Traditional TV will disappear within ten years
Netflix has Stranger Things to thank if the latest company-related news isn't totally bad.The streaming service lost nearly a million subscribers in the last quarter. While the figure is undoubtedly considerable, it was not the bloodletting that the company expected. The company had in fact calculated that it could lose just under two million users, but Stranger Things has partially prevented many from abandoning the ship. However, it remains very likely that sooner or later these people will leave: the question is where.
Even if a particularly successful series or blockbuster movie can hold users back for a while, with entry to the market for new streaming services such as Disney +, alternatives become more and more tempting. Then there would also be the old linear television - the traditional one, tied to the channels and schedules established by the broadcasters - but according to Reed Hastings, the CEO of Netflix, in a decade this mode of use will no longer represent a problem for society. : "The end of linear TV will undoubtedly come in the next 5-10 years," he said during the videoconference for the presentation of Netflix's financial results for the second quarter of this year.
Hastings is not entirely wrong: viewers have been losing interest in linear TV for some time now. The phenomenon, however, now also affects Netflix. And while other streaming companies may recognize the benefits of the trend, they have to contend with competition from other forms of viewing. Viewers are already feeling overwhelmed by the wide choice of streaming services on the market - how long will it take before they give up and decide to focus only on content from TikTok, Instagram, and other feeds they already watch while a movie or series in streaming continue in the background?
Obviously, we are not facing the end of the stream. People will continue to want to see movies and TV series. The latest data on Netflix, however, show that the time for the surrender of the counts is coming, unless it has already begun. Streaming has been a godsend for the companies and production houses that populate the content services, but viewers are now close to the limit. And Stranger Things will not bea> able to go on for twenty seasons.
This brings us to the other recent announcement from Netflix, namely the project to soon introduce a subscription plan in collaboration with Microsoft that includes the insertion of advertising. Although the company has not yet disclosed the cost of the subscription in which advertisements will be included, in all likelihood the plan will be cheaper than the standard one. In the letter sent by the company to shareholders for the second quarter, Netflix said they are "excited about the opportunity to combine our engaged audience and our high-quality content, which we believe will attract CPM [cost per thousand, a metric used in the advertising sector, ed.] of high level by advertisers ". Netflix's plan may prove to be a viable alternative for viewers, but it also looks very similar to TV.
This article originally appeared on sportsgaming.win US.
Comcast Advertising Reveals How Free Ad-Supported Streaming TV (F.A.S.T.) is Changing the TV Advertising Landscape
New Report reveals that F.A.S.T. penetration has doubled since last year, as consumers turn to FAST channels for a lean-back, TV-like experience.
Report recommends F.A.S.T. advertising as a complement to traditional TV and streaming advertising.
Today, Comcast Advertising released a new report entitled 'Free Ad-Supported Streaming TV: Why More Advertisers (and Consumers) Are Going F.A.S.T.' The report highlights the rise of free ad-supported streaming TV (F.A.S.T.) and its value to advertisers today as a complement to traditional TV and streaming advertising plans.
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Comcast Advertising Reveals How Free Ad-Supported Streaming TV (F.A.S.T.) is Changing the TV Advertising Landscape (Photo: Business Wire)
As one of the newest forms of over-the-top (OTT), F.A.S.T. provides consumers with streaming services that also feature linear-style channels, encouraging a lean-back experience and content discovery that mimics traditional TV viewing.
According to the report, F.A.S.T. penetration among households has more than doubled year-over-year. Today, six out of 10 households who have connected TVs are using F.A.S.T. services exclusively or in addition to other services – getting a TV-like viewing experience without the costs or logins required for linear TV or paid streaming.
'F.A.S.T. is a rapidly growing ad-supported medium for consumers to watch and discover premium streaming content in an environment that mimics linear TV,' said James Rooke, President, Comcast Advertising. 'As advertisers look to efficiently maximize their reach in an increasingly fragmented viewing landscape, F.A.S.T services are a valuable complement to traditional TV and other AVOD streaming options as part of a holistic multi-screen media plan.'
The report looks at new trends from F.A.S.T. provider XUMO and reveals that the average XUMO user spends about 104 minutes within the platform once they have entered. Many consumers may be landing on F.A.S.T. channels without even realizing it, as many are programmed directly into the channel guide by TV manufacturers. Not surprisingly, 70 percent of XUMO users are cord cutters, relying on XUMO as a complement to subscription video-on-demand (SVOD) services.
According to the report, advertisers and programmers alike are seeing the value of F.A.S.T services today. According to Horizon Media, 'the F.A.S.T. industry has grown exponentially and overlaps quite a bit now with what traditional TV has to offer in terms of both content and audience. Advertising on F.A.S.T. allows us to reach our targeted audience and is a valuable complement to our TV budget.'
Amanda Garcia, Senior Director of Partnerships at Paramount+, adds, 'As customers find more ways to watch the content they love across a mix of services, F.A.S.T. channels have become a key part of our media mix for acquisition and awareness, as well as targeted campaigns to super-serve key audiences.'
To read the full report, 'Free Ad-Supported Streaming TV: Why More Advertisers (and Consumers) Are Going F.A.S.T.' please click here.
About Comcast Advertising
Comcast Advertising is the advertising division of Comcast Cable. As a global leader in media, technology and advertising, Comcast Advertising fosters powerful connections between brands and their audiences as well as among publishers, distributors, MVPDs, agencies and other industry players. Effectv, its advertising sales division, helps local, regional and national advertisers connect with their audiences on every screen by using advanced data to drive targeting and measurement of their campaigns. FreeWheel, its media and technology arm, provides the technology, data enablement and convergent marketplaces required to ensure buyers and sellers can transact across all screens, across all data types and all sales channels, in order to ensure the ultimate goals – results for marketers. Comcast Cable, along with NBCUniversal and Sky, is part of the Comcast Corporation CMCSA. Visit http://comcastadvertising.com/ to learn more.
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