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JohnBarnes
JohnBarnes
8/13/2016 7:24:50 PM
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Platinum
Re: OTT channels?
Adi,

I think the more conventional economic interpretation is that a highly fragmented a la carte market means fewer choices, cheaper (the Price's Law extreme of the curve -- it's almost free but there's not much to pick between and it tends strongly to the bland), where a bundled and barriered market is much more niche-, innovation-, and diversity-friendly.  When American Magazine Distributors went out of business in the 1950s they were a near-monopoly but they offered literally thousands of combo packages to newsstands; hundreds of magazines survived only because the newstand had to buy several packages to get TIME, LIFE, NEWSWEEK, LOOK, SATURDAY EVENING POST, etc. and all those other mags were bundled with them.

The abrupt collapse killed maybe 2/3 of the nationally distributed magazines in the US, but the big ones actually declined in price in real dollar terms for most of the decade following. And the newsstand was a lot less fun to go to.

I really wonder if the media pundits of 2035 will be looking back and saying "What really killed the Second Golden Age of Television was undoubtedly XOTT's decision to offer 'full a la carte' single channel packages..."

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mhhf1ve
mhhf1ve
8/12/2016 6:51:33 PM
User Rank
Platinum
Re: OTT channels?
> "a more fragmented OTT video market = better scenario for pay TV providers"

I'm not sure I follow this thesis. If I understand correctly, this only really works out if consumers really don't like a la carte options for their video content. If ESPN goes OTT and other premium or live event video apps launch, then I'm not so sure what Pay-TV is good for unless it actually provides discount-price bundless of channels? 

Sure, it's annoying to have to seek out an HBO GO app and a AMC app and figure out if Netflix or Amazon has the rights to the previous seasons of a show you want to watch -- but if it's a choice between $9/mo or a cable bill that's nearly $200/mo...... 

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dlr5288
dlr5288
6/29/2016 9:35:24 PM
User Rank
Platinum
Re: Netflix Competitors
Good points! I too wish there was a service for everything. I hate having to have multiple services just to be able to have a more wide selection of television and movies.

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freehe
freehe
6/29/2016 12:11:35 AM
User Rank
Platinum
Netflix Competitors
This provides an opportunity for everyone - Pay-TV providers and streaming providers. Competition is good for business.

I wonder why more the number of users that downloaded content from other sites other than Netflix was higher in April, did a major event occur that caused the increase?

Companies need to make it easy for users to view content. No one wants to subscribe to multiple services because this quickly adds up and may cost the same or more than subscribing to one higher priced provider like Comcast or TimeWarner.

 

 

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freehe
freehe
6/29/2016 12:07:54 AM
User Rank
Platinum
Re: Netflix Growth
dlr5288, I wish for that too but it may take a while to get it.

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dlr5288
dlr5288
6/25/2016 1:39:27 PM
User Rank
Platinum
Re: Netflix Growth
It totally is frustrating! I wish there was just one service that had everything on it (never gonna happen.) I have Netflix and I usually use it for shows because I'm not into their movie selections.

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Adi
Adi
6/23/2016 12:23:58 AM
User Rank
Author
Re: OTT channels?
Not just you @jbtombes, I think everyone is trying to figure out how this will play out. I don't think you can just keep adding channels, that's going to create a gigantic bill, which is a key driver for cord cutting in the first place. I think you have to create one package that pulls in a substantial percentage of the high value content you get from these players. That means they have to be willing to work with the MSO/IPTV/DBS provider to create such a package. that's not going to happen today - they market has to fragment more, in my opinion anyway, and they have to face sluggish growth, maybe some financial pressures first. That's not really happening right now because there's a lot of faith in the OTT business long term. So its all a ways away I think. But fundamentally my thesis is: a more fragmented OTT video market = better scenario for pay TV providers

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jbtombes
jbtombes
6/22/2016 12:41:39 PM
User Rank
Platinum
OTT channels?
So are you talking an OTT tier of channels on pay TV platforms? The Amazon Channel? The Netflix Channel? The HBO (OTT) Channel - maybe a little redundant there... It's taking me a minute to wrap my head around this idea.

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dcawrey
dcawrey
6/21/2016 3:18:14 PM
User Rank
Platinum
Re: Netflix Growth
I can say it is a bit frustrating to have to subscribe to several services to watch what you want. Right now I have Amazon Prime Video as part of the Prime package. I also have Sling TV. I used to have Netfilx, too. But I thought that three services was more than enough for me. 

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Ariella
Ariella
6/21/2016 12:14:32 PM
User Rank
Author
Re: Netflix Growth
It's one of those things that actually creates the expanded market by offering the service.

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