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What does Hulu’s $9.99 Plan Mean for You?


Look out, cable operator.  Hulu is poised to take away your subscribers.

Hulu recently announced they are now offering a premium service for $10/month that allows subscribers to stream NBC, ABC, or Fox shows.  Hulu’s service will be available on the iPhone, iPad, and iPod Touch, as well as Playstation 3, X-Box 360, and select Blu-Ray players and internet-enabled TVs.  Subscribers can view entire seasons of a show, or watch the latest episode the day after it airs.

Advertises will want to keep an eye on Hulu’s new offering, which may complement rather than compete with Netflix. In fact, if a user subscribes to both, that user may be even more likely to ‘cut the cord’ and drop their cable subscription altogether.  Although currently those without cable make up a small percentage of Americans, the group is growing.  According to a recent study by MediaPost, over 1/3 of American adults have watched a full length television show online on a monthly basis.

Buying a television spot may not be enough any longer. Advertisers need to consider alternative options such as advertising with Hulu, whether it be an in-stream video ads, branded player skins, or a quick pre-roll commercial.  In order to reach the younger cord cutters, it will be essential for advertisers to incorporate some type of video advertising in their plans.

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This entry was posted on Monday, July 12th, 2010 at 11:31 am and is filed under Digital. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.

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