What are the Key Benefits of Video Streaming Platforms?

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Suppose you are thinking about creating your video streaming services like Netflix or Hulu. You are fascinated by their success but not sure that your service will also skyrocket. You are hesitant about launching a service and want to learn more about the benefits of streaming platforms.

In this article, we are going to explore them.

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So, what are the key benefits of video streaming platforms?

#1. Monetization

Revenue-generating is what businesses think about when considering a new service or product launch. Luckily, video streaming platforms offer multiple ways to monetize content and earn money. There are three common models:

AVOD  – Advertising-based Video-On-Demand. AVOD allows a video streaming provider to earn money on OTT advertising. Third-party companies pay a provider for running their ads on a platform, while viewers can access content for free. However, some AVOD providers offer two packages: a package without ads can have a higher price than a package with ads.

SVOD  – Subscription-based Video-On-Demand. It is a model that Netflix uses. Viewers purchase a monthly or yearly fee and obtain unlimited access to video content. It is the most popular monetization model as a subscription is convenient to users. They pay once and use the service for a long period.

TVOD  – Transactional-based Video-On-Demand. Unlike SVOD, TVOD allows viewers to purchase a single piece of content. People choose what they want to watch right now and pay for that video. Then, they can leave and never turn back or continue using the service. Some TVOD services allow viewers to download videos, and some offer to rent.

These are the three main monetization models. But there is another one – it is called hybrid. The hybrid monetization model allows you to combine several revenue-generating methods. For example, you can offer people to either purchase a subscription or pay for each singular video.

Choose the model that suits your business goals the most or obtain a video streaming solution that offers all three and test each one.

#2. Flexibility

Flexibility is the reason why people will use your video streaming service. Flexibility is provided by multi-platform capabilities and video-on-demand functionality.

VOD  – Video-On-Demand. VOD is the format of a video streaming service when videos are pre-recorded and stored on servers. People need to play videos on a platform. After it is transmitted from the server, a person will be able to enjoy it. They don’t need to wait for a video to air – there is no common schedule. Viewers can watch videos whenever they want.

Multi-platform capabilities. Video streaming platforms are available on many devices: smartphones, tablets, laptops, Smart TVs, and gaming consoles. It means that people can use any device they want to enjoy videos. They don’t need to invest in new ones, which helps them save money. Portable devices allow videos to be wherever they are and access content. They can be at home or in the park and still enjoy videos. An internet connection is required.

Moreover, if a provider obtains a CDN for that, viewers will be able to access videos in any part of the world.

Final Thoughts

Video streaming platforms completely change the media industry making it more convenient and flexible. Consequently, users receive a more personalized experience and are more satisfied with it.

These services are on the rise. It is the time to jump into the competition and create your video streaming service.