Globo’s debauchery with Netflix involves rivalry and millions

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In recent days, the press has repercussions on Globoplay’s commercial aired in prime time – including the ‘Jornal Nacional’ break, where 30 seconds cost R$ 850 thousand – with provocation to the American platform.

In the video also released on social networks, Grupo Globo’s streaming uses the increase in the cost of living and the reduction in Brazilian purchasing power in the pandemic (hello Bolsonaro, did you get the hint?) to criticize the adjustment in Netflix’s monthly fee.

“Gas is expensive, food is expensive, fuel is expensive. At a time when everything is expensive, there are still people increasing the price of streaming”, says the announcer. “It’s a good thing Globoplay guarantees to all of its current subscribers, and more who sign by the end of the year, that we will not have a price adjustment until 2023.”

In one of the versions of the advertisement, comedian Paulo Vieira and ex-‘BBB’ Gil do Vigor interact. “No reason to cancel everything and just stay with us”, says the pop economist. “No? Boy, who is now a shack”, jokes the comedian.

Globoplay was right to create a campaign connected to the country’s economic reality. Globo’s Digital Products and Services Marketing team was creative in a language understandable to all social layers.

But the nudge on Netflix raises an ethical issue, after all, the streaming giant is a regular advertiser on Globo’s breaks and one of the sponsors of the Tokyo Olympics broadcasts. It bought a share of R$90 million, an amount that represents almost 20% of the broadcaster’s total revenue in the sporting event.

“Business, business, competition apart”, would argue one advertiser. Okay, advertising on Globo does not shield Netflix from being the target of mockery and contestation by the Rio channel. But behind this affront there is something deeper.

Netflix has been robbing more and more of free-to-air TV viewers. Many people simply stopped watching soap operas, news programs and other programs to consume one series after another in streaming – and to reflect what they saw on social networks, producing spontaneous publicity for the platform.

Today, the biggest threat to the powerful Globo, the isolated leader at Ibope, is not the other open signal channels (all with difficulty in artistically reinventing themselves and little money for investments), but the enemy’s almost infinite catalog of productions of various genres. ‘N’, as they make fun of in the commercial.

Even under threat, the station accepts to promote the competitor during breaks. If until recently it would have been unthinkable for Globo to show commercials from Netflix and Amazon Prime – platforms that increasingly affect TV audiences –, now reality imposes itself.

The Marinho family channel cannot afford to turn down advertisers. From 2019 to 2020, Grupo Globo’s revenues fell from R$14 billion to R$12.5 billion. Profit plummeted 77%, from R$752.5 million to R$167.8 million.

Known for witty posts on their social media profiles, Netflix shouldn’t leave Globoplay’s sarcasm without a corresponding response. We are facing the beginning of a war – of memes, prices and promotions – between entertainment titans. Sit down there on the couch because this fight will be good to follow.

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