converging, fragmenting, podcasting, streaming

Netflix’s Next Move? Video Podcasts – And Why Marketers Need to Be Ready

Business Insider reporting this week suggests that Netflix is exploring deals with prominent podcasters. According to sources ‘familiar with Netflix’s strategy’, “Netflix insiders had warmed to the idea of tapping podcasting talent to host a talk-based video show, after previously expressing scepticism that the format could work on the platform.”

The availability of the podcast in video form has been surging of late. Most notably on YouTube – where prominent podcasters have been streaming their conversations for a good while now – but also on Spotify, where earlier this year I was surprised to see Alistair and Rory of the popular The Rest is Politics podcast pop-up within my Spotify app in video form.

Rory Stewart and Alastair Campbell, hosts of Britain’s biggest podcast The Rest Is Politics, popping up in video form on Spotify

Spotify pivoting to become a video streaming channel is just one part of a wider – and sizable – convergence into the video format, which in many ways represents one of most significant shifts in media and content consumption of recent times.

Forces of Fragmentation and Consolidation

When the industry initially debated fragmentation in the media landscape it was, generally, in reference to channels. Back in olden days when I started planning you basically had TV, print (both newspapers and magazines no less), radio, outdoor – plus something we called ambient media (out of home contextual ideas that popped up to generally surprise and delight urban audiences).

Digital was nascent, and streaming was still way over the horizon (I still have the presentation I gave to a major UK TV broadcaster client in around 2005 communicating the existence of a website I thought they should be paying attention to, called YouTube).

Since then, one of the seismic forces shaping media planning and strategy has been fragmentation. But it wasn’t channel fragmentation – which has been more than countered by consolidation within digital platforms over the last two decades.

2024 global advertising revenues surpassed $1 trillion. Major technology companies—specifically Alphabet (Google), Meta (Facebook), Amazon, Alibaba, and ByteDance — collectively accounted for over half of this expenditure source. EMarketer reports that in the US, Amazon, Apple, Meta, Microsoft, and Alphabet last year attracted nearly two-thirds of digital advertising dollars. The media landscape has many issues, platform fragmentation is not one of them.

What has fragmented is attention. The platforms that now dominate media have distributed audiences – which poses an ongoing challenge for brands looking to leverage Ehrenberg Bassian principles to reach as many light and non-buyers of their products in advance of an many purchase occasions as possible.

Advertisers are chasing, and demanding, scale … which is where Netflix’s potential foray into podcasts comes in. The streamer announced last year that it would stop reporting quarterly subscriber numbers from Q1 2025 – a sign interpreted by many in the industry that future growth from more subscribers was expected to plateau. Growth for Netflix must come next from driving increased time spent on the platform: in particular amongst subscribers to the ad-tier where a consistent source of advertiser-friendly audiences in a strategic priority.

Netflix’s Podcast Move

Enter podcasts … a potentially dreamy next step in their ongoing conquering of the video landscape. Let us count the ways in which Netflix must be salivating over the potential of the video podcast:

• Low barriers to entry and production costs
• In-built reach from influencer hosts (I find it significantly more useful to think of – and plan – podcasters as influencers and creators, rather than hosts) – which at the head drives scale, and into the tail offers relevance for selling on to advertisers
• Long dwell times, creating consistent high volumes of impressions and platform engagement (remember some podcast episodes are longer than the average movie run time).

Netflix are uniquely placed to take advantage of the opportunity. Video content platforms have always largely divided along two lines: professionally-created content (Netflix, legacy broadcasters offering BVOD etc, legacy conglomerates such as Disney+ and Paramount+ etc), and creator content (such as YouTube and the majority of video on social platforms). The former have never really wanted to do the latter, and the latter have struggled to do the former.

Netflix can genuinely move to deliver both professionally-created, and now premium creator content via high-reaching quality podcasts. I’d be stunned if Kara Swisher and Scott Galloway – who are currently in renewal negotiations with Vox Media for the home of their wildly successful Pivot podcast – weren’t talking to Netflix about taking the show to the streamer … opening the opportunities for the Pivot brand itself to expand into a range of video formats and series on the platform.

Kara Swisher and Scott Galloway – of the Kara and Scott Universe – hosts of the wildly popular Pivot podcast … a move to Netflix would make strategic sense

What This Means for Marketers

For marketers – this is all upside. Yes, it will mean more of that fragmented attention being sucked behind the Netflix walled garden, but if packaged up right it opens large swathes of addressable audiences in one targetable place – as well as scale, along with depth and diversity, of those audiences.

To succeed, marketers will need big proprietary data sets to create effective audiences to buy from Netflix, the agency support to build significant and meaningful partnerships and JVPs with the streamer (as well and others) that gets access to the best talent on the platform, and – most importantly – have an idea that can travel.

