02/03/16: Time Warner Inc. wants changes at Hulu; YouTube’s Fine Brothers back off; Nintendo is looking into virtual reality



CYNOPSISDIGITAL
02.03.16

Good morning. It’s Wednesday February 3, 2016, and this is your first early morning digital briefing.

TOP NEWS

 
The Hulu model as you know it may be coming to an end. The word is that Time Warner Inc. (not to be confused with Time Warner Cable) is considering purchasing a stake in Hulu (a joint venture between Comcast (NBC), Disney (ABC), and 21st Century Fox. But Time Warner would want the streaming service to stop airing the current seasons of TV shows in the immediate days after they first air, according to the Wall Street Journal. Time Warner would prefer that Hulu redirect viewers, having them watch shows on network websites and on-demand platforms.
 
YouTube wants to see more virtual reality. The site is developing the capability to livestream 360-degree video on its platform, according to BuzzFeed News. Company employees have been meeting up with manufacturers of 360-degree cameras to figure out better ways to support immersive live-streamed video broadcasts.
 
Now we know how The Fine Brothers react to widespread outrage. The YouTube stars, known for their videos featuring people’s reactions to events, have abandoned plans for React World, the reaction-vid licensing platform they’d been building. They also withdrew plans to trademark the word “react.” (Yes, they really tried to do that.). The pair had received heaps of online disdain for their efforts, losing hundreds of thousands of subscribers. Their mea culpa is worth reading – find it here.
 
Fight Sports, the network driven by fight-related content, will now be found on Verizon’s go90, the free mobile-first social entertainment platform. go90 users can watch live and on-demand programming from Fight Sports.
 
Production studio Temple Street Productions has announced the formation of Boat Rocker Media, which will produce and distribute content and brands. It is headquartered in Toronto with offices in New York and Los Angeles. Boat Rocker will serve as the parent brand of Temple Street and a few other new lines of business.
 
 

NEW PROGRAMMING

 
F-Comedy, Fusion
’s new digital entertainment hub focused on original short form digital native content, has signed a production deal with Bassem Youssef, known as the “Jon Stewart of Egypt,” to host The Democracy Handbook. The satirical digital series and corresponding television special will follow Youssef as he comes to America to learn the lessons of democracy so he can try and take them back to the Middle East. It will be produced by former Daily Show producer and Adam Ruins Everything executive producer Kathy Egan, slated for a spring debut.
 
Seeso, the new streaming comedy channel from NBCUniversal’s Digital Enterprises, has announced the premiere date for three original series: Bajillion Dollar Propertie$, Big Jay Oakerson’s What’s Your F@%king Deal?! and New York’s Funniest will all premiere on March 17.
 
RLJ Entertainment
has unveiled a new film, “Uncaged” that is available on digital video and DVD. It tells the story of an orphan who discovers at the age of 18 that he’s got a pretty unpleasant secret.


A CYNOPSIS MESSAGE


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ADVERTISING

 
Sportswear maker Reebok teamed with Pixability last year and tested the effect of the same video ads played on Facebook versus YouTube. User behavior on YouTube was more intent driven and completion rates were four times higher  (20.4%) and cost-per-view on YouTube was cheaper ($0.07) than Facebook ($0.11). Still, Facebook users had better engagement with Reebok’s ads, with .301% engagement rate per impression versus YouTube’s 0.163%, TheDrum.com reports.
 
Video platform Dailymotion and mobile advertising solution AdMaxim have announced a global strategic partnership that allows advertisers to directly purchase the mobile in-stream inventory of Dailymotion and to reach its worldwide audience through AdMaxim’s interface.
 
 

SVOD + OTT

 
Rovi
and Intellectual Ventures will combine assets into one comprehensive licensing program to focus on over-the-top offerings. Under the new agreement, Rovi will serve as the exclusive partner for IV, licensing the companies’ combined patent portfolio exclusively to OTT customers.
 
OTT video distribution startup VHX has partnered with ecommerce platform Shopify to release an app that enables its users to sell digital video content directly to their customers from their Shopify storefronts. The new integration allows Shopify sellers to sell digital videos as a standalone product or bundle it with physical merchandise.

