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Here’s how long Peacock needs its new 2.8 million NFL-fan subscribers to



The recent NFL playoff game that was only shown on Peacock for most of the country had many football fans up in arms over the league’s perceived greed. But the move may work out well for Peacock.

During the weekend of that Chiefs-Dolphins game, Peacock saw a 2.8 million jump in new subscribers, according to subscription market intelligence company Antenna. It was the biggest new subscriber event for any streaming service over the past three years, according to Antenna, outperforming Super Bowls and FIFA World Cups that were simulcast on various streaming platforms.

“The acquisition of 2.8 million subscribers is indeed a remarkable feat for Peacock, especially considering the platform’s position in the competitive streaming market,” Kevin Hanley, EVP of Marketing Services Practice for Hero Digital, a customer experience agency, told MarketWatch.

Nearly 3 million new subscribers is a lot, but considering Peacock-parent NBCUniversal paid $110 million to air the playoff game (plus one regular season game), it’s too soon to tell if the cost was worth it.

“To make a profit off of the $110 million Peacock spent, those 2.8 million subscribers would need to stick around for at least four months,” Chantel Buchi, TV and streaming expert at CableTV.com, told MarketWatch.

At a minimum, the reported 2.8 million new subscribers will lead to about $17 million in revenue for the initial month because the cheapest plan costs $5.99 a month.

But the overall revenue added from the exclusive game is likely much higher because it doesn’t take into consideration the advertising revenue that Peacock made during the game.

Moreover, users could have opted to buy the ad-free Peacock plan, which costs $11.99 a month, or one of its annual subscription plans. Peacock does not currently offer a free trial.

Streaming platforms like Peacock, Netflix
NFLX,
+1.50%

and Max
WBD,
+0.38%

are trying lots of things to boost subscribers, but something just as important as gaining new subscribers is maintaining the ones they already have, also known as churn.

Will Peacock’s new subscribers stick around to watch other content like “Ted,” “The Office,” and “Yellowstone”?

“At least 25% won’t renew over the next few months,” Bob Mitchell, founder of Mitchell Partnership Alliances and adjunct professor at the Kogod School of Business, told MarketWatch. “Maybe that’s okay as they can use live sports opportunities as a marketing billboard for the brand as well as mining their data research.”

“The key to mitigating this churn lies in Peacock’s ability to engage these new subscribers with compelling content and a superior customer experience immediately following the NFL game,” Hanley said. “If there isn’t the next content draw to retain the service, the consumer will leave.”

See also: NFL star Brock Purdy made $870,000 this season — 16 college football…



Read More: Here’s how long Peacock needs its new 2.8 million NFL-fan subscribers to

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