Posts for 'NBCU'

Last Friday afternoon CNBC reported that NBCUniversal is “leaning toward” making the free, ad-supported version of Peacock, its upcoming streaming service, free, with everyone getting unrestricted access. This would be a change from restricting it to Comcast’s cable and broadband subscribers only, as originally intended. The ad-free version would still carry a fee.

Which direction Comcast decides to go will say a lot about whether it sees Peacock’s primary role as helping Comcast grow and defend its core cable/broadband business, or having NBCU become a bona fide competitor in the “streaming wars” developing with Netflix, Amazon, Disney, WarnerMedia, Apple, etc. How should Peacock’s value be optimized - by restricting access to serve the Comcast’s cable/broadband business, or to be guided by the market and help NBCU build Peacock into a large OTT business?

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NBCUniversal’s SVOD service will be known as “Peacock” and will launch in April with over 15,000 hours of content. As expected, classic shows like “The Office” and “Parks and Recreation” will be exclusively on Peacock, along with “30 Rock,” “Cheers,” “Frasier,” “Will and Grace” and numerous others.

Peacock will be available both ad-supported and ad-free, though NBCUniversal didn’t announce any pricing just yet (Peacock will be included at no charge for Xfinity subscribers). SVOD pricing has been under pressure since Disney announced initial Disney+ pricing at $6.99/month, with Apple TV+ following at $4.99/month. HBOMax is likely to be at the high end around $14.99/month.

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Perhaps the most noteworthy thing about Netflix’s solid Q4 subscriber growth was the company’s ongoing success with a pure ad-free subscription model. Netflix is becoming even more unicorn’ish among big video providers in completely eschewing ads. Virtually every other major video provider (aside from established premium TV networks like HBO, Showtime, etc.) is reliant, at least in part, on advertising (Amazon’s ad-free approach gets an asterisk because of the outsized role Prime/free-shipping still plays - and even Amazon is now integrating ads in various ways, see below).

In fact, though we’re barely a month into 2019, there are signs everywhere of advertising’s growing role in the future of the video industry.

Consider just the following:

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I’m pleased to present the 451st edition of the VideoNuze podcast, with my weekly partner Colin Dixon of nScreenMedia.

First up this week we talk about Sling TV’s new initiative to promote third party SVOD services, including to consumers who aren’t  subscribers to its underlying virtual pay-TV service. Colin and I differ about its potential and whether Sling TV has “permission” to pursue this. We debate the upside of a separate new Sling TV initiative to provide a layer of free on-demand content. We also dig into Hulu’s new emphasis on SVOD aggregation which seems promising to both of us.

We then shift to discussing NBCUniversal’s plan to launch its own direct-to-consumer (DTC) service for non pay-TV subscribers. Colin is somewhat underwhelmed, while I think it’s a step in the right direction and too early to tell how aggressive the offer will turn out to be.  

Less than 3 weeks into the new year, it’s clear that big video providers are continuing to experiment and jockey for position.

Listen in to learn more!

 
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Last Friday, NBCUniversal officially launched WatchBack, an iOS-only video app that’s meant to gather data on viewing behaviors while offering users a broad range of content and the opportunity to win weekly sweepstakes. It’s an intriguing new spin on how content providers can mine value from direct-to-consumer apps in order to optimize their programming.

I spent a little time with WatchBack and found it to be easy to use with a variety of content providers and programs to choose from. Upon opening the app for the first time, I was asked to register, primarily so I could begin participating in the weekly sweepstakes. However I was able to proceed without registering, though I was required to select my 3 favorite genres, so WatchBack could start recommending content.

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A critical challenge facing video providers is how to balance distribution of their content on platforms vs. on their owned & operated properties. At the recent VideoNuze Online Video Ad Summit, we dug deeply into this topic in a session featuring Trevor Fellows (EVP, Digital Sales and Partnerships, NBCUniversal), Paul Kontonis (Chief Marketing Officer, WHOSAY Viacom), Blake Sabatinelli (CEO, Newsy E.W. Scripps) with Lorne Brown (CEO, Operative) moderating.

