The OTT consumption during the COVID-19 crisis shows astonishing numbers

The rise of the niche OTT video platforms

Mass market OTT continues to thrive as OTT video plans surpass two billion by 2025. It's a tough battlefield, since Disney +, Amazon Prime Video, Netflix and Hulu are all expanding internationally by offering a mix of TV and movie content across a wide variety of genres.

However, the struggle between the deep pockets of this market giants only tell half the story.

There has also been tremendous growth in specialized and thematic OTT services, fueled by a passionate audience, declining costs of technology and infrastructure, and consumer demand.



According to Parc Associates report about 2021 Consumer Tech Trends to Watch, consumers are looking for new content, and they are increasingly trying new service types. Roughly 40% of US broadband households have trialed at least one OTT video service during the COVID-19 crisis.



Recent research from Ampere Analysis shows that the average online video subscriber in the US is signed up to 3.4 services, with plenty of headroom for additional SVOD growth. US households are predicted to go as high as eight separate subscriptions as cord-cutting families increase their SVOD spends.



Meanwhile Statista calculated the US TVOD market was worth $1.9 billion in 2020, a 23.5% increase year-on-year.



If we look at the success of our customers, the market numbers underline both the growth in the use of OTT streaming services and the need for niche platforms among consumers.



In recent weeks we have received many requests about starting an OTT video business. I noticed during the conversations that many companies are concerned about the platform costs. However, after I went through the numbers with them, it turned out that the AudiencePlayer platform costs are on average only 10% of the turnover.



To clarify this, I have made a Google Sheet so that you can easily calculate the costs of AudiencePlayer.



Are you also curious about our costs or do you want access to this sheet, feel free to schedule an appointment with me in my calendar: https://calendly.com/d-nethe



Looking forward to hearing from you.



Warm regards,

Doron