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Research: Pay-TV’s High Cost is Creating Huge Industry Vulnerability
TiVo has released its 16th quarterly Video Trends Report (previously published by Digitalsmiths, which was acquired by TiVo in 2014) and the key takeaway is that pay-TV’s high cost is creating huge industry vulnerability that is already showing up in increased cord-cutting/cord-shaving and higher penetration and use of SVOD services. It also looks possible that interest in skinny bundles could be fueled by their low cost compared to traditional pay-TV.
TiVo found that in Q4 ’16, 17% of respondents didn’t subscribe to a pay-TV service, and of this group, 19.8% cut the cord in the last 12 months. No surprise, “price/too expensive” was the top factor influencing respondents’ decision to cut the cord, cited by 80.1% of them. But in second position was using a streaming service such as Netflix/Hulu/Amazon, which was cited by 48.3% of respondents.Categories: Cable TV Operators, Cord-Cutting, SVOD
Topics: TiVo
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Video is Quickly Becoming Bait For Wireless Carriers to Lure and Retain Subscribers
There is an unmistakable trend taking hold in the wireless industry: video is quickly becoming bait for big carriers to lure and retain subscribers. All 4 of the biggest U.S. carriers have not only launched unlimited data plans, which are being explicitly promoted for video viewing, but in addition 3 of the 4 (T-Mobile, AT&T and Verizon) are also tying in aggressive discounts on video services. As I wrote recently, all of this carrier activity will drive more widespread mobile video use.
The start of the trend can clearly be traced to November, 2015 when T-Mobile launched its Binge On program, which now allows users to watch 120+ video services without impacting the user’s data plan. T-Mobile upped the ante in late 2016 by offering AT&T subscribers who switched to T-Mobile a full year of DirecTV Now for free (a $420 value). In January, T-Mobile further tweaked AT&T by adding a free year of Hulu for these subscribers because of the launch problems DirecTV Now experienced.Categories: Cable TV Operators, Mobile Video, Telcos
Topics: AT&T, Charter Communications, Comcast, Sprint, T-Mobile, Verizon Wireless
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Survey: 23% of U.S. Adults Now Stream Netflix Daily, Quadrupling Since 2011
More data today showing the ascendance of Netflix into Americans’ lives. Leichtman Research Group’s 15th annual On-Demand TV survey found that 23% of U.S. adults now stream Netflix on a daily basis, nearly quadruple the 6% who did back in 2011. 81% of Netflix users say they watch Netflix on a TV set. And 54% of adults said they have Netflix, vs. 53% having a DVR, the first time the penetration lines have crossed (in 2011, 44% had a DVR and 28% had Netflix).
Categories: DVR, SVOD, Video On Demand
Topics: Leichtman Research Group
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Eyeview Pursues Addressable TV, Hiring Former TiVo SVP Brian Katz
Video ad tech provider Eyeview is ramping up its emphasis on addressable TV, hiring former TiVo SVP Brian Katz as its new VP, Advanced TV Insights & Strategy. Katz is charged with helping retail, CPG, auto and travel clients understand how to leverage addressable TV in conjunction with their digital campaigns. Eyeview focuses on outcome-based video marketing, with highly personalized video ads driving purchase conversion.
In an interview, Katz told me that a key part of his role will be removing the complexity of addressable TV advertising for clients and helping to educate them, in order to accelerate spending. Addressable TV has been complicated by fragmentation in the pay-TV space, where addressable set-top boxes have been rolled out at different paces by operators, making it difficult to execute and measure campaigns at scale.Categories: Advertising, People
Topics: Eyeview
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VideoNuze Podcast #360: YouTube TV’s Pros and Cons
I’m pleased to present the 360th edition of the VideoNuze podcast with my weekly partner Colin Dixon of nScreenMedia.
