NOW TV – What is Sky’s Strategy?

Now TV is Sky’s latest attempt to head off the threat of the subscription movie services such as Netflix and Lovefilm. Featuring the high quality content of Sky’s exclusive movie catalogue, the winner is a no brainer, right? Maybe not – Netflix have managed to amass over 1 million UK subscribers with a pretty average content library combined with a cheap and eniticing offer. Now TV on the other hand, is far from cheap – £15 per month for a subscription or between £1.99 and £3.99 for a PPV movie. And there is also the question of whether Sky will cannibalise its own Pay TV service by this launch. On a separate note, one thing that has puzzled us at Decipher is that Now TV is being billed as Sky’s ‘first over the top TV service’. Everyone seems to be forgetting that Sky already has an internet TV service – it’s called Sky Go and it has over 1 million users! There is a blog post which discusses this in more detail.

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