Discussion Sony officially announces termination of Zee merger

[alec]

Disney knows it will earn more with jio than sony so wont go.
Also if disney goes with sony their masters in WSJ will woop their ***

Can u explain second point

 

[StoriesWithPK]

Well this is very wrong argument. If the issue is pricing then there are alternative strategies available - to grab eyeballs. And compensate the subscription money by advertisers. And the decline of linear is worldwide phenomenon and not just Indian market issue. World over the corporations are struggling to keep up with demands of customers and the impact of technology in broadcasting business.

so the buzz is innovation and engaging people in much wider way in comparison to traditional way - they have been operating for so long. And also let's not paint someone as villian i.e. TRAI. The pricing control is necessary - as channels were charging exuberant amounts - and was serving garbage to customers. And they doing the same - only the cost is restricted.

Having multiple channels - to hide actual viewership - was being used by discounting the high cost channels - in bouquets.

Having said that - smaller channels like Goldmines etc. are doing a very decent job on this. While the bigwigs are struggling - something to be learnt here.

The issue isn't pricing. It is distribution.

I don't know if TRAI is responsible for this or not.

Why wouldn't any broadcaster target the 400-700 million mobile devices in India?

In US, The CW get majority of their viewership from the free app.

In UK, BBC iPlayer & Channel 4 provides free programming in their apps for UK TV License holders.

Indian media companies were worried that providing free channels would eat into their linear market revenue when the audience has already shifted to digital.

Advertisers follow where the eyeball goes.

 

[Aksgr]

Can u explain second point

I think @StoriesWithPK bro can explain it better

 

[Ashok Varma]

The issue isn't pricing. It is distribution.

I don't know if TRAI is responsible for this or not.

Why wouldn't any broadcaster target the 400-700 million mobile devices in India?

In US, The CW get majority of their viewership from the free app.

In UK, BBC iPlayer & Channel 4 provides free programming in their apps for UK TV License holders.

Indian media companies were worried that providing free channels would eat into their linear market revenue when the audience has already shifted to digital.

Advertisers follow where the eyeball goes.

Top TV network Star streaming movies/programs on its app for free, still they are facing losses due to not getting sufficient ad revenue.

 

[kamathur]

Top TV network Star streaming movies/programs on its app for free, still they are facing losses due to not getting sufficient ad revenue.

Well I think just making them free will not work.
Jio Cinema is prime example for it - where primary content is free - except for premium english content.

Here STAR is making it free - but the content is stale - and when we compare it with JIO all it's releases are free. Yes, for serials they are available at a delay but free. And yes, the advertisers are flocking - as they are getting big bundle deals and eyeballs of youth on the move - not following the linear concept.

We have MX player as well - where everything is free - yet there are no takers.

So it's more about packaging and marketing in my view.

 

[Ashok Varma]

Well I think just making them free will not work.
Jio Cinema is prime example for it - where primary content is free - except for premium english content.

Here STAR is making it free - but the content is stale - and when we compare it with JIO all it's releases are free. Yes, for serials they are available at a delay but free. And yes, the advertisers are flocking - as they are getting big bundle deals and eyeballs of youth on the move - not following the linear concept.

We have MX player as well - where everything is free - yet there are no takers.

So it's more about packaging and marketing in my view.

Free is for publicity (like Jio cinema), but not sustainable for long term. See Netflix strategy, acquiring big movies, stream for premium.

 

[StoriesWithPK]

Can u explain second point

Bob Iger at the Q3 or Q4 earnings said they're looking for a joint venture. Merging with Sony would still make them look clueless.

 

[StoriesWithPK]

Top TV network Star streaming movies/programs on its app for free, still they are facing losses due to not getting sufficient ad revenue.

Didn't they start this only a couple of months ago?

Time spent is the most valuable metric. Hotstar needs to condition its users to keep spending more time on their app. It's a habit and it takes time but will be successful in pushing ad revenue in the long run.

 

[dino29]

Top TV network Star streaming movies/programs on its app for free, still they are facing losses due to not getting sufficient ad revenue.

They r in loss bcoz of Sports Rights Investment Cost being high and same not yielding desired returns otherwise both TV and OTT business of Disney-Star is growing and profitable....both subscription and ad revenues r up compared to last fiscal/year even though same is not the case for many other broadcasters......please atleast understand the details of their financial report card before making such statements

 

[dino29]

Well I think just making them free will not work.
Jio Cinema is prime example for it - where primary content is free - except for premium english content.

Here STAR is making it free - but the content is stale - and when we compare it with JIO all it's releases are free. Yes, for serials they are available at a delay but free. And yes, the advertisers are flocking - as they are getting big bundle deals and eyeballs of youth on the move - not following the linear concept.

We have MX player as well - where everything is free - yet there are no takers.

So it's more about packaging and marketing in my view.

Freedmium business model which differs for mobile, connected tv subscribers is the right approach