David Pierce interviews Bill Rouhana, CEO of Chicken Soup for the Soul Entertainment, as Netflix’s DVD service closes its doors. They explore the resilience of Redbox and the ongoing allure of physical media in a streaming-dominated world. Next, John Herrman from New York Magazine dives into the complex realm of social media metrics, discussing how misleading numbers can shape public perception and the importance of transparency in data. Their insights reveal the shifting landscape of media consumption and the challenges it poses.
Physical media, such as DVDs and Blu-rays, will remain relevant due to limited bandwidth, affordability, and higher quality viewing experiences.
Lack of standardized and transparent metrics in the streaming industry hinders understanding and comparison of viewership numbers.
Despite the decline of physical media, Redbox CEO sees potential in clear windowing strategies and emphasizes the importance of content availability.
Deep dives
Redbox's CEO Shares Thoughts on Physical Media
Bill Rujana, the CEO of Chicken Soup for the Soul Entertainment, which owns Redbox, believes that physical media, specifically DVDs and Blu-rays, is not dead and will remain relevant in the coming decade. He points out that there are still millions of people who prefer physical media due to various reasons such as limited bandwidth, affordability, and the desire for a higher quality viewing experience. Rujana highlights Redbox's value proposition of providing cheap ways to access first-run movies early from every studio, which is a unique offering that streaming services cannot replicate. He also suggests that creating clear and understandable windowing strategies for releases will benefit both consumers and the industry as it helps manage expectations and avoids confusion.
Netflix's DVD Program and The Need for Transparent Metrics
Despite the decline of physical media, Netflix's DVD program which is on the verge of shutting down, is seen as a missed opportunity by Bill Rujana. He believes that there could have been operational synergies and opportunities to leverage Redbox's strong brand and customer base. The conversation about metrics arises, with Rujana highlighting the lack of standardized and transparent metrics in the streaming industry. He criticizes the current state of metrics, where companies hold onto their data like trade secrets, making it difficult to compare and understand viewership numbers. Rujana suggests that a more transparent approach to metrics could benefit both creators and consumers by providing a clearer picture of the success and reach of content.
The Future of Physical Media and DVD-Blu-ray
Bill Rujana expresses confidence in the longevity of physical media, specifically DVDs and Blu-rays. He believes that the existing base of devices capable of playing these formats, along with the desire for higher quality and the inclusion of bonus features, will contribute to their staying power. Rujana draws a parallel to the resurgence of vinyl records, in which consumers appreciate the physicality and experience of owning and enjoying a tangible product. He acknowledges that digital and physical media can coexist, with Redbox focusing on providing inexpensive access to first-run movies, early releases, and a diverse range of content. He concludes by emphasizing the importance of content availability and clear windowing strategies to enhance the consumer experience in the evolving media landscape.
Streaming platforms and the gaming focus of Nintendo Switch
Nintendo's primary focus is on creating a great gaming experience rather than prioritizing streaming services like Disney Plus on their platform. They have chosen to make game consoles first and foremost, understanding that entertainment doesn't drive console sales.
The complexities of streaming app negotiations and distribution
While Disney expressed interest in having Disney Plus on the Nintendo Switch, the process of making it happen is more complicated than simply developing an app. Negotiations around revenue sharing, access to user data, featured placement in app stores, and other factors can make these deals challenging and time-consuming.
Today on the flagship podcast of the laserdisc resurgence:
While Netflix’s DVD.com service shuts down later this week, The Verge's David Pierce chats with Bill Rouhana, the CEO of Chicken Soup for The Soul Entertainment, about the potential of Redbox and physical media in 2023.
