From service productization to platform monetization
Cable companies have tested and refined content/media service packaging over the years, but have not been able to stem pay-TV subscriber churn. In addition, while innovative partnerships have been pursued to increase user acquisition, they have not pivoted the organization to expand how they monetize owned or licensed content services.
Instead, players should look to focus technological innovation on aggregating disparate content services into one differentiated user experience, expanding consumer reach by offering turnkey in-home devices for subscribers. In addition, explore agreements with key content service providers to seamlessly integrate their services into your solution, enabling data-driven personalization and reduced multi-service friction for users.
In a recent Accenture streaming survey, we learned that U.S. consumers find only about 33 percent of content presented to them relevant, and 65 percent of consumers are frustrated with navigating between multiple services.
of U.S. consumers find content presented to them relevant.
of U.S. consumers are frustrated with navigating between multiple services.
The time is now to differentiate
Media companies that invest in the right content catalogs and streamlined delivery mechanisms will likely gain leverage on other D2C players. The future could also look very different if content competitors work together to negotiate with platforms.
Effective use of consumer data is a key differentiator. Companies that put technology to work using captured data can make more informed business decisions regarding critical service areas—from ad targeting and user experience to churn prevention and operational effectiveness.