3Vision Insight - Amazon Channels
27 Feb 2017
Amazon Channels has grown extensively to become an important OTT player. The service includes more than 100 channels, all accessible through Amazon’s single UX and billing system, and indications are that sign-ups have exceeded expectations. With strong indications that the service will launch elsewhere in the world we believe it is an important space to watch.
This is a taster of our Insight on Amazon Channels. If you would like to receive the full copy please let us know, contact us here.
Amazon Channels launched in late 2015 as the Streaming Partners program. Described then as “an OTT streaming subscription program for video providers that enables them to reach tens of millions of Prime members” it was renamed Amazon Channels in 2016.
Following the rebrand, Amazon added a wide range of channels with many high profile services joining, including premium services like Showtime, Starz, HBO and Cinemax. A variety of services continue to be added, with NBCUniversal’s Seeso and Warner Bros. Digital Networks’ Machinima introduced to the offer alongside DramaFever, Tribeca Shortlist, PBS Kids and Comedy Central’s Stand-Up Plus, to name just a few.
Amazon’s objectives with video have been mixed, with a big focus on driving the retail business through Prime (estimates on incremental annual revenue from Prime membership range as high as $100-150), but as Amazon Channels grow these objectives may be evolving.
- Amazon Channels is a growing proposition in the US and as OTT grows, its objectives may change into something bigger
- The core advantage to consumers is the ability to simply manage and watch multiple subscriptions in one place
- Over 100 channels are currently available in the US, Amazon Channels’ only market to this point. We expect international launches soon
- For channel partners, barriers to a well-engaged audience of established online videos users are lowered with limited technological and financial investment required
- Amazon has launched its first branded channel - Anime Strike - and will be launching more very soon
With more own-brand services in the pipeline, questions remain as to whether Amazon will follow Hulu by offering linear channels, and/or begin bundling packages of services - reversing into services that appear more like Pay TV tiers.
Our team of consultants are on hand to answer any questions you may have or to provide greater detail if you require, you can find more information here: 3vision.tv