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The Benefits of Live Streaming for Small Businesses: What You Need to Know

Live streaming is becoming an increasingly popular way for small businesses to connect with their audience. It allows them to broadcast live video content directly to their customers, followers and potential clients. In this article, we will discuss the benefits of live streaming for small businesses.

Building a stronger connection with your audience

One of the biggest benefits of live streaming is that it allows you to build a stronger connection with your audience. By broadcasting live video content, you are able to interact with your viewers in real-time and answer any questions they may have. This creates a more personal and authentic relationship between you and your audience.

Increased engagement

Live streaming encourages increased engagement from your audience. Viewers can comment during the broadcast, which allows for two-way communication between you and your customers. This helps build trust, loyalty and credibility.

Cost-effective marketing

Live streaming is a cost-effective way to market your business as it requires minimal equipment and resources compared to traditional advertising methods such as TV commercials or print ads.

Increased reach

Live streaming allows you to reach a wider audience than traditional marketing methods as it can be shared on social media platforms such as Facebook, Twitter or Instagram. This means that people who may not have been aware of your business before can discover it through social media sharing.

In conclusion, live streaming offers numerous benefits for small businesses looking to connect with their audience in an authentic way while increasing engagement, reaching more people and saving money on marketing costs. If you haven’t already considered incorporating live streaming into your marketing strategy, now is the time to do so.

This text was generated using a large language model, and select text has been reviewed and moderated for purposes such as readability.


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  • How To Start An Online Video Streaming Business & Succeed In 2024? »

how to start a video streaming business

How To Start An Online Video Streaming Business & Succeed In 2024?

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Without any second thought or a question, today people can find enough doses of entertainment in any video streaming solution that delivers TV shows, movies, or series to make even the most mundane evening fascinating.

This change has been only possible, because current televisions are equipped with an Internet connection, & it is no longer important to spend hours surfing through channels in search of something out-of-the box!

All thanks to the advancement of Internet speed & its connectivity.. Truly, you can always find something interesting to look at using it. However, there seems to be a keen issue that highlights.

How can viewers pick their best one to watch a HD quality movie or that’s worth catching attention without any ad interruptions? When we look into top video streaming platforms like Netflix, Amazon Prime, Disney+, & others they continue to attract non-stop viewers from all over the world.  Furthermore, the emerging trends of big giant’s set video streaming industry, help us to understand their success even closer with some interesting insights of only US streaming app subscribers!

Potential subscribers of Netflix inform us with 75M, whereas in Amazon Prime they rule their loyal subs with their branded fire TV apps summing up to 50M. Additionally, looking into other competitive players like Apple TV+ or Disney+ they have won customers ranging from 40M to 45M. Source: Business of Apps

So, what is their secret sauce of unveiling success? Thousands of programs and movies, as well as a variety of service packages, can cater to any taste. Perhaps, with this trending video streaming market, one might want to construct something comparable to such pioneer-powered businesses and add fresh features to combat the Netflixing craze!!

Read Also: How Does Netflix Make Money ?

What is Video Streaming?

Is there something that might help you reach that kind of sky-high?  Well, you’ll never come to know unless you try venturing into it!

This blog will provide you an overview of how to create a video streaming app that is tailored to your business needs. First, let’s take a look at some of the many business models available. Then we’ll go over some major business video features and how to use them.

Table of Contents

How to Start a Video Streaming Business – The Definitive 8-Step Guide

Starting a video streaming business can be pretty challenging, especially for beginners.

But, with careful planning and proper execution, a video streaming business could be rewarding. 

Here are some steps to consider:

video streaming business

  • Identify your niche: Determine the video content you will offer your audience. Will it be sports, movies, TV shows, music, or a combination? Identify your target audience and research their interests to make better decisions. 
  • Develop a business plan: Create a detailed business plan that outlines your goals, target market, revenue streams, marketing strategy, and budget.
  • Choose a platform: Decide the platform you will use to stream your content. Various options include YouTube, Vimeo, Netflix, Amazon Prime, and Hulu. Or you can also build your streaming platform with VPlayed and launch your video streaming business. 
  • Acquire content: You must acquire the rights to the content you plan to stream. You can create your own content or purchase the rights to existing content. Ensure you have the necessary licenses to avoid any legal issues in the future.
  • Build your website: Create a video streaming website where your audience can access your content. Keep your website optimized for mobile devices. It should have features like search, recommendations, and ratings.
  • Market your videos: Use social media, email marketing, and other digital strategies to promote your videos. Keep your existing customers while attracting new ones to your fold. 
  • Monetize your content: Determine how you will monetize your content. Options include subscription-based models, pay-per-view, and advertising.
  • Invest in infrastructure: Ensure you have the infrastructure required to support your streaming business. It includes reliable servers, high-speed internet, and secure payment processing.

As said earlier, starting a video streaming business needs meticulous planning and careful execution. 

By following these steps, you can boost your chances of success.

How & Why Building A Video Streaming Platform Will Benefit Your Business?

1. adaptability.

Video Streaming is currently skyrocketing its presence & with its trending forecasts, it is expected to have an increased number of users by 1,418.6 M by 2025. So, this provides a wide opportunity to flexibly deliver services of any kind since there is a heavy market on a large scale.

2. Scalability

With business objectives and its processes changing on a daily basis, new features, products, and services for your video streaming company will always be in demand. You can also use a variety of structured solutions and its combinations of pricing tiers to engage a wide range of customers irrespective of locations or devices they use.

