The demand for video content is growing as viewers globally are switching to online streaming platforms. This is happening because online video consumption provides more freedom and convenience to people.
Businesses, in turn, take advantage of such a demand, monetizing video content with various pricing models. They generate revenue by delivering videos of various formats like live streams, VOD content, and TV programming.
Content delivery is possible thanks to the IPTV technology that transfers videos via the Internet. This brings a plethora of opportunities to companies and organizations. Let’s focus on reasons why it is worth launching an IPTV service.
Why a Video Streaming Service is Profitable
#1 IPTV solutions will help you generate revenue
Companies that specialize in developing IPTV solutions for video streaming embed multiple features so that companies and organizations can generate as much revenue as possible. The following monetization models are widely spread in the video streaming industry:
- Advertisements – viewers don’t pay for access to video content, nor do they leave any credentials on the platform. They watch as many videos as they want for free. But the playback can be interrupted by ad commercials. Advertisers reach their audience via streaming platforms, and providers generate revenue by running ads on videos.
- Subscriptions – viewers purchase a recurring monthly or yearly fee. After payment, they get unlimited access to videos and can watch as much content as they want.
- Rentals – unlike subscriptions that provide access to all videos at once, pay-per-view requires purchase for every video on the platform.
- Hybrid – it is a combination of several monetization models described above. In this case, viewers can choose the pricing option more suitable for them, and content providers can multiply their revenue streams.
However, the monetization model isn’t the only thing that influences your success and revenue.
CDN solutions and applications can also be tools for growing your streaming business. CDN (content delivery network) is a network of servers distributed across the world. Typically, CDN speeds up the content delivery process by cashing videos on edge servers that are located closer to viewers. As a result, people receive an uninterrupted viewing experience.
Applications for different devices bring more convenience to users, allowing them to select the device for watching video. By providing multi-screen apps, you reach people with various preferences and opportunities. Some viewers will prefer mobile phones, while others want to watch a high-quality video on a large TV screen with immersive sound. An illustration is TVALB streaming Albanian TV that provides customers with a choice: to watch videos on three devices or only on one platform.
#2 Viewers choose online streaming services instead of traditional television
People are cutting the cable cord globally to stop spending money on inflexible traditional television, with a fixed schedule and the ability to air only on a TV set. Instead, they turn to online streaming platforms that offer more convenience and freedom.
Video transmission through the Internet brings a lot of amazing opportunities. Firstly, IPTV services deliver various content formats: VOD (video-on-demand), live streams, and TV programs. This allows people to find the most suitable format for them.
Secondly, viewers have the freedom to choose on which device to watch videos, whether it’s a mobile phone, tablet, Smart TV, or computer. Mobile devices allow people to enjoy videos wherever they want: on the go, in a cafe, or on a bus.
Thirdly, IPTV platforms provide catch-up and time-shift functionality, allowing viewers to rewind or fast-forward a video. They can catch up with the program in case they miss it or are late for it.
Since viewers are choosing online streaming for convenience and varied content, launching an IPTV streaming service can turn out to be profitable. A content provider will have many features for generating revenue with the right IPTV solution that will simplify the process.