Chances are, you’ve watched some form of a livestream in the last week alone. Whether it’s Instagram Live, Twitch, Facebook Gaming or Crater - live streaming is everywhere.
In 2020, live streaming had a whopping 99% year-over-year growth. So what makes this type of entertainment such a rapidly growing industry?
The popularization of live streaming:
It’s no secret that the pandemic left the world locked up in their homes. With social interactions sharply declining, people were searching for a virtual equivalent for real life connections. It’s no surprise that during this period, many turned to livestreams as a source of entertainment, education and global information. It provided a platform for users to come together, to consume content, share stories, ask questions and build a community - all from the comfort of their bedrooms! As a result, the popularity of live streams grew - and has been growing ever since.
Fun fact, during the pandemic, 91.7% of people made use of online videos like press conferences and live stream speeches to keep themselves informed. Out of which, 70.3% live streamed on news sites, and 21.4% live streamed on social media.
This shows that consumers don’t only turn to live streaming as a source of entertainment, but also more serious topics. It also opens doors to the discussions that we, at Crater, have quite often - what is the future of edutainment, and how can we contribute to it? What lies ahead for the world of livestreaming, and what can we safely expect?
Where it’s headed:
The success of live streaming can not simply be credited to the Covid-19 pandemic - the scope for this market even now shows no signs of shrinking. According to Cisco, live video is expected to grow 15-fold by 2022 and reach a massive 17% share of all internet traffic.
In terms of valuation, Grand View Research speculates that the live streaming industry is expected to be valued at $184.3 billion by 2027 (I’m obligated to point out that 2027 is less than five years away, although it definitely doesn’t seem like it). Naturally, seeing such big numbers begs the question, who are the producers and consumers of this vast industry? Turns out, 63% of Millennials watch live streaming content regularly, making them the largest group of consumers of live content. They’re also presently the biggest creators of live videos.
Why make the shift:
Traditions are hard to break, and in a world where articles, blogs and social media posts garnered all the traffic, it’s hard to make the shift to an entirely different medium of communication. However, times are rapidly changing, and a dynamic business is a surviving business. Studies have found that 82% of consumers prefer live videos from a brand to social posts. That means only 18% of a brand’s target audience actively retain and engage in these posts. The fact that most brands still focus largely on written posts, therefore, means that the potential for live content remains largely untapped - especially in India.
A recent study found that Indian consumers watch online videos for an average of five hours and sixteen minutes every day – among the highest in the world. This opens up the conversation about the huge potential market for live streaming specifically in India. How can creators use this to their advantage and create content that fills the gaps in this whitespace? What are the user needs and wants, and how can they be efficiently fulfilled? How does one best utilize the advantages of live streaming over pre-recorded videos? These questions - and more - are ones that we are actively trying to answer at Crater.
It’s safe to say that live streaming is the future - and it’s here to stay. So next time, I’ll see you on crater.club - come say hi!