 

SOCIAL MEDIA STRATEGIES

 
Learn how to leverage social media platforms like Wishbone and Whisper, Snapchat, Twitter, Facebook, and Instagram for maximum impact during our upcoming webinar,
New Social Media Strategies to Reach the Young Demos, on March 1. For more information and to register visit: http://www.cynopsis.com/?p=53548
 
 

RESEARCH

 
The ListenFirst Television Interest (TVI) Rating (TM) is a standardized measurement of the most buzzed-about TV programs on linear TV and streaming services. A complement to ListenFirst’s other syndicated data products (such as the ListenFirst Digital Audience Rating – TV), the metrics included in the rating are the purest form of showing interest digitally, since they’re organic actions that are largely unaffected by paid media. Programs that surface on the TVI leaderboards are the most hashtagged on Facebook, Google+, and Tumblr, as well as most searched for on Wikipedia (used as a proxy for organic search volume).
 
Streaming Only (1/25/16 – 1/31/16)
 
[] 
Source: ListenFirst. The TVI Rating aggregates metrics that measure organically generated activity by fans of the TV show. The metric includes total volume of official hashtag mentions on Facebook, Google+, and Tumblr, along with Wikipedia page views (as a proxy for organic search volume) for a show as a percentage of the total volume of the same activities for all shows.
 
A new report from L2 forecasts that videos will make up half of all Internet traffic by 2019. “L2 Digital IQ Index: Fashion 2015” studies the digital video efforts of 83 brands. Some of the key findings:
 
– Video ad spend is projected to increase by 22% every year for each of the next five years. This will mostly be driven by social media.
– Only 16% of the sites examined had shoppable videos while 37% that have shoppable editorial.
– Interaction rates on video posts are 60% higher on Facebook than rates on posts without video and 20% higher on Instagram.
– Video ads are clicked on at a rate 17 times that of banner ads.
– Mobile video ad revenue will more than quintuple over the next five years.

 
VIRTUAL REALITY

 
Startup VRstudios has started shipping its wireless, full-motion virtual reality hardware/software system to business customers globally. It is working with customers in industries ranging from aerospace to construction to entertainment and has installed systems in such countries as China, France, and the U.S. Its systems range from $40,000 to $750,000 and can be bought or leased.
 
Well that would be exciting. Industry analyst Serkan Toto reports that Nintendo told investors that it is “looking” at getting into virtual reality.
 

 
EXECUTIVE MOVES

 
Nick Johnson
has returned to Turner Ad Sales as its newly created Senior Vice President of Digital Ad Sales Strategy. He had previously been the Senior Vice President of Digital Media Sales for NBCUniversal Sports but his career got underway at Turner, where he was part of the team that launched the sales strategy for CNNSI.
 
AT&T has shuffled some of its leadership and part of the new plan is to make mobile video a priority. Mobile head Ralph de la Vega has been named Vice Chairman; in addition, Internet, TV, and DirecTV head John Stankey is now CEO of the mobile business’ entertainment group. Mobile CEO Glenn Lurie will now be reporting to Stankey. That grouping will be working to make mobile video a bigger piece for AT&T.
 


A CYNOPSIS MESSAGE


CYNOPSIS RATINGS BOOT CAMP
Tuesday, February 9  I  New York City  I  Sponsored by Nielsen

Programmed to be an educational springboard for media professionals looking to leverage ratings and Nielsen’s Total Audience Measurement tool in preparation for the 2016 Upfront season. This highly focused training will provide critical tools, strategies and insights to help you get up to speed in the fast-moving measurement landscape.

Register now: http://www.cynopsis.com/event/cynopsis-boot-camp/.



 

DIGITAL SPOTLIGHT

 
DirecTV
and Momentum Pictures will exclusively premiere The Program, a film about Lance Armstrong, directed by Oscar-nominee Stephen Frears (The Grifters, The Queen). It will premiere this month on DirecTV Cinema, a pay-per-view service, a month before it makes its specialty theatrical and VOD debut. Check out the trailer here.

See you tomorrow,
David Teich
02.03.16

Roberta Caploe: Associate Publisher @robertacaploe
Diane K Schwartz: Senior Vice President, Media Communications Group

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