Was letting Taylor Sheridan go a huge mistake by Paramount?
Was letting Taylor Sheridan go a huge mistake by Paramount?
New data from Luminate shows that Sheridan’s titles bring in quite a bit of viewership for Paramount+, despite the high cost of producing them.
If you haven’t read The Hollywood Reporter's story on how the Taylor Sheridan and Paramount divorce went down, it’s definitely worth a perusal. The story details how Sheridan, who creates some of the most popular content on the Paramount+ streaming service, was convinced to depart Paramount for NBCUniversal starting in 2029; much of the decision by Paramount to let Sheridan go hinged on the high cost of producing his shows. Now, entertainment research firm Luminate is offering more insight into the relation between that cost and the viewership associated with Sheridan’s titles.
Key Details:
- High cost: Sheridan’s shows are some of the most costly productions on Paramount+.
- Good return: The average cost per view generated of Sheridan’s shows is far lower than many other Paramount titles.
- Not gone yet: Sheridan’s deal with Paramount doesn’t end for several years.
As Luminate’s data shows, there is no disputing that Paramount’s brass have a point: Sheridan shows are indeed some of the most expensive the studio makes. Titles like “Tulsa King,” “Landman,” and “1923” have a cost per episode of $6 million or more — in fact, “1923” cost Paramount a whopping $22 million per episode.
But the return on that investment is equally undeniable for Paramount. These titles consistently attract a high average number of views per episode — as many as 22 million each — much higher than other Paramount+ series. Luminate found that the cost per average view in the United States for these shows was $1.33 or less, which means Paramount is bringing in more eyes per dollar with these shows than with others.
Click chart to expand.
To be sure, there are other expensive shows in the Paramount catalog. Titles like “Star Trek: Picard” and “Halo,” which are filled with special effects, have also been a strain on Paramount’s accounts, and they don’t come close to attracting the same viewership that Sheridan’s titles can. “Star Trek: Discovery” spent $6.02 per episodic view when put through Luminate’s formula, quite a bit more than any Sheridan title on the list.
The data indicates that Sheridan’s shows, while expensive, are a consistent driver of viewership for Paramount+ whenever a new season is released. However, viewrship does not directly correlate to profit. So while that would take a much deeper investigation into Paramount’s subscriber base, the company may simply be ready to move on from Sheridan and the highly expensive shows that he creates. However, if the cost of his productions were really the main impetus behind the decision not to extend his output deal with Paramount, Luminate’s research shows that choice could be a costly one for Paramount+ in the future.
The good news is, Paramount+ has a long list of Sheridan titles still in some stage of production. The writer/producer/actor will continue to work for Paramount until 2029, and viewers will get plenty from his pen until then.
Click to expand.
The data shows that NBCU could significantly expand its audience size once Sheridan starts working for them. Did Paramount make a mistake in letting Sheridan leave, despite the high cost of producing his work? Only time will tell for sure, but Luminate’s data suggests the possibility is very real.
Paramount Plus
Paramount+ is a subscription video streaming service that includes on-demand access to 40,000+ TV show episodes from BET, CBS, Comedy Central, MTV, Nickelodeon, Nick Jr., and more. Get free access with a Walmart+ subscription.
Paramount+ includes “1883,” “Tulsa King,” “Star Trek: Discovery,” “SpongeBob SquarePants,” and “PAW Patrol.” Subscribers can watch the NFL, college football, The Masters, college basketball, UEFA Champions League, UEFA Europa League, Serie A, and NWSL. The service also offers the option to watch your live CBS affiliate. The upgraded ad-free package includes premium movies and shows from Showtime.