OTT Distribution the PRO Way: Roku, Vizio, Pluto TV

OTT Monetization Hybrid ideas 2024

Streaming services are overtaking traditional viewing as consumers’ preferred entertainment provider. In fact, a 2022 report projects the over-the-top (OTT) market will hit approximately $1241.6 billion by 2030. The potential of OTT distribution is undeniable and offers an extraordinary opportunity for content owners to monetize their video content libraries.

With the right tools, content owners can leverage 360-degree distribution and the pipeline from direct-to-consumer (DTC) apps to third-party platforms like Tubi, Roku, Vizio, and Pluto TV. Let’s look at the underlying challenges and opportunities.

OTT distribution
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Challenges with Video Content Distribution

Recent years have seen a shift in video content distribution, with streaming services gaining traction and traditional TV declining in popularity. As a result, content creators, distributors, and platforms face several new challenges.

1. Content Fragmentation

Content fragmentation is an OTT distribution strategy that delivers content in concentrations designed for either targeted or niche audiences. Some users might only want sports-related content, while others might want only comedy. By providing video content specific to a category or genre on particular streaming platforms, viewers can get the entertainment they're looking for.

The increase in content fragmentation streaming models means there are a vast number of video streaming platforms available. This creates a lot of competition and noise for broadcasters, video content owners, and media distribution companies. Since content can now be distributed to thousands of platforms, monetization, and delivery methods become more complex and challenging.

Content owners need relationships and agreements with all third-party streaming platforms. They must also package content strategically and need resources to manage editorial placements and multiple delivery methods.

2. Monetization Models

The type of content and audience you have will largely determine the best business model for your platform. This can be subscription video on demand (SVOD), advertising video on demand (AVOD), free ad-supported streaming TV (FAST), or pay-per-view.

Consumers are more demanding than ever and constantly searching for new and better content. Successful OTT distribution requires that you release your content in the right place at the right time for maximum revenue generation.

It’s also important to know the value of your content for each model type and adapt your strategy accordingly. Data analysis is key to keeping up to date on consumer trends and behaviors. Consider whether you:

  • Have access to customer data and analytics
  • Can implement mixed monetization models
  • Have the expertise to determine which monetization strategy suits your market and your content best

To implement an AVOD monetization model, there are several tech requirements that must be considered:

  • Seamless ad integration with the ad server
  • An ad server that supports real-time bidding and reporting on ad performance
  • A content management system (CMS) that allows for granular control over advertising placements and scheduling

3. Content Delivery Costs Per Third Party Platforms

Legacy infrastructures and technologies are no longer effective in the new world of monetization and distribution, where business models, tech, audience preferences, and platforms change quickly and constantly. Content companies that attempt to take on OTT distribution in-house must grapple with a wide range of new technologies, testing, third-party agreements, and quality checks.

When determining distribution costs and requirements, content owners should consider the following:

  • Does the potential revenue of the specific platform cover your distribution cost?
  • Do you have the internal resources, expertise, and CMS to oversee distribution to multiple platforms, each with its own cost structure and technological requirements? Or, do you need to pay a third-party lab for distribution?
  • Do platforms have embargoes on the third-party lab you have to use?

4. Other Considerations

The increase in OTT streaming has put new demands on network and video playback infrastructures. As a result, the technical challenges of managing and distributing video content are substantial. Bringing this in-house requires an experienced team. Here are some of the technical aspects your team must navigate:

  • Storage limitations
  • Video content delivery optimization, regardless of user internet speed
  • Creating and managing varied tech specifications per each third-party platform’s requirements
  • Delivering transcoded content in the proper bitrate ladder
  • Creating and managing closed caption file requirements
  • Asset creation and management, including title art, poster, production stills, wallpaper, and metadata

Using an OTT distribution and monetization expert can significantly reduce these challenges. You avoid the trial and error of navigating these challenges and ensure the viewing experience is on-point from the start, developing a solid reputation on which to build your monetization strategy.

streaming video on phone
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What is OTT Distribution?

OTT distribution is the delivery of content over the internet without using traditional broadcast television or cable providers. An OTT distribution platform offers live or on-demand video streaming services across a range of internet-connected devices. With the growing popularity of FAST channels, some OTT platforms offer a similar programmed viewing experience to traditional television but without the expense and TV hardware.

OTT distribution requires adapting content to network speeds and various display devices to ensure the content works well for all users on all devices. To meet these needs, providers adjust their delivery chains to the end-users’ capabilities through adaptive bitrate streaming. This ensures uninterrupted, smooth playback and a great user experience.

Using an OTT distribution service releases content owners from a significant amount of distribution technicalities. As a result, they’re instantly equipped to reach a larger audience, produce stable revenue, and broadcast seamlessly to social media platforms and video streaming channels.

dotstudioPRO: Your Comprehensive Solution to OTT Distribution

Staying competitive in today’s streaming market means adapting to meet consumer needs and adopting the most robust revenue-generating strategies. If you’re a content owner wanting to maximize your reach on digital platforms without a complicated or costly delivery process, dotstudioPRO is the ideal solution for you.

Our proprietary technology and established relationships with premier platform partners make it easier than ever to distribute and monetize your video content. DotstudioPRO offers:

  • A low-risk opportunity to get to more than 40 streaming platforms and FAST linear channels internationally
  • A revenue-share model with no set-up charges or hidden platform and delivery fees
  • Digital preparation and packaging
  • One master agreement for all content deals
  • Digital video content storage
  • Quarterly performance and monetization reports

Request a meeting with our team to explore your content monetization needs.

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