Peacock Adds 2 Million to Bring Subscriber Total to 24 Million Following Q2 2023
On Thursday, Comcast released its second-quarter earnings report which included the news that its subscription video-on-demand (SVOD) streaming service Peacock added 2 million subscribers during the three-month period, raising the platform’s customer base to 24 million, a rise of 9% over the 22 million that the still-fledgling streamer reported following the previous quarter. As impressive as the quarterly growth is in today’s streaming market, it is even more impressive when you look at where the NBCUniversal service was last year, the newly reported 22M paid users is up 84.62% over the same period in 2022.
While Comcast CEO Brian Roberts has to be pleased with the continued growth from the service, its user totals are still just a fraction of those for the world’s largest streaming Netflix. Earlier this month, the streaming giant reported gaining just shy of 5.9 million customers in Q2 to bring its global total to 238.4M. Peacock occupies an odd space in the streaming industry. It is backed by one of the largest media companies in the world, but it has opted for a different path to sustainability than many of its streaming competitors and therefore is often relegated to the second tier of streamers.
Until last month, NBCU had made the ad-supported tier of the service available for free to Comcast Xfinity internet and cable customers. While the move had been oft-chided across the industry, it did serve as an opportunity for the customer to get its relatively new platform a bit of market share in the crowded streaming environment. While it is likely too early to see if the move will have a substantive impact on either subscriber totals or total revenue for the company, Peacock’s latest move might prove to be even more impactful.
Last week, the streamer announced that for the first time in its three-year history, it would increase its subscription prices. The ad-supported Peacock Premium plan went from $4.99 to $5.99 and the ad-free Premium Plus went up by $2 to come in at a new price of $11.99. The prices for the annual plans will increase as well. The ad-supported plan will move from $49.99 to $59.99 and the ad-free tier increases from $99.99 to $119.99. During the quarter, Peacock’s revenue increased 85% to come in at $820 million.
Given the recent successes of the service, NBCU seems to believe that now is a good time to increase its prices. Peacock has recently shown significant signs content growth with hit shows “Mrs. Davis” and “Poker Face” gaining a wider attention that most of the service’s previous series. And, a recent report indicated that over two-thirds of subscribers had watched a Universal movie on the platform, validating the decision to pull the films from HBO Max. Also, the LeBron James biopic “Shooting Stars” has become the most-viewed original film in the service's history.
With the continued draw of “Yellowstone” — which dropped the first half of its fifth and final season on Peacock in May — things appear to be picking up for Peacock, especially as it was recently ranked as the No. 2 SVOD service in terms of customer satisfaction.
Part of that satisfaction could have to do with NBCU’s increased focus on live sports rights on the streamer. In the upcoming NFL season, not only will Peacock get its first-ever exclusive game during Week 16, but it will also be the home for the first streaming-exclusive playoff game a few weeks later. Combined with the fact that Peacock will stream every single event from the 2024 Summer Olympics in Paris and that it will begin airing Big Ten football games — including exclusives — this fall, and Peacock is finally turning into a well-rounded streaming service.
That being said, Comcast is still a ways away from being profitable with the streamer, but unlike many other services that launched with huge initial subscriber growth, Peacock seems to be finding success with its slow and steady approach.
Peacock
Peacock is a subscription video streaming service from NBCUniversal that includes original shows, blockbuster movies, and classic television series. Peacock is home to “Yellowstone,” and “The Office,” as well as original hits like “Poker Face” and “Bel-Air.” You can also watch live sports including NFL, MLB, WWE, Olympics, Premier League, NASCAR, French Open, College Football and Basketball, and PGA Tour. Premium Plus subscribers can stream their local NBC feed in all 210 markets.