Netflix debuts profile transfers
Netflix will soon allow users to transfer their profiles from one account to another. This comes as the company begins to crack down on password sharing, forcing those using someone else’s account to purchase their own. But with the profile transfer feature, users will be able to move their viewing history, personalized recommendation algorithm, and other settings from their old shared account to a new one. This will presumably make it easier for users who were previously password sharing to start their own account. Notably, it will allow an easy transition for those choosing to enroll in the new AVOD plan.
The NPD Take:
- Netflix has been talking about password sharing for a long time, but the roll-out of the new transfer feature shows the time has come. Positively, steps are being taken to ensure a seamless viewing experience.
Streaming needs comfort shows
Streaming platforms turned viewing into a highly targeted content environment where consumers can find specific programming available on one of the many platforms out there. However, this doesn’t appeal to everyone. Big streamers have long had “comfort shows”, such as NCIS and Grey’s Anatomy on Netflix, but more and more of those shows are leaving to move onto their own studio’s platform (such as Friends leaving for HBOMax in December 2019). To counter this, the big platforms are diving into producing more “network-style” shows that can cater to a larger, more general audience. It’s been said that this is what helps Hulu thrive; in August, the top two series watched on the platform were season 8 of Love Island (UK) and season 17 of America’s Got Talent, both of which were airing on linear in the month. According to NPD’s Subscription Video Track, hours watched of licensed content on Hulu is increasing so far this year (+11% YOY), while viewing of licensed content on Netflix has been declining (-21% YOY).
The NPD Take
- These broadcast-like shows are less expensive to produce than epic dramas such as Game Of Thrones and may be a strong draw for those looking for new comfort shows on their favorite streamers.
- As Netflix is losing more of its licensed favorites, the company’s originals are keeping them going; however, broadcast reality shows are doing well on Hulu and could point to an opportunity for Netflix.
Apple TV lowers its cost
Apple unveiled its newest streaming device at a lower price point than ever before. The new Apple TV 4K can be purchased for $129, $50 cheaper than the previous generation but with better processors for an improved viewing experience. Available for preorder starting November 4, the new device will perform better with less power and, as before, will allow viewers to watch series and movies from their Apple TV+ SVOD service. However, this device is still $30 more expensive than the nearest competitor, the Roku Ultra, whose newest version retails for $99.
The NPD Take:
- A nearly 30% price cut by Apple is practically unheard of. It points to a focus on controlling the distribution access point for content increasing in priority over hardware margins. A strategy employed by competitors such as Roku and Amazon for years.