How do OTT players prioritize non-traditional distribution channels?
In many markets, OTT video content is distributed through telcos or directly to consumers. However, with many OTT video content providers competing for the same telco subscribers, the prominence of each individual platform in the telco partners’ marketing materials and promotions is limited.
OTT players are realizing that there are benefits to exploring alternative avenues for content distribution where they can be promoted as a stand-alone service instead of one amongst many. In some cases, such partnerships also allow the OTT players to target specific customer segments, which can boost take up.
Developing partnerships with other companies that have a large but distinct consumer base (e.g. retailers, airlines, banks) has already started to gain traction in the OTT space. For example, iFlix has started partnering with banks across South East Asia (SEA) including in Malaysia, Thailand and Philippines.
For this distribution strategy to be effective, selection of the right partners is essential. This is not easy: there is a wide choice of potential distribution partners and a thorough understanding of their verticals and company fundamentals is required to identify the most suitable options.
So, how should OTT video content providers identify non-traditional companies for content distribution given their limited time/resources?
In order to identify strategic content distribution partners, OTT video content providers need to develop a robust prioritization framework.
The potential of analytics is evident in Singapore’s successful “smart” initiatives:
The framework needs to cover the following:
Pioneer Consulting Asia (PCA) has developed such a framework to help OTT platforms identify and prioritise partners in non-traditional distribution channels. Exhibit 1 below provides an illustrative outline.
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