Revolutionizing Premium Content Monetization for Broadcasters and Studios

Over the past decade, the decline of traditional TV and movie theater revenues has paved the way for streaming services to transform content monetization. This shift has made it crucial for content studios to justify their projects effectively, as unions and production teams maintain consistent costs while streaming platforms demand greater efficiency.

While many YouTube creators now produce content using iPhones and simple setups, the costs of producing blockbuster movies and episodic television remain largely unchanged. Despite this, the landscape of ad dollars and subscriber revenue has become more complex and fragmented. Producing or licensing premium movies can cost millions per minute, with actors and production crews still commanding high fees. In contrast, video podcasts can be produced for less than $1,000 per half-hour episode, yet viewers expect the same level of access and quality.

TV and movie studios, local TV broadcasters, and live sports face the highest challenges in content monetization. With video-on-demand, live events, and linear TV all under the same umbrella, the key performance indicators are minutes viewed and dollars earned. This dynamic environment calls for innovative strategies to justify costs while meeting viewer demands.

Why Premium Content Creators Don’t Use YouTube for Content Monetization

Premium content studios face unique challenges when using YouTube as a primary monetization method. The platform’s ad revenue model, while effective for many creators, often falls short of appreciating & dealing with the high production costs associated with premium content.

When monetizing on YouTube, Content Studios receive about a third of the Gross Ad-Revenues after Google’s ad-sales fees and its 45% platform commission. Advertisers are charged lower rates due to the high likelihood of ads appearing alongside user-generated content. Remarkably, YouTube generates over three times the revenue of traditional FAST platforms, operates without hindrance, and has zero technology fees.

What Do Top TV Broadcasters and Movie Studios Crave in Streaming?

Relying solely on platforms like Netflix and Hulu to greenlight channels and projects can be a long-winded and costly process that often stifles creative flair. These platforms tend to play it safe, favoring proven formulas over groundbreaking and innovative content. This cautious approach can chain studios to restrictive guidelines, limiting their ability to experiment and push creative boundaries. Studios are increasingly seeking independence to raise funds, create content, and monetize their work in more dynamic ways. They aspire to have the same creative freedom as YouTubers but with a more predictable monetization and investment justification for premium content. This independence would allow studios to deliver unique and captivating experiences to audiences without being constrained by the conservative strategies of major streaming platforms.

Independent Streaming and the Power of FAST

FAST (Free Ad-Supported Streaming TV) is revolutionizing the way linear television and AVOD (Ad-Supported Video on Demand) are monetized using cutting-edge streaming technology across various video devices. Contrary to popular belief, FAST is not a linear TV format but a dynamic business model that seamlessly integrates with both linear TV and VOD formats, offering viewers an unchanged, familiar experience. This innovative approach allows content providers to maximize revenue through ad-supported streams while delivering content to audiences.

FAST Channel & Content Challenges

While FAST offers a revolutionary approach to monetizing VOD and TV content, it does come with some fundamental challenges. The reliance on ad revenue across multiple ad-networks can lead to inconsistent earnings, making it difficult for content creators to predict and plan their budgets effectively.
Current FAST services are only delivering a fraction of ad revenue to content owners, enriching programmatic partners instead. To attract premium content, FAST must overcome the inefficiencies caused by multiple independent businesses in the programmatic process. By streamlining the involvement of DSPs, SSPs, CTV platforms, and technology providers, we can ensure that broadcasters and studios—the true risk-takers—receive their fair share of ad dollars.

The Solution: Bringing Streaming Services, Audiences, Broadcasters, and Content Studios Closer Together

Kapang, a trailblazing streaming platform operator, has transformed the streaming landscape with its hybrid content monetization platform. This state-of-the-art integrated solution harnesses advanced technology to unlock multiple revenue streams for linear television broadcasters and content studios, empowering them with the flexibility and agility of YouTube creators but with a higher class of multi-angle monetization. With Kapang, broadcasters and studios can effortlessly bring their content to market and gain precise, data-driven insights to measure their success via a single solution. Yes, just like YouTube has done for creators.

Kapang’s revolutionary, multifaceted monetization strategy based on content & broadcasters receiving up to 90% of NET revenues, breathes new life into content financiers, studios, linear broadcasters, and live event businesses, putting them back in control of their independent businesses. By consolidating services through a single integrated technology stack, Kapang eliminates the multiple partner commissions and escalating technology fees that plague the multi-supplier world of FAST monetization, delivering a transparent return on their investments.

This streamlined approach also bypasses the lengthy greenlight processes of traditional subscription platforms such as Netflix and Hulu, empowering studios, broadcasters, and financiers to go direct-to-consumer unhindered with the confidence that they have a predictable multi-faceted revenue model to monetize their creations.

Kapang’s innovative solution provides the freedom demanded without the need for creating costly direct-to-consumer services with the following game-changing highlights:

1. Live and transparent reporting,
2. Groundbreaking 90:10 Revenue Share,
3. 28-day Payment Terms,
4. Zero technology fees,
5. 100% ad-fill guarantee
6. Instant Approval for Content Projects & Channels

The Conclusion

Kapang is transforming the content and broadcast industry with an unhindered platform for broadcasters, premium film, and episodic content creators of all sizes. By partnering with Kapang, content financiers are equally thrilled. This groundbreaking solution eliminates the need for integrating advertisers, technology providers, and marketing tools to monetize content. Kapang brings the simplicity of YouTube to content studios and broadcasters, with a revenue model that values high-grade production and fosters a fair, regulated partnership. This empowers innovation and success in the film and television industry, while commoditizing technology and associated costs into a straightforward, easy-to-understand solution.

Experience the future of content monetization with Kapang, where simplicity meets excellence.

Launching October 2024