Peacock has already made a big mistake. It is launching today. For Comcast customers it means free content to watch at a time when more free content is a game changing event. But over half the country can’t see it. This is likely to cause more confusion and frustration for the market than it is to lead to hype for the service.
At a time when major streaming services and even fringe streaming services are providing extended free previews and content without the need to even sign up in hopes of roping in long-term subscribers, Comcast is rolling out Peacock with a tone deaf and muddled sense of the now.
This period could actually be the biggest gift to Comcast that it could have ever hoped for. Because it gives the service a chance to be a light in a dark time. But company execs still hope to cash in on a subscription model that will launch at a time when millions of people are un-employed and market indicators are pointing to free ad-supported content in a big way. Pluto TV has seen historic gains in viewership over the past month, which should not be a big surprise considering its short history. But the idea that people are flocking to services that provide information and entertainment in a moment of stress and uncertainty should tell Comcast that this is the time to provide the familiar and do so without asking for more money. People have little appetite for the most powerful companies in the world asking for more money at the moment.
Here is what should happen to Peacock going forward.
Comcast should work within either the NBC App, which is widely available across platforms or with XUMO, the company Comcast recently acquired to roll out Peacock for free for everybody. And quickly. It should do so well before July. If there is a format that can deliver 75 streaming channels of curated content than by God put it out there. People are ready to watch it. The company has already let it be know that rolling out the service earlier than intended is under consideration.
But simply getting the service out there is not enough. It should put all of its library content out for free. The company was never at all clear as to what would be beind the pay wall and what would not. But if Comcast were to open up all of its library content on an ad-supported model when people need a good laugh or long for nostalgia it would be a meaningful outreach to consumers that may even get rewarded with subscriptions when things settle down.
Peacock should put aside plans for a subscription service for some time. There is next to no appeal for having a paid version of the service at the time. It was originally going to coincide with the 2020 Olympics. And of course it was going to use that time to promote other major sports content via NBC. Now the Olympics are going to be in 2021. Who knows if the NFL will have a normal season. This means that NBC will not have major eyeball grabbing platforms to get the message out about the service. There are no late night shows to highlight. It’s top talent is making free YouTube video monologues from home. A quick look at what Peacock hoped to be able to offer back in January shows the awkward spot the service is now in.
Consumers are not going to be falling all over themselves for a Punky Brewster Show or an update to Saved By The Bell. They are throw-ins on a heap of original streaming content from numerous better established competitors. Their greatest value would be that they are new (assuming that the shows are filmed and ready to go). But if production has been held up due to the COVID-19 pandemic, what need would people have to sign up for access to them later down the line? They can just sign up if they are so motivated at the time. And nothing will motivate them to do so like months of getting used to the format in general. By later offering new shows and access as a carrot to those willing to throw in an extra $5 it may work out. If it has the eyeballs and can build up hype for the new shows it has a chance. But without appearances by stars on highly rated shows like The Tonight Show or even Talk shows on other networks or commercials playing before packed summer movie theaters, the chance that there will be major interest is slim.
It’s not Comcast’s fault that the service was set to launch and highlight sports at the same time that an economy crashing virus spread across the world. But a failure to acknowledge the transformation of market demands would be.
