How Does Hulu Works?: Know All the About the Disney’s Streaming Platform

Nowadays, streaming platforms have gained huge popularity among entertainers. Every one of us is aware of top streaming platforms like Netflix, Amazon, and many more. No one among us has ever imagined that TV experience will return to us in the most inexplicable way, but some of the well-known streaming platforms have done it greatly and have provided the best ever experience to the entertainers. 

There are numerous streaming platforms available in the market these days and one such streaming platform is Hulu, now let’s explore how does Hulu works?: know all the things about the streaming platform starting from how much it costs? to which business model it follows? and much more. 

 How Hulu Started its Streaming Journey?

Explore How Hulu Started its Streaming Journey

                                                     Image : (Source)

Hulu has successfully announced its live TV plans for years, and after grasping huge popularity among the viewers or entertainers, it has successfully launched a live TV beta during recent years. The paid feature of this streaming platform combines more than 50 channels, subscribers can also leverage cloud DVR with Hulu’s existing service. It is the best choice as a cord-cutter for those people who love to use Hulu but sometimes miss the convenience which they get watching live TV, sports, programs, and much more. Thus explore everything to know how Hulu works, what it includes, and much more.

What is Hulu?

Hulu is a premium streaming service over the internet-based TV streaming service. It facilitates users to stream movies, TV shows, documentaries, and much more on a huge range of their Internet-connected devices. Hulu was launched on October 29, 2007, as a joint venture among Facebook, AOL, MSN, Comcast, Yahoo, Myspace! This streaming platform mainly focused on TV shows at the initial level rather than focusing on movies or any other kind of video content. 

 

Hollywood executives experience huge potential in this positioning, Hulu’s platform became the best option for watching current episodes of TV shows for the show lovers in a short time span. Later, to provide entertainers with a fresh and engaging content company has successfully partnered with most of the USA’s cable TV channels such as Fox, ABC, NBC, CNBC, and many others. 

It proved to be very beneficial for the streaming platform as it helps them to get a top position as one of the biggest online TV show libraries. Later on, it also partnered with national and local channels like Disney Channel, National Geographic, Fox, and many others to provide fresh content to the viewers of all ages and tastes. It provides the live TV experience to end a number of viewers worldwide on the internet that also without the need to install cable TV.

 

Check the List of Advance Features Which Hulu Users are Provided with:

  • It provides users with a large list of on-demand TV shows and movies to watch.
  • Users are allowed to explore almost all the TV episodes from all the TV channels just the day after they have been aired.
  • Live TV experience from broadcast networks in more than 200 USA markets.
  • Leverage the use of a Cloud DVR.
  • STARZ, HBO, Cinemax, SHOWTIME, and many other exclusive add-ons stream exclusives and provide users with great entertainment streaming shows such as Shameless, Game of Thrones, and many others.

Hulu Business Model: Explore to Know How it Makes Money

Hulu Business Model: Explore to Know How it Makes MoneyRecently Hulu’s premium video streaming service boasts more than 25 million subscribers. It becomes one of the most favorite streaming platforms for the users as its exclusive library provides wide access to the users to watch every major library of hit TV series and movies, a show of U.S. broadcast network, and acclaimed Hulu Originals. It’s obvious that question might bust in your mind that how does Hulu work and why has it grasped huge popularity among the viewers? To clear your doubt, we have listed everything about the streaming platform.

How Hulu Actually Works?

Hulu was primarily started with an ad-supported business model where viewers can stream the TV shows free of charge, but it was mandatory for them to watch advertisements completely that interrupted the stream. Hulu’s previous business model was just similar to the present business model Youtube. Later in 2010, the company introduced its paid subscription service for its users to compete with the likes of Netflix.

The paid subscription of Hulu was launched at a price of $9.99 per month initially but later was lowered to $7.99. But this paid subscription was not ad-free, it also contained as many ads similar to the free version, but users were provided with a huge array of choices to find their shows matching to their taste. 

How Hulu Generates Money? : Revenue Model of Streaming Platform

It very easy to understand the revenue model of Hulu in much accurate way, its money-generating sources can be divided into mainly two categories, that is:

 

  • Revenue from subscriptions.
  • Revenue from advertisements.

How Hulu Deriver Revenue From Subscriptions?

Hulu has scrapped its free streaming model, and more than 25 million users pay to leverage its service. These monthly subscriptions help the company to gain a substantial amount of revenue. The company provides users with mainly four basic subscription plans which begin from $5.99 per month. These upgrades of the base plan include options for live TV, no-ad-interruption + Live TV, no-ad-interruption, etc.

  1. Choose a Plan.
  2. Customize it.

 

What is Hulu’s Revenue From Advertisements?

Revenue From Advertisements

Image: (source)

 

Hulu’s no-ad subscription plans have some shows that include post-roll and pre-roll ad blocks. Advertisements can be considered as one of the biggest sources to generate revenue for the company. As per the company report, it generated around $1.5 billion with the help of advertisement in 2018, it was found that it was 45% more than the revenue which Hulu earned in 2017.

 

Just like Netflix, this video streaming platform doesn’t believe in staying behind when it comes to wooing advertisers to promote anything in front of their users. Hulu provides mainly 3 advertising options to enhance the reach of advertisers, these options include:

  1. Splash: Advertisers who opt for this option can easily intercept nearly each and every unique viewer on the streaming platform on a single day.
  2. DMA Targeting: Advertisers investing in this option can easily intercept nearly almost all the viewers of the streaming platform within a specific market.
  3. Targeted: Advertisers opting for this advertising option are facilitated to target the ad according to the geographic area, demographics, genre, content length, and more.

Besides this, this advertising platform also provides an advertiser with seasonal ad targeting options, they can opt for seasonal ads such as advertising on Earth Day, Father’s Day, Mother’s Day, Friendship Day, and many other special occasions. The company avails numerous advertising options for the advertisers, they are facilitated to choose from a normal interstitial ad with big brand integrations during the Hulu original shows. This list includes the following:

 

  • Custom Integrated Commercial.
  • Custom Integrated Slates.
  • Spotlight.
  • Premium Slate.
  • T-Commerce.
  • Brand Integration.

 

How Much Hulu Live TV and What it Costed By Its Rivals

Users can leverage 7 days free trial of the streaming platform, but later, it will cost around $39.99 a month. Compared with that Hulu’s rival PlayStation Vue offers the same streaming service to the users at the cost of $35 to $65 per month, it completely depends on which plan users opt for! while Sling TV cost the same, but the DVR function of this streaming platform is still in beta and does not work efficiently on every channel. YouTube TV offers unlimited storage at the cost of $35, but offers its service only in limited cities and doesn’t possess many channels.

 

Future of Hulu: Know How it Will Survives in the Market

Hulu is always looking forward to positioning its brand perfectly as a TV show library. The company has a pioneer to create demand for online streaming shows to beat its rivals, such as Netflix and YoutubeTV. It has dramatically brought the costs of watching shows from $100 to just $5.99 per month. The company has experienced an incredible growth rate of 48%, and it is not less than than the growth rate of its competitors Netflix or Amazon Prime. Thus it can be assumed that Hulu has huge growth changes in the future too. 

 

Post by Gaurav Kanabar

Gaurav Kanabar is the Director of Alphanso Tech, a globally acknowledged IT consulting company providing the services in the arena of the WordPress Development Services & iPhone App Development Services. With the immense support from the adroit team, Alphanso Tech has been serving a huge client base worldwide.

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