And let’s not ignore the monkey in the room: YouTube, which dominates all the streamers for eyeballs – YouTube (Google) has more live sports than any of the other streamers. Just for context, there is a massive amount of money in these deals: the recent NBA media rights deal is going to be 70B+ – split across a number of media partners. All the streamers took a similar GTM strategy – and they’ve led us back to 2001.”
Disgruntled consumers dumping cable/ satellite carriers sought other outlets for their spots viewing for NFL, NBA, NHL and NCAA. Leagues responded so we now have special placement games for YouTube, Amazon Prime, Apple, Disney and Google. And the Xmas season cornucopia of games. Watching whatever you wanted. The strategy was to compete on bidding for original content to bring in the subscribers.
Then a funny thing happened. It was now only some of what you wanted. The expansion of carriers pissed off viewers just as much as the arbitrary cable companies. the magic solution of cable cutting is now the tragic solution. Explains Dowbiggin, “The original product fit for streaming was the promise of all the content you could need was in a single place, on-demand. You only needed Netflix (in a sense) and you never had to wait or choose what to watch. Once the market fragmented into multiple players, the fit evaporated. Half the problem that was solved by streaming was now gone:
Watching whatever you wanted. It was now only some of what you wanted. The streamers GTM strategy was to compete on original content to bring in the subscribers. But creating content and not consolidating content exasperated the issue.”
The latest strategy is to bundle services across outlets to give consumers easier packaging. Says Dowbiggin, “Will bundling partnerships change things? It can’t hurt. But unless it drastically shrinks the numbers of players at the top to 2-3, the problem of ‘watching whatever you want’ won’t be solved, because I’ll still need Disney for my Star Wars.
All I know is, I’ve kept my library card for years, because I always saw this coming. And I don’t plan on getting rid of it anytime soon.”
Bruce Dowbiggin @dowbboy is the editor of Not The Public Broadcaster A two-time winner of the Gemini Award as Canada’s top television sports broadcaster. His new book Deal With It: The Trades That Stunned The NHL And Changed Hockey is now available on Amazon. Inexact Science: The Six Most Compelling Draft Years In NHL History, his previous book with his son Evan, was voted the seventh-best professional hockey book of all time by bookauthority.org. You can see all his books at brucedowbigginbooks.ca.