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Neilsen’s “State of Play” and the Video Streaming Explosion

Written by Megan McNeill | May 6, 2022

The media industry certainly understands the consumer trend towards cord-cutting, and the market’s massive number of streaming services and apps proves it. The OTT app market is full of choices for streaming audiences, but without clear customer communications and a rock-solid app launch strategy, it can get messy for media companies trying to get people to pay attention.

Last month, Nielsen released their first State of Play report, detailing consumer trends in the video streaming industry. A few key highlights: 

  • Last year, American’s watched almost 15 million years worth of video content.
  • Average weekly streaming time went from 143.2 billion to 169.4 billion, an 18% increase  between 2021 and 2022.
  • 18% of Americans are paying for at least four streaming services vs. only 7% paying for the same amount in 2019.

With this enormous volume of video consumption, media companies are continuing to look for ways to compete. But as noted in the report, the “explosion of new platforms, services, and channels has become dizzying to consumers, and there is no blueprint for companies to secure their long-term loyalty or their own business growth.”

In 2021, Applicaster published our own State of OTT Revenue report, exploring OTT industry business models. We found that most OTT brands planned to change their model to capitalize on the growing demand detailed in Nielsen’s report, which shows that the majority of recent content has been developed across a growing expanse of streaming services.

So how will your OTT app stand out in a crowded market? Yes, content is king, but let’s not forget that improved user experience, smart ad-supported tiers, and effective personalization strategies will all contribute to a better user experience and happier audiences. Isn’t that what it's all about?