Newsletter 1st of March
1 March 2023
The main topics this week:
- Warner Bros. Discovery Q4 earnings
- Podcasts are coming to YouTube Music
- Netflix cuts prices in several markets and prepares livestreamed event
Warner Bros. Discovery Q4 earnings
Last out of the media sectors earnings season is Warner Bros. Discovery, which presented its Q4 2022 earnings last week. Here are some highlights from the earnings call:
- Total revenues in Q4 2022 for Warner Bros. Discovery were USD 11,008 million, a decrease of 9% compared to Q4 2021.
- The company grew its global direct-to-consumer streaming subscriber base to 96.1 million, from 86.2 million in the fourth quarter 2021.
- A net loss of USD 2.1 billion was recorded in Q4 2022, including USD 217 million from the streaming division.
- During the call CEO David Zaslav said that while plans to combine Discovery+ and HBO Max content on one platform is moving forward, Discovery+ will also remain as a standalone streaming service. “We have profitable subscribers that are very happy with the offering of Discovery+, why would we shut that off?” Zaslav stated.
This analysis 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 biannually.
Podcasts are coming to YouTube Music
Youtube Music will add podcasts to its service. This was announced by YouTube’s head of podcasting Kai Chuk, who said that it will come to the service in the “near future”.
Today, YouTube hosts video versions of several podcasts, but has no feature for users that only wants to listen to the content – yet. That is about to change as the Google-owned company prepares to add such a feature to its music streaming service shortly. Reportedly, podcasts will roll out for users in the US first, with more regions to come. The new feature is expected to be free, but with ads.
The addition of podcasts will put YouTube Music even more in direct competition to Spotify, which has invested strongly in podcasts the past years. Currently, Youtube Music isn’t looking at adding exclusive shows or licensed originals, which has been a part of Spotify’s podcast strategy. No official launch date has yet been communicated.
This analysis provides in-depth understanding of the entire audio market – including audiobooks, music, podcasts, and radio. The analysis focuses on the digital transformation of both listening and consumer payments, on both aggregated and actor specific levels.
Netflix cuts prices in several markets and prepares livestreamed event
Streaming giant Netflix has reduced its prices in more than 100 markets. Prices have been cut in selected markets in Asia, Europe, Latin America, sub-Saharan Africa, and the Middle East. The reductions apply to certain plans of Netflix, and in some cases the prices have dropped as much as 50%.
Netflix did not unveil the price changes in a big announcement, instead it was communicated locally. In Malaysia for example, Netflix tweeted the price reduction by posting a video from its Korean reality show Physical: 100, where people fall into water, representing money falling of the price of their Basic plan.
The price cuts go against the recent market trends which have been dominated by price hikes. No price reductions have been made in the Nordics on in any markets where the new ad-supported plan has been launched.
Netflix is also preparing for its very first livestreamed event, which will take place this Saturday March 4th. The show is a standup special with comedian Chris Rock, named Selective Outrage.
Since this is Netflix’s first ever livestreamed event, the company has posted details on how to watch it. Throughout the show, members will be able to rewind, pause and jump back to “live”. If you are late to the broadcast, you can choose to play from the beginning, or start watching live. The show will be available for streaming immediately following the livestream. In addition, Netflix will livestream a pre- and a post-show for the event, with appearances from several big actors and comedians. Those shows will however only be available on the day of the live event.
Chris Rock will perform at Maryland’s iconic Hippodrome Theatre in Baltimore, but all Netflix members globally will be able to livestream the event. The shows start at 10 p.m. EST, which means early Sunday morning in the Nordics. As the show is only available in English, subscribers have to set their Netflix profile language to English for the show to be accessible.
This analysis covers both the TV- and streaming markets in the Nordic countries. It rests on three pillars: the consumers, the market, and the actors. Analyzing the consumers takes us far – but not all the way. Studying the actors and the market as a whole is just as important.
Mediavision in the News
Marie Nilsson: Kontodelarna lever osäkert när streamingjättarna jagar intäkter – Dagens Media
Et stigende antal svenskere betaler for podcasts – Mediawatch
Sweden: Significant growth in podcast households – Advanced Television
TVOD in Sweden reaches record levels in 2022 – Broadband TV News
Netflix drag – så ska kontodelare jagas – Svenska Dagbladet
Stort tapp för nya poddar i världen – “Kärvare läge” – Sveriges Radio
Nordics: 3 million SVOD accounts are borrowed from other households – Piracy Monitor
Media Summit: 15 March 2023, Stockholm, Sweden **
Radiodays Europe: 26-28 March 2023, Prauge, Czech Republic
MIPTV: 17-19 April 2023, Cannes, France
Nordic Media Days: 10-12 May 2023, Bergen, Norway
* Mediavision will attend
** Mediavision will present