3. Best Retention Rates

As high-end technologies penetrate the demanding video streaming marketplace, customers are taking time to invest in a new evolution of viewing trends. Thus, it makes them stay back longer to rejoice with these indispensable services/product deliveries you keep offering.  As a result, users get highly valued for the worthwhile money put into it.

4. Scope Of Market Margins

During the projected period of the global video streaming software market it is estimated to increase at a Compound Annual Growth Rate (CAGR) of 19.7%, from USD 6,144 million in 2020 to USD 15,092 million in 2025. This fantastic component can be quite high and allows you to expand your firm while keeping expenditures under control.

5. Uncountable Income Potential

Today, most of the population consume video content, giving you immense scope to disseminate streams into various mediums & platforms. Hence, when you learn to aim every bit of your target-centred audience using your strong business sense & energy put in to deliver the best experience, you’ll discover loads of untapped potential to power up maximum income.

6. User Experience Is Better With App

The smartphone industry is rapidly expanding, and many customers choose to utilize an app rather than a website. People find it convenient to use their app to check movies & choose their favorites & recommend ones to watch later too. If your app can be used without WiFi, you’ll get bonus points which heighten your brand

7. Generate Takings via App

Although develop a video streaming app is an added but most-needed investment, there are many ways to monetize promising pennies from it. Customers can pay a minimal cost to download your app, and you can make money from skippable or non-skippable ads as well as sponsored ads. Also, within the subscription packages you can earn profits from OTT in-app purchases .

8. Results & Revenue Come Up Quickly

Definitely, with the amount of content that you put into your video streaming services will give you outstanding results and raise revenue pretty quickly. You are likely to achieve quick results with live analytical dashboard & other metrics to regulate content performances reflecting your return on investment.

Key Features To Consider While Creating High Quality Video Streaming App

Online video streaming platform

1. Customer Experience

Paying attention to your audience behavior with content will help you to make viewer experiences optimized & engaging. Users might look forward to accessing them as quickly as they can to make online purchases. Also, a vast library can help them to rack their favorite watches for later viewing.

2. Personalized Data

Custom metrics and other AI-powered streaming analytics will help you analyze and act on streaming data in real time and implement various recommended video streaming business monetization models with these actionable insights to know your diverse target audience.

Recommended Reading

  • Best 7 Solutions To Build Video Streaming Platform
  • How To Create A Video Streaming Website Like Netflix?

3. Mapping Ad Strategy

With immersive adverts, you can woo audience growth through active engagement. This tends to have a quick rise in income growth, especially with planned ingestion of ads in start, mid or end of the videos. Advertising strategies not only give you the best money-making opportunity but also potentially boosts the overall lucrative business.

4. Encryption Added Security

Well, every content streamed globally depends on secure online video platforms that allow content owners to empower themselves without any second thought on it. It is important for your video business to have a reliable foundation in a multi-tenant environment. So various rigid digital DRM security frameworks ensure to shield of your valuable assets.

5. Observing With Analytics

According to the grand research report, the viewership to start a streaming service has drastically experienced a rise of 10% in viewership during the lockdown. On the basis of detailed features of video analytics  you can draw more users by studying the latest trends & dynamics to increase user retention in your platform.

6. Quality Of Deliverance

You can enhance your quality of services by analyzing & collecting data such as streaming speed, CDN , playback of the content, ad ingestions into your dynamic content, etc. These underplay in determining the fact of attracting more customers into your customized platform, which in turn promotes loyalty among existing users.

7. Multi-Platforming Solution

It is essential that every content owner or video businesses must select an appropriate platform that suits all vital needs. Furthermore, keep in mind customers expect to watch content on every sort of device, and hence it becomes necessary to deliver services across any platforms/browser having multi-compatibility inclusive of picture quality with 4K resolution.

How To Choose The Right Video Monetization Model To Generate 40X Revenue?

Online Video Streaming Monetization

1. Enriching Rewards With AVOD

One of the quickest video streaming revenue-generating models is associated with Advertising video on demand monetization. Many competitive businesses either cover or generate potential income via placement of ads. You can customize them as per your needs.

2. Balanced Revenue With SVOD

A regular sum of subscription fee through the SVOD platform model can help you to add value to your long-tile demanding content like movie collections, TV series, & others. You can facilitate access to your viewers after subscription charges which count monthly or yearly.

3. Loaded Money With TVOD

Transactional-based video on demand model or otherwise known as PPV gives users an option to gain an exclusive video watch after paying a one-time premium for their desired content. TVOD meaning are with this unique streaming model you can either offer it at rentals or for owning them totally.

4. Server Ad Insertions Are Beneficial

With a server-side ad insertion model, you can stitch any ads within your creative content in a single stream. The main advantage of SSAI is reflected in your profitability when any kind of ad block requests are eliminated to external servers.

Recommended Read: Difference Between CSAI vs SSAI

5. Gaining Extra From 3rd Party Resources

When you think of starting a brand-new video streaming business you can have some special plans that help you to offset any financial change. And, there comes the major aspect of 3rd party ad integration. Affiliate your space with 3rd party vendors to gain surplus video revenues.

Identify Key Requirements Needed For Video Streaming Business

  • Internet Speed

Internet speed influences the platform’s ability to stream on-demand/ live videos. A minimum connection speed of more than 2 Mb/s is required to stream standard definition movies However, in HD, 3D, or 4K streaming, faster net connection can serve the purpose.

  • Hosting Solutions

When you think of choosing the right video on demand hosting solution before starting with your video streaming business you can have any of the two deployment options: either you can host on-premises or choose to integrate your best video hosting platforms on cloud-acquired space.