Because my hunch is that if Netflix push the podcast video door open, and if they can scale it and commercialise the audiences, then it’s the brands with clear, big (sorry) ideas that can be co-owned and co-created with Netflix’s creator community – that will be the brands that succeed. It would be such a shame for Netflix to sit astride a converged platform offering video podcast shows created by such talented influencers – only for brands to spot-buy their way into the party.

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broadcasting, content creating, distributing, experiencing, phdcast, popping up, television

PHDcast 02.08.13 – its not the ooh laa la edition of the PHDcast as we talk TV, The Power Inside and Magnum Pop-Up

Player not working? click here to listen on Audioboo

morning PHDcast listeners. Nic was in the hot seat this week for the not-the-ooh laa la edition of the PHDcast. bien sur 😉 … awesome job Disco

much of the debate this week was in and around TV watching – how it’s changing and what the implications are, especially for brands. I wrote about some of the aspects of this in my post on Friday, but it’s worth dwelling on a point Stew makes at the twenty minute mark around people watching programmes not channels. I think that’s true but I also think its not quite as clean cut as that, and as the CBS / Time Warner stand-off enters it’s second day – leaving 3 million American’s without shows like Hawaii Five-0 (I know) – it’s clear that there is much more to come as the distribution wars heat up.

also on the cast we got round to talking about the Magnum Pop-Up Experience hitting Sydney. following the success of the store in other cities, the ground floor of Westfield in Sydney’s CBD has for the last three weeks been the latest place to get the pleasure pop-up. you get to design your own magnum … white, milk or dark chocolate plus plenty of toppings, all for a mere $7.

as I say on the cast, it’s a phenomenal example of a brand pulling the trick of landing marketing that gets people to pay for its own existence. and the fact that people are queuing up for it is proof positive of the indulgence for which the brand is known.

Magnum_pop-up Magnum_pop-up_2 Magnum_pop-up_3

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broadcasting, phdcast, television

PHDcast TV Special: From Masterchef to the Voice, via Ten’s audience strategy, brand integration, and the future of screens


yey, another week another PHDcast from the good people of PHD Australia. this week we’re focusing on TV – the last few weeks having seen the finale of The Voice, and the return of Masterchef and The Block. we talk formats, performance and the current state and future of big reality format TV.

we also talk about Ten’s back to the future audience strategy and the challenges faced by the broadcaster. they want to be seen as the home of event TV … but to what extent can the recent cricket deal, existing content and formats deliver this for the network?

and if that wasn’t enough there’s a quick run around the future of TV … connected TVs, on demand and IPTV, second (and third) screening, addressable advertising and social TV.

enjoy.

PS. if you haven’t seen it totes check out our very own worldwide executive planning director Mark Holden on the future of TV. it rocks.

featured image: iMedia screen, featuring an SBS promotion

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adserving, applicationing, innovating, listening, phdcast, planning, programmatic buying

PHDcast 31.05.13: Programmatic Buying, How Superman Shaves and Tumblr

PHDcast for Mediation 470lots of fun on the PHDcast last week as Stew and Nic and I were joined by some awesome people from PHD Australia’s team digital. Peter Hunter and Lauren Oldham joined us to talk everything from programmatic buying to Gillette’s YouTubey Man Of Steel activation.

first up, programmatic buying. B&T quotes eMarketer who suggest that: “more than a quarter of all display-ad spending in the U.S. will occur via real-time auctions by 2016. Spending is predicted to increase from US$1.9bn in 2012 to more than US$7bn to make up 28% of total display-ad buying by the end of that year.”

great debate from the team, the main upshot of which was that programmatic buying will soon be how we predominantly buy ‘traditional’ online, with content moving even further up the online food chain, becoming of fundamental importance as online real-estate for brands.

a key implication is that it allows the conversations we have with our media owner partners to move on and focus on what, arguably, is the core point of those relationships – ideas, collaboration and creative use of media.

the other main implication is for those big traditional (broadcast) media owners who, as they mediate the future of their own media platforms, will see PB encroach on how they trade with agencies. whilst some broadcasters are already experimenting with DSP technology, its something that is unlikely to happen overnight. inertia aside, I genuinely believe that as revenues fragment across different channels, making PB work will become a strategic imperative, rather than an interesting inconvenience to broadcasters.

also this week, Gillette are exploring how exactly Superman shaves? a great activation on the brands’ YouTube channel has geeky celebrities proposing how they think the Man Of Steel shaves. awesome activation – will be even more so if the team involved find a way to amplify the content into broadcast.

gillette how does he shave

also this week an awesome app from the Australian Bureau of Statistics that allows you to use their data to explore the opinions and attitudes of people in your (or any) suburb and town across the nation.

oh, and that US$1.1bn purchase by Yahoo! of Tumblr. The Hunter observes that, when looked at from a data perspective, Yahoo! have essentially paid $4 each for the records of 300,000,000 active users – which makes it quite the bargain. whether it’s enough for the somewhat ailing Yahoo! remains to be seen.

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