Previously, we focused on how innovative technology can be used to engage OTT viewers. Smart content owners are leveraging personalized content discovery and interactive video features such as unique graphical overlays to deliver a superior viewing experience compared to traditional TV offerings.
In addition to satisfying their audience, content owners must solve another, equally important challenge: how do I make money from my OTT service?
It is no shock that the OTT sector is booming. Recent research from SNL Kagan found that the number of OTT services worldwide grew from 978 in 2016 to over 1200 in 2017. However, many content providers with great ideas have struggled to find success.
In order to grow, OTT providers should be operating around four critical values:
- Develop strong digital relationships with each customer
- Establish dynamic and flexible value-based pricing
- Create packages, features and products based on real-time data insights
- Measure and report predictable, forward looking revenue
When big name brands such as the NFL, NBA and Univision choose the NeuLion® Digital Platform to power their direct-to-consumer business, they benefit from a full suite of easy to use tools built to help them turn their digital content into a growing and profitable revenue stream.
Let’s explore some of these monetization capabilities.
Content Packaging, Promotion and Pricing
The NeuLion Digital Platform was designed with flexibility in mind and offers customers a variety of options to package, promote and price their content. NeuLion makes it easy for all business models: subscriptions, pay-per-view, ad supported, EST/purchase, authenticated, as well as any combination of them – even all of them - to drive ROI and exceed your business needs, with the ability to support any local currency, language and billing method.
To help answer the common marketing questions content owners are constantly seeking answers for, NeuLion developed a proprietary analytics tool, NeuLion Ace™ Analytics, to help content owners attract new subscribers, while retaining their current subscriber base. NeuLion Ace Analytics analyzes real-time behavioral and support data, organizing the insights into responsive, interactive and customizable dashboards. Content owners can use this information to their benefit, allowing them to gain a deeper understanding of their viewers to drive informed content offerings and personalized campaigns, as well as increase conversion rates, customer loyalty, lifetime value and reduce churn.
Quality of Service
A recent study by Mux found that 92.9% of US digital video viewers have stopped watching a video due to streaming issues such as slow load time or buffering.
To address this, NeuLion launched version 3.0 of its OTT Dashboard, a video monitoring tool that helps content owners deliver a seamless viewing experience through quicker error detection and resolution. Content owners can analyze video performance per user, content, device, location and more, all in one responsive interface.
Digital TV Research recently estimated that streaming video piracy will cost content owners more than $50 billion globally from 2016-2022.
To combat growing concerns from content owners, NeuLion developed new content protection capabilities in order to secure the value of their customer’s digital content as it is delivered and consumed.
As the first OTT technology company to implement a multi-Digital Rights Management (DRM) protection strategy for live streamed sporting events, NeuLion supports the highest industry standards of both encryption and DRM to secure all content delivered through the NeuLion Digital Platform.
Without a sound monetization strategy, OTT providers will struggle to achieve significant returns on their programming investments, even if they have desirable content and are engaging viewers with interactive video features. This is a core reason why NeuLion continues to remain a global leader in the OTT marketplace. Our ability to deliver premium digital content as an engaging, personalized and interactive experience for viewers, while enabling content owners to grow their business is unparalleled in the industry.