By: Franco Caballero, Creative Strategist
About two years ago, an article from Los Angeles Times came out citing Time Warner and HBO executives on the apathy of rolling out a standalone service for HBO content, separate from a cable subscription. This week, HBO Now was released for Apple TV in what is undoubtedly a victory for cable-cutters.
While cable-cutter is the term that dominates the headlines, there is also a huge upside for this service with the younger segments. The success of HBO Now may not hinge on people cutting their cable connections, but rather on avid content consumers who never depended on cable in the first place.
Why should the marketing industry care? HBO is adding itself to a list of high-value content providers who charge a fee in exchange for ad-free service. For $33 a month, a household can enjoy on-demand HBO, Netflix and Spotify on every device they own. Advertisement free. This is not a trend reaching its peak; it’s sign of the future of TV. With Millennials changing the demographic and cultural make up of this country, we should continue to innovate in the ways we connect with people beyond the traditional advertisement.