Things you need to know while OTT App Launch

OTT Development Jan 10, 2024

In recent years, OTT has become the most common method of providing content to your audience, and it is here to stay. OTT apps are a consumer favorite because of their ease, variety, and cost. As the popularity of OTT services continues to rise, launching an OTT streaming app requires careful consideration of various factors to ensure success in a competitive market.

Major brands such as Netflix, Disney, and Hulu have established a substantial global user base. More than 68% of homes in the United States alone have daily access to OTT services, with the average user spending at least 100 minutes per day engaged with content.

So, why are you lagging when other companies are taking advantage of this robust trend of OTT app development? In this blog, we will discuss everything about OTT app launch.

Complex OTT Technology

OTT technology is multifaceted, involving intricate systems to deliver seamless streaming experiences to users. From content delivery networks (CDNs) to adaptive streaming protocols, the technical infrastructure behind OTT is sophisticated. Implementing a robust OTT video platform requires expertise in video encoding, transcoding, and secure content delivery.

Additionally, integrating features like personalized recommendations, user authentication, and payment gateways add layers of complexity. Understanding the intricacies of this technology is crucial for a successful OTT development.

OTT Growth

The growth of OTT platforms has been exponential, driven by factors such as increased internet penetration, the proliferation of smartphones, and changing consumer preferences. The OTT Market is predicted to be worth USD 0.58 trillion in 2024 and USD 1.99 trillion by 2029, increasing at a CAGR of 28.19% during the forecast period (2024-2029). We may anticipate that as technology develops further, OTT platforms will provide consumers with tailored experiences and cutting-edge content, revolutionizing the way we consume entertainment.

Content Metrics Dependency

Content metrics provide deep insights into viewer engagement, helping OTT platforms understand how audiences interact with their content. Metrics such as watch time, session duration, and content completion rates offer a granular view of user behavior. Analyzing these metrics enables platforms to identify popular content, optimize content discovery algorithms, and create targeted marketing campaigns.

OTT’s unique Value Preposition

OTT platforms have emerged as disruptors in the media and entertainment industry, offering a unique value proposition that sets them apart from traditional television and other content distribution channels. The freedom to choose when and where to watch content, coupled with a vast library of on-demand options, distinguishes OTT services from traditional television. The success of OTT is not merely a result of technological advancements but is deeply rooted in the unparalleled benefits and experiences they bring to users.

What is OTT Churn?

OTT Churn refers to the rate at which subscribers discontinue their subscription to an Over-the-Top (OTT) service. It's a crucial measure for video platforms, since it represents the number of users to OTT services who terminate their subscriptions.

The research indicates that the average annualized subscriber churn rate for streaming video services is 47%.

What does the OTT Churn rate actually mean?

The OTT churn rate is the percentage of subscribers who cancel their subscription within a given time frame. High churn rates can indicate issues such as dissatisfaction with content, poor user experience, or intense competition. Monitoring and addressing churn is essential for maintaining a healthy subscriber base.

Types Of OTT Churn

Voluntary churn

Voluntary churn occurs when subscribers actively choose to cancel their subscription. This can be due to factors such as dissatisfaction with content, pricing, or a change in preferences.

Involuntary churn

Involuntary churn occurs when subscribers unintentionally discontinue their subscription, often due to issues like payment failures, expired credit cards, or technical glitches. Addressing involuntary churn requires optimizing payment processes and ensuring seamless user experiences.

How to reduce OTT churn

Price factor

Price sensitivity is a significant driver of churn. Offering flexible pricing plans, discounts, and bundles can help attract and retain subscribers. Implementing a value-based pricing strategy ensures that users perceive the cost as justified by the content and features offered.

Content is the king

The lifeblood of any OTT platform is compelling content. Refreshing the content library on a regular basis, developing unique and exclusive material, and employing data analytics to understand viewer preferences all help to retain members. Offering a varied choice of high-quality material keeps users interested and reduces the likelihood of churn.

User Experience

A seamless and intuitive user experience is crucial for user retention. Optimizing the user interface, ensuring fast load times, and addressing technical glitches promptly contribute to a positive user experience. Investing in a user-friendly design and responsive customer support can significantly reduce churn.

User engagement sticks to added value

Encouraging user engagement via social integrations, personalized recommendations, and interactive functionalities cultivates a feeling of community and allegiance. By providing supplementary benefits beyond mere content consumption, such as exclusive events or interactive features, the platform can fortify the connection with its users, thereby diminishing the probability of user attrition.

Final Words

Launching an OTT app requires a comprehensive understanding of the complex technology, a focus on content metrics, and a commitment to addressing churn. As the OTT market continues to evolve, staying attuned to consumer preferences and industry trends is essential for sustained success.

By emphasizing the unique value proposition of OTT, optimizing user experience, and implementing effective churn management strategies, aspiring OTT platforms can carve a niche in this competitive landscape.

Have you considered expanding your OTT streaming service to a broader range of devices, but aren't sure if you'll be too late?  If you ask us, now is the best time to launch your OTT app!


Q. What are the rules for OTT platforms?
A. OTT platforms are subject to various regulations that vary by region. Common rules include content censorship, age restrictions, and compliance with copyright laws. Platforms must also adhere to data protection and user privacy regulations.

Q. Do OTT platforms make money?
A. Yes, OTT platforms generate revenue through subscription fees, advertising, and partnerships. Some platforms offer a combination of free and premium content, while others rely solely on subscription-based models.

Q. How to launch OTT apps?
A. Launching an OTT app involves several steps, including market research, content acquisition, technology development, and marketing. Collaborating with content creators, ensuring a seamless user experience, and implementing effective marketing strategies are key components of a successful OTT app launch.


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