The 3 Keys to a Successful Video On Demand Strategy
Video On Demand has been a hot topic on the club and studio scene lately. High-profile launches from Pure Barre and Club Pilates as well as the ongoing success of Crunch Live and Les Mills have solidified the online video strategy as a real high-margin and member retention weapon.
These brands are using video channels to expand the wallet share with members as well as break through the four walls to find new digital-only members.
If you are considering getting into the Video On Demand game, what can you learn from some of these trend setters? Here are three key takeaways to bake into your video strategy.
1. Build a Subscription
The old-school way of monetizing video, the DVD, is out. Plus, that’s a one-time transactional sale. Use your video library as the carrot to gain subscribers at a low monthly fee ($9.99 to $29.99). Your business will see the benefits of recurring revenue versus a lumpy, transactional stream. For current members, you can bundle video access with a premium membership. You can also use digital marketing play to convert new subscribers into your enterprise. Just be sure to commit to a video production and release schedule you know you can hit. That’ll keep subscribers coming back.
2. Apps are a Must Have
Across all fitness video streaming channels, about 60 percent of all plays are viewed through an app on a smart device like a phone, tablet or TV, while 40 percent still stream through a browser. Therefore, you have to have an app plan in place. That’s where a majority of your subscribers will view your videos. Apps can be expensive to build on your own, especially if you want to cover most of the devices and operating systems. You can partner with a company that offers a white-labeled app for a more affordable option.
3. Treat Video Like a Line of Business
Don’t treat your video channel as a marketing expense or side hustle. Done well, it can be a high-margin money maker to add to your enterprise. In a time when margins are in the single digits or in the teens at best, video can add some high-margin dollars to your financials. So put a talented person on this project and treat it like a real line of business. Your shareholders will thank you.
Video On Demand is here to stay in the club and studio scene. Do your research. Real fitness brands are launching channels every month, with more to come. You can too. Start with these three points, and you’re on your way to a successful video strategy.