NBCUniversal executive Alan Wurtzel has made a bold, arguably deluded claim about the impact of Netflix upon tradition television, claiming that the streaming service’s impact will not continue to cause a tectonic shift in the industry as, after binge-watching Netflix shows such as Orange is the New Black and Jessica Jones, viewers stop and then “go back to watching TV the way God intended.”
Speaking during the Television Critic Association’s winter press tour, Wurtzel stated that after binge-watching shows and films on Netflix, “the impact goes away.” “[Netflix has] a very different business model—their business model is to make you write a check the next month,” Wurtzel said, adding: “I don’t believe there’s enough stuff on Netflix that is broad enough and consistent enough to affect us in a meaningful way on a consistent basis.”
Wurtzel had evidence to back up his claims, sharing data from Symphony Advanced Media which tracks metrics for Netflix. According to this data, the 4.8 million viewers in the 18-49 demographic pulled in by Jessica Jones were comparable to the ratings for How to Get Away with Murder and Modern Family, with Wurtzel adding that most people return to traditional TV by the third week after a show’s premiere on the streaming service – this is likely a result of Netflix looking to do away with linear TV schedules, instead opting to release entire seasons of new shows at once.
Wurtzel also had a few choice words for YouTube, saying: “In terms of our business, YouTube is basically a sidebar. The amount of time spent on YouTube is ridiculously small.” He then added that the 18-24 demographic spends an average of 62 hours a month watching linear TV, and 12 hours viewing YouTube content. However, while Wurtzel places these statistics in a negative light, taking into account that YouTube is just one website competing against numerous cable channels, this is a massive number.
Considering that Netflix only began offering unlimited streaming in 2008, Wurtzel is significantly downplaying the impact the service is having on traditional viewing habits, and undermining its swift ascension as a competitor. If Netflix continues at its current trajectory, with it frequently securing excellent original shows such as Jessica Jones, House of Cards and Daredevil, Wurtzel and other traditional TV execs won’t be able to continue to write it off as just a phase.
