Everytime I hear the words Short Form content my eyes light up.
I was apart of the incredible team to launched MTN Shortz and since then I keep a keen eye on Short Format content
Quibi racked up attention at this years CES and with a $4.99 with short ads, and $7.99 without per month price point and Short form only content the SVOD’s are watching
What is very interesting is the content strategy and how it could effect monetization?
Quibi have come with a novel (but expensive) content approach where a video will look the same in portrait and landscape mode and is ultimately a streaming platform built for mobile.
Key Stats
-Plan to 7,000 videos on the platform in the first year.
-Average video length is 10 minutes
-$100K per minute content cost (As they actually shoot content in both portrait and landscape and stream both)
From a content perspective Quibi will have to spend $7 000 000 000 on content for Year 1
Netflix is Projected to Spend More Than $17 Billion on Content in 2020.
For Quibi to be profitable they shall need 1 402 805 611 subscribers in the first year (assuming all opt for the $4.99 option)
Just to put it into perspective Netflix had over 167 million paying streaming subscribers worldwide as well as over 4.6 million free trial customers.
#innvovation
