Apple and Paramount consider streaming bundle
Apple and Paramount are in early discussions to bundle their Apple TV+ and Paramount+ streaming services at a discounted price. This would be Apple’s first foray in streaming partnerships for Apple TV+, while Paramount teamed with Walmart last year to include Paramount+ as part of Walmart+ membership benefits. It has also partnered with Delta to give loyalty members free Paramount+ access in-flight on domestic routes. As with other top streamers, both services increased subscription fees in 2023 putting a strain on consumers wallets and placing them in a position to pay more or cancel. Separately, each service has strong exclusive content to offer, but smaller catalogs compared to other top SVODs, likely a driver of this partnership.
The Circana Take:
- The ultimate goals are churn reduction and lower cost of customer acquisition.
- As streaming prices continue to rise and the cost-of-living squeezes consumers wallets, discounted bundles are as appealing as ever. The Apple/Paramount discussions along with Verizon’s recent Netflix and Max bundle, are likely just the beginning.
Disney+ launches Hulu hub
Hulu content is now available on Disney+ for subscribers to both services, with an official launch planned for March 2024. The current launch is in beta mode and includes a Hulu tile, a Hulu hub and enhanced parental controls. The full launch will include Hulu content added to the Disney+ homepage, automated recommendations, and access to sets and collections. The tile will be available to those who have both Disney+ and Hulu subscriptions. An easy click through will show a Hulu content hub, featuring Hulu’s original and acquired TV series and movies, such as Only Murders in the Building and The Bear. The combining of Hulu and Disney+ content will also bridge some existing TV series, making both former and current seasons available through one service. Disney and Hulu will remain separate services, and users can subscribe to one or both.
The Circana Take:
- The combined content array and bundled price discounts are aimed at reducing churn while giving subscribers an enhanced user experience.
- Integration provides endless opportunities to upsell Hulu to Disney+ subscribers.