In 2021, content is no longer king
Updated: Jan 29, 2021
Presented by 43Twenty
Bienvenu. Pluto TV becomes the first FAST service to launch in France. The service will launch in the country on February 8th as it seeks to scale across Europe. At its French launch, the service will boast 40 curated channels from ViacomCBS brands, as well as third-party content from international and French publishers, broadcasters, and distributors. Pluto TV is already available in three continents and 24 countries. The service is next planning to launch in Italy in late 2021. Link
Netflix now boasts more than 204 million global subscribers. The company added 37 million subscribers last year (estimated 6m), topping 200 million globally (they added 28m in 2019). Netflix plans to be cash-flow neutral this year and cash-flow positive every year after 2021 and will no longer need external financing to fund its operations. Additionally, the company will consider reintroducing share buybacks to use excess cash, the first time in a decade it would do so. Link
Solving browse fatigue. This year, Netflix’s ‘Shuffle Play’ feature will roll out to all users worldwide. Link
Gimmie the loot. Three municipalities in Georgia are suing Netflix, Hulu, and other streaming video providers for as much as 5% of their gross revenue. They cite a 2007 law that specifies that “video services” must pay a quarterly franchise fee to local governments unless they’re part of a larger internet service package or operate wirelessly. With municipal budgets cratered by the pandemic, slapping a franchise fee on cash-heavy tech companies has never been more appealing. It won’t happen. Link
And yes, Netflix still rents DVDs. The company reported $200 million in 2020, a decrease of about $100 million from the end of 2019. Link
Content is no longer king. It’s a differentiator. According to Deloitte's survey of 1,100 people in October, 46% of respondents canceled at least one streaming service in the last six months. Having exclusive content alone isn't enough to retain your customers. Viewers will cycle through your services as fast as it takes them to binge the latest series. No single company will win the streaming wars, but the ones that will fall into obscurity will be those that don't prioritize experiences. Link
The CW and the Netflix effect. On Monday, the CW’s app sat atop the list of free apps available on iOS devices, passing YouTube, TikTok, and Instagram. So why the spike? Look no further than the Netflix effect. Riding on the successful week, The CW announced their app is coming to Vizio SmartCast TVs. Link
Tubi said there were 2.5 billion hours streamed on their service in 2020, representing a 58% growth in viewership. Link
Paramount+ to debut in the U.S. and Latin America on March 4. On February 24, ViacomCBS will reveal an overview of their streaming plans and strategy for their streaming video offerings including Paramount+, Pluto TV, BET+, and Showtime. Link
Cinedigm acquires Fandor. Cinedigm has acquired independent-film streaming service, Fandor and its library of 4,600+ titles. Cinedigm plans to leverage its content library, technology, engineering, and distribution capabilities to rapidly expand Fandor’s content offering, relaunch the service’s apps and dramatically expand its distribution footprint. Link
Starz is expanding to Indonesia. The company announced plans to expand into Indonesia through branded subscription streaming video service Lionsgate Play. Link
The total number of paying SVOD subscribers has reached seven million in Indonesia, the most populous market in Asia after China and India. There are about 260 million people in the country; however, due to its geography ( an archipelago consisting of thousands of islands) and state of economic development has historically left the region underserved by streaming video services, but the deployment of cellular phone and data services is allowing OTT to catch up. Link
A MESSAGE FROM 43TWENTY
We help (DTC) streaming services and (B2B) solutions providers accelerate their OTT businesses. 43Twenty is an OTT growth consultancy and digital marketing agency. We help media, entertainment, and technology companies unlock customer growth and revenue.
Strategic Advisory - We provide boards and executives with forward-thinking strategies that drive sustainable competitive advantage and profitability.
Digital Marketing - We create custom digital marketing plans that boost online traffic and revenue for streaming services and OTT solutions providers.
CX Strategy - We help product and marketing optimize customer experiences that delight, increase customer acquisition, loyalty, and engagement.
Retention Marketing - We help streaming services strengthen their relationship with customers throughout the product lifecycle – helping reduce churn, and increasing lifetime value.
Workshops - We conduct workshops on customer-centric KPIs, which help prioritize investments and unlocks visibility into the downstream effects and impact of product development and marketing efforts.
Vendor Sourcing - We guide businesses through the maze of solutions providers that align with their business short-term and long-term business objectives.
Discover more here or send us email to schedule a meeting.
INSIGHTS
How the limited series has rapidly shifted back into focus and can sufficiently feed the need for new programming while keeping productions short and relatively budget-friendly. Link
How Discovery is walking the line between disruption and saving what’s left of TV. Link
Why free, ad-supported streaming TV bubble is nearing an inflection point. Link
Hindsight is 2020. How Fox’s decision to buy Tubi cost over $2 billion. Link
Why major networks are investing in streaming services. Link
Univision, Viacom CBS, and Canal Plus reveal key audience strategies. Link
Why Roku’s recent deal for Quibi’s catalog could be a sign of more investment into the Roku Channel. Link
Why Amazon launched its first mobile-only video plan in India. Link
Why Vevo is betting on smart TVs. Link
Why Starz is betting Netflix, Disney+ consumers will pay more for premium streaming. CNBC
How Pluto TV caters to classic television fans. Link
How Brazilian TV giant Globo is planning to compete with Netflix & Amazon. Link
How Filmrise’s proprietary data analytics algorithms have allowed it to become one the world’s largest independent providers of content to AVOD streaming platforms, reaching more than 31 million app downloads. Link
Pandemic insight: SVOD, movie transactions, churn soar; AVOD ads decline. Link
Global TV players poised for COVID rebound as streaming boom revs content marketplace. Link
IN CASE YOU MISSED IT
Ebook: Optimizing the OTT Customer Journey: Keys to maintaining Direct-to-Consumer Video Growth
We dropped an ebook called "Optimizing the OTT Customer Journey." It explains how streaming video services can increase awareness, inbound traffic, conversions, CLV, and more.
What you can expect to learn includes:
1. Why media companies need to start thinking like software companies
2. Why engagement and retention should be your biggest priorities
3. Nine engagement & #retention KPIs you should be tracking regardless if you're an ad-supported or subscription-based service.
4. How the OTT marketing funnel works
Deck: How to keep your subscribers from hurling their remote at the TV
We recently presented a workshop titled "How to keep your subscribers from hurling their remote at the TV". To attract, grow, and retain subscribers on platforms you own, scaling empathy across each touchpoint, including marketing campaigns, not only keeps consumers from launching the remote, but it is also the key to surviving the streaming wars.
Come grab a copy of the deck we presented, which delves into:
Why OTT brands must focus on product experiences vs. relying on distribution or become faced-with both revenue leakage and data loss
Why MAU is a vanity metric & how to grow subscribers/viewers with customer-centric KPIs
Specific examples citing who is doing it right, and which brands have ample room for improvement
To explore partnership opportunities with The Streaming Wars newsletter, contact TheStreamingWars@43twenty.tv
