Background
After a major studio finalized a co-exclusive licensing agreement that placed several of its flagship series on a leading third-party streaming service, the studio wanted a clear, data-driven view of the arrangement’s real-world impact.
The goal was to measure how the titles were performing on the external platform, gauge any effect on the studio’s own streaming service, and verify that the licensing economics were sound.
Parrot Analytics was engaged to quantify these results across both services and provide a repeatable framework for future library deals.
Challenge
- Uncertain Post-Deal Impact: The studio needed to know whether debuting the shows on the external platform delivered meaningful incremental reach and viewing - without undercutting engagement on the studio’s in-house service.
- Protecting In-House Value: Each series had long been a reliable driver of subscriptions and retention on the studio’s own platform. Executives had to understand if broader exposure weakened a key reason to subscribe.
- Validating the Economics: Finance and strategy teams required streaming economics insights to confirm that license fees, incremental marketing value, and any subscriber shifts ultimately produced a positive return.
Solution
To answer the studio’s key questions, Parrot Analytics built a comprehensive revenue-impact model that contrasted the long-term economics of keeping each series exclusive with the outcomes of granting co-exclusive rights.
Exclusive Scenario
Parrot Analytics modeled the long-term value of each series if it remained solely on the studio’s own platform. They incorporated data on show-specific retention levels, engagement metrics, and subscription growth historically driven by each title.
Co-Exclusive Scenario
Next, Parrot Analytics mapped out how extending co-exclusive rights for each show expands visibility, generates incremental revenue, and either mitigates or exacerbates subscriber churn.
The analysis factored in audience overlap with the partner service, potential marketing cross-pollination, and the likelihood that fans of one show would sample additional titles on the studio’s own platform.
Outcome
At the project’s conclusion, the studio possessed clear, data-driven insights into how co-exclusivity affected each title:
- Projected Baseline for Exclusivity: Each title’s exclusive value remained clear, helping executives see the impact of any specific series leaving the platform’s exclusivity umbrella.
- Incremental Gains from Co-Exclusivity: By comparing multiple series side by side, the studio could discern which ones were best suited for co-exclusive deals - either due to higher awareness lift, broader demographic reach, or synergy with the second platform’s user base.
- Risk Assessment and Portfolio Strategy: Armed with insights into potential churn vs. cross-platform engagement, the studio now has a title-level methodology to test, monitor, and justify library licensing moves in an increasingly competitive, multi-platform environment.
Ultimately, the ability to analyze co-exclusive licensing across multiple shows gave the studio a framework for future deals on how to strike a balance between maintaining exclusive content and generating additional revenue from broader distribution - ensuring informed, strategic negotiations in a competitive streaming marketplace.
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