In the last few years, I spent several time designing and consulting my clients on acquisition funnels for streaming video OTT platforms. In particular, I have been working with some key concepts on:
How to design and build an OTT streaming buyer-centric sales funnel that has low CAC and fast sales cycles.
How to figure out why your sales funnel isn’t working as well as it could be, and how to fix it.
How to understand the way users react to your funnel, and how to use that knowledge to increase funnel conversion rates.
Today I want to share in this article what works best and what doesn't.
Generally speaking, the conventional approach starts from the idea that the signup process of a SVOD video platform should always start from the Free trial. What I found in the recent years, however, is that the signup is more effective if It starts from a "Wow" effect first.
The Wow effect is related to the experience and personal motivation that a user has at the moment of landing to your OTT website or when It's about to download your OTT video App.
What are the key elements that don't help your acquisition funnel?
They are mainly related to the friction users have during the process, which they end up creating concerns for users. From a product prospective, It's important to segment and generate data that helps you to find those elements that don't help to continue the acquisition process. This type of exercise can have a huge impact on your CAC (Client Acquisition Cost), which of course It should be the lower as possible.
You need to understand what the user expects to watch and the type of experience that they are looking for. Failing to deliver such experience, It'll generate frictions that will build a barrier to users to signup and convert them into subscribers to your video streaming platform. This is one of the reason why many OTT platforms fail, even big ones.
How to overcome those elements?
If we focus on creating a unique and personalised experience for the users, you will enable to motivate them to continue their process. Having a Free trial is not enough anymore! Data is crucial to overcome those concerns and It's fascinating how small adjustments to your Funnel will positively impact your results.
One of the key tactic my clients successfully used, It was to give some free contents (or, in other cases, some free minutes of extremely relevant and exclusive video content - i.e. a final of a play-off match), certainly before even to start any free signup process.
How can I detect the concerns and users friction?
That's the hard work and It involves different departments of your streaming company, from Marketing to Sales, passing through Customer Success (I like to call it like that rather than simply Support) and of course, your Product dept. You should start to collect data and feedbacks from each of them, which will then be analyse from an experienced group of professionals that will guide some potential changes.
The magic happens when all these departments work together with the same objective: acquire and convert the maximum number of new users. The Product, as you can see from the picture below, should stay at the core of your data decision making.
Analysing the consumer behaviour at the middle of the funnel, It'll help to considerably decrease your CAC and optimise the product, witch will end up to create a frictionless user experience and smooth conversion funnel.