NFTs could alter the operation of subscription services by permitting users to sell or rent out their subscriptions when they are no longer required.
It is difficult to recall a time when subscription-based services weren’t the norm, as they are now so widespread. Streaming businesses have sought to exploit this trend by exploiting users to the farthest extent possible; consider Netflix’s decision to begin airing commercials.
Streaming services can increasingly be utilized to build communities, which is another advantage of employing NFT technology. As with all consumer cultures, we are what we consume in the digital world. NFTs have the ability to significantly deepen the connection between the user and the product eaten.
solution to streaming “churn”
Who would have predicted a decade ago that internet communities centered on JPEG families would become billion-dollar enterprises? From Party Degenerates to Bored Apes, NFTs have become identity cards, VIP passes, evidence of ownership, and digital art – all in one package. Why not also offer a streaming service?
If you watch a lot of David Attenborough, for example, an NFT could be built around your love of the natural world. People like you will also buy this niche membership, which could cross-streaming platforms, with the money going to the distributors, IP owners, and content creators in proportion to their share. With this combination of very small groups, we would have the start of a community based on a common interest. This community could be a great way for third parties to earn profit and open up a lot of opportunities for collaborations and engagement. This could involve discounted tickets to museums and safaris, livestream Q&As with top zoologists, and first looks at new David Attenborough shows before anyone else.
A membership product that appeals to niche interests will make the streaming service seem more valuable to users because it will become a part of who they are. Many of the “churn wars” in the streaming industry can be stopped by turning subscriptions into “memberships.” By doing this, platforms can help people who make all kinds of content build strong, dedicated communities.
You might say, “We can do all of this today,” and you’d be mostly right. For example, Netflix could make interactive subscription services for certain types of content. This is a very real possibility. Streaming services that usually require a credit card, a long form to fill out, and an email address look boring compared to Web3.
When NFTs are used for subscription products, users can access gated content as long as it interests them, and they can sell their keys to someone else without losing anything when they no longer need them. Content creators will also benefit from being able to talk one-on-one with really interested audiences. Instead of the “all you can eat” or “nothing at all” approach of regular subscriptions, creators will be able to package content for specific NFTs or reward certain behaviors. Maybe you can get a bonus if you watch all the episodes in a short amount of time, or if you give feedback on a season, you can get behind-the-scenes content.
As customers, we think that transactional video-on-demand and buying things a la carte are going out of style. If a service wants to stay ahead of the curve, it would be smart to start thinking about what Web3 can do.