The Livestreaming Economy

(Source: eMarketer.com)

Trending through the pandemic

While China’s rural farmers exemplify how technology can empower people, it also shows that live-streaming does offer handsome returns for people who are willing to learn the ropes. For instance: The music industry across the world took to live-streaming actively, soon after the lockdown. “United We Stream” from Berlin became an initiative where DJ’s live-streamed their shows for the global audience and parallelly, raised money for clubs that were on the verge of shutting down. From singers to stand-up comedians, DJs, artists and others, a lot of companies or clubs associated with these talents have been betting big on the online audience for their shows.

Live-streaming isn’t only about the money

So why the craze for live-streaming? Wouldn’t it generate the same audience as recorded or taped videos do? Well, here’s how companies view the business of live-streaming: If it was a live stand-up comedy event (in the physical world) in an auditorium, one would, maybe, have about 250 to 300 people. But, if you live-streamed the event, not only would you amplify the online audience apart from that limited set of people, but also be able to leverage this audience for brand awareness and engagement. According to the Livestream survey, 80% of consumers prefer to watch live videos from a brand than read a blog.

(Source: Livestream.com)

Future of live-streaming

While a lot of live-streaming revenues are still ad-dependent, the space is still expanding. However, Twitch is one good example of a video game live-streaming to understand the economics in this space. A study mentions: “At first glance, Twitch, appears to be an exemplary platform for those who want to have a career ‘doing what they love’ (if that is playing video games), which brings with it the appeal of thousands or even millions of viewers, substantial income, and personality celebrity visibility within a rapidly-growing new form of media production.”

(Source:MediaKix)

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Aditya Gupta

Aditya Gupta

Building | Product, Growth & Business | Investments @Hustle Partners | 2x exit | Startups. Travel. Music. Curious. Learner.