VideoNuze Posts

When HBO Now launched in April, 2015, its $14.99/month price was well above competing SVOD services such as Netflix ($11.99/month), Hulu (ad-free $11.99/month) and Amazon ($8.99/month or included with Prime for $99/year). On the one hand, an argument could be made that an HBO subscription is more valuable due to HBO’s rich library and therefore should be priced higher than newer competitors. But HBO’s market-skimming high price strategy means its more aggressively priced competitors are growing far faster than HBO, enabling them to have greater scale, which will be the key to future success.

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I'm pleased to present the 349th edition of the VideoNuze podcast with my weekly partner Colin Dixon of nScreenMedia.

DirecTV Now, the latest skinny bundle to launch, was unveiled on Monday. In this week’s podcast, Colin and I provide our initial assessment. Given AT&T CEO Randall Stephenson’s bold reveal a few weeks ago that it would include over a 100 channels for just $35/month, there’s been a lot of anticipation that DirecTV Now could be a genuine industry disruptor.

Well, it turns out the 100+ channels are actually available at $60/month (the “Go Big” tier), though temporarily on special for $35/month. However, the base tier (“Live a Little”), which includes 60+ channels, turns out to be pretty decent itself, especially with a very aggressive $5/month HBO offer. What’s gained by moving up to Go Big for an extra $25 is actually not that impressive.

Still, as we discuss, with no DVR, limited VOD, scarce broadcast TV (and no CBS at all) and a 2-stream cap, DirecTV Now feels like a niche product. At least for now, that means it will have little impact on incumbent pay-TV operators, tamping down concerns it could roil the industry. Skinny bundles still have lots of challenges, though 2017 is going to be an active year, especially with Hulu and YouTube coming, so it will be worth keeping a close eye on whole category.

Listen in to learn more!
 
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In a move that was long, long overdue, Netflix announced yesterday that it was enabling downloading of content to iOS and Android mobile devices. Not all shows and movies are available for download, but importantly, it looks like most, if not all, of Netflix’s original productions are included. I tried downloading  last night and it worked perfectly.

I’ve been saying since 2012 that downloading is a bona fide killer app, after I first started using TiVo’s excellent downloading feature to watch recordings on my iPad when traveling. Amazon totally understood the value of downloading as well, enabling it back in September, 2015. In a press release that both touted the new feature and implicitly tweaked Netflix, Amazon proclaimed it as “The First and Only Subscription Streaming Service to Offer This Feature.”

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The SHIFT // 2016 Programmatic Video & TV Advertising Summit is tomorrow, Wednesday, November 30th in NYC. If you've been debating whether to attend, this is your last chance to decide. Here are some incentives:

Over 50 industry leaders will be speaking on 12 sessions. Executive speakers represent companies including A+E Networks, ABC, Business Insider, Conde Nast, Fox Networks, GroupM, Havas Media, Horizon Media, Initiative, Magna Global, Roku, Spotify, Turner, Univision,The Weather Company, Xaxis plus many others.

Our 2 amazing keynote guests are Dan Lovinger, EVP, Advertising Sales, NBC Sports Group, who will be interviewed by Mike Shields from the Wall Street Journal and Amanda Richman, President, Starcom USA, who will be interviewed by Matt Spiegel, SVP, MediaLink.

Over 400 industry colleagues are registered, guaranteeing a premier day of networking and learning.

All paid registrants are entered to win 1 of 3 Roku Ultra 4K players. Perfect for yourself or for a stocking stuffer gift this holiday season.

Many thanks to our 16 generous sponsors including Premier Partners Altitude Digital, AOL, SpotX, VertaMedia and Videology; Headline Partners Alphonso, Beachfront Media, Cedato, FreeWheel, Operative, Placemedia, Teads, TiVo and WideOrbit; and Branding Partners JW Player and Roku.

Please join us!

Learn more and register now!

