What You Should Know About This Year
In no time at all, the OTT video streaming industry will experience a growth that will reach $5 billion based on estimates. And that is not too far off today.
As the trend turns more toward subscription video on demandand away from cable TV, a lot of businesses have started getting more involved in the SVoD churn in order to create some revenues. But then, a lot of operations are not too well versed with SVoD, video OTT analytics, and so on, not enough to get into and stay afloat in this new turn in the entertainment industry. So what are these things and more importantly, how can a business make money in these?
Those who want to take a sizable lump of that growth would do very well to put their business in a position of advantage today. Below is a simple guide to walk you through the basics and how giants like Netflix are making huge chunks of money.
Here’s SVoD defined for you.
Think of it: your customer base can take advantage of unlimited access to a whole plethora of programs for a subscription charged monthly with SVoD or subscription video on demand. The users are in control of their subscription, including what they want to have access to and when and for how long they desire.
Who can turn away from on demand viewing where you have total control over what to watch, when to start or stop, and even resume or repeat-watch? No need to look up and keep in mind a show schedule, no need to miss out because it is all there when you have the time, whenever you like to sit back and relax and just binge watch to your heart’s content. There is no need to catch up to a TV schedule (and miss it) because it is all available anytime and every time you are. Not only that; new shows and episodes as well as films are always updated so you never miss out. So what’s not to like?
Essentially, SVoD services provide unlimited access with regular billing and no need to pay fees on a per-title basis. On the business end of it, subscriber volumes need to keep growing through a continued physical distribution process for the business to thrive.
In some ways, the SVoD providers face less problems with FCC regulations over carriage disputes and are able to select whatever it is they want to offer to their customers in terms of shows and other content.
In 2010, almost ten years back, SVoD was already making big waves and earned the US government some $4.3 million in revenue. This makes it the largest portion of the online entertainment industry in America.
The advantage of growing a SVoD business is that it is expected to grow exponentially into the next several years. In this day and age when consumers are aware of their rights and their pickings, and no longer want to be controlled by entertainment businesses dictating them what to watch and when to watch, SVoD is fast becoming the source of unfailing and satisfying entertainment. Where else can they get the value of unlimited repeated viewing, an inexhaustible list of content to watch, and the power to decide when to stop?
To begin on your way to a successful SVoD business journey, you must have the following basic needs:
a. Technology that works. The technology that you will have needs to be top quality for the business you will operate to succeed. A platform will enable you to reach consumers and allow them to gain access to your services by sign up and log ins. It must be capable of storing user profiles and operating paywalls safely. It will need to appeal to your prospective clients so they will be enjoined to avail of your offerings.
2. The customer base. You will not need a large audience in the initial stages of the business, just enough to cover the costs of your start-up and then some in terms of revenue, but it has to serve a group that you and only you can serve better than other existing businesses of the same kind. It will not be easy but you can find your place in the business where some areas have not yet been served in terms of the type of customer base.
3. A business plan that works as well as a pricing scheme that can compete. To come up with this, you need to consider well the content you will offer as well as the customer you want to reach. When you find yourself at a loss as to how to get this together and feel confident of success, there are knowledgeable and experienced professionals in the business you can consult. It would not be a bad thing to consult professionals in the field of data and technology solutions, Wicket Labs if you desire to succeed in your business.