TV monetisation The third way
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The slowing of subscription growth in developed markets means that streaming services have to look both towards post-subscription and post-advertising models. A focus on retention will maintain downward pressure on subscription price elasticity, compounded by the need to ration advertising loads to minimise churn. A ‘third way’ approach to monetisation will drive both incremental revenue streams and additional engagement levers for existing consumers. Ultimately this will deliver both increased retention and revenue as streaming moves into an era of consolidation.
Companies and brands mentioned in this report: Comcast, KERV Interactive, Peacock, NBCUniversal, and Recurly