Earlier this week, YouTube took the wraps off its skinny bundle, YouTube TV. In today’s podcast, Colin and I explore the pros and cons of YouTube TV and also revisit our debate over skinny bundles’ value proposition. We’re both somewhat skeptical about YouTube TV, given the sheer number of popular cable TV networks missing from its lineup. But with YouTube’s massive user base and promotional opportunity, we both believe YouTube TV will attract an audience.
Listen in to learn more!
Click here to listen to the podcast (23 minutes, 51 seconds)
Click here for previous podcasts
Click here to add the podcast feed to your RSS reader.
The VideoNuze podcast is also available in iTunes...subscribe today!Categories: Podcasts, Skinny Bundles
Topics: Podcast, YouTube TV
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NBCUniversal Makes $1 Billion Commitment to Data-Enabled Ads in Upfronts
Showing growing confidence in its ability to deliver more precise ads for clients, NBCUniversal announced this morning that it is committing $1 billion of ad inventory in advance of the upfronts for clients who want to buy targeted ads across NBCUniversal’s portfolio. The move is the latest by TV networks to enable data-driven ad buying in order to better compete with digital behemoths like Google and Facebook which are increasingly pursuing traditional TV ad dollars.
With the move, NBCUniversal is guaranteeing that data-driven campaigns will deliver “precisely defined customers” on its platforms, part of its “Symphony” strategy of tapping into all of its broadcast and cable TV networks, digital properties, distribution partners, theme parks and talent.Categories: Advertising, Broadcasters, Cable Networks
Topics: NBCU
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Handicapping YouTube TV’s Odds of Success
Another day, another skinny bundle launch. Yesterday, YouTube took the wraps off its long-rumored skinny bundle, dubbed YouTube TV, which will debut in unspecified select markets in the coming months. YouTube TV has all the usual skinny bundle characteristics - low price ($35/month), many broadcast and cable TV networks included, but many missing as well (e.g. Viacom, Discovery, AMC, Turner, Scripps, A+E, etc.), and some updated web-like features (unlimited cloud DVR, recommendations powered by Google, UI that integrates YouTube content, etc.).
Fundamentally, YouTube TV’s value proposition to its target market of millennial viewers is the same as other skinny bundles: for a lower monthly price than a typical pay-TV multichannel bundle, you’ll still get access to a lot of great TV, available on all devices.Categories: Skinny Bundles
Topics: YouTube TV
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Save the Dates for VideoNuze’s Two 2017 Conferences
Please save two dates on your 2017 calendars for VideoNuze’s big annual conferences. On Wednesday, June 14th, we’ll be hosting our 7th annual VideoNuze Online Video Advertising Summit at the Westin Times Square in NYC. And Wednesday, November 29th will be our 3rd annual SHIFT // Programmatic Video & TV Advertising Summit, also at the Westin.
Last year, each of these conferences drew 425+ attendees, 50+ speakers and 16-18 sponsors. Over the years they have both become must-attend days with well-curated programs, high-impact executive speakers and extensive networking opportunities.
I’m pleased to share that FreeWheel will be the Title partner for both conferences in 2017. Other industry leaders already on board include Premier partners VertaMedia and Videology, Headline partners Beachfront Media, Cedato, SintecMedia, Smart AdServer and Vemba and Branding partner SpotX. If you’re interesting in partnering, please drop me a note.
The web sites for both conferences will be live soon and lots more information will be coming, so stay tuned.
In addition to our VideoNuze conferences, I’m excited to be producing the 3rd annual NABShow Online Video Conference, in Las Vegas on April 24-25. We have an amazing program planned, including two keynote interviews I’ll be doing, on day 1 with Jim Lanzone, Chief Digital Officer of CBS and Chief Executive Officer of CBS Interactive, and on day 2 with Michael Paull, who was just named CEO of BAMTech and was previously VP, Digital Video at Amazon where he led the Amazon Channels business.
You can save $100 on NABShow Conference FlexPass tickets using the code EP06.Categories: Advertising, Events, Programmatic
Topics: SHIFT // 2017 Programmatic Video & TV Advertising Summit, VideoNuze 2017 Online Video Advertising Summit