According to Predict Research and Markets Study, only Asia Pacific will have VOD (Video on Demand) and OTT (Over the Top) industries worth 42 billion with 351 million subscribers by 2023. You can imagine the gigantic growth of the world level OTT industry.
There are some OTT platforms, which are very popular amongst audiences, but do not forget choices are ample for OTT lovers. This industry is becoming more and more competitive because of its astounding success rate and future value. To stay in the competition and to assure the high user loyalty of the OTT platform, these platforms need to take advantage of the power of modern technologies such as artificial intelligence, machine learning, predictive analytics, etc.
Data Analytics can influence various aspects of OTT business and also the results of the tools developed using modern technologies such as predictive analytics. Some big players such as Netflix have already started using the power of Data Analytics. This is the high time all players in the OTT industry start using data analytics.
Learn the top 3 reasons which prove that this is the high time to invest in data analytics by all OTT platforms:
1. Let you know your market value
The first step of positioning yourself as a market leader is to identify where do you stand right now and what is your market value. Data analytics tools designed by experts can help you analyze your existing data:
- New Trial Subscriber: Identifies how many new subscribers you get over a period and whether there is growth, saturation, or decline in this value.
- Customer Rate: Identify how many free trial subscribers become your paid customers.
- Paid Churn Rate: Gives an average value of customers canceling their subscription within 30 days.
- Growth Rate: An average growth rate based on all available data, such as new subscriber count, customer rate, paid churn rate, etc.
All these calculative information not only give a certain value, but also give insightful information to understand how your platform is growing. This can help you identify the real position as well as possible loopholes to take concrete steps.
2. Let you know your audience
Data analytics can perform the following activities on the data of customers for your OTT platform:
- Segmentation: Segment audiences based on some common values such as demographics, geography, etc.
- Classification: Classify customers as per some predefined criteria such as users of X age liking comedy series.
- Grouping: Grouping OTT customers as per common traits.
- Modeling: Data analytics tool or data analytics blended with a predictive analytics tool can be used here to build different models such as a business model, customer retention model, etc.
3. Engage customers and increase loyalty
The most crucial operation of an OTT platform is engaging customers with different media and increase loyalty. Increased customer loyalty assures repeat subscription fees and more referral business. Data analytics help you take various actions to clutch the customers such as:
- Suggest content that the customer would like to view based on the data of past viewership
- Choose content liked by your paying customers
- Define payment models and offers as per the data analytics clues
- Run a marketing campaign based on the data analytics results
There are many more benefits and reasons to employ data analytics in the OTT platform. The assured benefits are much better outcomes such as:
- Increased customer rate
- Increased new subscribers
- Reduced customer churn rate
- Amplified growth
- And more
We, at Innovatics, have mastered the art and science of data analytics. We can help you position your OTT platform in the market in a leading position. Contact us to initiate a discussion.