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I'm guessing the reason why this service is US only is because I feel like this shit wouldn't fly anywhere else.
by Hamuko 3y ago
I'm guessing the reason why this service is US only is because I feel like this shit wouldn't fly anywhere else.
- hammyhavoc 3y agoNah, I'm sure it'd fly in plenty of places, but shipping TVs internationally is going to be rough with import fees et al.
- celestialcheese 3y agoUS advertising CPMs for this type of placement will be 100x more valuable than Southeast Asia and 50x LATAM. The economics don’t work anywhere else. Even Europe
- Hamuko 3y agoI'm not entirely convinced that the economics work in the US either. It feels like it has the same problem as those iBuyer ("we'll buy your house with a price we'll calculate using an algorithm") products - the market you capture isn't a solid cross-section, but rather weighted. So iBuyers tended to attract people who might not be able to get the best value for their home on the open market. I think Zillow Offers flopped quite spectacularly. Similarly, the notion of a free ad-powered TV would be more attractive to people with less purchasing power. For a middle/high-income household, the cost of purchasing a 55-inch TV, even a high-end one, is not that steep. The Wirecutter LCD pick (Hisense U8H) is $648 and OLED pick (Samsung S95B) is $1300. There's also a budget option (TCL 5-Series) for $450. So if the target audience for the Telly is someone who can't justify spending ~$400 for a TV, I am not sure if they are an advertiser's dream. If this ad model truly works in the US, I imagine that it could economically also work in Europe. However, I imagine they would have issues with GDPR considering what a massive data harvesting and selling operation this is.