CBS All Access Expands To Additional U.S. Markets

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CBS All Access, the network’s answer to over-the-top (OTT) video streaming, recently announced that it has expanded live, local coverage to additional U.S. markets. According to TechCrunch, CBS All Access is now available to 64% of U.S. households in 94 markets.Originally launched last October, CBS All Access competes with on-demand video services like Netflix and Hulu, but it retains a competitive advantage in terms of local programming and live, local coverage. When it first started, local broadcasts were only available in 14 CBS-owned and operated stations in major markets. Since then, CBS All Access has expanded several times. CBS’s most recent expansion in April adds 12 more markets, including Phoenix, Orlando, Cleveland, Columbus, and Las Vegas, through affiliate groups in a revenue sharing agreement.CBS Les Moonves commented on the expansion in this Deadline article: “Adding CBS affiliates to the mix will give viewers the opportunity to watch more CBS programming whenever they want on whichever device they choose.”The CBS All Access OTT service is available for $5.99 per month, following a free, one-week trial. It includes access to 7,000 episodes of TV shows on demand, including current hits like The Big Bang Theory and NCIS and classic favorites like Melrose Place and The Brady Bunch. Unlike current shows available via on-demand cable services like Xfinity and OTT provider Hulu, subscribers can often watch episodes of current series the day they air.CBS All Access can be viewed on iOS and Android mobile devices, via Roku and online at CBS.com. Though CBS has not released exact subscriber numbers, Moonves said the number is over 100,000 at a conference in March. He announced other news in a May call about CBS’s first quarter earnings for 2015.”We are proactively launching our own content platforms, too, including the very successful debut of CBS All Access and the upcoming Showtime over-the-top service which will be announced soon,” Moonves said.”As we find new ways to monetize our content, we are also increasing our output of quality programming across the company. From the #1 television network where we’re growing our viewers, to the increasing demand for our shows in global syndication, we are producing the content viewers want to see,” he added. “In fact, across all platforms, we have more viewers today than we did 11 years ago.”Stats on Tubefilter support Moonves’ claim. In a January 2015 article, president and CEO of CBS Interactive Jim Lanzone is quoted as saying that CBS All Access viewers watch twice as much of the network’s content as those who watch CBS on traditional TV.”People wanted more from us – they wanted in more places and they wanted it sooner – and they were willing to pay for it,” said Lanzone.Insider Take:There is growing competition for consumer dollars in the OTT market, but we like CBS’s approach. It has found a way to monetize its back catalog, while also giving subscribers features and access to shows they can’t get anywhere else. Though CBS All Access has limitations on some programming like live sports broadcasts, it has exclusive live, local programming, something no other OTT can offer. These extra perks and an affordably-priced product that can be viewed anytime, anywhere makes CBS All Access an attractive OTT package.In addition, the OTT market could become saturated quickly, forcing consumers to choose which OTT services they value the most. Without solid data on how many individual subscriptions a viewer is willing to pay for, well established brands like CBS that have great content and archives, and innovators like Netflix who produce their own original content are poised to capture market share, leaving others in the dust. 

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