The popularity of OTT (Over-the-Top) platforms has skyrocketed in recent years and is only continuing to grow. According to a report by Statista, the total OTT services audience was forecast to increase between 2023 and 2027 by 709 million individuals globally, reaching a total of 4.2 billion individuals by the end of that period. This growth can be attributed to various factors, including the increasing availability of high-speed internet and the growing number of affordable smart devices.
The popularity of OTT platforms extends worldwide and is no longer the preserve of highly developed Western countries like the USA, where revenue generated by OTT services is projected to reach US$137.83bn this year. In India for example, a major emerging market for streaming content given the country’s large number of young people (the mean age being 20 years old), the total number of OTT consumers is expected to rise from 350 million to 500 million this year alone. Similar trends exist in other regions like South-East Asia and Latin America.
The time to enter the OTT streaming service market is now – there’s so much opportunity and potential. Building your own app allows you to deliver your content to the huge audience for OTT services outlined above. This article will cover all the essential features required to do this successfully, but first, let’s go back to the basics of OTT.
What Goes Into Original OTT Streaming Services
The popularity of OTT (over-the-top) services is easily understandable due to their ability to provide content directly to the user’s device. This makes it more convenient than ever to access a wide range of on-demand video streaming, social video platforms, livestreaming broadcasts, and online chat applications. Some of the most commonly used OTT services include Netflix, ESPN+, Amazon Prime Vide. YouTube.
OTT content is accessible without the need for a cable connection, which makes it more flexible and convenient for viewers. Viewers only require a suitable device and a stable internet connection to access OTT content. The proliferation of high-speed internet and the increasing availability of affordable smart devices have made it even easier for viewers to access OTT content, regardless of their location or the time of day. As a result, the convenience and flexibility of OTT services have made them a preferred choice among viewers, who are increasingly turning to OTT as their primary source of entertainment.
Moreover, the exponential growth in the popularity of OTT is a reflection of the wider trend towards on-demand and personalized content consumption. The COVID-19 pandemic further accelerated this trend, as people were confined indoors and had more time to explore new forms of media. With OTT services, viewers can watch what they want, when they want, and where they want, without being tied to a fixed broadcast schedule. This flexibility and control over their entertainment choices have further contributed to the popularity of OTT services.
As more viewers continue to shift towards OTT services, the numbers clearly indicate that the popularity of these services will continue to grow. This growth is driven by the increasing demand for personalized, on-demand content that viewers can access on their own terms. With the constant evolution of technology and the development of new features and services, the future of OTT looks bright, and viewers can expect even more exciting and innovative content in the years to come.
The Benefits and Success of Presumption of OTT Services
One of the primary advantages of OTT (over-the-top) services is their flexibility and convenience of watching video content at any time & anywhere. OTT services allow viewers to access content from anywhere and at any time, using a wide variety of devices such as smartphones, tablets, laptops, and smart TVs. This enables viewers to enjoy their favorite programs, movies, and series, no matter where they are or what they’re doing, making OTT the ultimate entertainment solution for today’s on-the-go lifestyle.
In addition to its flexibility, OTT services also offer a highly personalized experience. They are designed to recommend content based on viewers’ past viewing habits and preferences, thereby ensuring that the content recommended to them is always relevant and tailored to their interests. This level of personalization is made possible by advanced algorithms that analyze the viewers’ preferences, viewing history, and other data points, to provide them with a curated selection of content that they are more likely to enjoy.
OTT services are also a more cost-effective alternative to traditional cable or satellite TV services. Viewers have the options to choose between paid subscription services and free ones, also they can also choose the hybrid formats or to pay only for the certain piece of the content.
Another key advantage of OTT services is the sheer volume of content available. Unlike traditional TV services that are limited by the number of channels they can offer, OTT services have a virtually unlimited supply of content. This means that viewers can always find something new and exciting to watch, whether it’s the latest blockbuster movie, a new series, or a hidden gem from the archives.
OTT services provide viewers with the ultimate entertainment experience, offering unparalleled flexibility, convenience, personalization, affordability, and a vast selection of content. With the continued growth and development of this industry, it is clear that OTT is the future of entertainment, and viewers can expect to enjoy even more innovative features and exciting content in the years to come.
The Five Factors the Best OTT Platform ProvidersHave
There’s never been a better time to enter the OTT market – it’s well-established with a large pool of potential consumers that’s only continuing to grow. The key to making a successful entry into this field is to ensure that your platform provider includes the following factors in its creation. These points are absolutely crucial, and in order to become one of the best OTT streaming services, you need to take all of them into account.
- Multiple Monetization Options
There are four frequently used monetization formats used by OTT platform providers – SVOD, TVOD, AVOD, and Hybrid OTT monetization along with a fourth approach that we believe provides the maximum potential for content creators.
Subscription video-on-demand scheme (SVOD) has become one of the most popular options for OTT streaming services as it allows members to access a library of videos for a regular subscription fee, charged on a monthly or annual basis. Some services also offer daily and weekly subscription options. Leading OTT apps like Netflix and Hulu are two examples of popular SVOD services, which have generally generated high levels of revenue.
