The demand for video streaming services among viewers makes them a gold mine for companies and organizations. Viewers constantly search for new videos to watch. For this reason, businesses can take advantage of that, creating original content and publishing it on video streaming services. As a benefit, they will generate revenue and have regular viewers.
Any business can start streaming videos and delivering any content they like. Providers create educational content, entertainment videos, or breaking news. However, they need to take particular steps when launching such a service, as content is not enough. It is better to consider other things too. Let’s observe what else is essential.
How to Start a Video Streaming Service?
Companies and organizations are inspired by the success of various streaming platforms and want to launch their own ones. It makes sense as experts and researchers express encouraging predictions about the development of the industry.
Creating your own video streaming service requires the following steps:
#1 Create a business plan
You should elaborate on a business plan where you describe all essential aspects related to your video streaming service. Define your monetization model, content niche, audience, content delivery process, and other things. It is better to specify everything as such a document will help you see a clear picture of your future business strategy OTT.
Here’s a list of things to think about:
- Niche. What kind of content do you want to stream? Will it be educational videos, news of your field, or movies and shows? What type will you use: live streams, VOD (video-on-demand), or TV programs? You can deliver all kinds of videos or become a niche content creator, streaming videos of one genre, like horror movies or cartoons for children.
- Audience. What people do you want to attract to watch your videos? What are their interests and preferences? How old are they? The more you know about your viewers, the better content you can produce.
- Production. Who will create the content? Will you partner with third parties to obtain ready-made content or produce it from scratch?
- Delivery. Where can people access your content? Is it going to be a local or global streaming service? You can set limitations or allow everyone to watch your videos.
#2 Choose the right solution for video streaming
The OTT solution for video streaming will help you run your service. You can develop it on your own or obtain a ready-made solution.
Developing your own software can be time- and money-consuming as you will need to hire a team of programmers, designers, marketers, QA engineers, and other people. A ready-made solution already has everything essential for video streaming.
The right solution should include an encoder, a transcoder, middleware, applications, and CDN. Check if it has such features as real-time analytics, monetization approaches, customization, and probably a recommendation engine.
#3 Choose the pricing model
There are multiple ways you can generate revenue when running a video streaming service. You can utilize the following monetization models:
- Subscriptions are a recurring revenue stream. When you opt for a subscription approach, you allow your viewers to purchase access to your service once in a limited period of time (a month or a year). After the period ends, the subscription can be canceled or renewed.
- Advertising-based monetization model is about making your content free for viewers. When using this approach, you generate revenue by running commercials on your videos. It means that viewers watch ads during the video playback in exchange for free content.
- The pay-per-view monetization mode allows you to sell access to each piece of content separately, unlike subscriptions that provide all videos at one purchase.
- The hybrid monetization model is a combination of several approaches described above. You can create your own combination or use those that already exist in the market. For example, Netflix now has two plans: one includes ads to a subscription but offers a lower price, while the other is an ad-free subscription at a higher price rate.
#4 Make your business legal
Making your video streaming legal is vital so that you don’t have problems. Think about content licensing too.
#5 Invest in marketing
Creating a video streaming service is half the battle. Another essential thing to do is to inform people about it to attract them to watch your content. Define marketing channels that your viewers potentially use and invest in them. There are options you can consider:
- Search engine optimization (SEO). People make trillions of search requests every year. For this reason, SEO marketing can be a profitable channel to invest in. SEO is about making your website rank high in SERPs (search engine result pages) for a particular keyword.
- Social media marketing. Here, you should utilize social media networks to build your brand, create a community, establish relationships, and generate sales.
- Influencer marketing. Contact influencers with a dedicated social following to mention your streaming services.
- Online advertising. Paid online ads help you promote your streaming service in the Internet landscape. Launch such campaigns on the platforms like Google, Facebook, Twitter, Instagram, and other websites.
#6 Launch, analyze, and improve your streaming service
After having done the groundwork, you can launch your streaming service and receive the first data on its performance. Use this information to enhance your business and make it better for viewers.
Utilize analytics widely since it is a powerful tool for drawing a clear picture of what is happening to your service. You understand how people watch your videos: whether they like them or not, and what videos they watch the most and the least. As a result, you understand what content you should create and what content needs improvements or removal.
Step-by-step, you establish strong relationships with customers by ensuring a smooth viewing experience.
Drawing the Line
Think through everything thoroughly to operate smoothly. Each step is essential for the success of your video streaming business.
Remember to learn more about your viewers, their preferences, and their behavior. This information will help you create content suitable for the interests of your audience.