Cable providers fought for years to keep movie channels at a distance from customers with exclusive and highly-priced movie packages. They gave the movie channels a lot of money, told customers to pay a high amount for the channels and pocketed the money. Then, customers decided to stop paying for the bloated and expensive movie packages. Rather than take less money from the cable companies (who saw the declining numbers), companies such as HBO made the smart decision to take the product right to consumers.
One would think that most movie channels would realize that simply ignoring customer-trends like straight-to-consumers movie packages is a recipe for failure.
But Starz CEO Chris Albrecht is still unsure if Starz will be launching a movie product directly to consumers. Nevermind that they do this around the world, the US seems to be a question mark for Albrecht.
“We are evaluating what others are doing,” he said. “It’s early days. We have yet to see any hard reported data on the benefits of that to brands.” – FierceCable
So, at the moment, anyone looking to directly purchase a Starz package without a cable subscription will likely be waiting into late 2016. Last month, Starz reported 23.5 million subscribers, a decrease from the previous month. This follows Starz reporting that their reported earnings for the second quarter this year were down 9 percent from the second quarter of 2014.