Why cable nets are unlikely to follow Netflix's programming model

02/4/2013 | Advertising Age (tiered subscription model)

Netflix's model of distributing an entire season of its "House of Cards" series at once could lead subscribers to drop the service once they watch the show, said Wedbush Securities analyst Michael Pachter. In contrast, "week-by-week viewing drives conversation," he said. "The more people that talk about a program, the more people may be compelled to sign up for the service. Netflix loses the water cooler talk completely. They lose the word-of-mouth aspect, which they were so quick to claim helped subscriber growth this quarter."

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Advertising Age (tiered subscription model)

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