BREAKTHROUGHS IN LIVE, SIMULATED LIVE, AND ON-DEMAND CONTENT

Imagine a world where entertainment is at your fingertips, available anytime and anywhere – welcome to the digital age. Our media consumption habits have significantly changed, with streaming services now serving as the main source of entertainment. As these platforms continue to develop, managed streaming services have become crucial, spearheading innovations in live, simulated live, and video on demand (VOD) content. These advancements focus not only on technological enhancements but also on revolutionizing the viewer experience through personalized and strategic engagement.

A New Era of Engagement

The streaming industry has undergone a significant transformation, moving from an aggressive subscriber acquisition model to a more sustainable focus on user engagement and retention. "Customer centricity can help streaming players achieve profitability by shifting focus from acquisition to maximizing customer lifetime value," says John Harrison, EY Americas Media & Entertainment Sector Leader​ (EY US)​. This shift is essential as platforms face intense competition and high churn rates, with 66% of subscribers reporting they canceled a service in the past year​ (EY US)​.

Managed streaming services have become instrumental in this transition, utilizing data-driven approaches to enhance customer value management (CVM). By harnessing customer data across various channels, streaming services can offer personalized content that increases viewership and reduces churn. This strategy not only improves customer satisfaction but also boosts the average revenue per user (ARPU), ultimately driving profitability​ (EY US)​.

The Rise of Simulated Live Streaming

Simulated live streaming is revolutionizing how content creators engage with their audiences. This innovative approach involves broadcasting pre-recorded content as if it were live, allowing for real-time interaction through features like live chat. This method combines the predictability and quality control of pre-recorded content with the dynamic engagement of live events.

Managed streaming services facilitate this by providing the necessary infrastructure to schedule and manage these broadcasts seamlessly. The ability to offer a live-like experience without the unpredictability of live production is a game-changer for many content creators and platforms. As a result, audiences enjoy a more interactive and engaging viewing experience, which can significantly enhance loyalty and reduce churn.

Catering to the On-Demand Generation

Video on demand remains a cornerstone of streaming services, offering viewers the flexibility to watch content anytime, anywhere. Innovations in VOD are focused on enhancing user experiences through advanced recommendation algorithms and personalized content libraries. These improvements are driven by managed services that provide scalable solutions to handle extensive content libraries efficiently, ensuring quick access and minimal buffering.

EY reports that integrating artificial intelligence (AI) and machine learning (ML) into VOD services significantly enhances content discovery and personalization. "By leveraging AI and ML, streaming platforms can better understand viewer preferences and recommend content that keeps users engaged," states the EY 2024 Media and Entertainment Trends report​ (EY US)​​ (EY US)​. This personalized approach not only improves user satisfaction but also drives long-term engagement.

The Backbone of Streaming Innovation

The role of managed services extends beyond maintaining operational efficiency; they are catalysts for business transformation. EY highlights that adopting managed services can lead to better business outcomes by enabling companies to focus on their core competencies while outsourcing complex functions. This approach allows streaming platforms to innovate more rapidly and respond to market demands more effectively​ (EY US)​.

Paul Clark, EY Global Vice Chair of Managed Services, emphasizes, "As operating challenges intensify, a managed services approach to critical functions can deliver better business outcomes and drive growth"​ (EY US)​. By providing flexible and scalable solutions, managed services empower streaming platforms to enhance their offerings continually, ensuring they remain competitive in a fast-evolving industry.

Managed streaming services are at the forefront of innovations in live, simulated live, and VOD content. Through customer-centric strategies and advanced technologies, these services are transforming how content is delivered and consumed, setting the stage for sustainable growth and improved viewer experiences in the dynamic streaming landscape.

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