Follow the Funnel to Prevent Churn

Retaining viewers can be an uphill battle for many streamers and content publishers in the dynamic streaming industry. Recent research on the video services landscape reveals the average annualized streaming churn rate in the U.S. has hit a new high of 47%. 

More than half of these cancellations are driven by financial concerns. Viewers cite “saving money” as the primary driver – particularly when discounted rates expire. The growing popularity of free ad-supported streaming TV (FAST) channels is evident among cost-conscious consumers as 32% of U.S. adults are watching SVOD services less to tune into FAST services.

Content choices also weighed heavily in the decision to cancel subscriptions. Once the show that attracted them in the first place finishes – viewers struggle to find an appealing new show to watch. Quickly connecting audiences with their next favorite show on your channel is an essential step in preventing churn.

Content versus cost

These findings highlight the pressing need for a diverse content library, and the delicate balance between quality content and competitive pricing in the streaming industry. This concerning trend has underscored the need for effective marketing strategies that not only captivate audiences but, more importantly, keep them watching your content. 

A recent report, developed in partnership with Wurl and AppLovin, explains how CTV has now emerged as a potent channel for reducing churn, generating revenue, and transforming the dynamics of marketing.

New standards of transparency and insight

Compared to traditional linear TV, CTV offers significantly enhanced targeting capabilities. Because CTV streams video content from internet-connected devices – marketers can now deliver more targeted, personalized TV promo ads to improve viewer experiences and retention. In fact, the same performance transparency and efficiency available to mobile and digital user acquisition (UA) campaigns is now available through CTV. 

It all comes down to knowing the target audience and understanding where you can find them. Accurate attribution and measurement provide the data required to optimize campaigns to attract and keep viewers. The indispensable insights provided by CTV include: 

• Audience Segmentation based on demographic data, user behavior, and viewing preferences ensures ads are relevant and impactful. 
• Brand Safety metadata enables advertisers to have more control over where their ads are displayed, reducing the risk of objectionable content.
• Real-Time, Transparent Analytics allow advertisers to optimize campaign performance with accurate attribution and measurement, including impressions, views, click-through rates, and conversions. 
• Automation and efficient campaign management optimize reach and maximize ROI through programmatic platforms by leveraging advanced targeting and bidding strategies.

Visibility into these key insights ensures campaigns reach the right audiences. It’s a win-win: Viewers are happy watching the content they want, and streamers grow their viewership and revenue.

Optimize with a full-funnel mindset

The evolution of CTV has redefined advertising possibilities making TV a more accountable and measurable channel than ever before. Equipped with data-driven targeting and measurement, marketers can approach their campaigns with a full-funnel mindset. 

CTV advertising is a key component of the entire marketing funnel – from Awareness to Loyalty:

1. Awareness – Attract viewers’ attention
2. Consideration – Nurture interest in content
3. Conversion – Motivate viewers to watch
4. Loyalty – Entice viewers to keep watching

Understanding its impact on your overall marketing strategy requires consistency of measurement across every marketing channel. Holistic, full-funnel marketing deepens your brand’s relationship with audiences at any stage in the customer journey. 

Capture interest with high-impact creatives

Beyond data-driven insights, the true essence of CTV lies in its ability to inspire viewer engagement through impactful ad creatives. With the freedom to experiment and iterate, marketers can tailor their messages to resonate with their target audiences, fostering a connection that helps drive sustained viewer loyalty. 

Wurl’s creative services, provided through SparkLabs, deliver top-notch ad production and analysis ensuring the content shines brightly amidst the sea of streaming options. A recent SparkLabs Expert Q&A on “Optimizing Ad Creatives on CTV” explores why some promotions are more effective than others at driving greater numbers of new viewers. 

Drive revenue growth with CTV

As the streaming industry continues to evolve, CTV’s role takes center stage as an effective channel for content promotion. Performance-driven solutions such as ContentDiscovery enable streamers and publishers to run campaigns across mobile and CTV to maximize impact and cost performance. Wurl’s AI-based advertising engine learns the content and leverages first-party viewership information to find the ideal audiences and automatically optimize campaign settings to meet your KPIs.

By leveraging the power of CTV as a revenue-driving channel, streamers and content publishers can redefine their marketing programs from cost centers to revenue generators. With Wurl’s expert support team and cutting-edge solutions, marketers can navigate the ever-changing landscape of CTV with confidence to grow viewership and maximize their ROI.

To learn more about how CTV can unlock new avenues for revenue generation and viewer engagement, explore the insights and strategies detailed in Wurl’s latest CTV Report.