What will Streaming Services do when customers no longer want to pay?
As prices rise yet again for some of our favorite streaming tv and movie apps. We must ask ourselves are we still getting value? Working in the tv and film industry for the past nine years I’ve gotten to take a peek behind the “curtain” a few times. But gone are the days of the television that I grew up on. The “Must See TV Thursdays on NBC” a slogan that the network coined in the early 90’s with their prime time block of situation comedies.
In the 90’s audiences were accustomed to viewing beloved shows on the “big networks” (CBS, NBC, ABC along with the then-new FOX which seemed to be the Network television response to “cable”) and most importantly it was free. As in, as long as you could afford to purchase a color-tv you could enjoy these shows. And with an added VCR and blank VHS tape you could even record your favorite shows when they aired and then watched them at your leisure. For the first time you could “pay” for the convenience to watch when you want.
You could also fast-forward through those “annoying” commercials. But that was the price of free-tv, we had to watch the thing that supported these networks… ads. But for the price of a VCR and a few blank VHS tapes you could buy back your attention, and your time.
That’s what companies are paying for, your eyeballs. Fast-forward to the growing popularity of the internet and chat rooms people began to shift their attention. Now networks had to compete not only with cable which gained a strong foothold on the tv industry with such networks as TNT, HBO, Nickelodeon, Disney Channel, MTV and ESPN to name a few. The big networks had to compete with the likes of America Online who was sending out cd-roms of “free internet.”
But television in the late 90s to the early 2000’s was, dare I say it, some of the best tv we’ve seen. Maybe I hold some bias since those were some of my formative years of my television experience. But fact of the matter is, kids aren’t watching television the way we did in the 80s, 90s and 2000s. Kids are online, they have hand-held entertainment. They’re growing up watching YouTubers, and are also doing or attempting to do just that.
We had reality tv, they have “get-ready-with-me” videos and “daily vlogs,” where creators film almost every aspect of their lives. Almost like a reality show. Now we can also add live-streamers to the mix, where some creators broadcast their lives “live” for sometimes hundreds or thousands to see.
The big question remains, how are streamers going to deal with the new viewing patterns of the consumer? Raising prices doesn’t seem to be the answer. As I’ve seen a lot of contention about it online. We’re in a recession, inflation is at an all-time high, and people just don’t have it. As families are tightening their budgets, one of the firsts cuts is entertainment.
Subscription based entertainment might have a forseeable ending. Netflix is already charging people extra if they have family in other states who use their account. Streamers are charging more and offering less. We were sold on the idea that we would have access to all of our favorite movies and TV shows if we’d just pay one low monthly price. But as history has showed us, our favorite TV shows and movies aren’t always available when we want them to be.
The whole point of “on-demand” viewing is to be able to watch what you want when you want. That’s what we’re paying for right? But when that simple concept is destroyed… what exactly are we paying for? On top of it all, you could or “rent” (for 24–48 hrs) a movie for a low price, and in some cases you could even buy a movie. Although that movie isn’t technically yours since the streamers reserve the right to pull your purchase at any given time. So again… what are we paying for?
The execs at these companies will tell you that you’re paying for the experience of watching some, sometimes “first-run” movies from the comfort of your home. Which was a massive selling point during the height of the covid-lockdown (which isn’t over by the way.) But now as consumers are going back to the theaters and restaurants why should we pay for streaming?
Until streamers start to build a library of content that is always readily available, kids are going to keep doing 7-day/14-day trial period subscriptions just to binge watch those viral hit shows like “Stranger Things.” What’s really funny is in some cases you can watch the entire series since episode orders have been slashed to eight and sometimes the BBC standard of six. But with shows getting cancelled after their second and what seems to be a very rare third season, what’s the point of watching something that doesn’t have a complete ending? Or why should I pay to subscribe when I can watch an entire series during my free 7- day trial?
I, along with other millennials still have some CDs and DVDs. Honestly at this point I’m glad I still have them. Anytime I want to watch “Mr.3000” one of my favorite Bernie Mac films I can just load it into the dvd player and enjoy. Instead of being hard pressed to search for a streamer who is carrying it.
Hopefully streamers will finally get back to giving customers what was promised if not, I don’t think they’ll survive the next decade. Unless they implement a FREE ad-based tier, because Gen-Z and Gen Alpha are going to find their entertainment elsewhere. I know we’ve gotten used to skipping ads on our screens but streamers can recapture young audiences if they don’t bombard them with 10xs more ads than you would get on the traditional network tv. And with the same ad playing every commercial break.
I love television, I grew up watching probably way too much of it but it’s what made me love it and want to work in the industry. I love a good story, a fun comedy or a compelling drama, any story that can pull you in and keep you hooked. Weekly episode releases are starting to make a comeback, which is another thing that was so desperately needed. People would leave apps once they finished watching that “popular” show, and click to another one. Rule one of business keep the customer coming back.
I don’t know what the future holds for television, but I know that if we don’t make some changes in the years to come, the medium may not be able to bounce back to its former glory.
