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Issue link: https://digital.macdirectory.com/i/1496181
meaningless and expensive measure,” he lamented Seeing the futility of winning/losing the same subscriber over and over, streaming services have turned their attention on global growth. Netflix, the only truly global producer, has commissioned new content from 44 territories since 2020, increasingly from Central Europe, Middle East and Asia. The other two tech-founded streamers (Amazon and Apple) have always been global based on the customer base of their other services/products – e-commerce, cloud services, computers, tablets, smartphones. Before and with his recent return, Disney’s Bob Iger has also placed increased attention on the global entertainment market, especially with about 47M Disney+ Hotstar subscribers and its strong presence in the EU and APAC regions. For this year, Netflix has commissioned 130 new international first-run shows and 62 features, Amazon greenlit 92 new shows and 23 features; Disney+, 45 shows and four feature films. The brutal fact is if platforms are going to find new customers, they are going to have to come from outside the States. Global platforms need to leverage the advantages the international, non-U.S. production and markets provide – lower total production cost, fewer costly and often meaningless production restrictions, international subsidies and perhaps most important, a broad range of unique, high-quality video stories that draw local and international audience attention … including the Americas. The other major streaming service policy change we were very interested in taking advantage of was subscription financial options. Reducing all of our monthly service charges – except for Apple TV+ - in exchange for a few minutes of commercials was like a 2023 bonus! Netflix and Disney’s addition of ad-supported tiers are monetizing a new segment of consumers who choose price rather than a perceived lack of content selections. For Netflix (and probably Disney), the relatively inexpensive viewing option combined with the crackdown on password sharing is increasingly appealing to password “borrowers.” In addition to helping Netflix, Disney, Paramount, Peacock and possibly WBD, once they figure out what their HBO Max/Discovery service will look like and develop a pricing strategy that focuses on the consumer rather than corporate needs; ad-supported tiers will increase the organization’s ARPU (average revenue per user) and supplemental advertising income. According to Digital TV Research, global AVoD revenues will reach $91B in 2028, up from $38B this year. The top 10 countries will represent 81 percent of the world’s total. The global availability of hybrid AVoD-SVoD tiers by Netflix, Disney+, Paramount and the possible HBO/Discovery bundle should generate a quarter of the world’s total - $22.6B by 2028.