There are a number of factors that have created a favourable ecosystem for OTT services to flourish. On one hand, of course, there is the technology – without broadband, there would be no streaming video services. The habits of younger generations of consumers who do not want to follow the linear television program but want to choose what and when to watch also helped. You might say that Video on Demand (VOD) has been present for a long time now. True, but OTT goes far beyond VOD as it builds an ecosystem in which all parties (content providers, advertisers and, of course, users) win. Each side has its own goals, plans, and desires that overlap in several points, so the ecosystem also works great in practice. It comes as no surprise that several technologies and web giants such as Google (Alphabet), Amazon, Apple, Facebook, Netflix and others are getting on board with OTT.
OTT is currently at the point where online shops were a decade ago. The recipe for success is obvious. As soon as advertisers find out how good a medium OTT actually is, a new wave will be triggered. “New platforms will prevail in the mobile and virtual (VR) worlds and will allow advertisers to easily and efficiently target well-defined groups or even individual consumers across various channels“, stated Mr. Igor Mali, COO at iPROM.
Today operators should recognize that OTT solutions are here to complement their Pay-TV services and are not their substitute. The benefits that OTT brings to customers is in form of N-Screen solution, multiple SVOD, while at the same time OTT enables the operators to offer more personalized content and enables them to profit from targeted recommendations, advertising, and T-Commerce support.
In a survey conducted last year by iPROM and Valicon we learned that television actively promotes the use of the internet; especially among youngsters. While watching television, 71 percent of all users use the internet too: 36 percent use social networks, a quarter of them surf the web and do their email correspondence. The power of the OTT is the ability to watch favourite TV show wherever and whenever. OTT is slowly starting to take over the role of linear television and not just with streaming video services. Some OTT service providers are serious about competing with live events, which until recently were the domain of traditional television stations.
The evolution of OTT will deliver exactly what users want – ease of use and choice combined with a large amount of smart user data that is needed by service providers and content creators for advanced monetization.
To learn more about OTT evolution and why it will succeed in the future read the entire post by Mr. Igor Mail, COO at iPROM, or contact Beenius representative for a demo presentation on how Beenius Interactive TV Platform connects OTT, hybrid or multicast IPTV setups together into a complete, end-to-end solution.