  • Streaming Security

To maintain the rights of your content you need to assure its protection through video DRM solutions , domain or IP restrictions, watermarking your contents also in VOD vs live streaming , geo-restrictions (if any license limitations), etc. Secure them from unauthorized access across any user device.

  • Payment Gateways

Subscribers might approach you from any platform, so make sure to cater to their payment facilitation needs accordingly. You can have varied options of gateway providers such as Visa, MasterCard, PayPal, Discover, etc ; supportive of credit/debit cards.

Wrapping up

I think now you’ll have a better idea of how effective and profitable the big behemoths like Netflix or Amazon are building their streaming empire by now.  It’s also worth noting that it’s not limited to content-creation firms only, but covers a lot more than that. When you browse through on how to start a branded video streaming business…

You’ll have to follow these easy steps:

  • Identify Your Genre: It’s the focused stream of your broadened industry you aim to target.
  • Make A Content Strategy: Get your content decided on what aspect you would want to create your creations, & what can your onlookers expect from it.
  • Procure Licensed Content: Take rightful grants or loyalty rights from owner or creator of the content with complete copyrights for hassle-free publication.
  • Viability Of Streams In All Platforms: Give your users the adaptability of choosing to view their content on any device across any platforms such as Mobile, Smart TV, PC, etc.
  • Be With Your Audience Always: Utilize social sites, & leverage on YouTube, creating an email list for personalized approach, & marketing strategies in your platform would be a great help.

And with all of these in no time, you’ll be running a thriving video streaming business that you have planned for.

If You Already Have An Idea To Start a Video Streaming Business, Schedule a Free Demo And We’ll Get You On The Road To Video Streaming Success

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Frequently Asked Questions (FAQ):

Video streaming is like watching videos online without downloading them. The technology gives the flexibility to watch videos instantly with the help of an active internet connection. Also, most importantly, you can enjoy any form of video content (movies, TV series, live events, and more) anytime and anywhere as long as you are connected to the network. 

To start a video streaming business in 2024, follow these steps: Identify your target audience. Create top-notch video content. Choose a video streaming platform. Market your streaming business effectively. Continuously improve your content. Stay updated with industry trends.

For your video streaming business to become profitable, try experimenting with different revenue models like subscriptions, advertisements, pay-per-view, sponsorships, merchandise sales, affiliate marketing, etc. Nevertheless, choose the revenue models that best suit your objectives and work in tandem with your target audience.

Here are some of the essential features to consider when building a video streaming platform – Smooth video playback, easy-to-use interface, flexible design for multiple devices, organized content categories, video recommendations, highly reliable CMS, etc. These features enhance user experience, engagement, and the overall functionality of the platform. 

To choose the right platform for your streaming business, consider these steps: Identify your business requirements. Research different video streaming platforms and compare their features, pricing, and user reviews. Look for a platform that offers the necessary functionality. Last but not least, test the platform with a trial or demo to ensure that it matches your needs. 

People Frequently Read:

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  • How Much Does It Cost To Build A Streaming Service?
  • How To Start A Streaming Service Like Netflix & Its Cost?
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Brindalakshmi Rajkumar

Brindalakshmi Rajkumar is a blogger & digital marketer. I'm enthusiastic about learning about new advancements in the video streaming services & online video platform in the market. I collaborate with various organizations and help analyze their competitors to provide them with better strategies to improve and keep their businesses up to date.

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The video experts blog

How to start a video streaming business.

online video streaming business plan

Have you been contemplating how to start a video streaming business? You’ve come to the right place. In 2023, the video market is booming.

In fact, according to Statista, the market volume of the video streaming industry is projected to reach  $137 billion in 2027 . This equates to an annual revenue growth rate of 9.48% between 2023 and 2027.

Live streaming is making up the  majority  of that growth. In fact, live streaming can support  any type of business   as long as you choose a good streaming platform.

This blog will provide an introduction to how to start a video streaming business specific to your goals. First, we’ll look at a few of the different business models out there. Then, we’ll cover key business video functionality and how to access it.

Are you ready to learn how to start a video streaming business? With that outline in mind, let’s dive right in.

Table of Contents

How to start a video streaming business: Business Models

Let’s begin by discussing some possible business models. Not surprisingly, there are countless ways to build a business around online video.

The most obvious example is direct sales. However, you can also use video to market products, share events, and much more. Overall, 89% of marketers use video live streaming to push their products.

Let’s take a look at some of the business models out there in today’s market.

online video streaming business plan

Image via  G2

The term OTT refers to  Over-The-Top  video. These days, it generally refers to content delivery online—and especially  premium  content.

One example of an OTT video comes from  IDF1 , a French television station that broadcasts sports, entertainment, and news.

Using the Dacast platform, IDF1 has created a free app that allows users to watch content on mobile devices. This integration allows engineers and employees at the IDF1 TV studio to upload, manage, and deliver live broadcasts to mobile viewers.

All of this extra functionality works alongside existing distribution channels with minimal extra effort. Broadcasters can monetize their content via advertising, subscriptions, or pay-per-view transactions easily.

For another example of the OTT business model, check out the TV station  BVN .

Video Reselling

When deciding how to start a video streaming business, you might also consider reselling. Reselling involves businesses purchasing access to live streaming and VOD hosting services. Then, the business resells this functionality (often with value-added services) to others.