Each of the panelists did an excellent job articulating the specific benefits they seek out in platform deals such as incremental reach, enhanced branding and stronger monetization. They talk about how platform distribution deals work and why advertising is central, the role of data and demographic fit, why producing compelling, premium content is paramount, how they choose to allocate finite resources among various platforms and why scale matters so much, among other topics.

For anyone considering how to monetize video everywhere, while maintaining a strong O&O presence, the session is really valuable.

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I’m pleased to present the 409th edition of the VideoNuze podcast, with my weekly partner Colin Dixon of nScreenMedia.

On this week’s podcast we dig into NBCUniversal’s decision to reduce the number of ads in commercial pods by 20% and ad time by 10% across all its networks in prime time. Colin and I agree that it’s a clear recognition that the traditional TV ad experience isn’t sustainable for viewers or advertisers.

But how the move will ultimately work out for NBCUniversal isn’t clear. Colin is skeptical that the math is going to add up, citing larger industry headwinds, such as Netflix’s massive content investments, that will keep depleting TV audiences. While the challenges are steep, TV does have certain inherent advantages and the move is a start in the right direction. It will be fascinating to see how things unfold.

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Yesterday, NBCUniversal announced plans to reduce the number of ads in commercial pods by 20% and reduce ad time by 10% across all its networks in prime time. The move will almost certainly meet its goals of creating a better viewer and advertiser experience. But an overarching question is whether it will ultimately benefit NBCUniversal and the broader TV industry? The answer to these questions lie in whether NBCUniversal can make the math work on fewer ads and less ad time.

Obviously it’s a risky move for any business to reduce the quantity of what it sells, betting that customers will be willing to pay more for a scarcer resource. But basic laws of supply and demand are in NBCUniversal’s favor: when supply is reduced, then even at constant demand, prices should rise.

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Our afternoon keynote interview at the recent SHIFT // Programmatic Video & TV Ad Summit was with Mike Rosen, EVP, Portfolio Sales and Strategy, NBCUniversal. Mike was interviewed by Matt Prohaska, CEO and Principal, Prohaska Consulting and shared a fantastic insider’s look at how the TV industry is evolving.

Mike discussed a range of topics including how NBCUniversal has organized itself around audiences instead of verticals with content a key focus, how he defines the term “programmatic,” why data comes up in every single meeting and how it feeds NBCU’s optimization platform, what the “new” currency is and the challenge of giving up legacy approaches, which industries are adopting custom segmentation approaches first, how to overcome attribution challenges and much more.

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I’m excited to share that Mike Rosen, EVP, Portfolio Sales and Strategy, NBCUniversal and Jon Stimmel, Chief Investment Officer, Universal McCann, will be our keynote speakers at our 3rd annual SHIFT // Programmatic Video & TV Ad Summit on Wednesday, November 29th in NYC.

Mike will be interviewed by Matt Prohaska, CEO and Principal of Prohaska Consulting, focusing on how NBCUniversal is innovating with programmatic. NBCUniversal has moved aggressively to enable ad buyers to use data and technology to buy its inventory. It most recently announced Target as its first self-serve programmatic client for national inventory, powered by 4C Insights. In addition to discussing NBCUniversal’s own efforts, Mike will address how TV networks can embrace programmatic to compete more effectively.

Jon will be interviewed by Matt Spiegel, Managing Director, Marketing & Technology Solutions at MediaLink about how UM is driving clients’ business outcomes with automation and data-enablement for video and TV ad buying. Jon will also address more broadly how programmatic is impacting agencies and what they should be doing to adapt and succeed.

Mike’s and Jon’s keynote sessions highlight a jam-packed day of exciting sessions covering all aspects of programmatic video and TV. I’ll be posting the full SHIFT program shortly.

Early bird registrants save $100, with all eligible to win one of three Roku Ultra 4K Streaming Players. Further discounts are available on 5-packs and 10-packs. Startups and students can register for a reduced $245 ticket (contact me for the code).

