AMC Networks & Cineverse betting big on niche streaming services

After years of trying to attract viewers with content, streamers now seek profitability. The industry’s willingness to rationalize took the shape of price hikes, already implemented or at least scheduled. MAX, for instance, increased by $1 the price of all the monthly ad-free plans in June 2024. But rationalization also implies gathering powerful IPs to strengthen a unique platform, in the hope of reducing churn, instead of developing several streaming services. Indeed, maintaining a UX-friendly platform with compelling content is extremely expensive. The latest example is the integration of Showtime and Noggin into Paramount+. MAX also absorbed the Boomerang platform, which shows how offering powerful kids’ content is seen as a way to retain viewers, given the younger audience's engagement with shows and their repeated viewing habits. Eventually, even the biggest streamers considered merging or combining services to cut costs, as did Comcast and Paramount for instance.   Despite the context of rationalization, there are still companies which operate several streaming platforms simultaneously, especially services that could be called “niche streamers”. Let’s have a look at two interesting companies: AMC Networks & Cineverse. What rollout strategies did they pursue and what advantages do they have to compete in the streaming industry? Also, how do they combine SVOD assets with other forms of video consumption, such as YouTube and FAST Channels?  Niche Streaming Platforms: Not All Genres Are Created Equal! Cineverse vs. AMC Networks: Different Scales, Same GoalAMC Networks, which is famous for its eponymous cable TV channels and other networks, has been airing world-class drama such as Breaking Bad and The Walking Dead. Looking at their OTT assets, we estimate that their flagship platform AMC+ gathers 5.5M subscribers, accounting for slightly less than half of the total streaming subscribers reported by AMC at Q2 2024 (11.6M streaming subscribers). That’s almost 10 times more than the number of SVOD subscribers reported by Cineverse (1.5M). Formerly known as Cinedigm, the company describes itself as an “innovative streaming technology and entertainment company” and operates assets spanning all things video from OTT services to software.  Which Genres Generate Enough Engagement to Deserve a Dedicated SVOD Platform?Despite the scale difference between the two companies’ services, it’s interesting to point out their similarities regarding content offering. Both companies seem to have invested in the same genres. Horror movies, for instance, belong to a genre that’s utterly niche, being supposedly forbidden to younger audiences and hard to watch for some of the population. This didn’t prevent AMC from rolling out Shudder, which is also available as an Amazon Channel, and gathers more than 1.3M subscribers according to Dataxis. Cineverse introduced Screambox, available with and without advertising and features originals such as The Funeral. Midnight Pulp also features thrillers...