One example of this business model is  Striv.TV . Founded in 2012,  Striv.TV  works with more than 85 high schools in Nebraska to provide  live streaming solutions  for events and sports.  Striv.TV  uses the Da

Dacast video API  to integrate video streaming and storage into their existing workflow.

Striv.TV  customer schools can log into a customized dashboard to upload and manage content, as well as access analytics. From the perspective of end-users, it’s transparent that  Striv.TV  is using the reseller business model.

Educational Videos

how to start a video streaming business

The third major area in which video businesses are succeeding relates to education. Nowadays, educational videos are extremely popular for those seeking to increase their skills. This could be learning a new language, learning to code, practicing yoga or other physical exercises, and more.

One example of the education business model comes from  MorningCME . MorningCME is a Continuing Medical Education provider that uses Dacast content management  video API  to  stream live  and on-demand classes. Medical professionals can watch these videos and gain credits toward maintaining their professional certifications.

MorningCME hosts and delivers its video broadcasts via the Dacast  online video platform.  However, this process is fully transparent to users. Dacast branding doesn’t appear anywhere. This is the benefit of using a white-label service. White-label broadcasting allows you to use custom branding on your videos, streams, and services.

In this way, MorningCME can add custom branding to its live streams and  VOD content . Then, this content reaches all their viewers on their unique devices, wherever they are. The  Dacast API  makes this process possible, a process we’ve discussed before.

Sports and entertainment

Not surprisingly, the sports and entertainment category is always popular. More than  30 percent  of fans now stream sports to their phones or tablets. Additionally, one-time events like  sports are perfect for pay-per-view monetization . In fact, this industry represents another major business opportunity. For example, Dacast user  CDFL  has long used our services to stream and monetize football games.

Conferences, live music, and other events

Finally, let’s touch briefly on other live events. This category is a massive one. In general, events of all kinds make very popular live streams. And you don’t need to worry about video  streaming solutions  decreasing in-person attendance. In fact, research shows that the opposite is actually true.  Sixty-seven percent  of live video viewers are  more likely  to buy a ticket to a concert or event after watching a live video of that event or a similar one.

The importance of API access and SDKs

online video streaming business plan

Image via  Agility CMS

Next, let’s shift gears and look at some of the key video features for business users. If you’re considering how to start a video streaming business, these features are essential in most cases.

First, let’s discuss APIs. The term API stands for Application Programming Interface. An API allows you to code customized solutions for your video needs.

According to  Streaming Media , “The video workflow and distribution environment is incredibly complex, and the way to build a best-of-breed system or even just gain finer control over tasks—especially when delivering video at scale—is by API.”

Today,  most businesses  are migrating to API-based workflows for online video. Even if you’re not sure how to use an API, or how to make use of it, you can take our word for it.  Video APIs  are essential for most video businesses today. You’ll thank us later for taking this trend into account!

You should also look for  video SDKs  when you’re starting a video business. SDKs, or Software Development Kits, make it easy to build custom apps for given platforms (like iOS, Android, or Roku).

Building mobile apps has the potential to grow your monetization base hugely. In 2022, the daily time users spent on their mobile phones went up by  39%  compared to the three previous years and is projected to increase even further in 2023.

White-label service, white-label platforms

online video streaming business plan

Image via  4D Contact

The second key element of a business-grade video platform is white-label service. In the video business, “white label” refers to a service that doesn’t include any branding except your own.

For example, when you use the Dacast video player, there is no logo included and no mention of Dacast at all. The only logo present is your own—if you choose to use it!

There is also a second, advanced level to white-label service. This is the ability to  create a white-label  platform . This is the functionality that resellers use to flip Dacast solutions and offer live streaming and  VOD hosting  to their own clients.

All our broadcasters can use custom branding on the entire Dacast  video streaming platform . This way, their users won’t see the Dacast logo or name anywhere. This enables professional reselling and custom branding at every level.

Powerful CDN delivery

Last but not least, the final element when deciding how to start a video streaming business is a CDN. A CDN, or Content Delivery Network, is a global network of servers that help distribute video and other digital content around the world.

online video streaming business plan

Image via  Cloudkul

CDN businesses are specialists in getting data to a given destination quickly. It doesn’t matter whether that destination is in rural Ohio, New York City, Johannesburg, or Shanghai. Specialist load-distribution software helps to ensure that content delivered via a CDN has minimal buffering, latency, and other quality issues.

New businesses do have the option of working with a  live streaming CDN  directly. However, direct CDN contracts can be confusing and expensive. Costs are to be predicted, as they’re based on usage and a wide array of other factors.

A better approach is to use an  online video platform , such as Dacast. The Dacast OVP   partners with a top-tier CDN , Akamai, for reliable and global delivery.

This approach affords you all the benefits of using a CDN, with none of the downsides of going at it alone. Pricing is simple and predictable, and the platform is easy to use and customizable.

How to Make Your Video Streaming Business Successful

Starting a video streaming business can be challenging. Here are a few boxes you’ll need to tick to make sure it stays up and running.

  • Have a business plan:  Make sure your business plan outlines important items such as your goals, financial projections, target market, marketing strategy, and revenue streams.
  • Have enough content:  This depends on the streaming business you want to start. You can either create your content or buy the rights to existing content you’d like to stream.
  • Build a website:  This is where you’ll stream your content officially, and your customers can access everything from there. Make sure your site is mobile friendly for maximum reach.
  • Choose monetization methods(s):  Choose how you want your business to make money. This includes advertising, subscription, pay-per-view etc.

1. How do I start a streaming business?

Here are important steps to consider when starting a streaming business.

