[et_pb_section fb_built=”1″ _builder_version=”4.9.0″ _module_preset=”default” background_enable_color=”off” background_image=”https:\/\/whatifmediagroup.com\/wp-content\/uploads\/2021\/02\/netflix.jpg” module_alignment=”center” height=”400px” height_tablet=”” height_phone=”” height_last_edited=”on|phone”][et_pb_row _builder_version=”4.9.0″ _module_preset=”default” background_color=”rgba(37,37,37,0.4)” width_tablet=”100%” width_phone=”100%” width_last_edited=”on|phone”][et_pb_column type=”4_4″ _builder_version=”4.8.2″ _module_preset=”default”][et_pb_post_title meta=”off” featured_image=”off” _builder_version=”4.9.0″ _module_preset=”default” title_text_align=”center” title_text_color=”#FFFFFF” title_font_size=”68px” meta_font=”|700|||||||” meta_text_align=”left” title_font_size_tablet=”” title_font_size_phone=”40px” title_font_size_last_edited=”on|phone” locked=”off”][\/et_pb_post_title][\/et_pb_column][\/et_pb_row][\/et_pb_section][et_pb_section fb_built=”1″ custom_padding_last_edited=”on|phone” _builder_version=”4.9.0″ _module_preset=”default” custom_padding=”|100px||100px|false|false” custom_padding_tablet=”” custom_padding_phone=”|0px||0px|false|false”][et_pb_row _builder_version=”4.9.0″ _module_preset=”default” background_enable_color=”off” custom_padding=”4px|30px|1px|30px||” locked=”off”][et_pb_column type=”4_4″ _builder_version=”4.9.0″ _module_preset=”default”][et_pb_post_title title=”off” author=”off” categories=”off” comments=”off” featured_image=”off” _builder_version=”4.9.0″ _module_preset=”default”][\/et_pb_post_title][\/et_pb_column][\/et_pb_row][et_pb_row _builder_version=”4.8.2″ _module_preset=”default” background_enable_color=”off” custom_padding=”40px|30px|40px|30px|true|”][et_pb_column type=”4_4″ _builder_version=”4.8.2″ _module_preset=”default”][et_pb_text _builder_version=”4.8.2″ _module_preset=”default” text_font_size=”18px” text_line_height=”1.4em” text_font_size_tablet=”” text_font_size_phone=”16px” text_font_size_last_edited=”on|tablet”]<\/p>\n
With much of the world facing at least another several months of pandemic-restricted entertainment options, the demand for streaming TV services seems set to continue to grow throughout 2021. And, with a year of couch surfing and binge-watching already behind them, many consumers will be seeking fresh content options this year, opening up major opportunities for challengers to the Netflix-Amazon duopoly that currently rules the streaming landscape.<\/p>\n
A recent survey from What If Media Group<\/strong> found that the majority of second-tier players in the streaming market–a category that includes Hulu, Disney+ and HBO, among others–had between 12 and 20 percent market penetration, compared to 43% for Netflix, 40.1% for Amazon Prime, and 38.3% for YouTube TV.<\/p>\n [\/et_pb_text][et_pb_image src=”https:\/\/whatifmediagroup.com\/wp-content\/uploads\/2021\/02\/CurrentSubscribers.png” alt=”Current Subscribers” align=”center” _builder_version=”4.9.0″ _module_preset=”default” width=”50%” width_tablet=”” width_phone=”” width_last_edited=”on|desktop”][\/et_pb_image][et_pb_text _builder_version=”4.9.0″ _module_preset=”default” text_font_size=”18px” text_line_height=”1.4em” hover_enabled=”0″ text_font_size_tablet=”” text_font_size_phone=”16px” text_font_size_last_edited=”on|tablet” sticky_enabled=”0″]<\/p>\n Of course, one of the chief obstacles standing in the way of any service gaining share is cost: a recent report<\/a> from What If Media Group<\/strong> found that 77.6% of consumers have a maximum ceiling of just $10 for a single streaming service, with a similar proportion\u2014 76.5%\u2014indicating that their total budget for streaming services comes in at $30 or less.<\/p>\n Based on that finding, the good news is that there is plenty of room for growth for everyone in the market. For example, even in a scenario where Netflix and Amazon Prime (both priced at $8.99\/month for basic video subscriptions) achieved 100% market share, consumers would still have room to add at least one more service. In that context, the meat in the recent announcement of the first-ever price hike for Disney+<\/a> is not in the extra dollar per month that Disney is charging for its standalone service (prices are rising to $7.99\/month), but the fact that consumers can bundle two additional services\u2014ESPN+ and Hulu\u2014for just $13.99 per month.\u00a0<\/p>\n \u201cFor today\u2019s value-focused consumers, the discounted bundled offering from Disney+ not only fits the ideal pricing model identified by our survey data but seems to be specifically designed to gain share in a landscape where some of the more established players are seen as a given,\u201d said Jordan Cohen, Chief Marketing Officer, What If Media Group<\/strong>.<\/p>\n [\/et_pb_text][et_pb_image src=”https:\/\/whatifmediagroup.com\/wp-content\/uploads\/2021\/02\/DoYouPlanToSubscribe.png” alt=”Do you plant to subscribe” title_text=”Do+You+Plan+To+Subscribe” align=”center” _builder_version=”4.8.2″ _module_preset=”default” width=”50%” width_tablet=”” width_phone=”” width_last_edited=”on|desktop” locked=”off”][\/et_pb_image][et_pb_text _builder_version=”4.9.0″ _module_preset=”default” text_font_size=”18px” text_line_height=”1.4em” hover_enabled=”0″ text_font_size_tablet=”” text_font_size_phone=”16px” text_font_size_last_edited=”on|tablet” sticky_enabled=”0″]<\/p>\n The relative strength of each company\u2019s offering can also be seen in the levels of intent from consumers around adding their services. While Netflix looks set to make additional massive gains in terms of market penetration in 2021, consumers are clearly interested in both Amazon Prime and Hulu\u2014which again speaks to the value of bundling services (with Amazon potentially capturing ecommerce customers at the same time).<\/p>\n By contrast, HBO\u2014the longest-serving \u201cadd-on\u201d option in the bunch, dating back to its days as a cable-only outfit\u2014may be in danger of being left behind in terms of perceived value for money (or, conversely, is positioning itself solely to capture more well heeled audiences, at the risk of losing \u201cMain Street\u201d consumers). At $14.99 per month, it\u2019s the highest-priced stand-alone service in the bunch, and doesn\u2019t offer the ancillary benefits seen with some of its competitors.<\/p>\n \u201cWith the market for these services becoming an every-more-intense battlefield, it\u2019s clear that providers need to be smart and aggressive to gain market share,\u201d said Cohen. \u201cThe ability to effectively compete obviously starts with a clear sense of consumer preferences around content and pricing, but goes far beyond simply assessing price sensitivity on a single offering. Knowing when to try to convince a consumer to switch services versus adding an additional one, for example, can lead to vastly different outputs from marketing\u2014and vastly different results.\u201d<\/p>\n