Offering subscription video as part of your suite of digital products is an excellent way to differentiate yourself in the market, expand your reach, and add an additional revenue stream to your business. As with any important aspect of your business, understanding and analyzing your metrics can mean the difference between running a successful, or struggling company. Subscription video product performance metrics are no exception.
Three of the most valuable metrics to track and analyze in order to deepen your business insight and make informed decisions about your subscription video product lines are new subscribers, rebills, and cancellations.
Tracking and measuring how many new customers subscribe to your video products over a period of time can help you accurately assess the relevance, success, and health of your video content and marketing. Frequently analyzing your new subscriber sales can help you determine how appealing your video products and pricing are to your target audiences.
Additionally, a boost in new subscribers may be a good indication that your marketing messages are resonating and your campaigns are converting. Use new subscriber data to help measure the ROI (return on investment) of your marketing efforts as one indication of your success. Further, a boost in your customer base can be a valuable asset for gaining insight into the types of content your audience loves, and ways you can make your videos even more compelling to customers, resulting in higher profits for your business.
As a baseline, aim to gain twice as many new subscribers as you have cancellations each billing period. The number of new subscribers you can realistically expect each month will of course vary by business, price point, market size, and a variety of other factors. As you gather more data and determine realistic subscriber growth rates for your business, you can use these trends to formulate growth initiatives and set sales goals.
Your customer retention rate, also known as customer rebill data will indicate how long your subscribers continue to find value in your video products month after month (or weekly, or annually depending on your subscription period). This level of insight into your business will help you understand the lifecycle of each subscription product and accurately inform your predictions on the average lifetime value of each customer who subscribes. Remember, it always costs more to acquire new customers than to retain existing ones, so if you see a point at which your rebills start to drop off, it’s a good investment of your time and money to figure out why that is happening and try to fix it.
Rebill analytics can also provide great insight into how each subscription product is performing. A complete analysis of weekly, monthly, and annual rebills will give you a comprehensive view into the popularity of each product and “stickiness” of each subscription over varying amounts of time. As a result, you may choose to focus more of your marketing efforts on the subscription product offerings with the highest rebills and retention rates. This information will help guide important business decisions such as which subscription products to modify, and new product ideas as you expand your subscription video business.
Cancellations will always play a role in your subscription video product performance metrics. Some subscription products are only able to keep customers engaged for a month or two, while others continue to enjoy customer engagement (and customer payments) for many years! While the goal is to keep as many customers as possible engaged with your video content and happily paying for it each month, there will inevitably be customers who will cancel. While cancellation rates may not be as exciting to measure as growing sales and stable rebills, they can help highlight any issues present in your content, delivery, or service.
If you notice an increase in your cancellation rates at any point, it is an indication that something might be going awry. You can use this valuable metric to pinpoint areas of improvement and growth by paying attention to the numbers and adjusting according. Remember, keeping your cancelation rates lower than your new subscriber rates is an important component of growing your business, however, it’s not the complete picture. When prioritizing time and budgets, it can be more valuable to look at ways to retain existing customers and keep them from canceling, than working tirelessly to sign up new ones! There’s a reason existing customers signed up for your product in the first place, so be sure you’re continuing to provide them with the same great content and service that they expected from you when they signed up.
How the Intelivideo Subscription Center Can Help Drive Business Insight and Success
When it comes to tracking the performance of your subscription video products, the video platform you choose to support you in these efforts can play a significant role in your success. The Intelivideo Subscription Center is designed to give business owners complete control of their video subscription offerings and metrics. The IV Subscription Center simplifies data tracking and analysis and offers centralized, robust reporting tools that you need to achieve optimal video subscription business success, including:
- Transaction volume
- Sales data
- Customer details and analytics
- Business forecasting tools
- Trend data
IV Subscription Center further deepens your subscription business insight by offering unique performance tracking for each video. Simply access the dashboard and drill down to an individual user level to see which videos are most popular, how long customers are watching each video, and type of device customers use to watch each video.
The Intelivideo Subscription Center also helps you save time and develop consistent service measures through automation. For example, you can easily create cancellation and refund rules to provide better customer service, save sales, and save time by putting the process on autopilot. This allows you to focus on more important things, like growing your viewership and building your raving fan base!
Investing the time and effort required to intimately understand your performance data can help you continually optimize your offers and keep your subscribers engaged, delighted, and paying you month after month. Intelivideo Subscription Center helps support your subscription video business success by saving you valuable time, deepening your business insight, and providing you all the tools you need to manage your growth.
To learn more about how the Intelivideo Subscription Center can help you create, manage, and scale your recurring revenue stream, click here.