A just-completed consumer survey on the Advanced Television Systems Committee’s new ATSC 3.0 features shows a big boost in the willingness to spend more on a smart TV.
SmithGeiger conducted an online survey of 1,201 broadband subscribers. Respondents were queried about ATSC 3.0’s capabilities, including those enabled by Verance Aspect.
The Verance features, in particular, compel survey takers to spend $205 more than they originally planned on a smart TV.
Furthermore, respondents’ purchase intent over the next 12 months increased to 74%, up 19 points from their original baseline.
Of those surveyed, 55% initially indicate they plan to buy a smart TV in the next 12 months and spend an average of $950 on a 52-inch screen. Once exposed to the ATSC 3.0 features, however, their likelihood of purchasing a 52-inch smart TV with these features rises roughly three in four respondents. Their willingness to spend increases $205 to an average price of $1,155 with no change in screen size.
“This survey verifies unequivocally that viewers, broadcasters and TV manufacturers stand to benefit greatly from the next-generation TV standard,” said SmithGeiger President and co-founder Seth Geiger, who directed the project. “The willingness of consumers to pay a higher purchase price and expedite their near-term purchase windows for internet-connected televisions in exchange for new features is among the most compelling evidence yet of the value of ATSC 3.0. These findings clearly affirm the working hypotheses of the Advanced Television Systems Committee that have driven the on-air tests by FOX, Univision, [NBC O&O WVIT-30 in New Britain, Conn.], and the Pearl TV alliance.”
Among those who do not currently own a smart TV, after hearing about the features these consumers indicate they are 26% more likely to make a purchase. And, significantly, 45% of respondents initially expressing no intent of buying a smart TV in the next 12 months now indicate they would be likely to purchase one after seeing the next-generation features of ATSC 3.0.
SmithGeiger conducted the survey from April 5-7, 2017, among respondents across the U.S. with an average age of 41.3; half of them have annual incomes of $50,000-99,000, with the remaining 23% earning $30,000-49,000, 19% at $100,000-149,000 and 8% exceeding $150,000.
That said, SmithGeiger has a stake in the success of ATSC 3.0’s rollout and rapid adoption; it helped launch successive digital platforms, from satellite TV to DVRs.