Ooyala Offers Advice on Reaching and Keeping Cord-Cutters
Can operators stop the rise of cord-cutting, and create a strategy to attract cord-nevers? A report from online video platform Ooyala called "All About the Cord" sheds light on who is turning away from pay TV and why, and offers tips on attracting them.
Citing research from SNL Kagan, Ooyala says cord-cutters represent 65 percent of households without multichannel subscriptions, while the other 35 percent are cord-nevers. The report also says that 14 percent of U.S. households with broadband connectivity don't subscribe to a pay TV service.
Not surprisingly, young adults are leading the movement away from pay TV. Nielsen recently reported that viewers 18- to 34-years-old are ditching their TV sets, and that TV use for that group fell by 10.6 percent between September 2014 and January 2015.
To reach cord-cutters and cord-nevers, Ooyala recommends used data to create highly personalized offerings and responding to changing viewing patterns. Operators need to understand exactly what these groups want, it says, and create new flexible services that meet their needs.
"In order to reach and keep the complex cord-cutter and cord-never consumers around the world, content companies should use analytics to fully understand their customers and potential customers, conduct a business audit to optimize their core value in the dynamic marketplace, and be nimble and strategic in content and service offerings to best position themselves for the future," the report concludes.
Download "All About the Cord" for free (registration required).
Currently in closed beta, the platform lets publishers offer advanced viewer targeting for higher ad rates.
Smartphone and tablet viewing is increasing at a rapid rate. Half of video views will be mobile by Q3 2015, Ooyala predicts.
The latest quarterly Global Video Index shows that viewers watch desktop videos far longer when skies are rainy.
Australian telco Telstra already owned 23% of Ooyala; now, it's putting up another $270M for a 98% ownership of the company.