For just $20 a month, Philo offers consumers more than 60 cable channels. It’s a simple value proposition that has helped this venture stand out in a crowded marketplace of so-called virtual MVPDs. And as Philo CEO Andrew McCollum explains, he’s not about to make the mistake that has the prices of many of his competitors soaring at a time of economic hardships across the U.S.
“We have always established ourselves as a low-cost, high-value service,” said McCollum on the latest episode of the “Strictly Business” podcast. “We’re very well positioned as people are looking to control their budget and the cost of what they spend on entertainment.”
Listen to the podcast here:
Philo just passed 800,000 subscribers in its third year of operation, with a bouquet of networks heavy on cable entertainment and lifestyle, but no broadcasters, sports or major news channels like CNN. The service may be getting a boost not only from heightened price sensitivity among consumers, but the overall rise in streaming consumption many market entrants have seen during the pandemic.
“We have definitely seen a significant surge of growth this year, particular during March, April, May, June,” said McCollum, a co-founder of Facebook. “The shelter-in-place period that was driving a lot of people to spend time indoors, we definitely benefited from that.”
The interview was recorded last month at the third annual StreamTV Show event.
“Strictly Business” is Variety’s weekly podcast featuring conversations with industry leaders about the business of media and entertainment. A new episode debuts each Wednesday and can be downloaded on iTunes, Spotify, Google Play, Stitcher and SoundCloud.