Twitch is primarily a free content platform. 99% of the content is absolutely free. Which trains the user that paying for this excellent content we love is not necessary at all.
When the sub button first arrived it was great. Finally, a direct way to support your favorite broadcasters and gaining access to “bonus content” that we know as sub-only perks. But as time goes on, this will become a less and less popular option for support.
I think it would be great to know how many subscriptions the average paying user has. What I mean is if someone is a paying user and has bought at least one subscription in their history, then on average how many subscriptions will that person end up holding at any given time. Because I think you can argue that if someone is willing to buy one $5 subscription, then it’s quite likely that they might get a second and the third one. But what about the 10th? The 25th? Will people ever reach a maximum they can just not swallow as an amount to be spending each month on twitch.
Can you imagine people spending $75 a month supporting twitch streamers while the person right next to them can be getting it all for free minus some very trivial sub-perks.
My point is that you can’t count on subs for a long-term monetization strategy. As time goes on the paying group on Twitch will have already reached its maximum spend since enough time has passed since it was available. Sure some new paying customers will join Twitch each much but it won’t be enough.
If you wan’t to be full-time steamer with a six-digit income it won’t be from subs. Only a small portion of all streamers will be able to access that income in a substantial way.
But I wouldn’t worry about it. I would just start thinking bigger and bring more innovation and production quality to your content. I would strategize more to make each stream count twice what it currently is offering. I would network more and keep growing my brand awareness. I would implement a legitimate content driven sales funnel offering your best content offsite or at least a differentiated content. I would add eCommerce in some fashion.
There is a million and one things you can do to improve the profitability of your live stream. I say get subs while you can because that gravy train won’t last forever.
In the coming months I’ll be unleashing a complete Twitch marketing strategy for you guys. Stay tuned.
Leave a comment below and tell me what you think about this opinion.