How Hulu Will Respond to Netflix Expansion and the Future of Original Programming

The landscape of streaming services has seen a significant evolution, with both Netflix and Amazon leading the way in original programming. However, Hulu, despite having access to first-run broadcast television shows, has traditionally focused on catalog content. As the industry shifts towards original programming, Hulu is likely to step up its game. This article explores how Hulu will respond to Netflix's expansion and the role of original content in the future of streaming services.

Understanding the Current Landscape

Over the last few years, the strategies of Amazon, Netflix, and Hulu have been clear. They believe that original programming will be the key to gaining and retaining subscribers, rather than relying solely on catalog content. While Netflix and Amazon have poured billions of dollars into original programming, Hulu has had a different approach, leveraging its close ties with first-run broadcast television shows.

Hulu's Traditional Approach

For a long time, Hulu's strategy involved acquiring a large user base through catalog content, including first-run TV shows from major networks. This has allowed Hulu to maintain a significant portion of its subscriber base, but as the networks and cable channels shift their focus, the long-term availability of this content becomes uncertain. For example, BBC is set to launch its own OTT network within the next 12-18 months, resulting in a pull-out of the Dr. Who series from multiple platforms. This decision may have hit Hulu harder, as it had built a substantial audience around catalog programming.

Shift to Original Content

As the availability of catalog content diminishes, Hulu is likely to shift its focus to original programming. They have already been launching original content for years, albeit at a lower production cost compared to Netflix. The upcoming release of the Stephen King/James Franco series, 11.22.63, will be a significant test of Hulu's ability to produce high-budget original programming. This new series represents the kind of big-budget event programming Hulu is expected to develop in the future.

Can Hulu Attract Top Talent?

The critical question, however, is whether Hulu can attract top-tier producers and talent. Both Amazon and Netflix have secured multi-billion dollar commitments in original programming, which has raised the stakes. Hulu, without a public currency and significant financial resources, must find innovative ways to finance its original content. This includes attending events like the Sundance festival to acquire high-quality content.

Hulu's Strategy for Growth

Hulu's recent presence at the Sundance festival to buy original content indicates a new approach. Instead of solely relying on catalog content, Hulu is now actively seeking out original series. This strategy aligns with Netflix's model of acquiring off-the-beaten-path content, such as old films and indie movies. By doing so, Hulu can build a more diverse and compelling content library.

Conclusion

With the streaming industry rapidly evolving, Hulu is at a crucial turning point. As Netflix and Amazon continue to invest heavily in original programming, the race for subscribers intensifies. Hulu's success will depend on its ability to produce high-quality, engaging content that appeals to a wide audience. The upcoming release of 11.22.63 is a key indicator of Hulu's future direction, and whether they can attract and retain subscribers through original programming remains to be seen.