Executives previously with Disney and Discovery are collaborating to introduce a new streaming platform called Struum, scheduled to debut this spring. This service intends to replicate the successful ClassPass business model within the streaming industry, meaning Struum will consolidate content from various smaller video-on-demand providers and offer it under a unified subscription.

The concept behind Struum originated with its founders: Lauren DeVillier, formerly the head of Product for Discovery Ventures; Eugene Liew, previously vice president of Product and Technology at Disney+; Paul Pastor, formerly executive vice president of Strategy, Revenue and Operations at Discovery Networks; and Thomas Wadsworth, the former lead of Advanced Product Development for Walt Disney Imagineering.

The service has secured backing from Michael Eisner, former CEO of Disney, through his investment company, Tornante Company. Firstlight Media, a firm specializing in video service technology, is also an investor and is collaborating on the development of this new venture. Additionally, Gaingels, an investment firm focused on supporting LGBTQ+ founders and allies, is contributing to the project.

They contend that a substantial number – over 250 – of specialized and niche streaming services remain, presenting a chance to expand content offerings and connect these services with potential viewers.

The service’s approach to achieving this is unique within the streaming sector, drawing direct inspiration from the ClassPass model, which allows users to sample fitness classes from various gyms and studios.

“I was a frequent user of ClassPass and greatly appreciated that model,” DeVillier explains. “We began exploring the possibility of offering a similar aggregated service.” The founders discussed methods to support streamers who were “seeking visibility and a platform,” she adds.

Struum will operate by offering customers a single monthly subscription that grants access to a variety of services through the Struum application. However, rather than unlimited access to all content, users will receive a set number of “credits” to explore and consume content, mirroring the ClassPass system.

If Struum observes a customer consistently accessing content from a particular service, it will recommend a direct subscription to that service, which can be initiated within the Struum app.

Essentially, Struum functions as a customer acquisition tool for its partners, in addition to hosting their content.

This benefits consumers by eliminating the need for multiple subscriptions to access different shows and movies. It also allows content providers to reach an audience without the expense of launching and maintaining their own individual subscription platforms.

Struum will generate revenue through its subscriptions, which will be shared with its content partners. These partners may include established brands from traditional pay television now seeking a streaming presence, as well as specialized media companies and those currently utilizing an ad-supported video-on-demand (AVOD) model who wish to enter the subscription video-on-demand market.

The co-founders began working on Struum in early 2020, shortly before the onset of the pandemic in the U.S. The pandemic, naturally, accelerated the growth of the streaming market as consumers sought entertainment while staying home. For Struum, it also expedited the launch process.

“The ability to connect with people – investors, content partners, and talent – quickly through phone calls and Zoom meetings, rather than traveling for pitches, allowed us to accelerate our business significantly,” Pastor observes.

Struum also benefited from the increased acceptance of remote work, enabling them to hire staff from across the U.S. and even the U.K. The team of 10 currently operates remotely and intends to maintain this distributed model in the foreseeable future.

Struum has successfully pinpointed a challenge within the current streaming environment: the abundance of untapped content distributed across numerous smaller services, much of which remains largely undiscovered. However, its approach – aggregating content under a ClassPass-like subscription/credit model – will inevitably position the service in competition with AVOD platforms, which consumers often turn to when they are unable to find desired content on major subscription services.

Therefore, a key challenge for Struum will be persuading consumers to alter their established viewing habits.

“Currently, consumers typically begin by browsing Netflix, then Amazon,” Pastor explains. They may then explore Disney+ or HBO Max depending on their preferences for family-friendly or adult content.

“Our goal is to become consumers’ third or fourth choice by offering a single subscription that allows them to explore a wide range of services,” Pastor adds.

Following its launch, Struum intends to rapidly analyze customer data to refine its content library and inform future partnerships.

“We bring a strategic and data-driven approach, prioritizing consumer feedback – a hallmark of both Discovery and Disney,” Pastor states. “This will be our primary focus in the near term.”

The company plans to launch in the spring with support for web, mobile, and TV platforms, with international expansion planned for the future.