The spectacular growth of the OTT industry has sparked legitimate discussions and predictions about cable-cutting and the end of pay TV. In spite of the substantial changes in the market, pay TV service providers need not be concerned.
Both pay TV and OTT have a future in the media and subscription industry, but long-term success will almost certainly need more fundamental shift.
Despite the reduced demand throughout the world, pay TV usage is still expanding globally and is expected to continue for the next several years. A sizable portion of viewers which is more than 80% still continue to watch events such as live sports via pay TV subscription.
How Can Both Pay TV and OTT Persist in the Market?
Let’s see how pay TV and OTT can play together to dominate the entertainment industry.
- Building a Consumer-centric World
It’s vital to note that today’s audience frequently pays for pay TV and various streaming services in order to obtain their preferred content package.
Customers may try to cope with the idea of paying for numerous services, but for now they want the freedom to watch everything on their own terms. This implies that pay television must deliver excellent, impeccable user experience while simultaneously providing viewers with a variety of options.
Magnaquest is leading the way in developing hybrid services that combine pay TV with OTT streaming. With enhanced broadcast offerings, the hybrid pay TV services will draw viewers like never before.
- Streamlining the Viewing Experience
Subscribers may be attracted or retained if the viewing experience is streamlined. Many users subscribe to numerous services to keep their watch-list up to date, owing to content distribution and licencing. However, although this increases choice and flexibility, it also generates a complicated and inconsistent combination of user interfaces, and streaming gadgets such as remotes, apps, etc. It also needs to deal with various suppliers for invoicing, customer care, and technical assistance.
However, pay TV services can recover their shine if they can rationalize the consumer experience while still satisfying users’ content choices with unique subscription billing software.
- Managing the Infrastructure
Infrastructure ownership gives you a leg up on your competitors. Service providers with their own facilities and networks achieve better control. It also offers the potential to manage costs via virtualized infrastructure, network consolidation or other cost-cutting measures that could enhance the partnership with OTTs.
Several pay TV operators have already begun services and networks transformation campaigns aimed at lowering expenses. And these cost savings might be visible in more reasonable rates and stronger operating margins.
- Emerging Technology
Service integration is made possible by evolving technology and corporate collaborations. Pay TV operators may integrate content from prominent OTT providers like Amazon Prime, Netflix, etc. with video they already acquire directly in parts. This is because they own the entire infrastructure, including home gateways, set-top boxes, and, most importantly, access networks.. The cohabitation of OTT as well as on content inside channel portfolios is already generating new marketing and service packages. While the technologies, partnerships, and industry mergers that enable this are still maturing, this trend may lead to brighter days for pay TV.
A Promising Future
As OTT media continues to grow on a global scale where content diversifies across a range of sources, the pay TV market faces several challenges.
It can fit the demands of customers and their viewing patterns by utilising technologies such as M-ABR, enhancing the customer engagement while lowering overall expenses.
While the foundation for hybrid services is already established, Sure, Magnaquest’s core subscription billing software, is taking it to the next level. There is, nevertheless, a clear road ahead that can help the traditional service evolve and remain relevant. Pay TV can coexist with OTT in this way, and the industry should stay confident about its future.
