Media companies with rich content libraries are well-positioned for streaming success, but launching a direct-to-consumer (DTC) streaming service is not just a simple change in their distribution model—it’s a fundamental shift in the way their business works.
To compete successfully, these historically business-to-business (B2B) companies need to build and scale a business-to-consumer (B2C) operating model in which the economics are vastly different. The rapid move to streaming resonates throughout the content ecosystem, but under a different business paradigm.
The audience potential for streaming services extends far beyond the U.S., and the international market is a key battlefield. There is tremendous opportunity for subscriber growth, but international is also more challenging to navigate with varying regulations, language and local-content considerations, and tax regimes.
For streaming video providers, the value chain extends from creation through delivery and customer experience. This requires new skills and introduces a variety of operating and business considerations that media companies have historically entrusted to their business and distribution partners.
