Over-the-top streaming is a phenomenon that's taking place across multiple entertainment industries. For example, in 2016, HBO launched its standalone app.
This move came as a response to consumers who wished to eliminate intermediary providers and get their streaming services straight from the source. Consequently, pay TV providers are now competing with not only each other but with several online content providers such as Netflix and Amazon also.
The same trend can be observed in sports content, where fans can now bypass TV and ESPN providers by paying for OTT sports services directly from the league(s) or a third-party broadcast service provider such as VivaroTV.
What Does OTT Mean in Sports?
For years, sports fans have eagerly awaited to watch the latest matches or massive events hassle-free and in comfort. This is now possible since technological innaovations have answered to the consumers’ demands.
Many technology companies have integrated OTT sports streaming into their services . These include subscription-based services which charge a fee for service rendering. These services allow users to access live sporting events online.
OTT sports providers are not limited to just providing sports programming via their websites, but can also stream through mobile apps, connected devices (STB), and even smart TVs specifically designed for sports consumption.
The Current State Of The Sports Streaming Market
The growing interest among sports enthusiasts is the key factor driving the sports online live video streaming market. According to Verified Market Research, the sports online live video streaming market was valued at USD 18689.05 Million in 2021 and is projected to reach USD 93016.95 Million by 2030, growing at a CAGR of 24.64% from 2022 to 2030.
One key development in the market is this year’s FuboTV Inc. acquisition of exclusive live streaming rights to the Qatar World Cup 2022 Qualifying matches from the South American Football Confederation. The deal with rights holders from 10 South American teams strengthens FuboTV’s leading position as a sports-first live TV streaming platform.
Moreover, DAZN has reached deals to launch on Xfinity set-top boxes, and Eleven Sports has already been deployed by 12 pay-TV operators. Other operators are also working on similar agreements, a trend that is expected to continue over the next few years.
The Benefits of OTT Streaming
The benefits of OTT streaming are many and varied, but here are the ones that stand out:
Wider Audience Reach
Sports fans no longer have to rely on cable providers or local TV stations to watch the games they love. Instead, they can log on to their favorite apps or websites and watch in real-time, from anywhere in the world.
This has opened up new opportunities for leagues and teams that want to reach new audiences without having to pay high fees or split revenue with traditional distributors.
Fans Can Catch Live Action
With traditional TV, viewers have to wait until the game is over before they can see replays or highlights. With OTT sports streaming services like DAZN or ESPN+, fans can rewind and watch plays again as soon as they happen — which means they can stop missing out on their favorite players' moments. In addition, they can go back to their favorite matches whenever they like.
Personalized Experience for Sports Fans
One of the biggest benefits of OTT sports streaming is that it offers viewers a personalized experience that's unattainable with traditional TV or cable. For example, if you're watching your favorite sports team play on Sunday night, you can watch them live on your phone or tablet and not be bothered by commercials or other distractions. You'll also have access to extra information about your team and its opponent that might not be available on TV or radio broadcasts.
Different Monetization Options
OTT allows for more flexible monetization options. Some OTT sports streaming providers allow viewers to pay per episode or per month instead of subscribing yearly as cable providers would require with their subscriptions.
This gives viewers more control over their monthly budgets and allows them to choose which programs they need without being forced into paying for those that they might not use as much.
Proven Monetization Strategies For Live & On-Demand OTT Sports Streaming
When monetizing your sports content, you want to consider the best way to go about it. You should research platforms that offer a variety of monetization models, such as pay-per-view. You also need to ask what tools the platform is giving you to convert customers.
There are a few revenue models for sports OTT platforms:
- Subscription-based platforms
Subscription services are a tried-and-true way to offer your content through a sports OTT streaming platform. This allows you to ensure a steady stream of revenue as your viewers pay on a monthly, seasonal or annual basis.
Subscription services are a fantastic way to give your fans consistent access to your sports live content through VOD streaming.
- Pay-per-view
Pay-per-view services let you cash in on your most desirable content; that's why PPV can be a smart offering in your OTT mix. Sports marketing can be tricky, so finding a service that offers diverse monetization options for sports streaming is key.
- Linear licensing
You may have arranged licenses in many parts of the globe , but there may be pockets of fans in locations where you do not have a linear licensing partner.
That's where sports OTT can be especially useful. An experienced platform allows you to set separate geographical limitations on each piece of content separately—varying it even within a single season.
You can also set hold-backs if your linear partner in a given country is comfortable with you also offering the content over the top, but only a day (or other periods) after it is live.
- Advertisements
Another way to monetize your videos is through in-video ads. The right platform partner will help you choose the options that work best for your business. Server-side and dynamic ad delivery systems are two options you can choose from to complement your business.
- Free trials and coupons
Free trials do an excellent job at attracting new users. Auto-enrolling free trials have the benefit of allowing your clients to get used to your content with their payment information already in the system.
They are more likely to continue using that service because they have already overcome the initial barrier of creating an account and adding their payment information.
You can also offer the option of coupon-based trials to give your more hesitant clients a chance to sample your product without any limitations.
- Offers and discounts
Promotional discounts are a great way to draw customers in. A temporary discount can help you convert new subscribers who may remain interested in your content even after the offer ends.
For example, watching sports broadcasts on television provides an emotional investment for the viewer that results in higher subscription and sales numbers over time.
Stream with FeedConstruct
Want to start your own sports OTT platform but don’t know where to begin? - Contact us today.
FeedConstruct is a leading sports data-providing company, offering data feed solutions and sports streaming as well as innovative sports technologies to interested parties.
FeedConstruct’s sports OTT solution is designed for right-holders, federations, and media providers of all levels who want to expand their reach and monetize their content globally.
We can build you a website that's as easy to use as it is eye-catching. We'll give you full customization to suit all of your needs, and thanks to our easy drag-and-drop technology, you won't need a degree in rocket science to get the show on the road—all you'll need is a passion for sports betting!
Not only can you add videos and statistics to your website, but we also have the technological scope to amplify the betting experience with essential sporting elements like highlights, odds feeds, and side bets for live and/or pre-match events.