7 Key Elements That Propel The Growth Of A Video Streaming Business
The current digital landscape is dominated by videos, which have become the most influential and compelling means of delivering content and ideas. Recent surveys indicate that approximately 80% of Internet traffic is attributed to video content. We provide live video streaming solutions in India & OTT service provider in India
Given the immense viewership, it is no surprise that people have moved beyond traditional broadcast mediums and shifted away from conventional pay TV packages. Video streaming has taken over as the preferred mode of consumption, with OTT (Over-The-Top) platforms driving 41% of the total content consumption.
The growth of video streaming has been remarkable over the years, driven by increased demand for convenience and diverse content. The online streaming economy is projected to grow at an impressive CAGR of 29.4% from 2021 to 2027. This shift towards OTT services can be attributed to factors such as urbanization, increased Internet penetration, the rollout of 5G, compelling content, fresh genres, high-quality videos, user-friendly interfaces, and flexible plans. These attributes have prompted businesses, investors, distributors, and even mainstream television channels to enter the video streaming ecosystem, catering to global audiences through on-demand and live content delivery. We provide live video streaming solutions in India
The recent pandemic has played a significant role in accelerating the prominence of streaming platforms, leading to a 10% spike in global OTT viewership. With such colossal market needs and expectations, OTT players today must differentiate themselves in terms of video quality, security, and delivery. Let’s explore the key factors that drive a high-performing video streaming business:
- Quality of Distributed Videos: To ensure success, a streaming service must prioritize delivering superior video quality. Despite the substantial investment in creating rich content, it becomes meaningless if the output quality is compromised. Broadcasting high-quality videos is paramount for enticing global audiences. Streaming services should check the quality of their source files, integrate HD/4K video players, optimize encoder settings, and ensure adaptive bitrate streaming (240p, 360p, 480p, 720p, 1080p). Employing a robust content delivery network (CDN) for low-latency and instant playback is also essential. We are OTT service provider in India
- Bandwidth and Storage Requirements: As OTT platforms compete by acquiring and producing original content, managing storage capacity becomes crucial. Cost-effective cloud solutions are increasingly preferred over on-premise servers for storing and managing video repositories. Factors to consider include the volume of the current library, intended video quality, future scalability plans, audience size, type of video distribution (on-demand/live), and content verticals (entertainment, e-learning, sports, enterprises, fitness, religious streaming services). Unlimited storage and bandwidth are often recommended to ensure high-quality streams to a growing viewer landscape.
- Seamless Video Hosting Infrastructure: When it comes to video streaming, publishers have two options: on-premise and cloud. Setting up a complete on-premise infrastructure can be expensive and time-consuming, but it offers ownership and security advantages. On the other hand, cloud-based infrastructure is remote, operates on a license fee, and provides economical scalability options. Partnering with online video platform providers that support both hosting styles, like Mogi, can facilitate seamless migration between them.
- Effective Monetization Strategy: Successful streaming businesses rely on wise video monetization. Choosing a platform that offers various revenue models is as important as curating great content. Options include Subscription Video on Demand (SVOD), Advertising Video on Demand (AVOD), and Pay-per-View (PPV). Each model has its own advantages and works best depending on the content type and target audience.
- DRM-Backed Video Distribution: Protecting content from piracy and copyright infringement is crucial for the growth of video distribution businesses. Incorporating Digital Rights Management (DRM) into the streaming setup helps impose access control restrictions, secure video streams from unauthorized access, prohibit sharing, and manage digital rights. A DRM-enabled video distribution architecture ensures that content is delivered only to the intended audience, based on region, device usage, subscription plans, and more.
- Expansive Streaming Rights: Streaming services gain popularity by distributing content beyond geographical boundaries. Acquiring streaming rights for popular content across various countries helps build trust and loyalty among viewers. Partnering with a global CDN for low-latency video delivery and efficient network congestion handling is essential for successful international expansion.
- Personalized User Experience: Personalization plays a crucial role in the growth of a streaming service. Tailoring the content, user interface, recommendations, ads, and retention plans to individual preferences increases audience retention and loyalty. Advancements in machine learning and artificial intelligence have made it easier to offer personalized viewer experiences.
In conclusion, growth in the video streaming industry depends on various factors. Depending on the niche and target audience, a successful video streaming service must consider video quality, online video hosting platforms, monetization strategies, security measures, personalization, and scalability. By incorporating these elements effectively, streaming platforms can outperform their competitors and experience significant growth from the outset.