Traditional television still has multiple consumers, but it is hard to deny that many viewers cut the cord to use online video streaming services. The number of users is decreasing. One of the ideas to stay in demand in the market is to adopt new technologies and delivery methods. For example, an OTT streaming service can be an effective update to your business.
OTT broadcasting solution allows you to deliver video content via the Internet to end devices directly. The difference between these two is that OTT delivers content via an open network, while IPTV requires a closed network ecosystem like WAN and LAN.
Let’s observe all the benefits of television providers launching an internet-based video streaming service.
3 Key Benefits of Launching an OTT Video Streaming Service for Broadcasters
#1 Reaching a wider audience
Firstly, only 56% of Americans say that they watch cable or satellite television, while 85% of American households have at least one subscription to a video streaming service. More people are watching online video streaming services than traditional television.
Secondly, broadcasters usually cover a limited area, while video streaming services can go global.
Potentially, video streaming services have a wider audience reach than TV content providers. Adding such a service to your broadcasting business allows you to reach people beyond cable or satellite coverage. You can increase the number of viewers delivering content via the Internet and traditional delivery methods. As a result, viewers can choose what suits them more, and you generate revenue by providing both services.
#2 Offering interactive features
OTT solutions for video streaming developed by professional companies like Setplex usually have various features for user engagement. They impact user experience often in a good way. For example, one of the features appealing to viewers is video-on-demand (VOD) content.
VOD streaming content is available at any time. People don’t need to wait until a video airs. Instead, they enter a streaming service whenever they are in the mood for content consumption. Users click on a video they currently want to watch and enjoy.
The availability of VOD content also allows customers to binge-watch as many videos as they want. As a result, a user is in charge of what, when, and how many they view. They have complete control over consuming videos.
Along with VOD content, OTT video streaming services can provide the catch-up feature. If a video airs at a fixed time and a viewer misses it, the catch-up features can allow them to watch it later.
Online video streaming services can have a recommendation engine that analyzes a user’s viewing history. After that, it offers similar videos based on interests and patterns. The user can save time usually spent searching for new programs to watch.
#3 Multi-platform capabilities
While traditional television operates mostly on TV, video streaming services have applications available on multiple devices and platforms, including smartphones, iPhones, tablets, Smart TVs, Android TV, Apple TVs, and computers.
Applications for different devices offer more convenience and control to viewers, which means more satisfaction. When users are more satisfied with the experience, they tend to return for more. It means that the customer retention rate on your new service is likely to be high. As a result, you generate revenue steadily.
Final Thoughts
Traditional television is still in demand among viewers. However, many people also cut the cord and switch to internet-based video streaming services. They offer more convenience and flexibility to viewers, providing more control over content consumption. Adopting OTT technologies might help broadcasters reach more people and generate more revenue.
