Since Monday’s mailing, Walmart+ and Paramount+ announced an exclusive streaming deal. “Exclusive” means Paramount+ “wanted to launch exclusively to get full marketing attention” according to CNBC’s Alex Sherman, and there will likely be more partnership announcements to follow.
The Paramount+ Essential subscription (the ad-supported tier) will be available to Walmart+ members at no extra cost. So, Paramount+ will immediately benefit from the deal in two ways:
I wonder whether Walmart is taking a share of ad inventory à la Roku or Amazon Prime Channels. Roku and Amazon typically take 30% of inventory in those distribution deals.
Because if they are, the deal will be extraordinarily valuable to Walmart, allowing it to capture first-party shopper data on streaming behavior - which it it is unable to do now. This will enable it Amazon-like abilities to close the “attribution gap” between (1) where Walmart customers learn about products, services and brands, and (2) the mediums where they buy those products, services and brands from Walmart.
Both services have direct-to-consumer (DTC) business models that increasingly rely on first-party data, and this partnership will generate valuable first-party data for both. But Walmart is positioned to ultimately benefit more than Paramount, and that benefit depends on taking a share of Paramount+ ad inventory.
A Customer Data Platform (CDP) is software that combines data from multiple tools to create a single centralized customer database containing data on all touch points and interactions with a product or service. As a November 2020 press release ...