The streaming wars are heating up with each player developing a strategy for attracting new customers while reducing customer churn.
Average annual churn rate:
1) Traditional pay-TV – 4%
2) Netflix – 7%
Quote from Tim Nollen – Analyst @ Macquarie Group:
“Netflix is very far ahead of the game with so much popular content and a brand name and a position in people’s lives…If there’s anyone traditional media company that can compete with Netflix, it’s Disney. They have consumer awareness and content that people will pay for. That doesn’t mean Disney wins and Netflix loses. It means that Disney is one of the few that can successfully play that same game.”
Quick reminder: This is who owns everything in Big Media today.
Streaming pay-TV market share in 2022 according to UBS:
1) Hulu – 35%
2) YouTube TV – 21%
3) Sling TV – 14%
4) DirecTV Now – 14%
5) Cable OTT – 10%
6) Other – 5%
7) PlayStation Vue – 1%
More #1: Netflix is not a tech company