Blog Post #9: Each One Teach One - The Effects of Cord Cutting on Today's Entertainment Consumption

As technology has been improved and upgraded on as time has gone on, our systems of entertainment have largely improved how we view stories and events that occur in our lives. More people gained access to shows and programs through cable television than they would have had through local providers. Even having had cable for a few years in my household, I am glad that I have access to the channels I used to watch when I was younger and were not readily available to me. Even through the growth of entertainment, there has been a larger movement to streaming services and online programming that are not accessible through cable. Many households around the world, including my own, have taken more of an interest in exclusive shows on multiple platforms, and although the indulgence of entertainment is good, there are a quite a few negatives to "cutting the cord" and the exclusivity of programs viewers may be interested in streaming.

The act of cord-cutting is getting rid of the use of cable boxes and cable television and switching to streaming services. Cord-cutting comes with its benefits but also a fair amount of lacking areas. Cord-cutting and switching to streaming gives users the ability to subscribe to one or multiple streaming services, and are given access to the shows and intellectual properties that a company owns. For example, I enjoy using Disney+, and I have access to Disney's owned properties, such as Marvel movies and TV shows, Star Wars media and other Lucasfilm-owned media, and even some programs from Disney's other properties not promoted as much, like 20th Century Studios (formerly 20th Century Fox) movies and television programs. Netflix is very popular, having pioneered the ability for streaming services to make their own exclusive programs, such as "Stranger Things" and "Wednesday" under the "Original" brand, a business tactic that other companies have started to take after, if not already.

As streaming services were setting the foundation in the early 2010s, people were able to stream services from their computers, tablets, game consoles, phones, and televisions, often through cable or the internet. One of the reasons why owning a game console was so popular more than 10 years ago was that it was more cost effective to get a game console such as a PlayStation that could play games and run video streaming services such as Netflix and YouTube without having to pay much more money for a cable box solely dedicated to watching shows and movies. There is a downside to using many streaming services, with the biggest being that using more than one is going to cost a lot more over time. Netflix, Disney+, and Hulu's services per month combined cost $22.97. Yearly, the total price comes down to $275.64. For the basic plan for each service, except for Netflix, the others have started to implement ads onto the streaming services. To pay for the intermediate or "Standard" plan for Netflix and Hulu, and Disney+'s "Premium" plan, which removes ads, prices surpass $10, with the total yearly cost for all three services being $41.47, if the user does not want to pay for ads on each platform.

The growing move to streaming services over time is also a detriment to all of the cable companies that currently exist, and are likely struggling to hold on. As we discussed the Diffusion of Innovations Theory, I think about how there will always be some people who are the "Laggards" of streaming services, and people have a variety of reasons not to get streaming, whether it is from not having a lot of interest in the programming or a lack of money to be able to pay for the services in the first place. No matter what the specific reason is, for every person who is using a streaming service and is not interested catching new shows on television, that is one person who will not likely continue their subscription to a big television company such as DIRECTV or Dish. Compared to streaming services, cable and satellite companies charge a lot more for access to channels. Dish charges customers $99.99 a month for it's more balanced or "better" plan, and DIRECTV's satellite plan costs $64.99 a month with added taxes and fees for 2 years. A big issue with such expensive prices is that people who use these platforms are not often watching shows on every single channel they have access to, so people on streaming are paying more than what they are actually using.

As of right now, it seems like streaming services are a good choice to make in most respects, however, streaming services such as Netflix have started cracking down on who gets access to their systems of usage. There are a variety of articles on how Netflix has gotten on users' cases for free password sharing to gain access to accounts, as Netflix wants more individuals or families to pay for their own account and access to the platform. However, this system of account management does not seem to be widespread yet.

From a personal standpoint, I like using streaming services, the main one I use being Disney+. I can watch a lot of shows I used to watch when I was younger that are no longer on television, as well as watching some of the shows and movies my parents watched when they were younger. However, as I am becoming an adult and am more aware of the responsibilities I need to take care of every day, I often feel like I don't have enough time, or I want to dedicate myself to other things. Especially since I do not have a full-time job as some other students have, I need to be careful with how I use my funds not just for things I want, but especially for what I need to purchase. The balance of being a college student always involves what I should spend time on now and what I need to devote time to later on, and money for college students is not so easily available. As for my family, we all share the Disney+ account as a family and enjoy watching it together. Being able to watch a show with loved ones brings us closer, even when a little distance keeps us physically apart. My family enjoys watching shows as a whole, but again, we, as a family, need to be careful with how much these services cost as a whole, and how much we are willing to pay for these services that we don't necessarily need.

Being really big into gaming, I frequently play on my Nintendo Switch. I am already an active member of Nintendo Switch Online, an online service for Nintendo Switch owners that enables users to play online as well as have access to classic games on certain platforms, I have to keep in mind how much money I am spending and using across the board. My current plan costs $19.99 per year, as I am on an individual plan. If, out of the blue, I were to suddenly purchase access to a Disney+ account just for myself, on the "Premium" service, no less, I would have to pay $151.87 per year. The cost of using streaming services does add up over time.

Streaming services are a good source of media consumption, but take plenty of time and investment from the consumer. A streaming service is only useful if the consumer is actively using the service. As the way we engage with our entertainment changes, consumers should think about how they can, and should, best use their money in a means to help them relax after a long day's work, to socialize with friends, and to gauge the amount of media consumption they receive. The tech we use each day is becoming more expensive to manufacture and produce, and streaming services over time are on the cheaper end of spending costs. Users should be careful of how they are spending their money, and what is worth to pay for to get an all inclusive package. From a personal standpoint, high-end game consoles, such as the PlayStation 5, fill out the recreational requirements with the ability to install and watch streaming from home, without the need for consumers to feel like they have to pay extra for external hardware. After everything is considered, it is all based on a user's personal feeling towards using a subscription service. There are plenty of resources online to help users decide how much they want to pay for a subscription, and what is the best option for streaming. We are all different people, and enjoy different forms of media. We each can watch what we want, but should be able to find a more affordable way to enjoy our content.