Building a Successful Video Streaming Service
PJ Taei, the founder and president of Uscreen, shares tips and best practices for building a successful video streaming service.
As we mark the anniversary of the pandemic, and the D.C. Fitness Alliance challenges the D.C. health ban on indoor group exercise, clubs everywhere continue to roll out or improve their digital offering. With many undoubtedly wondering what percentage of their members are ready to return to indoor exercise, club owners can do little but continue to monitor the situation and work on future-proofing their business.
Many have branched online, adding digital experiences like video streaming to their offer, turning it into a valuable source of revenue. For some, fitness videos became their primary revenue stream and a lifeline in these difficult times.
And then, there are those that saw the opportunity to take advantage of this situation not just survive, but dominate in this new blended landscape. There is a pattern to their success, and it all comes down to positioning the video streaming service to the internal stakeholders to the existing club members, as well as to a wider online audience.
Getting the Stakeholders on Board
The first step is to get everyone aligned on value, goals and possible outcomes. Video streaming can be a powertool as long as you get the right people involved, and secure enough funds to build it out.
Some of the common concerns of the internal stakeholders include poor adoption of the video offering and return on investment. These can be countered by a clear rollout plan with milestones to set expectations.
It is important to demonstrate that a well-built video streaming service will help:
- Retain current members by offering a safe alternative.
- Attract new audience beyond the micro-location.
- Ensure a club stays competitive in the market.
All the above are opportunities to expand on revenue. And thanks to the nature of the online video streaming, are scalable without a cap in sight.
This is the most underestimated point of revenue expansion for a club. Proper adoption of the video streaming by existing members can boost retention as well as bring new revenue in through strategic upsells.
The secrets of maximizing on the existing members are:
- Adjusting the pricing of the online offer.
- Offering a multi-tiered subscription with different perks on each tier.
- Using automated upsell techniques to maximize the value on each transaction.
A well planned onboarding process can help with the transition and improve the overall retention.
Without the constraints of a physical location, clubs can now explore the opportunities beyond their city, state or even the country. For this, clubs need to demonstrate the competitive advantage.
Two main ways to do it is to focus on:
- A certain niche with specialty offer.
- Providing better, immersive experiences than the competition.
Staying competitive is critical and often comes down to the quality of the content and the distribution system. Modern consumers appreciate convenience, adding mobile and TV apps, or even wearable technology to the mix, can greatly improve a club’s competitive advantage.
By doing this and offering both in-person and online fitness experiences, clubs will delight both existing and new members, diversifying the membership base and future-proof their business against any future flux in the market.