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In recent months, there has been a lot of shake-up in the media landscape – from the Charter-Time Warner merger to the AT&T acquisition of DirecTV. There is no doubt the industry is undergoing a major transformation to adapt to the demands of today’s consumers. Traditional service providers are also feeling pressure to stay ahead of streaming services like Netflix, Hulu, and Amazon Prime, which are quickly gaining ground when it comes to innovation and attracting subscribers.

While many TV providers embraced partnerships with streaming services as secondary channels for disseminating content, they’re now becoming cautious when it comes to sharing the core of their business – the content they create – with outside streaming services. This follows a quarter in which Pay-TV providers lost 357,000 subscribers, more than double what was seen during the same period last year, as reported by the Wall Street Journal.

83 percent of Americans still subscribe to Pay-TV. While this number has dropped in recent years, Pay-TV providers are still commonplace in most American households. This gives established providers the chance to define what the future of video consumption looks like. In order to come out on top, they need to consider three strategies:

1. Introduce new subscription offerings, including “skinny bundles”

While subscribers haven’t jumped ship yet, there is a strong desire from consumers to have more personalization when it comes to their cable offerings – from being able to select the channels they want to not paying more to get channels that go unused. In fact, some cable companies, such as Comcast and Verizon, have already started to explore the next-generation skinny bundle. In comparison to traditional cable offerings, these slimmed-down bundles would need to offer a similar a-la-carte feel that is attractive to consumers today, especially millennial audiences. By offering this more personalized approach, service providers can not only attract subscribers, but also begin to better engage today’s viewing audiences by providing a more customized viewing experience.

2. Implement new distribution models

The second way for service providers to emerge as a winner in the future of digital services race is by embracing new distribution models that allow consumers to easily consume content across devices and on demand. Today’s consumers not only want their favorite television show available to them at anytime and on any device, they also want their content provider to know where they left off in the latest episode of How to Get Away with Murder, which they started on their TV and then want to finish off on their tablet on the train ride to work.

Personalization is also crucial. By implementing customized recommendation engines that tell viewers what they should view next based on their history, or providing integration with social media to encourage active viewing and sharing, service providers can enhance the viewing experience to make it easy, seamless, and “sticky.”

3. Innovate on future portfolio offerings

Pay-TV providers have big opportunities to extend their services beyond television viewing. While video is the killer app, data is what will truly make these companies money. Being the network provider is a huge asset for cable companies. Whether wired or wireless, it gives them an almost limitless market for innovation, not only around pricing but on potential future bundles as well.

As the media landscape continues to evolve, service providers have a great opportunity to build on their subscriber dominance and reengage consumers in new and innovative ways. By rethinking the traditional subscription structure, implementing a seamless cross-channel viewing experience, and thinking outside the box when it comes to new service offerings, these Pay-TV providers will emerge as winners in the future of digital service offerings.

Ken Kennedy is CTO at CSG International.

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