The Intelligence from The Economist cover image

The Intelligence from The Economist

Show and sell: Amazon v Hollywood

Sep 6, 2023
23:25
Snipd AI
Amazon's heavy investment in streaming content, despite critics' negative views. Exploring Amazon's strategies and success in streaming, including advertising and selling others' content. The potential for Amazon's dominance in the advertising industry. Revised UK economic data reveals hidden GDP. The evolution and nostalgia of calculators, from cigarette holders to modern times.
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Podcast summary created with Snipd AI

Quick takeaways

  • Amazon's success in video streaming is not solely dependent on critically acclaimed shows but also on revenue diversification through advertising and selling other providers' content.
  • Revisions to the UK's economic data reveal that the country's post-pandemic recovery was stronger than initially believed, with GDP numbers indicating a 0.6% higher economy than pre-pandemic size, changing the perception of its relative performance compared to other economies.

Deep dives

Amazon's Video Streaming Strategy

Amazon's video streaming service, Prime Video, is gaining momentum with around 155 million monthly viewers. Despite not all their shows being critically acclaimed or highly rated, Amazon is finding success in other revenue streams like advertising and selling other providers' content. The company's extensive data on consumer behavior and its ability to measure ad effectiveness make it an attractive platform for advertisers. Additionally, Amazon's strategy of becoming a landlord of streaming content, where they show content from other providers and take a cut of the revenue when users subscribe or purchase content, mimics their successful e-commerce model. While other streamers focus on huge hits, Amazon's diversified revenue streams allow them to make a solid business out of video without necessarily relying on blockbuster successes.

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