I hope you’ll join us for this must-attend day of learning and networking!

Learn more and register now!

NBCU is enabling clients to buy national TV ads using a self-serve programmatic TV approach. The new private market arrangement is powered by technology provider 4C. NBCU already works with AOL, TubeMogul and Videology to enabling programmatic buying of its ad inventory. The first client using the self-service approach is Target, which will be able to meld its first-party customer data with NBCU’s own audience data to target certain viewers with ads.

Target’s agency of record is GroupM’s Essence, which is where Adam Gerber, formerly SVP of Client Development and  Communications at ABC, was recently appointed SVP of Investment for North America.

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Everyone in the video industry is focused on data these days, whether to help target ads, develop more relevant content, improve viewer experiences or compete better. At last week’s VideoNuze Online Video Ad Summit, our panel “The Data Gold Rush: How Investments Are Paying Off,” delved into where specific investments are being made, what’s working, where key challenges remain, how companies are staffing their data initiatives and lots more.

The session included Gabe Bevilacqua (SVP, Product Management, Viacom Vantage), Denise Colella (SVP, Advanced Advertising Products & Strategy, NBCUniversal), Adam Shlachter (President, Global Innovation, PMX, Publicis Media), Catherine Warburton (Chief Investment Officer, MDC Media Partners), with Scott Ferber (Chairman and CEO, Videology) moderating. With both media and agency executives on the session, lots of contrasting insights were raised.

Watch the video (36 minutes, 5 seconds).

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I’m pleased to present the 366th edition of the VideoNuze podcast with my weekly partner Colin Dixon of nScreenMedia.

Once again, we’d like to thank our podcast sponsor Akamai Technologies, which will show its Media Acceleration capabilities and range of cloud-based solutions at the NABShow in Las Vegas, in booth SL3324. Click here to schedule a meeting.

This week rumors of two more online TV services surfaced on Bloomberg - one is an alliance of AMC, Discovery and Viacom and the other, from NBCU, would include programs from the company’s broadcast and cable TV networks. Both services appear to be in the mold of CBS All Access, with the AMC/Discovery/Viacom service being positioned as a sports-free and offered by pay-TV providers. Bloomberg said it was too early to tell whether sports or a linear feed of NBC would be included in the second.

At first blush, Colin and I are intrigued by both as they appear to target “entertainment-only” viewers who don’t care about sports. Netflix and Amazon, among others have been super-successful targeting this entertainment-onlys and we both believe there’s still growth available for additional services. We discuss the opportunity as well as potential stumbling blocks in this week’s podcast.

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Showing growing confidence in its ability to deliver more precise ads for clients, NBCUniversal announced this morning that it is committing $1 billion of ad inventory in advance of the upfronts for clients who want to buy targeted ads across NBCUniversal’s portfolio. The move is the latest by TV networks to enable data-driven ad buying in order to better compete with digital behemoths like Google and Facebook which are increasingly pursuing traditional TV ad dollars.

With the move, NBCUniversal is guaranteeing that data-driven campaigns will deliver “precisely defined customers” on its platforms, part of its “Symphony” strategy of tapping into all of its broadcast and cable TV networks, digital properties, distribution partners, theme parks and talent.

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NBCU is balancing audience-based targeting conducted though a variety of data and platform initiatives with ads sold the traditional way, based on context and Nielsen metrics. That was one of the key takeaways from a keynote with Dan Lovinger, NBCU’s EVP, Advertising Sales, NBC Sports at our recent SHIFT // Programmatic Video & TV Ad Summit.

In a wide-ranging interview with Wall Street Journal senior editor Mike Shields, Dan discussed how NBCU’s Audience Targeting Platform (ATP) enables the company to re-optimize upfront buys across its entire portfolio, using its own data. Dan contrasted ATP with the company’s recently-launched NBCUx for Linear TV, which allows advertisers to bring their own data and then review all available scatter inventory to create an audience-targeted media plan.

