Today in Connected Consumer

TechCrunch has the scoop of the morning, with an item claiming that Verizon’s alleged OTT plans, which were widely discussed yesterday, in fact involve a partnership with RedBox that will include streaming and downloading of movies and TV shows to a wide variety of devices. Apart from the partnership itself, the most intriguing part of the story is the venture’s purported pricing structure. According to TechCrunch’s source, pricing will be subscription and credit based. Users would pay a flat monthly fee for a certain number of credits, say $5.95 for six credits, which they would then be used to rent (and presumably buy) movies and TV shows. There would also be a mechanism for purchasing additional credits if needed. If true, the model would appear to be an effort to satisfy two conflicting priorites: consumers’ preference for subscription-based pricing and rights owners’ preference for being paid on a per-transaction basis. If Verizon/RedBox manage to square that circle the new service could pose a serious challenge to Netflix.

Relevant Analyst
Sweeting

Paul Sweeting

Principal Concurrent Media Strategies

Do you want to speak with Paul Sweeting about this topic?

Learn More
You must be logged in to post a comment.
No Comments Subscribers to comment
Explore Related Topics

Latest Research

Latest Webinars

Want to conduct your own Webinar?
Learn More

Learn about our services or Contact us: Email / 800-906-8098