Streamer bundling and discount partnerships with other subscription-based services continue to proliferate as entertainment companies push to pump up reach for their ad-supported tiers and improve their bottom lines with new consumer revenue.
In fact, two new high-profile partnerships were announced within hours on Wednesday.
Peacock’s with-ads Premium streaming tier, normally $5.99 per month, has been added to Instacart memberships ($9.99 per month or $99 per year) as a no-cost value-added.
Paramount is taking a different tack, by offering the millions of AARP members 10% off on either of Paramount+’s sub plans: the normally $5.99-per-month, ad-supported Essential tier or the normally $11.99-per-month mostly ad-free Paramount+ with Showtime tier.
Among other recent bundling deals, Verizon earlier this month announced a discounted bundle featuring the ad-supported versions of streaming rivals Netflix and Max. Paramount+ already has a deal in which members of the Walmart+ loyalty program get free access to the ad-supported Essential plan.
NBCUniversal and Instacart are launching an ad campaign that positions Instacart as a secret weapon for reducing holiday chaos by putting same-day home-delivered food, spirits, “movie-night essentials” and other needs at consumers’ fingertips, along with Peacock content.
“An hour saved on a trip to the store means an hour more of fan-favorite shows from Peacock,” said Heather Rivera, Vice President, Strategy, Partnerships, and Corporate Development, Instacart.
The campaign’s ad, featuring scenes from Peacock shows
including “The Office,” “Parks & Recreation" and “Brooklyn Nine-Nine,” will run across NBCU's linear, social and streaming platforms.
The ad will debut on NBC’s “Christmas at Rockefeller Center” special on Wednesday. In addition, Instacart will be featured during that program and other NBCU shows, including the Dec. 5 episode of “Watch What Happens Live with Andy Cohen," on Bravo.
"Peacock and Instacart are both fast-growing brands that aim to deliver a great experience and exceptional value to our customers," said Annie Luo, executive vice president, head of global partnerships and strategic development at Peacock. "With TV viewing and grocery delivery at their peak during the holiday season, it's the perfect time to launch this partnership and lean into big moments across NBCUniversal."
NBCU noted that Instacart has been a regular advertiser across Peacock and its broader
portfolio, including Bravo, CNBC, E! and “Today.”
It is unknown whether NBCU will receive a cut of new Instacart subscriptions in the deal, but Peacock clearly hopes to expand its reach for advertisers by millions, thanks to Instacart’s active user base, which was 13.7 million in 2022.
Instacart, meanwhile, can use a boost in membership and orders amid an anticipated IPO offering. The company’s revenue from its own retail website grew 24%, to $406 million, in this year’s first half, but its grocery orders were flat, and expanding orders is considered a key to further expanding advertising.
Instacart doesn’t offer any other streaming services as perks with its membership, but it did partner this year with Roku to help track the spending habits of Instacart users.
Meanwhile, Jeff Schultz, Paramount Streaming’s chief strategy officer and chief development officer, described the new partnership with AARP — which boasts more than 38 million members — as another example of the company’s “market-leading growth strategy” of “aligning with world-class brands."
Paramount is “thrilled to introduce a new offer with AARP that enables us to engage with millions of their members,” Shultz said. “Our total household offering, which includes popular content from studios such as CBS, Paramount Pictures and Showtime, means Paramount+ is a natural fit for the AARP audience, and we are excited that this new deal allows us to better reach this vast and active community.”
AARP's monthly magazine, which is distributed to all of its members, routinely includes ads and promotions for the association's numerous offers and benefits through various partnerships.
The 10% discount offer is open to new and returning Paramount+ subscribers in the U.S., excluding Puerto Rico, and can be applied to either monthly or annual payment plans.