Slashdot Mirror
Domain: cordcutting.com
Stories and comments across the archive that link to cordcutting.com.
Stories · 5
-
Netflix May Be Losing $192 Million Per Month From Piracy, Study Claims (techcrunch.com)
An anonymous reader quotes a report from TechCrunch: As many as 1 in 5 people today are mooching off of someone else's account when streaming video from Netflix, Hulu or Amazon Video, according to a new study from CordCutting.com. Of these, Netflix tends to be pirated for the longest period -- 26 months, compared with 16 months for Amazon Prime Video or 11 months for Hulu. That could be because Netflix freeloaders often mooch off their family instead of a friend -- 48 percent use their parents' login, while another 14 percent use their sister or brother's credentials, the firm found. At a base price of $7.99 per month (the study was performed before Netflix's January 2019 price increase), freeloading users could save $207.74 over a 26-month period. At scale, these losses can add up, the study claims.
The report estimates Netflix could be losing $192 million in monthly revenue from piracy -- more than either Amazon or Hulu, at $45 million per month and $40 million per month, respectively. Millennials, not surprisingly, account for much of the freeloading. They're the largest demographic pirating Netflix (18 percent) and Hulu's service (20 percent). But oddly, it was Baby Boomers who were more likely to borrow someone else's account to access Amazon Prime Video. According to the study, 59.3 percent said they would pay for Netflix (or around 14 million people), contributing at least $112 million in monthly revenue, if they lost access. And 37.8 percent, or 2 million, said they'd pay for Hulu; 27.6 percent, or 1 million people, said they'd pay for Prime Video. -
Cable TV Price Increases Have Beaten Inflation Every Single Year For 20 Years (businessinsider.com)
An anonymous reader quotes a report from Business Insider: The pay TV industry is losing customers, but prices continue to climb. In fact, for U.S. cable TV in particular, price increases have outpaced inflation for every single one of the past 20 years, according to a recent FCC report surfaced by CordCutting.com. Every one! In 1995, cable cost $22.35 per month, on average. In 2015, it was $69.03. Now, it does makes sense for prices to go up for goods like cable as long as there is inflation. But cable's increases are more than double that of inflation. On average, cable prices went up 5.8% yearly for the past 20 years. Inflation clocked in at 2.2% per year, on average. Though there has been grumbling about the high prices of cable for quite some time, it has lately taken on a more serious air. That's because there is evidence that the pay-TV industry is experiencing a hiccup -- or the start of a long-term decline. The pay-TV industry lost 800,000 subscribers last quarter, according to the research firm SNL Kagan. "About 82% of households that use a TV currently subscribe to a pay-TV service," Bruce Leichtman of Leichtman Research said in a statement last month. "This is down from where it was five years ago, and similar to the penetration level eleven years ago." -
Netflix Cuts Out Over 6 Days Of Commercials From Your Life Per Year, Compared To Cable TV (businessinsider.com)
An anonymous reader writes: Netflix knows their customers hate ads. "We know one of the benefits of an ecosystem like Netflix is its lack of advertising," Howard Shimmel, a chief research officer at Time Warner, told Bloomberg last year. "Consumers are being trained there are places they can go to avoid ads." In response to Netflix's advertising policy, many networks have actually cut back on the amount of ads they show in an effort to lure back in the younger Netflix generation. CordCutting.com crunched some numbers and found that each Netflix subscriber saves themselves about 158.5 hours of commercials per year. Here is how they figured that out: "First, it took Netflix's recent 75 million subscriber mark. Then, it combined that with a quote from CEO Reed Hastings that said subscribers stream 125 million hours every day. That means every subscriber streams about 1 2/3 hours per day. Then it looked at Nielsen data, which showed that the typical hour of cable TV includes 15 minutes and 38 seconds of commercials. If you combine that with the Netflix subscriber data, then you get that each subscriber avoids around 158.5 hours per year of commercials -- if they were watching Netflix instead of cable TV," writes Nathan McAlone via Business Insider. -
76% Of Netflix Subscribers Think Netflix Can Replace Traditional TV (cordcutting.com)
An anonymous reader writes: It turns out plenty of people think Netflix is ready to replace their traditional TV. According to a survey on AllFlicks (Editor's note: the site is Netflix focused, so it's not really a neutral audience), 75.6 percent of Netflix subscribers said that the on-demand movies and TV shows streaming service has grown good enough to replace whatever the traditional TV has to offer. The participants, however, also noted that the streaming service still can't replace live sports coverage or the experience of the movie theater. In some other news, Netflix knows which picture and video you're likely to click. -
Netflix's Original Content Library Is Growing By 185% Each Year (cordcutting.com)
An anonymous reader writes: From Q1 of 2012 to Q1 of 2016, Netflix has added an incredible 111 original series and films. The numbers translate to an average quarterly growth rate of 34.22% and an average annual growth rate of 185.41%. And there is reason to believe that future growth rates could be even higher -- with competition coming from all sides, Netflix is likely to keep pushing more and more cash into original content. Those wondering why Netflix has grown increasingly interested in owning the shows it airs, you have to realize that not long ago the streaming company was struggling to snap any good TV show from cable channels. The New York Times' profile of House of Cards' Beau Willimon, from 2014, sheds more light into this : Around three years ago, Netflix realized it had a problem: It was paying large sums to license other people's content -- TV shows and movies produced by other companies -- in order to then show them to you, the Netflix subscriber, at home. This initially proved successful, but there were two troubling aspects to this model: 1) It left Netflix very vulnerable to competition, since the shows and movies it licensed could, theoretically, be licensed by anyone willing to outbid them, and 2) the most popular TV shows, episodic dramas like "CSI" and sitcoms like "The Big Bang Theory," were already being sold for huge deals into syndication at basic cable channels like TBS and USA. What was left to Netflix were the kind of serialized shows that don't typically play well in syndication, like "Lost" and "Breaking Bad," which have complicated story arcs that compel a viewer to watch all the episodes in order. Traditionally, while these kinds of serialized shows could be big hits in their initial broadcast runs, they proved tough sells to aftermarkets, precisely because of the demands they placed on the audience.