Categorized | Internet, TV Business

Hulu CEO Still Talking Like He’s Independent; Expect Ads To Increase Regardless

Posted on 27 November 2009 by Bill Gorman

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I’m not so naive as to believe that what’s said in public by CEOs is what they believe, but Hulu’s Jason Kilar is still talking like he’s running an independent start up where the decisions are his.

Hulu has taken some criticism from TV executives for not boosting ad loads to a comparable level with TV, and now, given Hulu’s near sell-out position, would seem like an ideal time to flirt with more ads. But Mr. Kilar said that’s not in the plan. He’d rather see a return to what he called TV’s “golden age” in the 50s, when ads were far fewer than today. “We believe in a less-is-more approach,” he said. “We are very persnickety about the user experience and how it works for our customers.”

So far, Hulu is a free, ad-supported service, but Mr. Kilar has said in the past he’d consider TV adopting paid models, including TV Everywhere, the scheme the cable industry is testing this year in a bid to preserve their subscription revenue on the web.

via Advertising Age.

With the television industry seeming to fairly quickly line up behind the concept of TV Everywhere, in which online viewing will carry exactly the same national commercials for three days past the airdate that the show’s original telecast had, Mr. Kilar’s tune will be changing, perhaps soon, at the “request” of his shareholder overlords (NBCU, Disney, Fox), whether he likes it or not. Because whether he’s just kidding the public (or himself as well), it won’t be his decision to make.

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13 Responses to “Hulu CEO Still Talking Like He’s Independent; Expect Ads To Increase Regardless”

  1. zeker says:

    Living in Canada I can’t get Hulu, so this doesn’t really matter to me but I am curious – can’t you skip through the commercials in Hulu?

  2. Parenthood says:

    You can’t skip through the commercials.

  3. Vetinari says:

    It’s a smart move. On a tangential note, I think broadcast tv viewership would increase if they went with fewer ads which cost advertisers more per 30 second spot.

  4. Matt says:

    It is a dumb move because the one reason I go to Hulu is to avoid so many pointless commercials. I don’t know for sure but is the ad exposure different on a network’s home site? Do they run 3 commercials before you get to watch a program?

  5. Matt says:

    I personally think its a dumb move. Hulu’s viewership will decrease dramatically because I’m almost positive that a lot of the visitors go there so they don’t have to watch 8 commercials between each segment.

  6. leo says:

    I am pretty sure Hulu just started a new site for Canada … thought I read it the other day

  7. leo, Rogers is starting a site similar to hulu next week for its customers, partly because hulu “has taken (and is still taking) its sweet time to come to Canada.”

  8. leo says:

    yep that is what I saw … the thing I read was

    Canada finally gets its own version of HULU and we’ve got your first look: http://is.gd/53q1Q #rodo

    I guess I remembered it wrong , or I misread it.

    Canada gets “ctv”? I cant watch that … and there have been a few programs I wouldnt mind watching. Not that I am complaining … just pointing out the grass isnt completely greener on this side :)

  9. Vetinari says:

    To clarify, what I meant by it’s a smart move was his resisting the increased ads, not the possibility of a pay route which personally I don’t think will happen except in the sense of an added tier – like 1080p hd for a fee which I’d be fine with.

  10. Lance says:

    They could effectively double their ads and it would still be a pretty pleasant experience compared to the normal TV experience. Typically i still do watch what i can when it airs on TV…HULU as a backup and when two shows are on i like at the same time…ie Fringe I watch on HULU, while i watch The Office on TV. I’m also a classic TV buff so i am frequently and pleasantly suprised as HULU continues to add to it’s library of classic stuff, a lot of which doesn’t air anywhere on TV anymore.

  11. Kermonk says:

    One does get the impression though that most american consumers are well trained sheep who do as they are told. 8 commercials? Yes sir. Can i have some more?

    *g*

  12. Mikey says:

    Jason Kilar is hilarious. This is like asking an affiliate GM how he’s going to program the network in the future.

  13. Moxy says:

    Matt, as far as the commercials go, watching full episodes on a network website is pretty much the same as watching it on Hulu. There are three or four breaks throughout the show for 30 second commercials (sometimes shorter, sometimes longer). Occasionally you have to sit through two commercials before the show starts. If a show offers short clips, you have to sit through a commercial before you can watch it (Hulu will often play clips without a commercial intro).

    The most important difference between network websites and Hulu is that Hulu has a MUCH nicer interface with the ability to subscribe to shows and build a queue consisting of shows from different networks.

    I watch TV online often; I often miss the original airing or want to see a segment again. I don’t much mind the commercials, although I am happy when I load episodes on Hulu and have the option to watch one long commercial at the beginning. It’s easier on my mute button.


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