Netflix is continuing to bet big on original content as a way to draw and keep subscribers, a strategy that needs to pay off as investors become increasingly wary of its growth potential in the highly competitive SVOD market segment. But it also needs to hold the line on content costs and ARPU, especially if new users level off, according to analyst firm Jefferies, citing results of a recent survey it conducted.
Netflix is setting its lineup for the summer and well into the fall, with a slate of exclusive content scheduled thanks to its relationship with Disney and its related properties-- a deal that will lock out Starz and Amazon from new Disney movies and potentially make the ongoing content licensing battle red hot.
For the first time, Netflix led the pack in a Morgan Stanley-conducted viewer survey on original content. The SVOD provider was picked by 29 percent of respondents as having the best original programming, beating out HBO, which scored just 18 percent.
Call it a performance bonus: Amazon original series Mozart In The Jungle, which debuted last year and recently walked away with two Golden Globe awards, has been renewed for a third season. Likewise, Netflix extended the run for one of its multiple award-winning shows, Orange Is The New Black, renewing the series for three more seasons.
A recent survey found that more than half of Americans use Netflix to stream content, though the streaming video on demand (SVOD) provider trails HBO in terms of original content demand, according to another study.
Netflix is continuing to plumb different content genres as it expands its library of originals, announcing that its next series to premiere will be a documentary about a high-stakes criminal case.
Looks like Jon Stewart's sojourn away from television is ending soon: The Daily Show veteran has signed a four-year deal with HBO to produce a number of projects, beginning with a series of "short-form digital content" pieces that will appear on HBO Now.
The rights just keep on comin': Amazon Prime announced that it has landed exclusive streaming rights to hit series Mr. Robot, while Netflix-- despite increased focus on original content-- nabbed global streaming rights to three more hit series, locking in Colony, Zoo, and Jane the Virgin.
As Netflix moves forward with its focus on more original series, a new study by Ampere Analysis predicts that the SVOD provider will up its spending to $6 billion before 2018 as it tracks toward a library offering 50 percent original content.
AMSTERDAM-- Traditional broadcasters and cable operators hoping to go over the top need to throw away the old business models in which the company knows what's best for its customers. Instead, they need to listen to their customers-- and own the content they provide. According to OTT-focused executives from MLB Advanced Media, Australian Broadcasting Company and others here at IBC, that's the only way they'll find success with viewers.