What is an OTT?

What does OTT mean?

Over the Top (OTT) services refer to any type of video or streaming medium that provides consumers with access to sports, movies or TV series via an internet connection. Some of the most popular OTT providers include Netflix, Amazon Prime Video and Hulu.

Essentially, Over the Top services use an internet connection to play TV programmes and movies. Most OTT providers have their own app and website where a user can log in to access the available content with a subscription.

What is an OTT platform?

As we have already mentioned, the best-known OTT platforms today are Netflix, Amazon Prime, Hulu, Disney, or HBO. OTT services offer a variety of attractive features such as:

• No commercials: part of what makes subscriptions like Netflix so popular is the lack of ads and commercials.
• OTT doesn't have to be one or the other: you don't have to limit your subscription to a single provider. Many users subscribe to Netflix, Hulu and Amazon Prime together, for different reasons.
• There are several ways to access OTT services: if you want to add OTT at home, there are several options to choose from: buy a Smart TV, get an additional device for your current TV, or use a laptop, tablet or mobile device.

OTT and sports

Now that we understand what OTTs are, we’ll take a look at the impact it’s having on sports and how we watch live matches.

1. Global reach and scalability for sports: live streaming of sporting events can be global. By breaking free from a specific broadcaster or distributor, it’s possible to reduce the cost and legal complexity of negotiating contracts by territory with numerous distributors and partners. The advantage of OTT is that it no longer limits the number of fans. Even if a stadium has a limited number of seats, thanks to streaming, the number of people who can watch the game is unlimited.
2. Business opportunities and increased profits: according to a report by Rethink TV, revenues from sports media rights will reach around €85 billion by 2024. Pay-per-view or TVOD are content monetisation models that are often used for sports OTT services. Some platforms also offer subscription models that provide access to live streaming, as well as a replay of the event. For sports clubs, offering season tickets or pay-per-view is a very interesting way to diversify their revenues, in the same way as merchandising, for example.
3. Customer data for the sports industry: OTT also introduces a very strategic notion of customer data. Until now, sports rights holders sold their rights but didn't recover any data from end users. By becoming broadcasters, clubs or federations can obtain useful information about users. Through the connected user experience, this data can be analysed and rated to improve the experience and increase customer loyalty. Of course, customer data facilitates the participation of sponsors or advertisers, who are very interested ​in this information for their marketing strategies.
4. Improving sports fans’ engagement: Like the music industry, live sports streaming allows for much more interactive experiences for users. Interactive chat, Q&A sessions with athletes, and fan walls are features that are possible thanks to digital technology, and that improve spectator participation.

Hopefully this post will help you understand what OTT is and how it applies to sports. However, if you want to delve deeper, at Universidad Europea, we are committed to experiential learning whether you choose one of the programmes already mentioned or others in our portfolio, for example, the Master in Marketing or the Bachelor's Degree in Marketing. From day one, you'll have access to a top-level faculty. Many professors are leaders in companies and organisations within the sector. During your chosen programme, you’ll have opportunities to carry out internships in these companies and attend exclusive events with Real Madrid to continue networking and expand your connections.