  • Determine the business type you’ll want to build around your online videos.
  • Get API and SDK to help you build custom applications for different platforms.
  • Get a white-label video hosting service that allows you to use your own brand items.
  • Set up a CDN to distribute your videos globally.

2. Are any streaming services profitable?

A live streaming company can be capital intensive and may not result in profits right away. However, profitability depends on your business structure and audience.

This determines how your business will make money, and ultimately, profit. For instance, streaming platforms like YouTube and Vimeo make their income through ads, sponsorships, and subscriptions.

3. What is the most profitable video streaming service?

For B2B businesses, LinkedIn Live is one of the most popular streaming services used by marketing professionals in 2023. According to recent statistics, 93% of B2B content marketers use LinkedIn Live to host live streams.

And given that a LinkedIn audience is twice as likely to make a purchase as any other internet user, it may be among the most profitable video streaming services for B2B businesses.

4. How do video streaming services make money?

Video streaming services can make money in many ways. These include, but are not limited to:

  • Sponsorships from brands
  • Running advertisements on videos hosted using your platform
  • User subscription or membership signup
  • Charging payments per content views
  • Charging people to view or join your live streams like an admission fee
  • Selling recorded videos to other broadcasters

5. What is video streaming marketing?

This is a process that involves delivering live content to your target audience through various livestream hosting channels. It’s a popular tool that marketers use to create a virtual shopping experience for their online audiences.

It’s not limited to direct promotion only. It also includes other lead-scoring activities, such as webinars, product launches, and virtual events.

We hope this article has helped enlighten you on how to start a video streaming business. As we’ve discussed above, a key element involves choosing an online video platform that’s right for you.

Not yet streaming with Dacast and interested to learn more? You can read all about our  live streaming pricing plans  to see which is the best fit for your business.

That said, a great way to take the next step is with a 14-day free trial (no credit card required) to the Dacast platform. Our powerful, scalable, easy-to-use  streaming solutions  can power the core of your video streaming business. Just click below to sign up and start streaming live today:

Get Started For Free

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Max Wilbert

Max Wilbert is a passionate writer, live streaming practitioner, and has strong expertise in the video streaming industry.

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How to start a video streaming business

Jun 9, 2023

How to start a video streaming business

In the present day, the entertainment industry is more prevalent than ever before. When we backtrack to the early era of entertainment, theatres, operas, the arena, and radio are the major sources of entertainment. 

It is not so surprising that the entertainment industry has skyrocketed sky-high. With the advancement of technology, all industries are growing more and more. Entertainment has become obtainable for anyone. People can watch movies, play games, and listen to music through applications on smartphones.

The phenomenon in the video streaming business is massive.  

If you are thriving to make your video streaming business phenomenal, then this article is for you. You can find a complete guide to starting a video streaming business . 

Let’s get in!

online video streaming business plan

The Market View Of A Video Streaming Business

online video streaming business plan

  • The revenue is US$95.35 billion in 2023.
  • The future expectation of revenue: 9.48% with CAGR 2023-2027.
  • Users in video streaming (SVoD) are 1.64 in 2023. 
  • The user-base size is expected to hit 20.6% by 2027. 
  • The market size: a source estimate of $223.98 billion in value by 2028. 

From the statistics, it is clear that a video streaming business holds a lucrative future.  Now, let’s see the trends to use in your business to increase the statistical size. 

Navigating the Top Trends in Video Streaming for Business Success

online video streaming business plan

Live Shopping

Live shopping in the video streaming business is a new trend. Many video streaming businesses use this trend to give real-time shopping experiences and increase monetization. It also helps audiences by letting them shop live while seeing a live stream. 

Since it offers the convenience of shopping at home, people are welcome. Essentially, it is a combination of e-commerce and live video streaming. Hosts or influencers start a life to sell their products. Users can purchase their favourite things by clicking the link. 

It is one of the most watched trends in 2023 as the shopping experience is interactive, and viewers can interact in real time. 

Paid User Experience

One of the popular trends in the video streaming platform is a subscription. The paid-video streaming business allows users to pay monthly or annually to watch videos. 

Subscription-based video streaming has become increasingly popular in recent years. This business model has proven successful as it allows users to use a large amount of content for a relatively low cost, while also providing a consistent revenue stream for the platform. 

In-Home Media

After the pandemic, in–home media became popular as people can watch their favourite videos, movies, shows, and more at home. The video streaming business can grow its market to 4.5 billion using the internet. 

Though many people still prefer traditional radios and TV sets, a source says that the U.S. has the highest rate of subscribing to video streaming services. And the total revenue value is $8.5 billion. 


In this digital era, technology is an important thing. Mobile apps are flourishing more than other innovations. It has a massive influence on the video streaming business. Without going out of home, people can easily stream their favourite videos using mobile phones. 

Another way that video streaming businesses have mobilized their business is by making their content available for download on mobile devices. This allows users to watch videos offline, which is especially useful for people who are travelling or have limited access to the internet.

Mobilization has become essential in starting an online video streaming business, as more and more people are watching videos on their mobile devices. There are many hot trends that are changing the video-streaming business. I have included top trends in it.

Guidelines To Follow Before Starting A Video Streaming Business

Find a niche.

Finding a niche in a video streaming business means identifying a specific market segment that has unique needs and interests that are not currently being met by the existing video streaming services. 

Since video streaming is huge, find your niche to stand unique from your competitors and increase the audience base. 

