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Tiki Bar TV Tests The Pay-To-Watch Webisode Model

imageBig news and media companies aren’t the only ones trying to figure out the right way to charge people for their online content—digital startups are testing the pay-to-play (or watch) model, too. Four-year-old online video show Tiki Bar TV just rolled out a $49 annual “membership” option that lets viewers download higher-quality episodes of the show (in HD and Dolby 5.1 Surround Sound). Members also get a discount on branded merchandise and access to upcoming Tiki Bar events.

This comes less than a week after Martha Stewart Living Omnimedia announced that it would start charging viewers for access to vintage Martha Stewart show clips; like MSLO, Tiki Bar is hoping to find the ideal combination of ad-supported and subscription-based content, since non-paying users will still be able to view all five seasons of the show (complete with banner ads) on the site. Producer Tosca Musk told Tubefilter that the goal was to get “full production costs” of the show covered by paying members.

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May 18, 2009 3:59 PM ET
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Posted In: Technologies / Formats, Broadband

  • No doubt, some avid viewers will be willing to pay to get high quality of service but still, more viewers will still rely on free service.  They rather want free service than a paid one.

  • The $49 is for a year of episodes. I would imagine this would be 4-5X as much runtime in terms of content than a standard DVD. $49 a year is basically $4 a month. That seems _very_ reasonable.

  • lodgegoat

    Yes, only strong brands and dedicated eyeballs will win, but this is a step in the right direction.

  • ChrisM

    Good luck.  Don't think this will work.  Consumers are not going to pay one month of cable bill to get TikiBar shows.  Site doesn't get much traffic and this will not make it any easier to monetize.  But it will be fun to see what happens with it.  Only strong brands can get away with this strategy.

  • Yes!  Music to my eyes!  Content has value, to me the main problem has been an unrealistic VC-fueled "free is good" culture.  It has gone on so long we have become used to it. Wrong.  This expectation of "free" needs to go away, it is a terrible business model. Only portal sites ever achieve the eyeballs needed to make ad support work, and there are only 3 or 4 portal sites. For the rest of us, assuming content creators are making content that their fans want, enough of the fans will come through and make a revenue producing model actually work.

    Jeff Bach

  • JT

    $49 is way too much for web content. you can get 2 TV show seasons on DVD for that price. 9.99 would have seemed more reasonable

  • I don’t see it as a viable business model because of the pay for view… but then again I didn’t think XM and Sirius would work.

  • Great Idea! I comment you Tiki Bar for doing the harder right and actually SELLING your content. It's hard to believe that is news but hey it's a big step in the right direction!

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