It’s only a prediction, but the price of HBO Max might be cheaper than we thought. It won’t come as a surprise to anyone that 2020 will be one crazy time for streaming services. It’s going to be a battle for subscribers. So expect price points to fluctuate.
“…The firm believes that competitive pressure and the need for scale will drive prices down to around $12 per month or $8 with advertising.”
Reported by Fierce Video / UBS analyst John Hodulik
The original estimate for HBO Max was a lofty $15 per month. A price-point above Netflix ($12.99) and more than double that of Disney+ ($7). The rumored $8 per month for HBO Max is better but the talk of advertising is already turning me off.
The real price of HBO Max?
Albeit only a prediction, it shows that analysts don’t think HBO can compete. It’s already clear Disney+ is going to be the pinnacle of eye-catching deals. They have already unveiled a fantastic deal with Verizon.
If HBO Max needs advertisers to compete, then they’re going to be in trouble. As a consumer, I would much prefer to pay $20 for a premium service then $8 if it meant suffering through pre-roll ads. I can’t be alone in this! One analyst in the report offered a great solution for HBO.
“We believe the company should have created a lower-end HBO brand (say HBO Basic) with library content from Warner, HBO, DC Comics/CW and Turner in order to grow [total addressable market] and funnel/upgrade subscribers to HBO/HBO Now. This would also allow the company to have one brand for all originals (HBO Now), thereby making the service less dependent on singular successes such as ‘Game of Thrones.”
Reported by Fierce Video / Barclays analyst Kannan Venkateshwar
Whatever happens, I cannot wait for HBO Max. The Lovecraft TV series and Gremlins reboot tickle my fancy. So while we wait for HBO Max lets enjoy their official trailer.