According to the JD Power 2024 US Television Service Provider Satisfaction Study, Virtual Multichannel Video Programming Distributors (vMVPDs) such as YouTube TV and Hulu + Live TV outperformed traditional cable and satellite television services in customer satisfaction.

The report found that, on average, live TV streaming customers are significantly more satisfied with their services compared to cable and satellite users, particularly in terms of value for money.

Streaming services received an overall satisfaction score of 625 out of 1,000, compared to 524 for traditional TV providers.

The largest satisfaction gap – 140 points – was reported in the “value for money” category. The study found that the average monthly cost for live TV streaming services is $75, lower than the $120 average for cable and satellite services.

The shift to vMVPDs is primarily driven by the attractiveness of lower costs. But according to Carl Lepper, senior director of technology, media, and telecom intelligence at JD Power, price isn't the only factor.

“Live streaming has reorganized the industry, and as it has moved forward, cable and satellite providers have worked hard to remain competitive, including exploring new revenue models to withstand cost pressures,” Lepper said.

This growing preference for streaming reflects a broader trend in the television industry.

With services like YouTube TV, which ranks first in the live TV streaming segment for the second year in a row with a score of 651, viewers benefit from both cost savings and convenience. Hulu + Live TV, the second highest rated streamer, is close behind with a score of 635.

In contrast, traditional cable and satellite providers are struggling to meet customer expectations. Spectrum, Xfinity and Verizon Fios led in their respective geographic segments but performed significantly worse than their streaming counterparts. For example, Spectrum, which topped the national cable and satellite segment, scored just 530.

Growing dissatisfaction with cable and satellite services and the steady rise of live TV streaming underscore a critical shift in consumer preferences. As vMVPDs continue to expand their offerings, traditional providers may need to rethink their business models to retain their customer base.