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The firm switched to a subscription revenue model three years ago and today Aspen is less than two-thirds through upgrading its largest customers.
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Choosing a subscription model makes revenue more predictable, but reduces revenue up front.
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Cable and satellite channels, which traditionally rely on a dual revenue stream model, are eyeing YouTube's subscription service to generate revenue from older shows and new programming, according to another person familiar with the project.
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Such a system might operate on a similar revenue model on the back end, too, by tying fees to utilization, subscription growth, or other business drivers.
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While the two operate on different terms--in addition to cable's dual revenue streams (advertising dollars and subscription fees) as opposed to broadcast's singular ad-supported model, cable has far fewer programming hours to fill and less fare to promote--broadcasters would be wise to consider four of cable's best practices.
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Four panicky days later, Jirbo junked the subscription model and turned to advertising--on the Jirbo site and embedded in games--for revenue.
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