FreeCast, RabbitTV – ‘We’ll Bring Retail Revenue To The Networks’
ORLANDO, Fla., Dec. 11, 2013 /PRNewswire/ — FreeCast’s Rabbit TV has done two things since its launch in February – (1) assembled the world’s largest online library guide of freely available TV shows, movies, live events, and (2) amassed over 2 million paid annual subscribers. From their ever-present infomercials to their colorful packaging lining the shelves at most major retail chains, including Walmart, Target, Bed Bath Beyond, Sears, Office Depot, Walgreens and many others, one can’t help but notice the company’s agnostic approach – giving consumers easy access to all available content, regardless of provider, and feeding their demand for additional services and devices.
With the average monthly pay-TV bill expected to reach $123 by 2015 (NPD Group 2013), and widespread customer complaints over channel bundling (Forbes 2013), consumers are seeking lower-cost over-the-top (OTT) options along with multi-device viewing capabilities. While Netflix is the most popular video on-demand (VOD) option for consumers at $7.99 per month, their licensing model is bound to face competitive pressures as the ‘big six’ media groups may refuse to cooperate with one another in the long-term.
Rabbit TV, on the other hand, offers consumers a much larger content library at only $10 per year – this low price tag encourages more rapid subscriber growth and naturally drives recurring upsells on premium content like pay-per-view movies, series and subscription channels, delivering revenue directly to the networks producing the content. This model doesn’t interfere with existing cable licensing agreements, yet focuses on cord-cutters and zero-TV households, allowing the networks to essentially ‘double up’ on revenue.