2016 is the year that OTT ecosystems took Latin America by storm. Media companies, service providers and telcos have been finding that the key to customer happiness is offering an extra over-the-top (OTT) service to provide more of the content the customers love. From Latin American broadcasters like Turner to satellite and MSOs like DirectTV and even Telcos like Entel Chile, LATAM OTT providers are using platforms to launch their own OTT services.
So, an important question to ask if you are about to launch your own OTT service should be: “What should we look for in an OTT platform?”. Here are the 4 main items you should take into account when evaluating any OTT technology.
Flexible business models
The most popular model is subscription-based model (SVOD) that Netflix uses, giving customers a huge content library for a contract-free price.
But don’t forget the ads-based model (AVOD), used by platforms like YouTube and Hulu. It’s easier for the consumer to access content, which can make it easier to launch and draw customers. Another advantage of AVOD is the ability to tailor advertising to the customer, device, time, and location. Using the latest ad-stitching technology, this model can finally help viewers, content providers, and advertisers benefit from personalised advertising.
The last business model is transactional (TVOD) or “Pay Per View”, where viewers pay a la carte for each individual piece of content. This model brings a better revenue-to-content ratio, but it’s important to bear in mind that customers will only pay for content that is really relevant for them.
You can also create their own secrete sauce and use a mix of the models by offering premium packages, PPV special events, or unlocking certain content and additional advanced features.
Content and subscribers administration
Subscibers administration will let you have access to your customers’ data and understand how they use your services (such as viewing habits, favourite content, or payment preferences). This makes it much easier to sell them new services. And once they are on board, you have huge potential to personalize the user experience, cross-sell, and upsell TV services.
The content administration management layer provides comprehensive tools for organising, enriching and governing your asset’s metadata. For example, you can create content packaging such as “top action movies,” “kids’ series,” “Rainy days favourites,” etc. A good administration layer will help you manage business rules (like the ones mentioned above), campaigns, devices, geo-services, multi-tenants, multi-DRM, and more.
Mobile and tablet support with mobile applications is the basic approach to launch any OTT service. Once in the field, a modular platform enables you to add many additional advanced features over time, such as support for connected TVs, gaming consoles, and other emerging devices.
Multi-platform means having applications offering customized experiences for different screens use cases and capabilities. But it is important to keep the user experience through all devices and an OTT platform consistent. A good multi-platform experience will provide cross-device backend features like social logins and will let you start watching on one device and continue watching on another.
Business Intelligence and Marketing
By leveraging information provided by analytics it is possible to effectively turn visitors into viewers, and subscribers into content buyers. As SVOD and TVOD users will be logged in, the services can be personalized to them. Each individual is given content recommendations based on their previous viewing behavior. Not only that, you can tailor advertising to them for hybrid business models.
As content providers in Latin America continue to launch their own OTT services, keep in mind these critical aspects when choosing an OTT platform.
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