During our talk, Adam opened up about his thoughts on what streaming will look like in the future. According to Adam that future will mostly be ad-supported.
As streaming grows and a rush of new services flood the market, Adam was quick to point out that most cord cutters don’t want ten paid subscriptions. This lines up with what we hear from talking with our readers: many of them only want a handful of paid services supplemented by a collection of free ad-supported apps.
Adam went on to say that Studios are now seeing the financial benefits from ad-supported streaming services like Tubi. This can be clearly seen in the recent deals Tubi has struck to bring more content to the service, which includes a recent deal with Hulu to bring a selection of their long-form content to Tubi for free.
Yet while free streaming services like Tubi are seeing strong growth, there are still issues to work through. One of the biggest issues that Tubi and other streaming services have been focusing on is improving the quality of the ad experience on streaming services such as frequency, position and video/sound quality. .
The good news is now free streaming services like Tubi are large enough to help improve their ads. In fact, Tubi has a team dedicated to vetting ads and their placement within the content to give users the best viewing experience possible.
What is true is that the growing number of small paid subscription services cannot all survive. Many will have to switch to an ad-supported model or likely go under. The only question is when will many of them come to the point of shutting down or finding a different way to reach and engage viewers for the long haul.
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