NBCU's streaming chief isn't worried about you canceling cable

Engagement Focus

Matt Strauss, Chairman of Direct-to-Consumer at NBCUniversal, emphasizes the importance of audience engagement through content variety and user habits. He highlights the need for streaming services to become as habitual as using a smartphone, aiming for users to open the app daily. Strauss explains, "What do you need to do where someone never wants to turn off their TV and they want to open up our app every single day?" 1. This ambition influences programming decisions, such as airing shows like "Love Island" five days a week to encourage frequent viewing 1.

   

Bundling Approach

NBCUniversal's approach to bundling streaming services is strategic and disciplined, focusing on direct-to-consumer relationships. Matt Strauss explains that while Peacock has some bundling deals, such as with Comcast, the majority of subscribers come directly to the service 2. He notes that bundling, especially with sports, could become a larger part of their strategy, enhancing their subscriber base without detracting from direct-to-consumer efforts 3. Strauss states, "We believe the opportunity for us was to position Peacock in the premium ad-supported space," aiming to complement rather than compete directly with other streamers 2.

   

Differentiation Strategy

NBCUniversal leverages its unique strengths to differentiate Peacock in a crowded streaming market. Matt Strauss points out the advantage of having a vast catalog of beloved NBC content, which drives engagement and loyalty 4. He emphasizes the importance of investing in the platform's growth, viewing Peacock as a startup with a long-term vision for profitability 5. Strauss remarks, "We are investing in a business...we're actually exceeding those objectives, which only gives us confidence that we're on the right path" 5. This strategic focus on content and growth positions Peacock to stand out among competitors.