When Apple’s exclusivity agreement for HBO Now comes to an end in July, we can expect the service to quickly make its way to additional platforms like the Fire TV and Fire TV Stick. When that time comes, there may be additional pricing options to choose from, other than the current rate of $14.99 per month. HBO has been sending emails to customers opting to cancel their HBO Now subscription with surveys which hint that the company is considering offering discounts to those willing to pre-pay for the new service. The survey lists a three-month price of $29.99, a six-month price of $59.99, and a one-year price of $99.99. That one-year price would bring the service down to $8.34 a month, which is a considerable discount of over 44% off the current monthly price.
Enticing customers to pay for more than one month at a time may be HBO’s answer to the unprofitable binge-watcher demographic. Since there’s nothing stopping customers from paying for just one month of service and binge watching an entire years worth of programming in that one month, HBO and other similar services with on-demand content will need to find ways to turn binge watchers into long-term subscribers. Sling TV, while being a subscriptionless month-to-month service, is still offering customers free Fire TV Sticks and discounted Fire TVs in exchange for longer upfront service comitments. As more content providers make the inevitable switch to subscriptionless a-la-carte services, you can expect to see more interesting incentives offered in exchange for longer commitments. What type of incentives would make you pre-pay for more than a month of service? Would you prefer free/discounted gadgets, or lower subscription fees? Let me know in the comments.
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The logical side of me would prefer lower subscription fees, but the free Fire TV Stick that I got from the Sling TV offer would say otherwise. I know I’d probably be more likely to make an impulse decision if you dangled a hot new toy (gadget) to play with in front of me.
The status quo had always been a service contract and a huge hassle when you try to cancel, because cable/satellite companies know the service doesn’t provide enough value for the cost so they make getting out more difficult. Doesn’t matter to me if it’s a lower price or free gadget for commitments as short as three months, it’s a huge difference to the old way.
And the easy cancellation with these services if you don’t prepay is great. MLB.TV, Netflix, etc. have all gotten more business out of me because I know I can easily cancel when I don’t plan on using the service and sign back up later. If I knew cancellation was a huge pain, I’d have cancelled once and never returned.
Does HBO Now even work well on a fire stick? Because my HBO GO, plugged directly into my Pioneer AVRs HDMI has a lip synch issue that makes it unwatchable.
HBO Now has not been released for Fire TV devices yet.
Discounted overall payments will get me to sign up!! I’m counting down the days for it to be available for fire tv devices!!
I am (im)patiently waiting for access to HBO Now on my Amazon Fire TV – I will gladly pay a year ahead to get rate of $8 a month – I know what I’m getting with HBO so really nothing to consider, and the trial month is a nice bonus.