As Dan explained, both approaches are meant to give advertisers more flexibility and efficiency in reaching desired audiences. While the use of data is core, Dan sees data more as a commodity, with the real value being how and where it’s being applied. And while audience-based targeting is gaining momentum, Dan noted that context is still very important and many advertisers remain focused on that.

In the interview Dan also discussed how NBCU is expanding its access to more digital inventory via deals with BuzzFeed and Apple News. He also elaborated on digital viewership in the recent Rio Olympics and how those ads were sold, especially how NBCU structured deals with both Facebook and Snapchat. Dan also highlighted how NBCU has reduced its ad loads in VOD and is very focused on optimizing the viewer’s experience, among other topics.

NBCU has become a leader in the use of data and automation to mine more value from its broad portfolio of networks and digital inventory. Dan’s interview offers great insights about how NBCU is thinking about data and evolving its business going forward.

Watch the keynote interview

I'm pleased to present the 336th edition of the VideoNuze podcast with my weekly partner Colin Dixon of nScreenMedia.

Like tens of millions of others, Colin and I have been watching our fair share of the Olympics. And like lots of others as well, instead of watching on linear TV, much of our viewing has been via the NBC app. Although linear TV viewing of the Olympics is down this year, NBC has reported that over 2 billion minutes have been streamed.

That reflects a broader shift in viewing behavior over the last few years as consumers move from linear to on-demand viewing using various devices. Colin and discuss the implications of this and what we might see in 2020.

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One of the big benefits of online video advertising is vastly improved audience targeting beyond typical demographics found in traditional TV.  TV networks are responding by investing significantly in data and audience segmentation to stay competitive.

What they’re prioritizing, how they’re overcoming key challenges and how these efforts synch with online video and other digital initiatives were all in focus at our recent Video Ad Summit session, “Optimizing Video Ad Targeting Through Data and Insights.”

The panel featured Gabe Bevilacqua (VP, Product Management, Viacom Vantage), Denise Colella (SVP, Advanced Advertising Products & Strategy, NBCU), David Ernst (VP, Audience Measurement & Innovation, Discovery Communications), Mark Gall (Chief Revenue Officer, Alphonso), Vikram Somaya (SVP, Global Data Officer, ESPN) with Mike Chapman (Managing Partner, Accenture Strategy) moderating.

For anyone seeking a better understanding of how TV networks are moving beyond purely demographic-based targeting, the session offers a ton of insights.

Watch the video below (33 minutes, 23 seconds).

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Yesterday I had the pleasure of moderating a super session at INTX 2016, the cable TV industry’s annual trade show. The title was “Is Content Really King? Understanding the Value of Platforms in a Crowded Video Space.” The session included Steve Shannon (GM, Content and Services, Roku), Evan Shapiro (EVP, Digital Enterprises, NBCU) and Matt Strauss (EVP/GM, Video Services, Comcast Cable).

It’s no secret that there’s more great video to watch now than ever. That’s created challenges for viewers to find what they want and for content providers to fully monetize their ever-growing production investments. That’s why the role of platforms is increasing in importance.

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AT&T has partnered with video ad tech provider Videology to enable advertisers to buy ads on linear TV across over 130 different cable TV networks in 26 million DirecTV and U-Verse homes. At Videology’s Full Frontal Video event in NYC this morning, I did an on-stage interview with Jason Brown, VP, National Advertising Sales for AT&T AdWorks about the new initiative and how it will be implemented.

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I'm pleased to present the 311th edition of the VideoNuze podcast with my weekly partner Colin Dixon of nScreenMedia.

First up this week we discuss NBCU’s announcement on Wednesday that it will allow select advertisers and agencies to buy ads programmatically in its linear TV networks. It’s another important step in advertising becoming more data-infused and targeted, though as I explained, it’s not yet a full-blown programmatic offering like we’ve seen in video and display. Colin and I dig into the details.

We then turn to new research on connected TV adoption and forecasts. Colin details findings from 3 different sources, which differ from one another. We attempt to reconcile them, although not fully successfully. Regardless, connected TVs remain one of the pivotal areas of online video, providing access to high-quality long-form content in the living room.

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