By Michael Penn, Associate Director, Business Development
The US is the most lucrative sports market in the world. Given the rise of the connected home, traditional TV’s monopoly on sports is wavering. A new wave of Over the top (OTT) media services have emerged for sports fans, and its catching on…fast!
Streaming is Driving New Business Models:
The rise of OTT content has disrupted the traditional cable and satellite TV industry. Brands such as FuboTV, Turner and Disney have disrupted the status quo and offer standalone subscription streaming services for avid fans. Even tech companies are dipping their toes in the water – Twitter, Facebook and Amazon each have their own ways of bringing games to life in the hopes of capturing audiences … and dollars. More than ever, audience attention is heavily weighted towards these services as supply rapidly rises to meet demand.
Content is King:
This array of consumer choices has led to a content war; a fragmented landscape where companies are attempting to gain media rights to stream sports, but also curating their own proprietary content as well. Two frontrunners at present are ESPN+ & Turner’s Bleacher Report Live. Both subscription services have media rights to numerous sports programs, and both curate their own custom content. ESPN+ has gone further by producing shows with big stars – Lebron James’ More Than An Athlete as well as Detail by Kobe Brant. In today’s age, consumers expect a personalized array of content that exists in high quality and quantity, and this is these are the necessary elements for success.
Keys to Success:
So which platforms will emerge victorious? Subscription marketing is a science. – a balance between efficiency and effectiveness with real-time measurement is key. The king of all metrics to master is customer LTV (Lifetime Value). Understanding the frameworks and testing methodology to get customer LTV right is an ongoing process with continuous iterations, and reiterations reviewing copy, creative and call-to actions. It involves investment to optimize the performance marketing metrics available to brands through new digital interfaces as well as get experts in the door who know how to conduct the process. Platforms who have the tools to understand the who, what, why, and crucially, the when, of a streaming consumer are the best positioned to succeed.
To discuss streaming services, advancements in OTT, and how to evolve your performance marketing strategies, get in touch today.