Katy Spalter’s Post

The streaming wars appear to be reaching a pivotal moment where Netflix has won, the others are retreating with their debt-laden balance sheets, and the victor is evolving into an old favourite - cable television. In a highly competitive streaming market where every streaming service is fighting for your limited dollars, it feels like a not great thing that Netflix’s top 10 list could be mistaken for the lineup at any cable news channel. But it also feels like that might be Netflix’s plan. Just today, it announced it was going to be the new official home of one of basic cable’s crown jewels: WWE Monday Night Raw. And yesterday, the company announced the departure of Scott Stuber, who oversaw Netflix film’s three consecutive years as the most nominated film studio at the Academy Awards. Netflix’s days of chasing prestige might be rapidly coming to an end with this sharp reversal of the streaming golden age replaced by something akin to Spike TV circa 2005. Or USA Network circa 2011. That isn’t necessarily a bad thing. Both networks were good at putting entertaining old films and TV shows in front of me and capturing programming successes with WWE, US dubs of popular and outrageous game shows from overseas, and Suits. The problem is those are just also kind of Netflix’s streaming strategy in 2024 when the economics of streaming are still in flux and, thus far, pretty different from cable. (Although Suits has had such a popular run at Netflix that USA is now pivoting back to making that kind of content, too). Netflix’s rapidly growing ad business will likely cover the cost of WWE rights. “This should add some fuel to our new and growing ad business,” Netflix co-CEO Ted Sarandos said in an earnings call after the announcement. But, if it doesn’t, then spending $5 billion to secure the rights for WWE Monday Night Raw for the next ten years means Netflix subscribers could see another price hike in their future — whether they like wrestling or not. Spoiler Alert - the ten year old version of me is partly shocked, partly proud, and partly excited to see that professional wrestling has evolved from a territory based niche event to a powerhouse global business that has more growth ahead. #sttreamingwars #content #marketing #strategy #digital #platform

A fascinating start to #2024 in the streaming world! Nielsen data shows streaming's market share growth stalling at 35.9%, a first in its otherwise meteoric rise. The big shift? #Streaming platforms are now eyeing live events: 1️⃣ CNBC's $110M NFL playoff on Peacock broke records with 23 million viewers, hinting at a new era for live #sports streaming. The gamble paid off - the Chiefs-Dolphins game became the biggest live-streamed event in U.S. history, accounting for a staggering 30% of internet traffic during the game. This event alone is estimated to have added 2.8 million new customers to Peacock’s existing base of around 30 million paying subscribers. 2️⃣ Netflix's bold $6.7B entry into live wrestling with WWE's Raw showcases the platform's expansion beyond traditional content. 🤔 As major broadcasting deals approach renewal, it's a pivotal moment. 🚀 For tech #startups, this shift represents a goldmine of opportunities. Streaming platforms are not just diversifying content; they're pioneering in areas like audience engagement, data analytics, and #advertising. Stay tuned as we navigate these interesting times in the streaming arena! #Streaming #Tech #Innovation #Media

Netflix throws a haymaker: new subs, sports deal, and (possibly) ad-free plan? The streaming champ just landed some game-changing blows: 🚀13.1 million new subscribersin Q4, crushing expectations 💡Big swing into sports: snagged exclusive rights to WWE's "Raw" in a $5.1 billion deal 💡Ad-free plan on the ropes: retirement planned in Canada & UK, paving the way for more price hikes Seems Netflix is breaking its own promises faster than its rivals can churn out content. But is it a knockout strategy, or a risky overhand right? Join the discussion: what do you think about Netflix's latest moves? Will they keep pulling ahead, or is this setting them up for a fall? #Netflix #streamingwars #wrestling #businessstrategy #growth P.S. Don't forget to engage - share your thoughts, tag friends, and keep the conversation rolling!

Why did Netflix pay $5B for WWE? In five years, it's going to look like a bargain for both sides. Here are three reasons why: 1. Launching into live events gets much easier for Netflix with a very loyal and engaged wrestling fanbase. 2. Netflix Ad-Tier gets premium pricing that go with live audiences. 3. Remixed Existing Content - ala F1/PGA/ATP - there will be a Behind the Scenes for Raw, and who doesn't want Untold - Rick Flair? This ecosystem will sustain subscribers, and grow live engagement for Netflix. TKO gets big wins with Live Event Sponsors, and new sales for merch, tickets and PPV Events, and any deal for Ultimate Fighting Championship right will likely come at a sizable multiplier. BONUS: Wrestlers (past & present) will be in more ads, and as an 80's kid, I am here for that. #sportsmarketing #streaming https://lnkd.in/gHQYJ5GK

Major. More #livesports on the move to a #streaming platform. Yesterday, Netflix announced a 10-year, $5 billion deal to be the new home of WWE’s “Raw” - a weekly program that had been airing on USA Network for 20 years. According to PwC’s latest Sports Industry Outlook, the number of US viewers who stream a sports event at least once a month is projected to rise to 90 million by 2025 — growing almost +60% from where it was in 2021. Markets responded well to the news (#TKO +15.8%; #NFLX +8.2%) This announcement follows significant headlines from NBCUniversal (NFL Playoffs) & Amazon (Diamond Sports). Who’s up next? #WilmingtonTrust #SportsAdvisors #StreamLiveSports #SportsMedia

The Netflix episode "Woooooo!" This week, Mark Donnigan and I discuss (https://lnkd.in/e5BhfbuK) Netflix’s record Q4 earnings, their free cash flow of $6.9 billion for 2023, their growing AVOD business and their off-the-top rope deal with the WWE as they continue to dominate the industry. We discuss how the WWE deal with "scripted entertainment” differs from sports content, how it will expand Netflix’s advertising business, and what it might mean for a more significant content deal with the WWE when Peacock’s domestic WWE Network deal expires in March 2026. We highlight new data from Netflix showing that 40% of all Netflix sign-ups are for their AVOD plan in markets where it is offered and the reason why Netflix plans to retire their Basic plan in some of their ad countries. We debate the growth Netflix could have with AVOD in the short and long term, especially with T-Mobile having just converted Netflix’s users to the ads plan in their "Netflix On Us" bundle. Finally, we discuss what Netflix said about their shift in the mix of content spend, their historical bias to build and not buy content assets, why they are not interested in some of the big linear assets being shopped and the work they are doing to improve ad targeting, relevance and measurement. Listen here: https://lnkd.in/e5BhfbuK #streamingmedia #netflix #SVOD #AVOD #WWE #advertising #wweraw

👀 While Netflix's postive results and WWE partnership have gained a lot of media attention recently, something else caught our eye 🏷Namely, a #nyt article earlier this month about Netflix's team of 30 taggers, who create and assign some of these 3,000 descriptor words to the SVoD's titles 📰 The report touts the tags as the key to the platform's success. The only problem is, everyone uses tags... so what's so special about this? 👍 👎 ❓ Well, the report broaches on Netflix looking into ditching its percentage match score, which hasn't been the most popular. This comes after it changed the star rating system to a thumbs-up/down rating, then added double thumbs options, then added and got rid of a "surprise me" shuffle option, which hadn't been well received either... Netflix is no stranger to recommendations of course, and the technology behind the percentage match score will likely still be in place, just not visible to the end-user 🤖 The SVoD might just have been looking to highlight its human touch here, and recognize that it can't 100% tell its users what they want, but just give them the illusion of choice Our thanks to ThinkAnalytics' CTO Peter Docherty for his insights in the piece😄 Read the full thing right here👇