Subscription is limiting ambition
For cloud-based TV, film and video service subscription is great, continuous recurring revenue supporting a sustainable service and loyalty, if only in forgetting to cancel. But with retention being a significant challenge in OTT services it should not preclude other routes to monetising your service.
Many OTT services are perfect for both subscription and transactional sales of passing traffic, e.g. where a dedicated sports fan will always want to subscribe, and a less ardent supporter may be very happy to pay for a ticket to a match or event. So why limit the scope.
Sponsorship can also be complementary to subscription (SVOD) and rental (TVOD) where it is seen as a more subtle form of advertising and contributing to the overall service offering. Yet even advertising can be accepted on top of paid for services (be they SVOD or TVOD) if the content proposition is strong enough, e.g. football.
Add complimentary purchases and merchandising and there exists a huge gambit of monetisation options. The key thing is not to see these in isolation.
OTT’s advantage over broadcast is the direct path to the consumer, so why limit its ability to subsequently commercially engage the consumer on one front. That’s why at Easel TV we allow all these commercial options to be implemented in parallel.
Visit www.easeltv.com to find out more.