Ad Expectations Lead To Disappointment
Big news for iOS device owners: Hulu has released a free application that allows users to access Hulu’s extensive show library on iPhones and iPads. It resolves one of the biggest disappointments over not having Flash available on these devices. As Hulu is the website for viewing current (and even some older) television shows, having it on a portable device means hours of easy entertainment. Why, then, has the app garnered such terrible reviews on Apple’s App Store? Currently, it’s hovering between 1 and 2 stars (out of five). Reviews have been so low because Hulu shows advertisements during the content, all while requiring a $10 a month subscription fee.
How could the presence of short advertisements coupled with a monthly subscription rate produce such negative reactions? After all, millions of Americans pay each month for cable television channels that all feature extensive advertisements played during shows and movies. Additionally, Hulu on a computer features the same ads and millions of people use Hulu everyday. What is it about the combination of paying for Hulu with ads that has turned so many people off? The problem for Hulu lies in our expectations for advertisements.
Imagine television is brand new and features no advertisements during programming. Then, on day, out of the blue, half hour television shows cut their run times to 22 minutes and fill the rest of the time with ads. People would be outraged. But as things stand now, advertisements during television shows are tolerated, even celebrated (for example, during the Super Bowl). Ads offer a time to get up for a snack, check your email, flip the channel, or just zone out. Some research has even indicated that having ads during the program increase our enjoyment, perhaps due to the potential for cliffhangers happening right before an ad break. Anyone watching television on DVD can recognize how exciting a moment in a show would have been with 3 minutes of ads prior to resolution of an exciting scene. We expect ads to be there, so they don’t bother us.
Sometimes, though, ads can get out of control. In these cases, we do get annoyed. Repeated ad breaks during a sporting event, especially when time is running out and teams call time-outs, can be incredibly obnoxious. Ad breaks that go on for too long can irritate viewers. And ads that repeat or aren’t well made can also draw ire. We viewers are generally patient but when we get pushed too far, when our expectations for what ads should be are violated negatively, then we get sick of commercials.
By charging consumers and showing ads, Hulu has not deviated far from precedent, but they have violated consumer expectations. The presence of ads during Hulu shows is not enough to make viewers angry. After all, ads are common. And charging for content is not unreasonable. For example, many people choose to pay for Netflix, including content you can already stream on iOS devices. But to ask viewers to pay for content that is free elsewhere, and also to include ads, means that expectations for what is reasonable are negatively violated. It seems like Hulu is double-dipping, asking for cash payments to view material interrupted by ads.
The problem might not be so bad for Hulu if and when they role out a required subscription model across all platforms. But considering that the same shows are available for free on the computer, paying $10 a month for the “privilege” of watching a show on a smaller screen seems quite unreasonable. If Hulu has made any mistake in their role out, it is thus: offering people less for more. Indeed, as many other sites have adapted their video players to work without Flash either in-browser or with an app (ABC, Netflix, CBS, YouTube, et cetera), it seems like Hulu is being lazy and trying to profit from it. If you want Hulu on your iPad, you will pay $10. But the experience (including Hulu’s original revenue generator) will be no different than it is on your laptop.
If everyone had to pay, Hulu’s problems might go away. But we consumers still have very specific expectations for when we will and will not tolerate ads. If we pay to watch shows over the internet, then we don’t want ads. If we get the content for free, then ads are accepted. Maybe Hulu can figure out how to change this, or maybe, just maybe, paying $10 a month won’t be compelling for very many people. We’ll find out soon enough, as Hulu’s subscription plans will be starting later this summer.
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