If the streaming industry is anything to go by, the future is ad-supported. 2023 saw many of the key streaming platforms roll out ad-supported tiers in a bid to slow subscriber churn and open up new subscriber markets. Now even AMC+ is looking to the ad-supported model to help boost its profitability. Blake & Wang P.A. the entertainment attorney in Los Angeles, Brandon Blake, has all the details.
The Move to Ad-Supported
While AMC+ can be counted as a niche streaming service at best, it is still hoping to harness some of those advertising dollars for its own use. The announced ad-supported tier is expected to be running by the end of the 2024/25 Upfronts, with its regular presentation to ad buyers due to take place this Wednesday.
For subscribers who take up the new ad-supported tier, they will also get ad-supported versions of the Sundance Now, Shudder, and IFC Films Unlimited platforms. Intriguingly, non-bundled subscribers have not had the option to choose a cheaper tier option of any sort. Under the planned rollout, these individual services, alongside several that are not part of the AMC+ bundle, will also see ad-supported tiers introduced.
The Decline in Pay TV
Some of this bid for more advertising space can, no doubt, be laid at the door of the continuing decline in linear TV subscribers. As can be expected in a softer economy, ad buyers are following where subscribers lead- and that’s mostly to streaming platforms.
In addition to the ad-tier launch, AMC will also be expanding the Audience+ data targeting platform it introduced last year. This platform aims to offer more precise ad targeting than Nielsen’s current demographics do. An industry first, it will be interesting to see if they can upsell this new platform to buyers outside the AMC ecosystems, too.
While it may be one of the last to do so, it is good to see AMC adapting its streaming offerings to fall in line with higher-caliber and larger streaming platforms.
Film and Television 