IPTV streaming services differ from traditional media distribution methods like cable and satellite. It delivers content through the Internet, ensuring more convenience and flexibility for customers. Due to that, people keep cutting the cord and switching to internet-based services.
In 2021, the global IPTV market reached $61.5 billion, according to the report of ResearchAndMarket.com. They expect the market to grow to $154.3 billion by 2027 at a CAGR of 16.57% during the forecasted period of 2021-2027.
Based on this, let’s observe why you should start developing your IPTV business plan and looking for an IPTV solution for operators.
Why Do You Need an IPTV Streaming Service?
#1 Growing industry
According to the researchers, the IPTV industry is growing. The reason is the expansion of the electronics industry and the spread of digital devices. Another driving factor is improving infrastructure that provides access to internet connections.
With further adoption of 5G and advanced internet speed, media consumption over an internet connection will likely be more convenient. It might bring more immersive experiences to viewers making such services more appealing.
The IPTV technology allows the delivery of VOD content, HD channels, and hybrid IPTV services — things that are in high demand among users. Moreover, television services also move to the internet landscape, giving people more reasons to swap.
An excellent example of IPTV opportunities is TVALB – the company delivers Albanian television to viewers in the USA and Canada via an internet connection. Albanian audiences in these countries can enjoy their favorite channels and stay in touch with their native land.
All these factors and many others drive the viewers’ demand for internet-based services.
#2 Monetization opportunities
Selecting a professional IPTV solution will give you the opportunity to monetize your video content right away. Developers are aware of possible pitfalls providers may face during operation. This is why they implement features that can help you avoid issues as well as make the most of your service.
Among common monetization models that allow you to generate revenue are the following:
- Advertising. Viewers don’t purchase access to your content library while you make money by running ads on your content. It is a win-win because people get to watch what they want, and you still have income.
- Subscriptions. Customers pay a recurring fee for watching your videos. You may sell packages with access for a month, quarter, or year. Some services like NimiTV vary their subscription options. For example, they offer two subscription packages: one allows viewers to watch videos on one device while the other gives access to content on several devices.
- Pay-per-view. You sell each video separately. As a result, when a person purchases one video, the rest of the content remains inaccessible.
- Hybrid. You combine several monetization models allowing people to choose the purchasing option that suits their needs. For example, you have two groups of videos: one is available on a subscription basis, and the other is Premium, requiring a fee for each video. It is a mix of subscriptions and a pay-per-view model.
These models can help you generate stable revenue when running your video streaming service.
#3 Growing and scaling
At some point, any business would want to grow and scale to achieve other business goals, cover new locations, or attract new customers. The process is simplified with IPTV services.
You have a lot of functionality at your disposal for growing your streaming service. It includes analytics, CDN, and support of various platforms and devices. This allows you to reach more customers and territories. Analytics data is efficient for enhancing your service and meeting viewers’ preferences better.
To conclude, the video streaming industry is in demand among businesses and customers. It seems unlikely to stop expanding. Researchers forecast its steady growth in revenue and the number of users.
Professional IPTV solutions have everything necessary for you to run the service, ensure a smooth user experience, and scale your business.
If you want to create your IPTV streaming service, we recommend you contact Setplex. They can offer a solution for your business goals.