With the video eCommerce arena maturing, business is turning trickier for broadcasters. The recently published industry survey by Cleeng x Omdia, “The evolving path to profitability: Optimizing ARPU through Effective Subscriber Management," reveals a handful of key OTT trends, such as:
- 43% of broadcasters struggle to identify at-risk customers
- 67% of broadcasters report monthly churn rates above 15%.
- 80% of broadcasters expect churn levels to increase.
- 95% say the importance of cost management and improving efficiency is becoming more critical.
These numbers indicate the rising complexities that broadcasters are facing with respect to increasing ROI. For instance, growing churn rates spotlight the revenue loss from leaving customers. In addition, this also implies the need to work harder and spend more time and resources to maintain your subscriber base.
How to grow sustainably in today’s OTT environment?
Having worked with OTT industry leaders such as the NFL, NHL, and Optus Sport, we’ve narrowed it down to two priorities:
- Ignite your Average Revenue Per User (ARPU)
- Cut costs and build your platform around scalability
Meet Cleeng at IBC (Booth 5.C84) to discover how our Subscriber Retention Management (SRM™) solutions can help you achieve both.
1. Ignite your ARPU
If you want to increase your Customer Lifetime Value (CLV), it’s time to skip the guesswork. Data and subscriber insights are now your best friend. These are the steps we offer with Cleeng:a) Understand your audience quickly and easily
Using advanced technical capabilities can make it simple to understand what’s going on with your vast audience quickly at a glance. Cleeng’s AI-powered churn prediction capabilities process and analyze subscriber data to reveal granular insights that matter. Moreover, with sophisticated, data-driven churn prediction capabilities, you can be a step ahead by predicting churn before it occurs. This timely information can give you an advantage in responding to churn risk instead of reacting to churn after it has occurred. Use it to:
- Reduce your customer churn rate by 35% in 3 months.
- Predict subscriber churn with up to 92% accuracy
- Save 25% of customers who would have canceled
As a broadcaster, you’ll agree that OTT success is tightly linked to your pricing. To determine what price point works best for your audience, it’s a good idea to experiment with different OTT offer types and prices. You can also consider offering tailored pricing or introducing relevant upselling recommendations to increase your ARPU.
As Cleeng’s subscriber management solution is designed for the media and entertainment industry, it is rich with features to help you play around with your streaming subscription pricing. With it, you can experiment with different price points for different audience segments, run offers and coupon promotions, and even offer subscription upgrade-downgrade options.
Use the powerful mix to:
- Improve CLV by 30% through personalized recommendations and offers.
- Boost revenue by 15% through targeted coupon campaigns.
- Improve customer lifetime value by 15% a year through subscription upgrades
2. Cut costs and scale efficiently.
The other equally essential part of increasing profits is reducing costs as you start up or scale. Here are some ways to reduce your expenses and grow your bottom line:a) Optimize time and resources for launch
Launching an OTT platform can be expensive and time-consuming. If you want to set up and scale efficiently, opt for a multi-tenant SaaS infrastructure. This one choice can help you cut out a lot of extra resources, eliminate a ton of custom work, and integrate easily with other systems.
Cleeng offers specialized OTT SaaS solutions built to scale your streaming platform. Use it to
- Reduce your OTT platform launch costs by 70%
- Launch a best-in-class OTT platform in 3 months
- Integrate with 35+ connectors
Unpleasant last-minute costing shocks are standard for broadcasters. The way to avoid that is to work with predictable pricing and efficient billing models to reduce spending and scale comfortably.
As Cleeng’s pricing model is designed to charge per Managed User, you can ensure your costs are controlled and your profits grow.c) Automate your customer support
Providing stellar customer support is necessary to stand out from competitors in the crowded streaming market. However, implementing it can get expensive. How do you balance good service with economical cost?
Leverage self-service options and AI chatbots to resolve frequent questions quickly and easily.Use Cleeng’s specialized AI support for OTT to reduce support costs by up to 80%.
Take the first step in boosting your ROI
Cleeng will be exhibiting at IBC (Booth 5.C84), where we will discuss the quickest route to boosting your ROI and announce some very exciting new clients that have joined us recently, including The Weather Channel, TOD, and NHK.
Broadcasters say scalability is the #1 key area for subscriber management innovation. Cleeng handles 3.6 million transactions per hour and supports 25 million entitlement checks per hour. In short, we’re dependable and feature-rich to support your growth.
So, let’s discuss ROI, shall we?