In contrast, transactional video on demand (TVOD) allows users to purchase content on a pay-per-view basis. While this option may seem more flexible, charges for individual videos can add up to a higher cost over time. Examples of TVOD services include iTunes and Google Play.
Ad-based video on demand (AVOD) is where users can access content for free, with the revenue generated through advertising. Advertisers pay to display their content to the users, and while the platform owner earns lower revenue than with SVOD or TVOD options, AVOD is proving to be highly popular with consumers. This, in turn, will increase the amount of ads placed, and thus boost revenue.
When creating your OTT app, you should consider using a hybrid scheme with two or three of the formats outlined above included. This will provide stability via diversified revenue, and will meet the growing demand for increased consumer choice.
- Dedicated Personal Manager
When embarking on the development of an OTT (Over-the-Top) app, having a personal manager on board can be a game-changer. Not only can they provide you with invaluable guidance and support throughout the entire development process, but they can also help to ensure that the project stays on track and ultimately meets its goals.
One of the biggest advantages of having a personal manager is the guidance they can offer to those who are new to the industry or who lack experience in managing complex technology projects. With the ever-evolving landscape of technology, it can be overwhelming to navigate the many challenges that arise during app development. A personal manager can serve as a mentor and help you navigate through these challenges.
Furthermore, a personal manager can play a vital role in coordinating the efforts of the various teams involved in the project. This includes developers, designers, marketers, and others who are involved in bringing the app to fruition. By serving as a central point of contact, the manager can ensure that everyone is working together effectively and that the project is progressing smoothly. They can also facilitate communication between teams and ensure that the project timeline is being adhered to.
In addition to the coordination role, a personal manager can provide valuable insights and expertise regarding industry trends and best practices. They are often well-versed in the latest technology trends and can help ensure that the OTT app is designed and implemented in a way that is consistent with current best practices. This can be especially important in a rapidly evolving industry where staying up-to-date can mean the difference between success and failure.
Working with a personal manager when creating an OTT app can be a key factor in achieving success. Their expertise, guidance, and support can help to ensure that your app is not only launched on time but also meets your desired objectives. By leveraging their experience, you can navigate through the complexities of app development and ultimately achieve a successful product launch.
- Provide Analytical Insights On eCPM
The use of eCPM as a metric in online advertising has become increasingly important in recent years due to the rise of digital advertising and the increasing demand for advertising transparency. The effective cost per mille is a useful tool for publishers and advertisers alike, as it enables them to measure the value of their advertising inventory and ensure that they are maximizing their revenue potential.
In addition to measuring the overall revenue generated from advertising campaigns, eCPM can also provide valuable insights into the performance of individual ads or groups of ads. By analyzing the eCPM of specific ads or ad campaigns, OTT platform providers can identify which ads are most effective and which ones are underperforming, and adjust their advertising strategy accordingly.
Another benefit of using eCPM is that it allows OTT platform providers to compare the performance of different types of ads or ad campaigns. For example, they can compare the revenue generated from video ads versus display ads, or compare the performance of different ad networks. This can help them to make more informed decisions about their advertising strategy and optimize their revenue potential.
Overall, eCPM is a crucial metric for OTT platform providers as it enables them to measure the effectiveness of their advertising campaigns, identify areas for improvement, and optimize their revenue potential. As the online advertising industry continues to grow and evolve, the use of eCPM is likely to become even more important in the years ahead.
- Access to Demand Partners and eCPM Pricing
The concept of demand partners is essential in the OTT industry as they are the entities that work with OTT platform providers to deliver advertising. In essence, they act as intermediaries between advertisers and publishers, providing access to a range of advertising inventory across different OTT services. Examples of demand partners include supply-side platforms (SSPs), demand-side platforms (DSPs), ad exchanges, and ad networks.
Demand partners play a critical role in determining the eCPM (effective cost per mille) by optimizing ad targeting, placement, and pricing. They use data and analytics to identify the most effective ad formats, channels, and audiences. Furthermore, they adjust bids in real-time to ensure that advertisers are paying the right price for each impression. Working closely with OTT platform providers, demand partners ensure that ads are delivered to the right audience at the right time.
It’s important to provide simplified access to demand partners as it directly impacts the ability to generate revenue and remain profitable. When you have ready access to demand partners, you can ensure the profitability of your OTT app by capturing a good eCPM price. This, in turn, helps you attract more advertisers to your app and increase your revenue streams.
Furthermore, by partnering with demand partners, you can stay up-to-date on the latest advertising trends and practices. Demand partners are well-versed in the latest technology and can provide you with insights and advice on how to optimize your advertising strategy. This can include everything from ad format and placement to audience targeting and pricing.
Remember, demand partners are a crucial component of the OTT industry. They help to optimize ad targeting and pricing, ensuring that advertisers are paying the right price for each impression. By providing simplified access to demand partners, you can ensure the profitability of your OTT app and stay up-to-date on the latest advertising trends and practices.