Our SHIFT // 2016 Programmatic Video & TV Advertising Summit is coming up just 1 week from today, on November 30th in NYC.

eMarketer is forecasting that programmatic video & TV ad spending will more than double from $6.9 billion in 2016 to $15 billion in 2015. eMarketer’s senior analyst Lauren Fisher will kick off SHIFT, presenting her analysis behind the forecast, including key drivers and challenges. Lauren will then join a panel moderated by Operative’s CEO and founder Lorne Brown, which will further explore the big trends driving programmatic.

Following will be 11 sessions throughout the day, covering all of the most important aspects of programmatic video & TV. Automation and data are poised to be a much bigger part of video & TV advertising, as the entire industry responds to buyers’ shifting preferences and the influence of leaders like Google and Facebook.

Our morning keynote interview is with Dan Lovinger, EVP, Advertising Sales, NBC Sports Group and our afternoon keynote interview is with Amanda Richman, President of Starcom USA. In addition, Lisa Valentino, SVP, Network Sales and Partnerships, Conde Nast & Chief Revenue Officer, Conde Nast Entertainment will be featured in an afternoon spotlight fireside chat.

All SHIFT paid attendees will be entered to win 1 of 3 Roku Ultra 4K players, generously provided by Roku. Additional discounts are available on 5-packs and 10-packs. And, startups and students can register for the reduced $245 ticket (contact me for the code).

In addition to SHIFT’s high-impact program, there will be lots of great networking opportunities with speakers and hundreds of attendees.

Please join us for this top-notch day of learning and networking around programmatic video & TV.

Learn more and register now!

And have a Happy Thanksgiving!

Evidence of Amazon’s expansive video ambitions is everywhere these days. The company has transformed itself into arguably the most influential industry player heading into the new year. There are now so many Amazon video initiatives, it’s getting hard to keep track.

First and foremost, it’s critical to understand the most important attribute Amazon is bringing to bear in video, that enables everything else and makes it such a formidable new competitor: its unique business model, based on Prime. As Amazon CEO Jeff Bezos explained in a Recode interview this past summer (see 37:32 cue point), Prime has become a “physical digital hybrid membership program that is unlike anything else.” Bezos clearly spells out how video helps drive new Prime memberships and retention. Prime members are more loyal to Amazon, purchasing more products.

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Brands, publishers and celebrities are all experimenting with Facebook Live, to see how live-streaming can help them connect with their target audiences. One interesting example that hit my radar is Lowe’s home improvement stores, which, this past Saturday night, used Facebook Live to broadcast a 45-minute show featuring HGTV’s “Property Brothers” to reveal a sample of Black Friday sale items.

In the video, Drew and Jonathan Scott open a series of boxes which often contain gentle pranks (e.g. a marching band, confetti, puppies, etc.) as well as actual products that will be on Black Friday sales (e.g. wine chiller, combination tool kit, Roomba vacuum cleaner, etc.). For much of the video, the brothers are ad-libbing, casually jibing each other and keeping the show moving along.

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I'm pleased to present the 348th edition of the VideoNuze podcast with my weekly partner Colin Dixon of nScreenMedia.

We lead off this week with a cord-cutting update, based on reported Q3’16 results from the 11 largest pay-TV operators in the U.S. Video subscriber losses expanded a bit, to 255K in Q3 ’16 vs. 210K in Q3 ’15, with a continuing shift to cable operators and away from satellite and telco. As I wrote on Wednesday, depending on how the DirecTV Now, Hulu and YouTube skinny bundle launches in 2017, subscriber losses could accelerate.

We then shift to discussing new TiVo survey data that provides insights about online video viewers’ tolerance for ads. As Colin points out, despite respondents stating they have a low tolerance, their behavior suggests otherwise. That suggests there’s more potential for ad-supported premium video, in addition to the SVOD model that has thrived.  

Speaking of ads, I also point out the surprising research from Brightcove this week, that 46% of people who watched a branded video on a social platform then made a purchase. That’s the kind of performance that gets marketers’ attention and could portend an increase of more TV ad dollars moving to social.

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