Consumers spend an average of $127 each month on their cable and telecommunications services, up about four percent from the $122 reported last year, reported a new Horowitz Associates Inc. study, "Bundled Services 4."
North of half (52 percent) of the study's 800 respondents said they would buy all of their existing services if they were bundled, even without any change in price. That figure jumps to 68 percent if the service operator offered a 10 percent discount off their total bill for all services bundled together. The research firm said convenience, not just pricing, appears to be the driver for demand of bundled services, noting the advantage of providing an integrated bill and one number for customer service.
Horowitz said the data suggests that bundling is becoming an "enabling mechanism" for successful roll-outs of more advanced digital services such as home networking, interactive-television and its closely related cousin, video-on-demand.
Horowitz added that survey participants listed personal video recording, interactive program guides and a new, touch pad-enabled universal remote control as the top three advanced, TV-based applications they were interested in. T-commerce came in lower on the interest scale, Horowitz said.