Watch out HBO and Netflix. GoPro has stepped up investments in its content business, aiming to become a digital media powerhouse. Video content will help the company retain loyal customers and create a strong ecosystem. Though the action camera maker’s content business is still in its infancy, it could become a new source of revenue, generating money through distribution agreements or partnerships with advertisers.
GoPro may produce content for distribution on TV networks
Variety reported Thursday that the San Mateo-based company had hired Charlotte Koh, the former head of Hulu’s original content initiatives. She will now serve as the chief of features and series at GoPro. Koh told Variety in an interview that the company will initially focus on producing documentary and unscripted video content. Her responsibilities at GoPro include striking deals with Hollywood studios, networks and creatives to develop and co-produce new content using GoPro cameras.
Koh said GoPro would also branch into scripted content going forward. Raymond James analyst Tavis McCourt said GoPro’s content push suggests that it is trying to replicate Netflix and HBO. The action camera maker will create its own content to “drive stickiness to its channel. At the outset, GoPro’s original content may look like a number of “Warren Miller-like” series, said Tavis McCourt. Koh further revealed that GoPro may produce shows for distribution on traditional TV networks.
Media push serves dual purpose for GoPro
The San Mateo-based company’s content strategy would serve a dual purpose. GoPro already distributes its staged and user-generated videos through Facebook, YouTube, Twitter and other platforms. It also distributes content through dedicated channels on gaming consoles. Recently, the company signed media deals with ESPN and NFL.
The widespread content distribution strategy promotes its brand, while building an audience among those who don’t own its cameras. The company is exploring new content monetization opportunities from the distribution of its content. GoPro has more than 3.5 million followers on YouTube alone
GoPro shares rose 0.77% to $52.44 at 1:53 PM EDT on Friday.