WHAT'S ON

Measuring successful acquisitions – Amazon Prime

Amazon measures the success of content based on a cost of first stream metric. Analysis suggests that hitting targets for Amazon’s current sports deals is eminently achievable but competition with traditional broadcasters for more premium rights would require more bullish assumptions. It also throws up some interesting implications for the types of rights Amazon may look to acquire in the near future.

Cost per first stream is the cost of the content divided by the number of viewers who make the programme their first viewing choice after becoming a Prime subscriber. This is one metric among many that Amazon use to judge the success of a programme. It implies, not entirely surprisingly, that the success of a show is judged on its ability to sell more goods – Jeff Bezos: “When we win a Golden Globe, it helps us sell more shoes”.

This method is appropriate when the primary focus is driving new subscribers, especially those in different demographics, – i.e. the platform is in a relatively early stage of development. As the Amazon proposition develops we would expect their rights strategy to focus on content in-fill and building out the bundle to become, in the words of Jeff Bezos: “such a good value, you’d be irresponsible not to be a member”.

So far the analysis (originally conducted by Reuters) has focussed on Amazon’s Originals. We thought it would be interesting to test this metric on the sports rights Amazon has acquired and what it means for Amazon as a potential acquirer of further assets. Two key points immediately stand-out. First, the sums of money for major broadcast rights packages are significantly more than existing rights fees (sport and non-sport). Second, cost per first stream is a useful metric for evaluating ‘smaller’ rights; for ‘larger’ rights other metrics such as a lifetime value of a subscriber need to be considered to be able to justify expenditure.

Measuring successful acquisitions – Amazon Prime

Amazon measures the success of content based on a cost of first stream metric. Analysis suggests that hitting targets for Amazon’s current sports deals is eminently achievable but competition with traditional broadcasters for more premium rights would require more bullish assumptions. It also throws up some interesting implications for the types of rights Amazon may […]

READ MORE

The ATE Trust

Rob Collier, a manager at Redshift, volunteers with The ATE Trust, a leading UK provider for children’s residential summer camps. Rob has worked with the Trust since 2008 in a variety of roles, including as a camp supervisor and, more recently, a deputy director. Rob provides a regular ‘business analysis’ feature in the annual meeting […]

READ MORE

Mobile World Congress 2018

READ MORE

Apple TV app launch – a shift in ambition?

Apple has launched a dedicated TV app within its latest iOS and OSTV update. The new app enables users to switch between content providers (provided you have downloaded the relevant application) without having to switch from the TV app. The name change of the app is interesting in itself. The change from ‘Video’ to ‘TV’ suggests […]

READ MORE

Space for Giants

As a Trustee of Space for Giants we help to protect Africa’s elephants from immediate threats like poaching while working to secure their habitats in perpetuity in landscapes facing greatly increasing pressures.  We have many projects in Kenya, Gabon, Uganda, and Botswana but work across all African countries.  The numbers are stark and alarming.  There […]

READ MORE

Tag Rugby

Redshift continue to work successfully as a team outside of the office, partaking in a regular 6-aside touch rugby league during the Spring and Summer months.

READ MORE
Image credit: Kingswood (www.inspiring-learning.com)

The Summer Camps Trust

Redshift supports the Summer Camps Trust; Rob Collier, a manager at Redshift, has acted as a Trustee since 2016. Rob combines his knowledge of business strategy, web development and analysis with nearly 10 years of experience volunteering on residential summer camps with young people.     The Summer Camps Trust highlights the benefits that summer […]

READ MORE

Charity Work

Giving back is central to Redshift’s ethos, and our employees are encouraged to engage in charitable projects within and outside the office through fundraising and volunteering.

READ MORE

House Festival 2018

The annual Soho House Festival in Richmond remains a highlight of the Redshift social calendar.

READ MORE
LOAD MORE