Turning Views into Value: How to Monetize Video Content in 2024

In today's digital age, the demand for streaming content is skyrocketing. Audiences are looking for personalized and convenient ways to engage with content that interests them most.

So whether you’re a content creator, religious organization, nonprofit, educational institution, or a business, there is likely an audience out there who is eager to see what you have to share. Enter the world of streaming apps, or OTT (over-the-top) solutions.

While custom app development can be costly, no-code solutions like Viewcastle make it easy for anyone to create a white-labeled streaming app. Intuitively upload and organize your video content and share it from your own branded platform! The real key to success in streaming, however, lies in effectively monetizing your app to generate revenue and sustain growth.

In this article, we'll explore various ways you might consider monetizing your streaming app to maximize value and profitability.

Options for Monetizing Video in 2024

Subscription Models

You’ve probably noticed that most regular services you use these days have moved toward a subscription model. Aside from the obvious benefits of increased revenue for the service provider (the business) and the lower cost of entry for the user (the customer), subscription models put companies in a position to reach more customers and continually upgrade the service they provide. See our pricing page for an example. 😏

When it comes to the subscription model, which is also known as SVOD (Subscription Video on Demand), it’s all about the MRR (Monthly Recurring Revenue). MRR refers to the predictable total revenue generated by your business from all the active subscriptions in a particular month. The more users you have, the more money you bring in.

A few examples of subscription pricing models are:

• Monthly/Annual Subscriptions: Offer access to your content for a fixed recurring fee.
• Tiered Subscriptions: Provide different levels of access based on subscription tiers (e.g., Basic, Standard, Premium). This could include things like ad-free viewing, exclusive content, and offline downloads.
  

Pay-Per-View (PPV) and Live Streaming Events

Pay-Per-View or TVOD (Transactional Video on Demand) is the most straightforward way to monetize your video content. Simply set a one-time purchase price on an individual video or a bundle of videos and allow customers to access that content from their library anytime.

TVOD monetization is especially well-suited to live event broadcasts. Think in terms of selling tickets to an in-person event. Your potential sales are limited to the number of physical seats in the room at a certain time and place—but not so when you have your own streaming app! You can continue to earn unlimited passive revenue when you sell on-demand access to past live stream broadcasts. It’s the perfect solution for concerts, conferences, sporting events, and more!

Advertising

Streaming apps and services have finally come full circle when it comes to ads. While some viewers might be bothered that their favorite streaming platforms show nearly as many commercials as cable TV, the reality is that Internet-based streaming allows for much better targeting, resulting in ads that are highly relevant to each unique viewer.

When advertisements align with the interests of your audience, they can actually increase the value of your service rather than diminish it. It’s no surprise that major streaming platforms like Netflix, Amazon Prime, and Max are now offering ads and sponsorship opportunities as ways to help boost their revenue potential. This is known as AVOD, or Advertising Video on Demand.

Some examples include:

• Pre-roll, Mid-roll, Post-roll Ads: Inserting ads before, during, or after content playback.
  
• Banner Ads: Display ads on your streaming platform's interface.

Sponsorship and Brand Partnerships

Similar to advertisingement, sponsors and partnerships can provide you with opportunities to promote specific content, channels, or events through your streaming app. You could also offer branded content or product placements for additional revenue.

Think of a sign for a pizza shop being placed near the field of a football game. With in-person sponsorship, only in-person attendees would have the chance to see the sign and consider going there for a meal. But with an on-demand solution like your streaming app, you could guarantee that this sponsor gets in front of the same audience both on and off the field—right through their TV, computer, or mobile device. That’s something many businesses might want a slice of.

Hybrid Models

As you may have picked up on, there isn’t necessarily a one size fits all approach to making money with the content you share and create. Often the best solution is going to come down to what makes the most sense for where you’re at, and where you’re looking to go.

The power of streaming is that you can mix and match the methods above into a tailored strategy that best serves you and offers value to your audience. It's simply a matter of prioritization. Ask yourself, what does your audience want to do?

Watch your content uninterrupted and have access to your entire library?

Offer them a tiered subscription model with higher tiers eliminating distractions such as ads and sponsorships.

Watch live events as they're happening?

Include optional purchases for upcoming live events or performances right within your app.

Access specific content on occasion, but not necessarily interested in premium features?

Offer a "freemium" or discounted subscription with limited access to a select curation of shows or content types.

It really is up to you.

What’s Your Monetization Strategy?

Regardless of which pricing strategies make the most sense for your needs, monetizing your streaming app requires a tailored approach that provides the most value to your target audience. By implementing a combination of subscription-based models, advertising, in-app purchases, and strategic partnerships, you can unlock multiple revenue streams and maximize profitability for your streaming app.

With Viewcastle, you have the flexibility and tools you need to stay competitive and create revenue from the content you produce—which you can reinvest into creating even better videos and more of them! To learn more, schedule a consultation with a member of our team today!