Hulu.com: A New Business Model for Online Video?


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Case Details:

Case Code : BSTR326
Case Length : 14 Pages
Period : 2007-2009
Pub Date : 2009
Teaching Note :Not Available
Organization : Hulu LLC
Industry : Online Video
Countries : USA

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Please note:

This case study was compiled from published sources, and is intended to be used as a basis for class discussion. It is not intended to illustrate either effective or ineffective handling of a management situation. Nor is it a primary information source.

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Excerpts

Background Note

In February 2005, the video sharing website YouTube became available to Internet users to upload, share, and view online videos. The uploading features of YouTube ensured that anyone could easily put online videos clips of television shows, movies, and sports events, music videos, and even personal videos, for everyone else to watch...

Key Features

The Hulu team tried to build in features that would make the website appealing to viewers. They chose a simple look with easy navigation for the site, in contrast to the cluttered YouTube website.

They also stressed developing features that everyone would find easy to use. Kilar said, "The service should be so easy to use that my mother would be proficient on it in 15 seconds or less, with no help from me."...

Hulu and Youtube

As Hulu's viewership grew, much of the initial skepticism about its success was dispelled. Many analysts had believed that Hulu would be a failure because of the divergent agendas of its various content providers and the presence of a powerful competitor like YouTube.

They had also believed that Hulu would be unable to overcome the technical challenges involved in the creation of such a website.

Some of them were derisive, using names like MeTooTube, Clown Co., and Would-Be-YouTube-Killer to describe Hulu...

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