San Francisco, CA – April 04, 2014– Aria Systems comments that since adopting a recurring revenue sales model for its new digital streaming service, the World Wrestling Entertainment (WWE) has proven that smart risks can lead to big rewards. WWE’s share price has tripled over the past year, according to a March 30 story in the prestigious New York Times, a positive result from the launch of the new round-the-clock subscription-based streaming service.
“Pro wrestling’s new way of watching its matches is a veritable ‘take down,’ a game changer, in terms of market disruption,” observed Tom Dibble, president and CEO of Aria Systems, the industry innovator in cloud-based recurring revenue management. “A couple of years ago no one would have dreamed of WWE thriving via a recurring revenue stream, which is now the cornerstone of the company's growth. WWE is demonstrating that you can get big pay-offs through an innovative monetization strategy that offers a more compelling product to its viewers. Companies across virtually any industry can achieve similar gains through untapped value that’s just waiting to be monetized.”
WWE launched the digital streaming service starting on Feb. 24 on a 24/7 basis. WWE is streaming pre-scheduled programming blocks, plus all 12 of its pay-per-view shows, including WrestleMania, on the new app – for a $9.99 monthly fee. The monthly charge represents a bargain for WWE’s customers, given that the wrestling organization charges up to $600 a year for its 12 pay-per-view matches at a one-off $40 to $50 per view clip. Previously, the mobile content was only available for viewing via television or satellite.
WWE reports that viewership has been “over the top” for the new service, after setting a goal of 1 million subscribers in the first year of operation.
The New York Timespoints out that pro wrestling has been disrupting broadcast media since the early 1950s, when the then fledgling television network DuMont started airing matches to boost audience and rating numbers. The WWE then shifted to cable television in its formative years in the 1980s. Now, they offer direct streaming to mobile customers as increasing numbers of the millennial generation shift away from traditional television to consumer entertainment on mobile devices.
“I think any good entertainment product has to change with the times,” Vince McMahon, WWE’s president and CEO, said in the New York Timesstory. “You have to have your fingers on the pulse of the marketplace.”
The apparent success of WWE’s direction is another indication of the tectonic shift away from one-off sales to recurring sales. “WWE is leading the way in terms of using new models to monetize new, but rapidly growing markets,” said Dibble.
See first-hand how other businesses are taking advantage of recurring revenue models and achieving success by downloading Recurring Revenue Innovators: the Global Giants edition , the first of three compelling e-books on the subject.
Aria Systems delivers an enterprise-grade recurring revenue management solution so businesses can grow new revenue streams and optimize the lifetime value of their customer relationships. Industry leaders like Pitney Bowes, Experian, AAA NCNU, VMWare, HootSuite and many others have chosen Aria to grow their recurring revenue business. Learn more about us at www.ariasystems.com.
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