For instance, if you want your video streaming business to be focused on a specific language, culture, or genre that is not widely available on other streaming businesses. And you can also target a specific age group or demographic. 

To find your niche, you should have detailed knowledge of market research, and analyze audiences and trends.  By doing so, you can also get a unique idea to successfully enter and serve that market. 

Finding where you are going, next start gathering information to start the business plan. 

Develop Your Video Streaming Business Plan

One of the essential steps in the starting process is a business plan because it helps you understand the industry better and business strategy. Once you can map out the business plan, the following steps will be easy. 

There are steps to follow in this stage which are: 

Executive Summary – an executive summary is a brief concise overview of the key point of a business plan or proposal. In this section, you tell what your business is going to be and how it will solve your problem. 

Company Overview – This section tells the reader what type of business is your video streaming. For instance, whether it is music streaming, video streaming or live streaming. 

Industry Analysis – here you will include key information that you gathered about the market and industry. 

Customer Analysis – here, you find who your target audiences are. For instance, how old are they? Where do they live? What is their importance?

Competitive Analysis – this section is to analyze your competitors. By doing so, you can get a clear idea of your industry and follow in their footsteps to start your video streaming business.  

Financial Plan – eventually, the financial plan you need to plan out. Ask yourself questions like what startup costs will be, how will it generate money, and do you need to raise funding to launch your business. 

Management Team – this section is to plan out your management team like how many employees you want and more. 

To initiate the above-mentioned factors, you need a support system, which are sole proprietorship, partnerships, and limited liability companies. 

Let’s find them in detail.

Finding A Legal Structure 

You need legal authorization to start a video streaming business. You can find five legal structures. I have included three legal structures.

Sole Proprietorship

The sole proprietorship is a business type in which the owner of the sole proprietorship owns the entity and the owners are responsible for all issues and debts. The benefit of it is that owners don’t need to follow any operation. They can simply establish their business. 


Another legal structure to explore is a partnership, one of the popular structures among small businesses. In a partnership business, partners share their issues and debts. The benefit of it is that they can easily step into the market as they share investment. 

Limited Liability Company

A limited liability company is a type of business that offers limited liability to its owners. The benefit of its owner is that owners are not responsible for the debts and liabilities of the business. 

After getting legal authorization, the foremost thing will be finding a location. Let’s see what you need to follow in finding a location. 

Choose The Location 

When venturing into the world of video streaming business, it is crucial to secure a suitable starting point, a location from which you can launch all of your operations. 

One of the key aspects to consider when selecting a starting point is the availability of robust internet infrastructure and state-of-the-art video streaming technology, both of which are essential to ensure that your business can operate effectively and meet the high demands of modern-day consumers. 

However, it is important to exercise prudence in your initial location choice, opting for a cost-effective site that meets your immediate needs. As your business gradually expands, you can then allocate more resources towards upgrading your location and enhancing other aspects of your operations, making the right choice at the outset is therefore critical to your long-term success.

Develop Your Streaming Service Marketing Materials

Once you complete all the methods, the final step is to take your video streaming business to audiences. For that, we have so many marketing strategies to follow. I have included three marketing materials.  

Logo: the right logo can improve business growth. Since your logo is going to be on company stationery, business cards, marketing material, and more, create a logo that tells about your business. 

Website: in this digital era, online presence is an important thing. From companies’ history to current status, customers should know everything about your video streaming business. With a good web app development company, create an online web page and market your video streaming business. 

Social Media Accounts: you can promote your business using third-party platforms like Twitter, Instagram, Facebook, and more. It is the most effective way that all businesses follow. 

These marketing strategies will be the best for you to start a live-streaming business.  

I hope you get a clear idea about the starting process. Now, let’s see what is the right video monetization model.

Additional Information – If you want to know how technology makes businesses enthusiastic about getting ready for the changeover in the live-streaming industry , check out it

How To Choose The Correct Monetization Model For The Video Streaming Business 

online video streaming business plan

Monetization is essential for all businesses. I have included the main monetization factor that every video streaming platform follows. 

Advertising Video On Demand

One of the popular monetization methods in the video streaming business is advertising video on demand. Owners generate revenue through advertising others’ products or services with this model. 

AVOD has become a popular alternative to subscription-based Video On Demand (SVOD) services, which require users to pay a monthly or yearly subscription fee to access content without advertisements. AVOD offers users the opportunity to enjoy content without having to pay any fees, making it an attractive option for cost-conscious consumers.

If you want this monetization model to run well, you need to find the correct factors to boost the revenue of YouTube .

Subscription Video On Demand

Subscription Video On Demand refers to a type of online streaming service that allows users to access a wide range of video content, such as TV shows, movies, and original programming, for a recurring fee. Unlike traditional cable or satellite TV services, SVOD services are delivered over the Internet and can be accessed on various devices, such as smart TVs, computers, tablets, and smartphones.

Many video streaming businesses follow this popular monetization strategy. If you include this strategy, you can see lucrative growth. 

Transactional-Based Video On Demand

Transactional-based video on demand is a model where viewers pay for individual pieces of content they want to watch, usually by renting or buying it. This is different from the subscription-based model. 

In a TVOD model, viewers can choose from a selection of movies or TV shows, and pay a one-time fee to rent or purchase the content. Typically, the rental period lasts for a limited time, such as 24 or 48 hours, while the purchased content can be accessed indefinitely. 

TVOD is a popular model for new movie releases, as it allows studios to monetize their content quickly. It is also commonly used for niche content that may not appeal to a broad audience. This model is particularly for small sets of audiences. 

