Monetizing Your OTT Content: Tips and Best Practices

Monetizing OTT media creates a stream of profit from your streaming content assets. Get started with this easy-to-follow strategy guide with six smart tips for beginners.

6 Tips and Strategies to Monetize OTT Media

1. Launch an Advertising Campaign

You can start a stream of revenue by selling ad space on your OTT content assets. You'll get paid by the companies running the ads in exchange for the exposure. Many revenue models exist for OTT ads. For example, streaming platforms often have at least one ad-supported tier along with more costly ad-free subscriptions. With a pay-per-click model, you get paid each time someone clicks on an ad.

2. Consider Subscription Sales

Many OTT providers make money by selling subscriptions to loyal viewers. Consider offering some streaming videos for free and adding a paywall for premium content, access to archives, or other bonus material. Subscriptions successfully drive ongoing revenue since many customers automatically renew the service each month or year.

3. Negotiate Licensing Agreements

With this type of arrangement, another platform pays for the rights to stream your content assets. You can also license the content to a distributor who places your content with multiple streaming services. The licensing agreement typically follows one of three common payment structures.

Many distributors use a revenue-sharing model, charging a percentage of the revenue derived from each licensed asset. Some contracts stipulate a fixed license fee. In this case, the distributor pays a flat rate to publish and monetize your content for a set time period in a specified target market. You can also enter a revenue-sharing agreement with a guaranteed minimum payment upfront.

4. Pursue Strategic Partnerships

Connect with other brands to access additional revenue opportunities. Partners in your niche may fund your content and in exchange for exposure with product placements and sponsorships. By closely aligning a strategic partnership with the interests of your target audience, this approach also expands the reach and recognition of your brand.

5. Assess the Value of Your Content

It's difficult to estimate the revenue potential of your company's content library without a strong data strategy. Software solutions provide the metrics you need for accurate content valuation, including an assessment of views across multiple platforms and channels.

6. Prioritize User Experience

Even the most exciting, engaging content won't gain traction with viewers unless they have a seamless user experience on your platform. ​Your audience will expect personalized features such as content recommendations based on browsing history. Your site ​must be easy to navigate and provide intuitive ways for users to subscribe, pay, and perform other desirable actions.

Start by tracking key performance indicators that reflect audience engagement, such as time spent watching videos. By reviewing and understanding these metrics, you can identify and optimize the content types that make the most money for your business.Our team of experienced OTT content professionals can help you develop a monetization strategy that makes sense for your business. Integrating multiple approaches can ensure sustainable income that drives growth and unlocks the potential for innovation. Contact Lightcast for your free consultation today to create innovative new media revenue streams.