The sale of TV programming to viewers is both fierce and complex. This complexity starts with the marketing campaign aimed at getting the viewer to sign up for the service and ends with ensuring all parties involved in the transaction are paid the correct amount. This seems a very different world from that of a broadband provider, but in actual fact, with the rapid rise of IPTV generating complex content packages, these two worlds are becoming more and more alike.

The biggest difference between the present broadband offerings and the IPTV proposition will be the way in which providers are paid for these services: the services existing broadband providers currently sell do not need complex settlement rules with third parties or per subscriber settlement.

When a customer has found the IPTV package they want, they will sign up for the service in the same manner as they do for any other service and will have to accept terms and conditions that relate to the price and cancellation. Now the broadband provider will need to work out who needs to be paid what from the subscription price, which must also be adaptable to subscription packages, special offers and account alterations. This can prove an immensely complex process and will require effective settlement management solutions.

Such a complicated process needs an automated settlement system in the deployment of IPTV solutions, since working out by hand who is owed what and for what period of time for thousands, let alone millions, of customers is not practical and highly error prone.

Not only is automated settlement needed but it also needs to be linked to the creation of the offer so that when an offer is approved, the settlement terms are automatically configured in a form of electronic contract agreed between the multiple parties in the value chain which can be examined. The offer creation and packaging process also needs tools that enable the prediction of things like the break even point so that the correct cancellation policy can be created.

Finally, all this needs to be communicated to the customer, the broadband providers and the third parties involved, in such a way that it is simple to understand and does not lead to expensive and costly disputes.

Service providers should not be put off the opportunity that IPTV provides them, as there are ways to effectively settle customer transactions and ensure all parties involved in the transaction are paid the correct amount. By taking the time to cement solid settlement solutions to assist in the successful deployment of IPTV, service providers can work to secure further uptake of TV services having made the process a seamless experience for the consumer.