Bottom Line

I hope you have a clear idea of how to start a video streaming business . The reason for its popularity is that it is interactive and entertaining. 

From the statistics, you can see what people prefer. When you are building your video streaming business, make sure that you use the above-mentioned monetization model.

Yet, there is a lot to cover. Stay connected with us to know more about the video streaming business. 

For more details, read blogs related to the topic. 

About The Author


I am Jeyasri, a content writer at Trioangle Technology. If you're a startup, entrepreneur, or just curious about the digital world, my blogs help you in the world of apps and website development. My blog is the perfect destination for discovering the latest digital strategies and techniques for growing your business. If you are curious to find new updates, be sure to check out my blogs.

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How To Start A Streaming Service: Guide For App Ideas

In the second quarter of 2021, Netflix generated total revenue of over 7.3 billion U.S. dollars , up from about 6.15 billion in the corresponding quarter of 2020.


Do you want to know how to start a streaming service like Netflix?

We prepared this article to help you understand the best ways to create a streaming service. As you read the text, it will uncover the insights and valuable tips for building a streaming platform.

  • Key statistics explaining why it’s worth creating a platform like Netflix
  • How to start a streaming service with step-by-step instructions
  • The cost of creating a streaming service in 2023

Why It's Worth to Create a Streaming Service

The success of Netflix, HBO, and Hulu is highly inspiring. Looking at the results of their work, many businesses have started thinking about creating streaming services like Netflix. There is a lot of sense in the decision to make such a service today.

Before we move on and define how to start a streaming service, let’s first look at some statistics. If you have any doubts about creating a similar application, they will resolve any of them.

  • In 2022, the global video streaming market size was estimated at USD 444.3 Billion . ( Precedence research 2022 )
  • The great part of revenue ( $36 billion in 2022 ) will be generated in the United States ( Statista, 2022 ).
  • The number of users in video streaming services is expected to grow to 1,4 billion by 2026 ( Statista, 2022 ). 
  • In 2022, Netflix’s total annual revenue has reached more than 31.6 billion U.S. dollars ( Statista 2022 )
  • The net income of Netflix in 2022 reached over 4.5 billion U.S. dollars .( Statista, 2022 )
  • The average revenue per user is expected to amount to $58.52

Even though the market has a lot of solutions, only a few applications take up the vast majority of the market.

There is no doubt that the market promises huge growth soon. Therefore, businesses ask how to start a streaming service that users will love. As you read the following chapter, you will learn everything about the process.

Step-by-Step Guide on How to Start a Streaming Service Like Netflix

How to create a streaming app?

The development of a streaming service doesn’t end with development. The process comprises of 9 main steps and a number of sub-steps:

  • Finding a niche and USP
  • Creating a business plan
  • Content licensing
  • Finding a reliable app development vendor
  • Deciding on the video streaming app’s functionality
  • UX/UI design creation
  • Choosing technologies
  • Marketing and promotion
  • Feedback gathering and planning for growth

Let’s review detailed instructions on how to start a streaming service.

Step 1: Find Your Niche and Create USP

Before you move on to creating online streaming apps for video, you first need to identify your niche and unique selling proposition.

While working on this part of your application, it might not be good to copy an already popular solution like Netflix. Big names have a vast user base and operate all over the world. Competing with them is extremely hard to impossible for small startups.

You shouldn’t think about how to create a streaming service like Netflix; think about how to start a streaming service with unique features instead. Only this way will your solution have any chance for success.

For example, Netflix has a few USPs, like on-demand streaming of unique content, behavior-based recommendations, affordable prices, etc. You can see a detailed overview of Netflix’s business model canvas on the image below.

Netflix is ​​a way to reorganize the TV value chain by removing time constraints for shows.

The streaming service makes money by selling subscriptions to its service packages. Of course, this strategy is not easy to implement. Netflix uses so-called “evergreen content”, the growth of the volume of which gradually increases the attractiveness of the service to potential customers (while the costs of audience acquisition campaigns are reduced).

Aside from traditional on-demand video streaming services, you can create a number of other solutions, including but not limited to the following general and niche streaming services options:

  • sports events streaming
  • video game streaming services
  • educational streaming
  • live-streaming of events (conferences, etc.)

Before identifying the product type for release, you need to understand the following factors.

  • the market on which you are going to launch your new product
  • potential niches where there is still a place for new solutions
  • competition, their strengths, and weaknesses
  • your target audience and their need in such a solution

After you have decided on key activities, you can create a business model canvas to structure the USP of your product.

The business model canvas comprises 9 blocks covering key activities, value proposition, resources, partners, revenue streams, etc.

Step 2: Create a Coherent Business Plan

You can’t decide how to start a streaming service without having a strict business plan that will guide all your actions. Thus, going through this stage and all its steps is essential for all startups.

  • Find content creators

Video content is the basis of your streaming service. Before you move on, you need to understand what type of content you are going to use:

  • Content that you create yourself
  • Content created by third-part creators

It might be good to remember that the first option can take you only that far since you will need to allocate considerable resources to video production.

2.  Choose the best monetization model

Without knowing possible monetization strategies, you cannot decide how to start a streaming service like Netflix and turn it into a successful business venture.

Here are a few monetization models that you can utilize:

  • Subscription – this model implies paying some monthly or yearly sum for a service subscription.
  • Pay-per-view – with this monetization strategy, users pay per each view, e.g., a movie, a series, etc.
  • Advertising – placement of ads by other companies will help you cover the expenses and generate revenue. As a part of this strategy, you can include ads blocking option at an additional cost.
  • Freemium – some content is available to all users. Other content might require payment per each view or purchase of a subscription to your service.


