A video distribution service that allows you to watch videos anytime and anywhere using your computer or smartphone. With the spread of the Internet, the market size has expanded, and various video distribution services have appeared, including flat-rate paid services and sites where you can watch for free.
The video distribution service “U-NEXT” distributes a wealth of content with over 200,000 titles, including movies, dramas, anime, and e-books. What kind of marketing does UNEXT conduct in order to acquire new members in the expanding video distribution service market?
In this article, we will introduce the digital marketing measures implemented by UNEXT and their results.
Overview of video distribution services (VOD) and expansion of market size
Video distribution service (Video on Demand = VOD) is a service that allows you to watch videos on digital devices such as computers, smartphones, and tablets. As long as you have an internet environment, you can enjoy your favorite streaming videos anytime and anywhere.
Video distribution services can be divided into three types:
1. SVOD: A subscription type that allows you to watch unlimited video content by paying a monthly fee (e.g. U-NEXT, Netflix)
2. PPV: A type where you only pay for the video content you want to watch (e.g. Google Play, iTunes)
3. AVOD: A type of video that can be viewed for free but ads are distributed within the video (e.g. YouTube, TVer)
With the spread of the Internet and smartphones, the market size of video distribution services is expanding significantly. Another factor is that communication speeds have improved in recent years, making it possible to watch large-capacity videos more stably.
It is predicted that the video distribution service market will continue to grow further due to enhanced promotions and support for TV devices.
Source:
Nomura Research Institute (NRI) “IT Navigator 2021 Edition” (p28)
What is the video distribution service “U-NEXT”?
U-NEXT, a video distribution service provided by U-NEXT Co., Ltd. since 2007, distributes video works such as movies, dramas, and anime, as well as e-books such as manga and light novels. Among the major flat-rate video distribution services in Japan, we boast the largest lineup of unlimited viewing works.
U-NEXT is a subscription-style (SVOD) video distribution service that you use by paying a fixed monthly fee. However, UNEXT not only offers unlimited viewing that monthly members can watch without additional fees, but also the latest rental works that have not yet been distributed. By handling a wide range of content and video formats, we are able to attract new members who register with UNEXT.
Major video distribution services also include Amazon Prime Video, Netflix, Hulu, and dTV. Amazon Prime Video, where you can receive benefits in addition to video services if you become a Prime member, and Netflix, which offers many original works such as foreign dramas and documentaries, are each using different strategies to increase the number of members.
UNEXT’s digital marketing measures and their results
U-NEXT, which provides video distribution services, often acquires new members online, and the use of digital technology is an important marketing method for U-NEXT. UNEXT has introduced Google Ads’ dynamic search ads to its marketing. This is because search advertisements displayed on the search screen have a high probability of directly leading to membership acquisition from the content that users are interested in.
Dynamic search ads are suitable for advertisers with a wide variety of products or large inventory.
By targeting your ads based on website content, you can generate ad headlines that are highly relevant to potential users who could not be reached using individual keywords. As machine learning continues to learn autonomously, it will be able to deliver more relevant content to users who are more likely to become members.
Furthermore, with dynamic search ads, you can include the entire website as a target for advertising, or you can specify specific categories or pages. The introduction of dynamic search ads was a natural progression for UNEXT, which was aiming to expand its scale while maintaining quality, as it allows detailed ad management such as setting not to display ads if there is no inventory. .
Source:
Google “U-NEXT uses machine learning to increase member acquisition”
As a result of UNEXT’s adoption of dynamic search advertising as a marketing strategy, more than 50% of search keywords using dynamic search advertising were newly generated. Additionally, 35% of these results resulted in conversions, leading to the acquisition of new UNEXT members.
Source:
Google “U-NEXT uses machine learning to increase member acquisition”
UNEXT increased the number of members acquired by utilizing dynamic search advertising. Based on this success, we would like to apply dynamic search advertising to an even wider range of genres in the future.
summary
◆With the spread of the Internet and smartphones, the market size of video distribution services (VOD) is expanding significantly.
◆The video distribution service “U-NEXT” handles a wide range of content and video formats, which leads to the acquisition of new members who register with U-NEXT.
◆UNEXT, which often acquires new members online, has introduced Google Ads’ dynamic search ads as a new marketing measure.
◆As a result of UNEXT’s adoption of dynamic search advertising, more than 50% of search keywords using dynamic search advertising have been newly generated. 35% of these resulted in new member acquisition.
Reference:
Google “U-NEXT used machine learning to increase member acquisition”