Newsletter 23rd of March
23 March 2022
This week, we focus on the following headlines
- Netflix tests new measure to combat password sharing
- Apple steps up to challenge Spotify
- Amazon closes USD 9 billion MGM deal
- Danish ‘Flee’ could score 3 Oscars this Sunday
Netflix tests new measure to combat password sharing
Last Wednesday, Netflix announced that it will start testing ways to enable subscribers who share passwords with parties outside of their households to do so “while also paying a bit more.” The company will start by testing two new features in Chile, Costa Rica, and Peru:
- Allow households to add an extra member (maximum 2) they don’t live with at a cost
- Allow any shared Netflix plan users to transfer their shared profile information and data either to a new account or an extra member sub account.
These tests reflect a shift in attitude from Netflix, which historically has been surprisingly positive towards password sharing. In 2016, Netflix former CEO Reed Hastings said that consumers sharing their Netflix account information was in fact “a positive thing.” – explaining that people who share someone else’s Netflix account often go on to become paying subscribers themselves at a later stage.
However, the market has changed drastically since then, and Netflix is now under pressure to increase its margins and grow its membership base, following a subscription slowdown at the end of last year and weak guidance for the first quarter of 2022. Now, the tech giant’s official stance is that password sharing impacts its “ability to invest in great new TV and films for our members.”
A recent study by The Advertising Research Foundation revealed that more than one-third of Americans (36%) share their Netflix account passwords with relatives, while 13% share them with friends. According to Mediavision figures, the situation looks similar in the Nordics. Passwords to Netflix are shared approximately as often as for the other top five services in each respective market.
This analysis covers both the and TV- and streaming markets in the Nordic countries. It rests on three pillars: the consumers, the market, and the actors. Analysing the consumers takes us far – but not all the way. Studying the actors and the market as a whole is just as important.
Apple steps up to challenge Spotify
This week, Apple presented new tools for podcasters, in what has been described as a move to make Apple Podcasts a more robust rival to Spotify. In the Nordics (Mediavision Press Release), as well as in the US, Spotify has surpassed Apple Podcasts as the go-to platform for podcast listeners.
Starting next month, all Apple Podcasts creators will be able to view metrics for followers. From the Analytics tab in the Apple Podcasts Connect menu, creators will be able to view followers per show and across shows. After selecting a show, creators can view the number of new followers netted over the last week, month, 60 days, and all time. They can also see time listened as a percent of those following and not following the show.
The new features are designed to incentivize podcasters to offer paid subscriptions to listeners on the app. Apple Podcasts Subscriptions launched in the spring of 2021, and today subscriptions are used by “hundreds of millions of listeners” every day – according to the company. The logic from Apple reads as follows; a podcast’s number of followers can serve as an indicator for those likely to subscribe.
In other podcast news: Archewell said that Meghan Markle will release her first podcast for Spotify this summer, while Spotify has begun transitioning some Chartable business (podcast analytics and attribution service) to Podsights following Chartable’s sale to Spotify last month.
Mediavision will soon publish the latest update on the state of the Nordic podcasts markets.
Mediavision’s Insight: Nordic Media & Markets tracks the progress of individual and household payments per service and actor, as well as overall media expenditures. The primary focus is mapping out the allocation of expenditures across audio, video, text, and access. Published bianually.
MERGERS & ACQUISITIONS
Amazon closes USD 9 billion MGM deal
Yet another big media merger has been completed. Last week, Amazon closed the deal for acquiring MGM at a price point close to USD 9 billion. MGM is a century old studio, which created the James Bond and Rocky franchises – among other hits.
Last year, we showed you the Media Universe map from ESHAP. Given the eventful period that has been the start of this year – we thought an update could be useful. Below is the updated Media Universe for 2022. Note the Amazon/MGM merger, as well as the Discovery Warner merger.
For a full resolution picture – link.
Danish ‘Flee’ could score 3 Oscars this Sunday
This Sunday, the 94th Academy Awards will be held in Hollywood, hosted by Regina Hall, Amy Schumer, and Wanda Sykes.
For the first time ever, a Danish movie is nominated in three categories – namely, the incredibly successful ‘Flee’, directed by Jonas Poher Rasmussen. The film has already scored the Grand Jury Prize at Sundance Festival last year and was included in the official selection at Cannes 2020. The film is nominated in the categories ‘Best Documentary’, ‘Best Animated Film’ and ‘Best International Film’.
Additionally, Norwegian film ‘The Worst Person in The World’ By Joachim Trier is nominated in the ‘International Feature Film’ category.
Mediavision in the News
Kun få danskere forventes at opsige Netflix efter prisstigning – Flatpanels
Netflix faces Nordic challenges – Broadband TV News
Swedish music subscriptions grew 7% in 2021 – High Resolution Audio
Så mycket dyrare har det blivit att strömma film och serier – SVT
Tufft år för svenska ljudboksbranschen – tillväxttakten halverades – Dagens Industri
Could TikTok spur growth of AVOD in the Nordics? – Senal News
Bråket visar varför Spotify behöver Rogan – SVD
Poddarna – makten och pengarna – SR
Därför kom Clubhouse-hysterin för ett år sedan – och därför dog den – SR
Hushållen tecknar fler abonnemang – rekordsiffror för S-SVOD under 2021 – Dagens Media
CTAM Europe Executive Management Programme: 20-25 March 2022, Fontainebleau, France
Copenhagen Future TV Conference 2022: 7 April 2022, Copenhagen**
MIPTV: 4-6 April 2022, Cannes, France
NEM Dubrovnik: 6-9 June 2022, Dubrovnik, Croatia
* Mediavision will attend
** Mediavision will present