Subscription streaming companies have cut back on production slates with distinctive, quirky niche shows and have leaned into broad-skewing, crowd-pleasing genres of dramas and sci-fi/fantasy originals, as well as theatrical movies.
The result has been a harmful diminished brand differentiation in the marketplace, reports Hub Entertainment Research in its latest report, Evolution of Video Branding.
Among the leading eight U.S. subscription video-on-demand (SVOD) platforms, Hub said that consumers’ ability to describe what makes a specific service distinct from others has declined, almost across the board.
Hub surveyed 1,601 U.S. consumers aged 16-74 in February. It also found a decline over the last three years in the percentage of subscribers who signed up for a service just to watch a specific show.
Meanwhile, while 58% of consumers could correctly identify Netflix as the place to watch Stranger Things, the survey revealed overall low association with specific hit series and the streaming service they reside on. For example, only 19% of surveyed consumers could correctly ID Warner Bros. Discovery’s Max as the destination for The White Lotus. And more than two-thirds of consumers couldn’t identify which service hits like Ted Lasso (Apple TV+) and The Bear (Hulu) are available on.
While scripted content tends to blur the lines of brand differentiation, live sports more clearly defines them, Hub said. Nearly half of those surveyed said the inclusion of NFL games on Netflix makes them more likely to keep or sign up for the leading subscription streaming service.
Over the past several years, streaming companies including Disney, Warner Bros. Discovery and Paramount have pared back their libraries and focused on scripted original series that move the needle in terms of audience engagement. But that strategy has come at a cost, Hub said — their brand, at least in terms of consumer perception, looks like every other streaming brand.
“Services that lean into broad-appeal scripted programs may not be enough for viewers who struggle to identify what makes services distinct from one another,” says Jason Platt Zolov, senior consultant for Hub, in a statement. “Emphasizing more brand-defining features and value drivers beyond just exclusive originals could have more upside for streamers looking to improve viewer loyalty.”