LoveFilm strategy shifts from physical media to streaming

LoveFilm is “nudging” its business on a “day-to-day” basis as it looks to shift its strategy from renting out physical DVDs and games to streaming content online.


The company is set to launch an ad campaign promoting the launch of its service on LG internet-connected televisions, the next shift in its move to change consumers’ behaviour when it comes to watching films.

Simon Waldman, LoveFilm’s group product director, said at the IAB Engage conference in London today (3 November) that internet connected television is the next “disruptive shift” in the way consumers and marketers interact with media.

He added: “Our business has always been about disruption…the best digital products make magic seem normal. That was the reason I joined LoveFilm, the customer is so fascinated [with the service]…it’s a kind of magic.”

Waldman added that the other disruptive shift in businesses and marketers’ use of technology is the “explosion” of different connected devices entering the market, which is driving changes in consumer behaviour.

“Digital businesses used to just start with a website. We are now going to have digital portfolios – apps, tablets, mobiles – what will be smart is the way you get these devices to work together,” he said.

The “disruptive” changing nature of technology means companies must not focus on analysing competitors and formulating multi-year business plans; instead they should continue innovating with customer data at the core of any new development, to meet the sometimes unexpected changes, Waldman said.

“Everything stems from how you approach the next year, it’s not about the long term…the trick is not to sit there analysing more and more, the trick is to continue innovating,” he added.

US online video streaming company Netflix is due to launch in the UK next year.

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