Many traditionalists in the broadcasting industry think that on-demand videos are a result of technology enhancements. But, that is just one side of a coin. This revolution came to the fore to address the changing demands of consumers who want more content choices available whenever or wherever they want.
Netflix is reaching more and more households. Similarly, other players are making their way into the lives of people with improved viewing experience and enhanced content choices. This has presented traditional broadcasters with a challenge to survive in the changing scenarios of the market.
So, how should a traditional broadcaster scale-up in today’s OTT market?
The success lies in rethinking your business from its core and replacing old infrastructure with cloud based playout. Start by defining the strength in terms of content such as reality shows, live events, sports events or any other types. Along with that, focus on these factors when stepping into the OTT market:
1. Ability to reach audiences
Who should be able to watch your content? This question gets its answer from content rights policies. However, the incorporated technology will also define the accessibility of your content in different locations. Defining your audience reach is important to calculate the size of the market you are covering. In fact, you can also limit the cases of piracy by using location-based restrictions on your content. Netflix uses its geo-blocking policies to create a better market with location-specific VOD pricing models.
2. Big data and analytics
A shift to OTT means that you have to think about the collection, storage and use of user data. It is fundamental to utilize user data, so that, you can improve your streaming services on an ongoing basis. It allows an in-depth understanding of user behavior, which leads to more effective advertising. As a result, you can increase your monetization revenues effectively.
3. Accessibility to multiple screens
Which operating systems, devices and platforms will be best-suited to distribute your content? VOD is now demanded by consumers on smartphones, tablets, and TV sets as well. However, each platform operates on unique technologies. So, you have to plan a separate strategy for every platform in terms of audience reach, technical formatting, and monetization opportunities. However, the use of cloud playout software will help to execute a comprehensive way of content distribution on all desired platforms, screens and operating systems.
4. Monetization model
Do you want to offer a subscription-based service or an ad-based service? Or, maybe you want to divide your services into a mix of both SVOD and AVOD approach. Along with that, you can also think about offering a downloading feature for your videos. For that, you need to utilize the dynamic insertion of ads in offline videos. The selection of a monetization model should depend on your market reach, audience reach, and marketing efforts.
VOD is an upbeat industry today with increasing subscribers and original content. When starting for the first time, it will be important to acquire valuable resources and expert’s services to look beyond traditional methods of broadcasting.