On Demand video streaming apps (or OTT) and services are quickly becoming the favorite option for television consumers around the world. And while many people still choose to purchase cable packages, the days of cable-only homes are numbered.
Even people with cable services are connected to over-the-top (OTT) video streaming platforms. For example, you might have cable, but odds are you also have a Roku, Chromestick, gaming platform, or other device that’s capable of accessing hundreds and thousands of on demand features through a simple Wi-Fi connection.
Whether it’s Netflix, Amazon Video or Hulu, millions of viewers are streaming internet-based media, on demand. See a trend here? Over time, people are beginning to go straight to their on demand apps for their binge-watching needs in favor of cable — making flipping through cable channels somewhat of a distant memory. The future of television is here, and it’s in the form of on demand video streaming.
To help you gain a better understanding of OTT platforms, let’s take a closer look.
What is OTT Media?
In today’s digital world, many of us are streaming OTT media on an OTT device – every single day. But what exactly is OTT? While you may have not heard the term, you probably deal with these devices more than you know. OTT, or Over-The-Top, is delivering media on demand via the internet and bypassing traditional cable or satellite delivery.
You may have heard of other acronyms that go alongside OTT, like subscription video on demand (SVOD), advertising video on demand (AVOD) and transactional video on demand (TVOD). Keep these terms in mind as we begin our journey through the growth of OTT media. First, we’ll check out some of the most popular OTT devices and SVOD platforms.
SVOD Platforms & OTT Devices
Today, there’s a wide variety of SVOD platforms – with more and more popping up each day. Each one of these platforms is providing consumers with an ever-growing library of Internet-based content. Take a look at some of SVOD platforms currently operating today:
According to a report from the Video Advertising Bureau, there are about 820 million connected video devices in the U.S. Similar to SVOD platforms, OTT devices make it easy for viewers to collectively access streaming content with an Internet connection. OTT devices differ from SVOD platforms because they are the actual hardware needed to access SVOD platforms. Simply put, without an OTT device, you have no way of accessing streaming content on an SVOD platform. Some of the top OTT devices include:
- Apple TV
- Google Chomecast
- Gaming Consoles (Playstation 4 or Xbox One)
- Mobile Devices & Computers
- Smart TVs
Ultimately, OTT subscribers are growing in numbers. People are choosing to cut the cord to their traditional TV service and opt-in for an internet-only package with access to SVOD platforms through their OTT devices.
Why SVOD and OTT are Taking Over Cable Providers
As stated above, OTT services are available through a wide collection of devices, making it easier than ever for consumers to view what they want, when they want and where they want. These Internet-based platforms use data-focused marketing tools to keep their viewers engaged and up-to-date with their favorites by sending email communications and strategically placing calls-to-action within their platforms.
These OTT services are also growing their original content libraries to help keep their platforms trendy and fresh. In an exclusive interview between MediaVillage and Nielsen, Nielsen COO Steve Hasker said that hit originals on SVOD streaming services, such as “Orange is the New Black” achieve similar ratings to one of the most popular series on HBO, such as “Game of Thrones”. And most importantly, SVOD platforms provide easy viewer access to an organized library with relevant categories to help them find the perfect on-demand video content — something that cable cannot provide.
On top of that, most SVOD platforms are relatively cheaper than cable subscriptions which is a mass appeal to the average viewer. Couple that with the one time price of an OTT device and you have access to thousands of hours of content for less than $50 per month.
It’s clear that viewers around the world are catching on to the growing trend of on demand video streaming. These video platforms cater to what consumers want to see and offer easy access for them to browse content on their own time. Through OTT devices and SVOD platforms, content is just a click away, resulting in more and more people cutting the cable cord and becoming exclusively on demand users.