This week Akamai released new empirical data that shows the corrosive impact on brand that low video quality has. Apple hired two top-notch show producers, but it still doesn’t add up to a credible originals strategy.
Chapter 1: Poor quality video can ruin your brand (1:20)
I discuss a new study from Akamai and Sensum that uses biometric data to measure engagement. The study showed three primary things:
- Higher quality video is more engaging the lower quality
- Buffering causes a big negative emotional response
- Poor quality video viewing experiences have a big negative impact on the brands associated with it.
Will says this underlines how high the bar is for video streaming on line now. People expect television quality. I cite new comScore data that illustrates people treat services like Sling TV just like TV. They watch for 5.3 hours per day.
Chapter 2: Apple hires a-list Hollywood producers (11:40)
Will discusses Apple’s latest move in the video content world. The company hired Sony Pictures Television’s presidents Zach Van Amburg and Jamie Erlicht to oversee video programming. They are responsible for hits like Breaking Bad and The Blacklist. Will believes the pair wouldn’t have gone to Apple unless the company has a credible strategy for success in online originals. However, he can’t see what that strategy is.
I agree, but recognize that Apple just doesn’t have the scale at the television to be able to bring large audiences to a big hit show. New data from comScore shows that Apple TV is present in just 6% of WIFI homes. This leads me to believe the Apple is thinking smaller, perhaps just looking to boost existing businesses like Apple Music and iTunes rentals and sales. Will didn’t think this would be very appealing to Mr. Erlicht and Mr. Amburg, and I’m inclined to believe him.
Once again, we are both scratching our heads over exactly what Apple is playing at in the television/premium video space.