Roku is soon going to launch the video subscription service on marketplace just like Amazon channels. The user just needs to sign-up from the browser and start streaming subscription services without downloading the app on Roku. The marketplace as we have mentioned earlier is similar to Amazon channels available for amazon media streaming devices like Fire TV.
When asked from Roku spokesperson about this release. He has replied in negative and said that we are already providing the subscription services like HBO and CBS to our users through channel store. Any user who is willing to access the service can download a dedicated app from the Roku channel store. This service will, in turn, get displayed on the screen. You can sign-up for the service through TV or through the website of your service provider.
In the coming days, Roku is planning to bring the number of paid services under a single umbrella to make it easier for the user to subscribe to any service without any hassle. After this, the customer doesn’t need to download the app individually. The company is also working on updating the billing information on its platform so as to make consumers easy to pay for these services.
The approach by Roku is similar to Amazon channels Video marketplace which was launched in 2015. This has been offered to the prime members. With this service, the user can get over 235 videos subscription services after signing up directly from the Fire TV device. Once they sign-up, they no longer require to sign-up for an individual app. They will get all stuff from Amazon Prime video catalog given on the right-hand side of the page.
This is the reason why Amazon is at the top of the list in Ala Carte subscription. According to a recent study done by Diffusion group, the Amazon share in providing HBO subscriptions in the U.S is nearly 50% which is far higher than that of Apple and Google. According to some of the small services operators, the channels have played an important role in their business.
Roku is not the only one which is going to change the video subscription marketplace like Amazon but Apple and Bloomberg are also on the list. The Apple Company is planning to resell the video subscriptions through TV app available for Apple TV and mobile devices. But we are dead sure that this is not going to launch till 2019. Whereas if we talk about Roku, then they are planning to launch the service soon.
Roku business strategy has long been increasing its customer base with affordable media streaming devices and sticks and partnership with TV manufacturers. The company is also generating its revenue through ads and promotions.
The company, however, has done an agreement with the paid streaming service to share the revenue with them. The largest revenue contributor for Roku at present is advertising. The revenue from ads has surpassed the revenue generated through Roku hardware sale for the first quarter of this current year.
Roku channel is one of the primary sources of revenue generation for the company. This is a platform where the user needs to visit to watch ad-supported channels, movies from different genre and shows. In April, Roku has collaborated with a news channel to provide news to the customers from different channels like Cheddar, ABC and other. Now the question which is still doubtful is whether the Roku will add the subscription services to the Roku channel itself or will keep the channel apart.