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  • VideoNuze Podcast #389: Exploring Disney’s OTT Pricing Decision with GfK’s David Tice

    Friday, September 29, 2017, 11:46 AM ET
    |
    Posted by Will Richmond

    I’m pleased to present the 389th edition of the VideoNuze podcast with my weekly partner Colin Dixon of nScreenMedia.

    On today’s podcast, David Tice, SVP, Consulting at GfK, a global market research company, joins us to discuss factors Disney should be considering about how to price its OTT service that will launch in 2019.

    David has researched for several years the maximum perceived value that subscribers of Netflix, Amazon and Hulu place on these services, finding that there’s a “natural limit” of around $11 per month per service. Value perceptions have increased a bit over the past 3 years but have stayed in a relatively tight range between approximately $8-$11 per month.

    The research highlights the tight spot that Disney is in, because given the extensive content CEO Bob Iger has indicated will be included and the need to protect existing pay-TV relationships, the company will be very tempted to price higher than $11 per month, just as HBO Now has done. However, such a decision could significantly limit demand as occurred with HBO Now.

    Listen in to learn more!
     
    Click here to listen to the podcast (24 minutes, 8 seconds)



    Click here for previous podcasts.

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    Categories: Podcasts, SVOD

    Topics: Disney, GfK, Podcast

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About VideoNuze

VideoNuze is the authoritative online source for original analysis and news aggregation focused on the burgeoning online video industry. Founded in 2007 by Will Richmond, a 20-year veteran of the broadband, cable TV, content and technology industries, VideoNuze is read by executive-level decision-makers who need to get beyond the standard headlines and achieve a deep understanding of online video’s disruptive impact.

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