- Robust Analytics
Robust analytics are an essential aspect of any OTT platform, providing valuable insights into performance metrics such as user engagement, ad viewability, and revenue generation. With the increasing competition in the OTT industry, it is more important than ever for providers to leverage data-driven insights to gain a competitive edge.
Analytics play a critical role in the success of an OTT platform. By tracking key metrics such as watch time, churn rate, and eCPM, providers can gain a better understanding of user behavior and identify areas for improvement. They can also analyze the effectiveness of their content offerings and adjust their strategy to optimize revenue potential.
One of the most significant benefits of robust analytics is the ability to target ads more effectively. By identifying user demographics, viewing habits, and interests, OTT providers can tailor advertising campaigns to deliver highly relevant content to their audience. This not only improves the user experience but also helps to increase revenue by improving ad viewability and click-through rates.
In addition to driving revenue, analytics can also help providers to improve the overall user experience. By analyzing user behavior, providers can identify pain points in their platform and make necessary improvements to reduce churn rates and increase engagement. This can include everything from adjusting content offerings to improving navigation and user interface design.
Moreover, analytics can provide valuable insights into the performance of advertising campaigns, including impressions, click-through rates, and conversion rates. By using these insights, providers can optimize their campaigns to improve overall performance and maximize revenue potential.
Robust analytics are crucial to the success of any OTT platform provider. By leveraging data-driven insights, providers can optimize their strategy, target ads more effectively, and improve the overall user experience. As the OTT industry continues to grow, providers that prioritize analytics will be best positioned to succeed in a highly competitive marketplace.
- Easy Integration and Cross-Device Marketing
The importance of easy integration and cross-device marketing cannot be overstated, as these factors have numerous benefits for OTT platform providers. One of the key advantages is the ability to reach a wider audience by providing a consistent user experience across multiple devices. This convenience factor can significantly increase user engagement, resulting in higher retention rates for the OTT provider. By allowing users to seamlessly switch between devices and continue their viewing experience, OTT providers can ensure that their audience remains engaged and satisfied.
In addition to boosting user engagement, easy integration and cross-device marketing can also attract a wider range of advertisers to the OTT platform. By making it easy for advertisers to execute cross-device campaigns, OTT providers can generate more revenue and increase their profitability. This is because advertisers are more likely to invest in a platform that allows them to reach their target audience across different devices, thereby increasing their chances of achieving their marketing goals.
Another important benefit of easy integration and cross-device marketing is the valuable data and insights that can be obtained into viewer behavior across different devices. By tracking viewer behavior and preferences, OTT providers can gain a better understanding of their audience and optimize their content and advertising strategies accordingly. This can lead to increased engagement and revenue potential, as the OTT provider is able to deliver more relevant and personalized content to their audience.
Finally, in a crowded market, easy integration and cross-device marketing can provide a competitive advantage for OTT providers. By delivering a seamless and convenient user experience, these providers can differentiate themselves from their competitors and stand out in the marketplace. This can be particularly important for attracting and retaining users in a highly competitive industry, where user experience and convenience are key factors in consumer decision-making.
Easy integration and cross-device marketing are crucial for OTT platform providers, as they can increase user engagement and retention, attract a wider range of advertisers, provide valuable data and insights, and deliver a competitive advantage in a crowded market. By prioritizing these factors, OTT providers can position themselves for long-term success in the ever-evolving media landscape.
The Takeaway
If you’re considering creating an OTT app, then it’s important to choose the right platform provider to ensure that your app is successful. VlogBox is a great choice for anyone looking to enter the OTT market. We specialize in providing all the necessary features and factors that we described earlier, along with excellent customer support throughout the entire process, from start to finish.
With years of experience in the OTT industry, we’ve worked with numerous clients to create unique and profitable OTT offerings. Our expertise in the industry and our commitment to providing top-quality service make us the perfect partner for anyone looking to create an OTT app that stands out from the competition.
At VlogBox, we understand the importance of a personalized viewing experience, which is why we offer advanced analytics tools to help you collect and analyze user data. By doing so, you’ll be able to better understand your users’ preferences and interests, and deliver content that’s tailored to their needs. This, in turn, will help increase user engagement and reduce churn rates, leading to more revenue for your business.
Additionally, we provide a wide range of customization options to help you create a unique and memorable OTT app. From custom branding to tailored content curation, we work closely with our clients to ensure that their app reflects their vision and meets their specific needs.
We pride ourselves on providing outstanding customer support to our clients.
From the initial consultation to the launch of your app and beyond, we’re here to answer any questions and address any concerns you may have. We understand that creating an OTT app can be a complex process, which is why we’re committed to providing a hassle-free experience for our clients.
So, if you’re ready to start your OTT adventure, then contact us today to learn more about how we can help you create a successful OTT app that stands out in the market. Our team of experts is ready to assist you every step of the way, from ideation to launch and beyond.