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State of the Screens

With $35M In Investments, TUBI TV Has Established Itself As A Leading Free Streaming Service

By January 16, 2018No Comments
What is Tubi? Tubi is an ad-supported streaming network with 7,500 TV shows and movies. Think a free Netflix supported by ads.

Tubi runs 4–5 video ads every 30 minutes or roughly 9 minutes per hour.

TV ad loads are 16+ minutes/hour, so this would be 56% of theTV ad load.

If we assume a $25/CPM, then Tubi is generating $0.45/hour/user.

A few months ago we ran a similar estimate for Netflix.

If we assumed a 16-minute ad load per hour (similar to TV), then each Netflix customer could potentially receive 48 30-second spots per day or 336 per week.

At a $25/CPM that would generate $1.20 in ad revenue per user/day or $37.20 per month.

The most expensive Netflix plan is currently $11.99 per month.

More. Facebook says people are OK with video ads that interrupt content, as long as they are short

70% watch Facebook midroll ads to completion.

The chart below shows the differences in completion rates for video ads on various platforms.

Michael Beach

Michael Beach

Michael Beach is the Chief Executive Officer of Cross Screen Media, a media analytics and software company that enables marketers to plan, activate, and measure CTV and linear TV at the local level. Michael is also the founder and editor of State of the Screens, a weekly newsletter focused on video advertising that is a must-read for thought leaders in the advertising industry. He has appeared in such publications as PBS Frontline, The Wall Street Journal, The New York Times, Axios, CNBC and Bloomberg, and on NPR’s Planet Money podcast.