Evan Shapīro’s Post

Bundle in a Bungle Me, last December: “In 2024 expect the Battle of the Bundles to escalate. Every Media company with even a modicum of strategy will seek out bundle partnerships to deepen customer relationships, lower churn, and solidify their business models.” https://lnkd.in/euyx4c9U Disney & Disco Bros yesterday: “The Walt Disney Company and Warner Bros. Discovery will offer a bundle of the Disney+, Hulu, and Max streaming services in the US starting this summer, the companies said on Wednesday. Customers will be able to sign up on any of the three individual websites and chose from an ad-free or ad-supported plan. No prices were disclosed.” https://lnkd.in/eMdkgXAp Neat. EXCEPT… bundling a LOT of TV with even MORE TV is NOT going to truly address the total churn problem they’ve got. As I wrote earlier this week, more than 50% of Disney+ users DO NOT USE the service in an average month, and two-thirds of Max subs are inactive on average. THIS is why they churn. https://lnkd.in/eFRum6Pf But if these folks READ my piece at the first link, they’d KNOW that bundling is about way more than JUST video - and has been for decades. Ask Amazon - who does NOT have a #churn problem. Since the days of the triple play, bundling has been about UTILITY. Amazon knows this. Traditional Media SHOULD. But, either they never learned it (which is bonkers) or they’ve totally forgotten it… Which is why they are very likely doomed to repeat their mistakes all over again.

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Tom Wolfe

Building partnerships to power the future of Advertising

2mo
C.J. Leonard

Global Media and Ad Tech Consultant

2mo

If they are trying to be the next “cable package” to compete, it’s hard to join forces and beat the cable company/internet provider turned media company entirely when you don’t have pipes into my house. I’m biased being in the Comcast heartland. Guess they’re banking on the rest of the country and the pure play internet providers/cable companies. “Cut the cord” is a joke anymore to me, just like “tagless solutions” before prebid. I’d love to “cut the cord” but my internet costs would just go up no matter who I was with and I’m stuck paying for services that generally equate to what I was paying before but with so many more logins and hassles to deal with. I tried to bypass Xfinity and get the Starz app cheaper via the LG App Store and the app doesn’t even run. We still lack solid reliability between the OEM and their OS, content provider app dev, and internet strength. Wound up watching a show on my phone after hours of troubleshooting. We wanted “ala carte” 20+ years ago but I didn’t think this was going to be the road we took and then just loop back around.

They continue to think about saving subscribers vs. creating members which offer services other than video. Amazon gets it, hell even Costco gets it, they charge members $80 a year to be able to walk in their store to spend MORE money. Recurring Revenue Bundles are the answer, not more content.

Walter Colindres

Technical Product Manager & Executive | Expert in Native/Mobile App, Web Development & Product Strategy | B2C/B2B/B2B2C

2mo

Wait, I don't know if your comparison works... Amazon bundles utility with content. So less churn because of utility, but the streaming services suffer from _consistent good content_ or lack thereof. If they had good content all the time, then they would churn less. That's way more difficult to do due to costs, and they can't match AMZ because AMZ was built on e-comm. The video stuff is an add-on.

David Giles

Consumer Insights & Analytics | Brand Strategy & Content Development | OTT | Media Research & Measurement | Data Storytelling | ex-head Insights Viacom Music nets & NBCu Entertainment nets

2mo

Dig the Jethro Tull reference. Cable was actually decent value until they jacked the price way up over $100 (crappy tech notwithstanding.) Amazon is a diff biz model and like all the tech media disruptors they’re giving it away, by comparison. Streaming war has always been about pricing and the perception of value — is great when all virtually free (see: FAST), at traditional market rates for what long form entertainment costs to make and be profitable…it’s a whole different game. S’why you started hearing the term peak TV over a decade ago… PS, streaming wars should be renamed subsidy wars… who’s actually paying for the stuff?

Gert S.

Bridging the Media Gap | Solving Complex Media Tech Challenges | Connecting People with Media, Tech & IoT

2mo

👑 It's hard to be the content king(s) 👑 When people have told you for decades that content is king , you maybe start believing it , then more content must be better, right? And you’re 🎯: with content saturation, subscription fatigue, and users seeking convenience and affordability in their media bundle, just throwing more content out there (with likely price hikes) isn't a winning strategy in 2024. The rules have changed in the games of thrones, but some kings are still playing by the old ones. 

Deeply discounted yearly subscription, not bundling, is the solution and I will die on that hill.

Claire McCabe

LIVE Broadcast and Streaming Executive Producer | Strategic Network Executive | Unscripted Reality TV Show Champion | Docu-Story Trailblazer | Entertainment Brand Ambassador | Content Developer | Pioneering Visionary

2mo

I feel like I’m reliving cable as if it never happened…

David Ostrowski

Director of Engineering, Media/Admin Tooling at Udemy | Ex-WarnerMedia|Ex-Turner | Infrastructure/Video Streaming/ and a whole lot more

2mo

Seems like a legit strategy 🙄 It’s going to be interesting when Paramount ends up being the brand name that survives after all the shuffling is done. Zas is going to drown Warner Bros along with him. Reminds me of Ted with MGM but Ted was smart enough to not let his lust kill the entire company.

Ian Collen

Senior Producer/Editor A&E Networks

2mo

I pay for the Disney+/Hulu/ESPN+ bundle through Verizon. Am I getting money back since Hulu is now being streamed on Disney+. The Walt Disney Studios

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