In an effort to reach new customers during the economic recession, online video technology firm thePlatform is rolling out reduced-cost services for small and midsized media companies starting this week.
The lower prices reflect the video content management company’s effort to mine new revenue.
With the new offerings, companies that use thePlatform’s video publishing tools can secure additional Internet television storage and delivery services at lower rates. That could save them about one-third of their total cost each month for online video delivery, thePlatform said.
“Running a successful broadband video business requires a focus on both improving the top-line revenue and reducing costs. This is especially true in this tough economic climate,” said CEO Ian Blaine.
The price reductions raise the question of whether thePlatform risks pulling its customers away from higher-priced packages, but the company said revenue generated via the new programs is additive. The new programs are targeted toward smaller customers and thePlatform is not discounting its core service.
“It enhances thePlatform’s value proposition, particularly for small to midsized video content providers,” said Will Richmond, analyst with VideoNuze.com. “In this environment, anything that either reduces costs or drives new revenues is a positive.”
The company’s customers, which include NBC Local Media, ExerciseTV and PBS, generated more than 440 million videos views in December, according to comScore numbers shared by thePlatform.
One of the first customers to use the new service is the Chicago Sun-Times.