Streaming videos through the Internet is in high demand among viewers. For this reason, multiple companies and organizations are launching their video streaming services. They want to deliver content straight to viewers, which brings them plenty of benefits. For example, they spread brand names, create a loyal user base, and monetize content.
Video streaming monetization is the primary goal of almost any OTT business. Luckily, many solutions are available in the market to help you achieve what you want. But they all have different functionalities, which means that you likely have different capabilities with each of them.
Let’s observe how you can generate revenue in the OTT video streaming industry in general.
How to Monetize Your Video Content?
#1 Ad insertions
Generating revenue with an OTT advertising strategy has its advantages. Ad-supported streaming services are often free for viewers, which promises multiple viewers of various demographics and interests.
How do providers generate revenue, then? They collaborate with advertisers who pay for commercial placements on their services.
Placing ads on video streaming services is beneficial for advertisers because of targeting. They can reach new customers based on their interests and demographics. Additionally, targeting is more accurate, increasing the chances to deliver ads to people indeed interested in their products and services.
#2 Premium subscriptions
Many services start monetizing their content with subscriptions. Providers charge a fee for watching content every month or year, depending on the subscription plan a user opts for. This ensures a recurring revenue stream for content creators.
However, many providers offer premium content on a subscription basis. Users can access early releases, behind-the-scenes content, or ad-free videos by upgrading to a subscription plan. People enjoy these perks while you generate additional revenue.
#3 Pay-per-view
Some content providers offer all videos on a pay-per-view basis. In this case, viewers can purchase what they want to watch and leave your platform forever.
Another illustration of this OTT monetization model is charging fees for one-time events, such as exclusive interviews, concerts, webinars, and live streams. It is like selling a ticket to an online event.
#4 Hybrid
To diversify their income flow, content providers leverage a hybrid monetization model. They combine several revenue-generating approaches from those described above.
For example, they use ads and subscriptions. Providers can use them both, letting viewers watch videos for free with ads or remove ads by obtaining a subscription. Another way to combine ads and subscriptions is the one Netflix uses: viewers can purchase a lower price for an ad-supported subscription or a higher price for an ad-free subscription.
Also, some content providers use subscriptions and a pay-per-view. They offer two content categories: one is available on a subscription basis, and another is Premium content, requiring additional payment.
#5 Sponsored content
Collaborate with brands to create unique content. Creating content with companies has many benefits.
For example, you spread your brand name by partnering with a business and attract new customers to your platform. Content consumers love collaborations between different brands since they usually create exclusive content, increasing engagement.
Sponsored content is a great opportunity to promote your streaming platform and find new clients.
#6 CDN (Content Delivery Network)
Another idea for content creators is expanding their business to new markets. Utilize CDN to deliver videos anywhere you want. You will be able to attract new viewers from other countries, generating more revenue. For example, NimiTV offers albanian tv live to users from all over the Europe.
Don’t forget about localization and adding subtitles to your content.
Final Thoughts
Your monetization opportunities depend on your marketing campaigns and the technology you have to run your video streaming business. Make sure you have a solution with a wide range of functionality so that you can generate revenue through various approaches.