OTT (over-the-top) services stream media via an Internet connection. It includes any type of media: from text to videos. Here, we are talking about OTT platforms for video streaming. A simple example of an OTT video content provider is Netflix.
OTT providers usually have their own websites and over-the-top applications where users access the content. These services have many appealing traits that any business should know to understand the benefits of an OTT service.
If you want to create your own OTT business, we recommend you contact Setplex. They have an end-to-end solution for video streaming that can help you achieve your business goals.
Four Things You Should Know About OTT Streaming Services
#1 OTT services are in demand among viewers
Online video streaming services are hugely popular among viewers as a viable alternative to traditional television. They changed the way we consume media.
As viewers find OTT services more flexible and convenient, companies and organizations launch their video streaming services to find customers and generate revenue. People have more videos of various types to enjoy anywhere they go.
For example, in 2022, Netflix had 220.6 million subscribers worldwide, with a 16% share of a given market. According to Statista, the number of users in the OTT video segment is expected to amount to more than 4,216 million people by 2027.
#2 OTT delivers media via an Internet connection
OTT streaming services deliver videos directly to users via the Internet, which provides multiple benefits. As a provider, you can transmit various formats of content: live streams, VOD content, catch-ups, and others.
Viewers can attend special events remotely or enjoy videos available at any time. Streaming via the Internet allows viewers to control their content consumption however they want. They can watch videos at any time, anywhere, and as many as they want.
It is nothing like traditional television, which has a fixed schedule and usually broadcasts one program at a time. With it, no binge-watching, viewing shows on any device, or VOD content.
#3 Viewers don’t need to choose
Different video streaming platforms offer different amazing shows to viewers. People turn to Netflix for Wednesday and Stranger Things, choose Amazon Prime for The Boys and Invincible and add TVALB subscription for Big Brother Show.
People cannot buy one subscription for all video streaming services. If they are interested in shows streamed on different platforms, they need to purchase each one. They don’t need to choose between the two because the price is quite affordable in comparison with traditional television. While cable can cost around $50, the video streaming service requires $10-$20, depending on the package plan.
As a result, a viewer can enjoy both services without the need to choose.
#4 There are multiple ways to access an OTT video streaming service
As a video streaming service provider, you can decide on what platforms and devices viewers can access videos. Generally, they can watch content on Smart TVs, smartphones, tablets, and laptops.
Given that, viewers are to decide how they want to consume videos — on a big Smart TV screen or smartphone is enough. Allowing people to watch content on any device gives them an opportunity to be anywhere they want and still have access to videos.
All these things combined show that OTT video streaming services are going to be here for a long time. They changed the way we consume media providing convenience and flexibility to viewers. Companies and organizations, in turn, can reach people easier and faster with their content. OTT services are another revenue stream for them, offering multiple monetization models.