| COMMENTS (2) | | 07/20/2009 | | It's important to separate paid content revenue offered by NetFlix and cablers, from paid content offered by independent producers. In either case, premium content will attract paying customers, but smaller producers will need to offer more free content on the front-end. In any case, the golden goose for all producers and networks is paid subs + ad revenue. |
| | 07/16/2009 | | Remember when everything on the web was free! Well think again; paid subions to view content on the web is taking a dramatic turn says Strategy Analytics' digital media analyst, Martin Olausson, predicting that "paid online video segment will reach $3.8 billion in 2009."
While the free online video segment continues to be quite a business at $3.5 billion this year, as one can surmise paid subions will out pace this by a good clip. Research indicates that through 2012 paid subions, which includes download-to-own, rental and subion services, will continue to outpace free video online at 39% compound annual growth, compared to free video at 37%.
This trend indicates that the Cable Industry will continue to close ranks in offering exclusive video content online as evidenced by the Com/Time Warner "TV Everywhere" trial with 5,000 customers. As stated in earlier blogs, content will be king in the future and cable companies will be solidifying the exclusiveness of preferred content to increase revenues in an effort to keep consumers from "jumping ship".
|
|
|