable and telecom services, VanAmburg said.

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Among video-streaming services, Netflix, Sony PlayStation Vue, and Amazon-owned Twitch were the leaders of the pack on ASCI’s survey, tying with a score of 78. Apple iTunes and Microsoft Store tied with 77, and Google’s YouTube Red (which is being supplanted by YouTube Premium) notched a score of 76, followed by Amazon Prime Video, Hulu, Vudu, and Google Play with 75.

Other streaming services ACSI measured were CBS All Access (74),...
(Excerpt) Read more at: Variety
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