Posted in nScreenMedia
June 4, 2021

Inside the Stream – Can AVOD originals deliver enough to justify their cost?

Original shows have been the engine driving SVOD growth. Now AVOD players are getting into the crowded and costly originals game. Can they make money, and what else do they hope to gain?

Sign up for the Connected TV Ad Summit on June 9th and 10th and attend my FAST + AVOD = Big Opportunity panel with Wurl, A+E Networks, Tubi, and Digitas.

Chapter 1: Top news stories of the week (2:45)

Chapter 2: The Roku Channel, Crackle plus, Tubi add originals (6:10)

I review three stories from the last week that illustrate the trend of AVOD services creating original content. The Roku Channel bought Quibi’s original shows, Tubi will produce 140+ hours, and Crackle plus is creating scripted and unscripted content.

Chapter 3: Will ad loads and values support originals? (11:50)

Will is concerned that the trend toward lighter ad loads online makes monetization a real issue for AVOD providers creating original content. He is concerned that ad values and loads will not be high enough to support high-value productions. I think there is an opportunity to create quality unscripted content.

Chapter 4: Originals only on-demand or in vLinear? (17:50)

There could be an opportunity for the original content to do well in a linear format and on-demand. The approach could optimize revenue generation for the content.

Chapter 5: What if there is an AVOD hit? (19:30)

A big hit in traditional TV attracts huge ad valuations seeking the massive reach the show can deliver. I wondered what the impact of a big hit would be on an AVOD service. I wondered if AVOD originals and breakout hits could help an AVOD service transition to become an anchor tenant of many people’s entertainment portfolios.


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nScreenMedia June 4, 2021 at 08:15AM Colin Dixon

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