the digital minute april 21 2019

The following is a transcription of the Tailwind Flash Briefing published April 21, 2019. To listen activate through the Amazon Alexa Skill store.

Or listen directly here:

Tailwind Digital Minute Flash Briefing for April 21, 2019

From Tailwind in Tempe, Arizona, it's the week of April 21, 2019 and this is your Digital Minute. I'm Ryan Gudmundson

Facebook Portal Cuts Price in Half

Just in time for Mother's Day, expect to pay only $99 for Portal, Facebook's video calling, and face tracking solution. With a move to potentially help spur adoption or at least get product off shelves, the social network's decision to slash prices by 50% comes at a pretty hairy time for the company. While ongoing privacy concerns and fake news headlines continue to come to an unfortunate light, users are constantly weighing the pros and cons of delving information as well as engaging with the network altogether. Does the $99 price point make more sense to more users ready to commit?

Only time will tell in how these shifts for Portal plays out in the long run. I wouldn't be surprised, if prices hedge upwards later this Summer - but I bet we'll see a Mother's Day Portal commercial any day now.

Netflix Releases Earnings, Weak Quarterly Guidance

On Wednesday, Netflix released their quarterly earnings exceeding expectations but delivering little confidence with weak guidance expected in the upcoming quarter. While subscriber-ship continues to rise, many believe a plateau of some kind may be felt sooner rather than later, as the cost of streaming high quality shows continues to increase.

What does this mean for Netflix or other streaming television services? Should we expect ads any time soon?

At Tailwind, we think the potential is good for some kind of new ad formats within the network. While users may be irritated by in stream advertising, pre or post roll placements have worked for HBO and Prime - albeit in showcasing other shows within their network. Open advertising opportunities within any of these platforms shouldn't be too big of a surprise though. The key difference between these buys and traditional television - we should at least have digital backed metrics and insights as well as proper interest based targeting at our disposal.

 

Pinterest and Zoom IPO

Finally, on Thursday, Pinterest as well as Zoom, the online conferencing platform IPO'd, both to impressive upticks day one. But while Zoom has been profitable with some pretty enviable valuations, Pinterest's potential as a publicly traded company will be insightful to watch in the months ahead. Not only will the company need to prove out profitability, it'll need to do so in a way that retains a lot of the organic benefits that previously made it such a unique experience.

While we brought up new ad testing initiatives in Google Image Search just last month, now that Pinterest is public and they've adequately secured IPO funding, we expect the platform to roll out and establish new ways for advertisers to effectively reach core users or potential users in new and innovative ways. At the end of the day, this could be a great opportunity to test and identify image backed awareness plays for CPG brands, or any brand for that matter, at what could be some fairly cost effective entry points.

That about covers it for this weeks edition of the Digital Minute. To learn more about some of the topics we've covered today, join us over at FindYourTailwind.com/blog for a full transcription of the Digital Minute as well as links to further resources and information. Until next week, I'm Ryan Gudmundson. 

Be sure to check out last weeks edition of the Digital Minute.

 

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