Commerce

Business models as agile as your audience

Video monetization and management in the decade of personalization

The video business is a convergence of more than just broadcast and digital deliveries. It’s also where our “information economy” and “relationship economy” converge.

This guide looks at the need to serve unique, trusted experiences that keep people watching across every screen, every type of destination. To accomplish this at scale – and apply more focus to content strategy and performance, brands are adopting new innovations to simplify, centralize, and take back control.

Make it easier to build experiences consumers keep watching, and then provide them superior service and content recommendations.

The business of video on demand (VOD) is all about making your destination and content offerings relevant and valuable to each consumer. That’s a tall order in an industry that operates in a climate of unprecedented levels of customer choice, competition, and complexity of delivery. Success comes through creating a relationship with audiences that evolves right along with them.

Subscription-based (SVOD)

Most consumers subscribe to at least one SVOD service. Discoverability and user experience are critical components whether it’s a standalone destination, a niche-focused brand, or a TV Everywhere initiative

Transaction-based (TVOD)

Simply put, consumers purchase or rent your content by the slice. You’ve got to sell enough to stay in business, so the user experience must be exceptional to be one that “always matters” to your audience.

Advertising-based (AVOD)

Ad-based services are proliferating, and consumers accept ads as long as they’re relevant and valuable. AVOD services need to remain attractive to advertisers who have a more options every year for their media spend.

Flexibility is key to long-term health

Move your service to a higher priority with viewers by demonstrating a keen awareness of what your goals truly are: 

  • Does your long-term strategy hinge on gaining a rapid ROI?
  • Does your operating capital provide the flexibility for heavy experimentation with introductory pricing?
  • Keeping engagement high and churn low is an obvious and constant assumption across the board; does your technology enable you to test new approaches? 

VOD 2.0 – A “blended family” of XVOD monetization models

A successful monetization strategy is anything but static. It has to be built on a foundation that allows for scalable quality and highly informed trial-and-error. Comcast Technology Solutions can help you maintain focus on what matters most: lengthening and strengthening every audience relationship. 

A mature OTT monetization strategy will likely emphasize one of the above “big three” models, but a creative hybrid approach can really pay off, too.

Tolerance

Subscribers might be fine with the judicious use of advertising in some instances. 

Conversion

TVOD has demonstrated value as an effective first-tier relationship that segues into an SVOD subscription with a more reliable revenue stream. 

Hybridization

Audiences can respond to a hybrid approach that combines ad-supported and subscription components to offer more choices and cost savings to consumers. 

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