In a new report, Build or Buy? Personalized Content Discovery Strategies for MVPDs and OTT Services, Ampere Analysis explores two common options for personalizing the search and recommendations user experience. The findings indicate that turning to a third-party software-as-a-service (SaaS) provider is the more efficient path, speeding up time to market and return on investment.
Regardless of which approach a video service chooses, personalized content discovery (PCD) continues to be a key factor in reducing churn. And, as the report notes, delivering a PCD solution sooner rather than later can lock in customer and revenue growth for longer, providing a crucial head-start in the race to win and retain subscribers.
Through industry interviews and economic modeling, the cost, complexity and results of both home-grown and outsourced strategies were assessed, revealing:
- The cost of each option can be comparable, but the opportunity cost of using these resources to build PCD is often overlooked.
- Many service providers underestimate the cost and complexity of building an in-house PCD solution and are slow to deliver the capabilities of a mature SaaS solution.
- The faster deployment of a SaaS solution compared with a typical in-house project delivers a bigger impact on results, measured in terms of revenue uplift, than any other factor.
- A rapid deployment of a personalization engine using a best-in-class SaaS solution can deliver twice the revenue uplift potential compared with a typical in-house development project.
Rich with infographics and thoughtful commentary, the report provides concrete data to support areas of interest to MVPDs and OTT services, including:
- Driving revenue gains through subscriber conversion
- The learning curve for product and engineering teams
- Managing deployment and maintenance costs
- And much more
Get the proof points you need to make informed decisions on personalized content discovery implementation.
Download the complete report.