Magazine article Variety

Disney: The Next Stream King?

Magazine article Variety

Disney: The Next Stream King?

Article excerpt

THE STREAMING-VIDEO BATTLEFIELD is about to get some major new combatants - and fresh research suggests that Disney is best equipped to grab new territory.

Once Disney, WarnerMedia and NBCUniversal launch their direct-to-consumer services, customers' perceived value of incumbent players Netflix, Hulu and Amazon Prime Video will drop significantly, according to a study conducted by Langston Co., a Denver-based behavioral consumer research and consulting firm, shared exclusively with Variety.

Disney Plus, which will include powerful brands that span Lucasfilm's "Stars Wars," Pixar and Marvel, is forecast to have a better price-to-content rating ratio than both WarnerMedia and NBCU, Langston's research shows. The accompanying chart illustrates a before-and-after picture: Respondents were asked about their perceived value ratings for Netflix, Hulu and Amazon Prime prior to the media companies' launches; then they rated the six services after being informed of the entertainment options coming to the new services - which includes proprietary content the media conglomerates had licensed to Netflix (like "Friends," which is heading to WarnerMedia's HBO Max, and "The Office," to be exclusively streamed on NBCU's offering). Even with new rivals, Netflix is expected to enjoy the best value ranking. In the chart, services in the bottom-left quadrant have lower overall ratings than those in the upper right.

However, as with any research, there are caveats. For starters, the consumer reactions the Langston study measured were based on hypothetical, not actual, behavior. …

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