Is your streaming media service customer friendly?

By Ben Chacko, Managing Director of Customer Care

Streaming video on-demand services are expected to generate over $25 billion in revenue in 2022, an increase of 13% from last year, according to the latest PwC media industry survey. The report notes that within the next four years, the industry will climb to over $33 billion in revenue, reflecting an 8.5% annual growth rate.

Despite this incredible expansion, the key leaders in the industry are facing serious subscriber headwinds, forcing them to pursue alternative revenue streams including ad-supported versions of their content platforms, as well as reductions in their marketing workforces.

To help them navigate the turbulence in the market and weather the current economic uncertainty, many are pursuing various strategies designed to hold on to their subscribers, who are deciding more carefully how and where to spend their disposable income. Given these challenges, there is one critical question that streaming video companies need to ask themselves: Is my customer support strategy lifting the boat or slowing it down?

During the height of the Covid-19 pandemic, Harte Hanks saw firsthand how industries, including streaming media companies, benefitted from consumer demand for in-home services. Whether it was prepared meals, at-home workouts or pet food, subscription-based services exploded to unprecedented levels.

Unfortunately, too many of these subscription-based industries failed to recognize that to continue this momentum, they would need to execute a uniquely tailored, customer support-focused strategy designed to not only add new subscribers, but also retain their best customers.

So what lessons did we learn from our clients in the streaming media industry that are helping them address these challenges and keep growing?

Create effortless solutions, not problems

Whether it’s connecting to their preferred device or solving a billing problem, one of the key reasons customers frequently leave a subscription-based service is because their basic customer support needs are not easily addressed. Using tools such as AI, self-service or live chat are simple but effective ways to ensure that a customer can quickly solve these challenges with the least effort on their part.

One of the peculiarities of the streaming media industry is that there will always be a percentage of subscribers who will cancel their subscriptions after they reach their content consumption limit. It may seem counterintuitive to marketers, but in the streaming media industry, the harder you make it for these subscribers to cancel, the less likely it is those same customers will return.

The worst outcome is for a customer’s last encounter with your brand to be negative, leaving that as their memory of your service. By curating an effortless experience for your customers at every touchpoint, even when they leave, you offer a positive association with your brand.

Open as many doors as possible

If you want your customers to fully engage with your streaming media service, give them the opportunity to experience it on as many devices as possible. This flexibility demands that your customer support team understands how to assist customers, especially new subscribers, in loading their media onto everything from their smartphone to their TV and their tablet.

Even better, proactively communicate with your subscribers about how to add the service to other devices, encouraging higher engagement with the content and avoiding issues down the road.

Make it personal. Give subscribers a reason to stay.

Streaming media subscribers often join a streaming service for specific content. Use your customer data and other tools, such as personalized email and surveys, to keep connected to your customer preferences. By connecting all of this data for each customer, support becomes easier and more customer-centric.

Instead of waiting for a customer to cancel, use tools such as predictive analytics and customer support surveys to figure out your customer’s path. For example, our teams have found those streaming services that offer subscribers free additional content on top of their existing subscriptions can increase their likelihood of retaining that subscriber rather than having them cancel altogether.

Is a new season of their favorite program about to launch again? With all departments connected to a single customer record, messaging can be targeted to remind that customer about the show’s return. The Interactive Voice Response (IVR) can even feature an actor from the show guiding them through the menus.

Personalization is where you can get creative and have fun connecting with your customers before they ever have an issue and build stronger brand loyalty.

Create customer support SWAT teams

Be ready to significantly increase your customer support teams when you launch high-profile content, such as the new season of a popular program or a spin-off from a previously well-known program. Nothing can be more frustrating for a subscriber than being unable to access content easily and quickly when their favorite program launches because they can’t reach a customer support representative.

There’s a reason that retail industries hire additional help during peak holiday shopping seasons, and streaming media services can learn from their experiences.

As the streaming media industry continues to evolve and mature, there will certainly be challenges and obstacles to continue its strong momentum. Ensure your company stays ahead of the game by honing your support strategy to create lifetime customers and brand evangelists.

Ben Chacko is the head of customer support strategy and global operations at Harte Hanks.