Did you ever use Quibi? Do you even know what service Quibi provides? If your answer is “no” to either of these questions, then you are likely among one of the many reasons the video service shut down after only six months.
Quibi was developed as a streaming video app from Hollywood studio executives and offered entertainment and news in 5-10 minute lengths. It launched in April 2020 with the intent on challenging the streaming players. Quibi (which stands for “quick bites”) was designed for short viewing times in the “in-between moments” of life.
While the pandemic caused a number of issues for the company (since we were all now at home with devices, instead of on the move), it was only one of a series of missteps. Viewers couldn’t connect Quibi to their at-home TV, could not share programming, and had limited videos from which to choose. Quibi also had a lot of competition, including free services from YouTube and other platforms. Advertisers were also underwhelmed and experienced difficulties.
Although the app was downloaded an estimated 9.6 million times, and an estimated 90% of viewers left after the free trial period. The monthly service cost $4.99/month with included ads, or $7.99/month without ads. That’s not a bad price, but viewers saw it as one more monthly service to add on top of current streaming services from Amazon, Netflix, Apple, Disney+, and more.
Bye, Quibi.
Group Activities and Discussion Questions:
- Poll students: Who knows what Quibi did? Who used the service? Who subscribed beyond the free trial?
- Show Quibi’s site (it may not last long): https://quibi.com/
- News video of Quibi’s demise: https://youtu.be/tEfx_MxEXq4
- Discuss the components of an environmental scan: technology, social, competition, regulatory, and economic factors.
- Divide students into team. Have each team do a brief analysis of Quibi and the environment and develop a SWOT analysis.
- Discuss the stages in the product life cycle.
- Draw a product life cycle on the board and discuss the stages and marketing objective. What did Quibi’s PLC look like?
Source: AdWeek; New York Times; The Verge; Wall Street Journal; other news sources
