When we talk about video monetization via an OTT platform, the first thing that probably comes to mind is subscription-based or ad-supported revenue models. However, there is another way to generate revenue called PPV, or pay-per-view streaming.
Pay-per-view is the best alternative to capitalize on your exclusive content, taking business to the next level. Let’s explore Pay-per-view video streaming in detail.
What is Pay-Per-View?
PPV, or pay-per-view video streaming, is a business model for selling live events, webinars, and concerts. The PPV revenue model implies providers charging one-time payments from viewers selling a “ticket” before or during the event. TVOD is similar to PPV but refers to on-demand videos.
Viewers pay a fixed price to watch a single event like movie premiers, concerts, educational meetings, and other occasions.
To compare, let’s remember other monetization models:
- Advertising-supported platforms can allow viewers to watch their content for free in exchange for watching ads during video payback.
- Subscription-based services require a recurring payment for a set period of time.
- The hybrid monetization model is a combination of several models described above.
How Does PPV (Pay-Per-View) Work?
The pay-per-view model requires a fixed payment from viewers to gain access to a particular piece of content. After the purchase, a user receives a unique link to stream the video.
Providers can limit access to paid content to a number of hours or give unlimited access to consumers.
From a technical point of view, pay-per-view streaming implies content encryption to prevent unauthorized access. As a result, only viewers who paid for access can watch the video.
PPV streaming usually removes the advertisements, improving the quality of experience users receive. Commercials don’t disturb people’s attention during the video playback.
Advertisements might seem like an easier way to capitalize on content production and delivery. But this model requires plenty of views to earn at least a few pennies. Pay-per-view, in turn, you can make thousands of dollars for streaming just one event, even with a small audience. In comparison to ads, PPV provides heavy returns on investments.
Pay-per-view streaming services allow viewers to choose what they want to watch and can plan when to watch. As a result, customers have control over their content consumption and the freedom to select content for which they pay.
Pay-Per-View Video Service Considerations
There are some things that can be essential for a PPV video streaming service:
#1 CDN – Content Delivery Network
CDN software can ensure a smooth content delivery for your viewers, enhancing the overall user experience. You can find a network for global or local delivery with an advanced technical stack. So, for example albanian TV app NimiTV can reach its audience in all over the Europe and even in Australia.
CDN caches videos on edge servers, and the video transmission starts from an edge server located closer to a viewer. This speeds up the delivery, providing an uninterrupted viewing experience.
#2 Cross-platform streaming
Another thing you need to consider is whether your service supports streaming videos across many devices. Multi-platform functionality allows viewers to watch content on any device they want, including mobile phones, tablets, computers, and Smart TVs.
This brings even more flexibility and convenience since viewers can select what platform to use for watching your content. Mobile devices allow streaming on the go, while TVs provide a high-quality picture with an immersive sound.
Scalability is the ability of the platform to adapt to a growing or reducing traffic load. This is a critical feature when you release a premier or have a live event, as more viewers might come to watch, and your service must handle the load.
PPV streaming is a great way for content providers to capitalize on content production and delivery. If you want to start a pay-per-view streaming service, it is necessary to find the right provider.