Check the article.


3. App location and content translation

When you create a streaming service, you might decide to launch it in a foreign market. If that’s the point, you will need to find companies that provide content localization services. Finding reliable companies that will become your reliable partners in the future might be a challenging task to accomplish. 

Thus, you need to start working on this part of your business as soon as you decide to move beyond local markets.

Step 3: Legal Registration & Content Licensing

Knowing how to start a streaming service from technical is not enough. Another significant part of preparation is making the business legal. Aside from legal registration, content licensing is also an inseparable part of video streaming services creation.

In the USA, there are two main distributors of video content:

  • Motion Picture Licensing Corporation  (MPLC)
  • SWANK Motion Pictures

The major solutions work with these licensing companies. Before creating a streaming service, you need to understand that video content licensing requires huge investments. Such companies as Netflix invest billions of dollars in paying for content licensing. They spend no less on video production.

Some licensing companies can sell you a license not for the whole series but only for the first season or an episode. Thus, you need to negotiate the terms before signing any agreements or choosing a company to work with.

Step 4: Find an Experienced App Development Company

If you want to know how to create a video streaming service like Netflix that will have a chance for success, one of the most important parts is finding a company that will help with the development process.

The process of choosing a vendor goes through the following steps:

  • Find app development companies on such platforms as Clutch, The Manifest, etc.
  • Check the reviews of shortlisted companies
  • Study the portfolios and previous experience to make sure it matches your goals
  • Analyze capabilities and tech specialization
  • Get in touch with recent clients and ask for reviews

The image below presents a step-by-step process of finding an app development company. Following this step-by-step process, you will be able to find a vendor that knows how to start a streaming service.



Step 5: Decide on the Functionality for You Live Streaming App

Video streaming solutions can have several user roles:

  • Video consumer – end-user who watches the content on a streaming platform.
  • Video creator – this user role will be suitable for such solutions as YouTube or TikTok.
  • Content admin – this role applies to the administration of a streaming solution and should allow to moderate content, upload or delete videos, and perform other administrative roles.

Depending on the type of app you want to build, you might need to create an app for each of these user roles. The apps can have the following features:


  • Onboarding – such pages in an app help users get a grip on the app’s functionality and understand which main features it provides.
  • User registration – this is one of the basic and most important features of streaming services like Netflix. Registration via email or social media is the most convenient option for users.
  • Social sign up and sign in – the ability to log in with the help of social media.
  • User account – users can view their favorite videos, view history, add new ones to the list, update their user information, and control billing.
  • Search – an advanced content search that will allow users to filter content by genres, recommendations, release date, etc. Its main goal is to make the search easy and fast for end-users.
  • Reviews and ratings – the ability to rate content and leave video reviews.
  • Push notifications – can be used to notify users about new content releases, updates, and billing details.
  • Payment gateways – integration with Braintree, Stripe, PayPal, Apple, Google Pay, etc., to allow users to pay for content or subscription.
  • Settings – basic settings should include controlling sound level, activation of subtitles, play and pause options, selection of video quality, and playback speed.
  • Multi-language support – the ability to choose the language of video playback and turn on subtitles.
  • Screenshot ban – prevention of making screenshots and video recordings of the screen.
  • Geo-restriction – ban the use of the service from certain locations.
  • Download feature – ability to download content to the local storage of devices.
  • Admin panel – provides the ability for app admins to moderate content and users and perform other back-office operations.
  • Analytics – features for admins that help analyze how users interact with the application, which features they use, and what content they prefer.
  • Video quality selection – ability to choose the preferred quality of video content to watch.

The number of features you decide to implement directly influences the complexity of mobile app development and development cost. Thus, it might be reasonable to include only the most important and basic features in the first version of your application.



Step 6: Create UX/UI Design

If you wonder how to start a streaming service that users will love, there is no better way to gain their love than with a user-friendly interface. 

When you create a streaming service, don’t try to copy the visual representation of Netflix or any other service. The best decision that you can make for the future of your startup is to create a unique style that will make your app different from the competitive applications.

Step 7: Technologies to Create a Streaming Service

If you want to know how to start a streaming service like Netflix, you must understand which technologies are required to create such an application. Even though users don’t see this part of the app, building a streaming service with the right technologies is required for its proper functionality.

Below you can see an example of a tech stack that can be used to create a video streaming service.

Step 8: Marketing and Promotion

Knowing how to start a streaming service is not enough. Without a comprehensive marketing strategy, no one will know about your application. That’s why marketing and promotion should become integral parts of your strategy.

A compensative marketing campaign includes the following activities and stages:

  • Paid ads – will help to tell about your streaming application and get the first users.
  • SMM – the best way to connect with potential users and create a relationship with current customers
  • Influencer marketing – working with bloggers and influencers will allow you to connect with multi-million audiences.
  • SEO – search engine optimization tactics will help you promote your landing pages to show them in the first positions in search engines.
  • Events – you can promote your application at live events like conferences, meetings, etc.

Partnerships – you can cooperate with other startups and companies to promote your video streaming application at their events, among partners, etc.

Step 9: Gather Feedback & Plan for Improvements

After the first version of your app is released, gather feedback from the first users. This feedback will help you plan for further versions of your application.

Surveys, user interviews, and analytics data allow identifying points for improvement and advantages. This data should be used when you make plans for the features you will release in the future.

The below image represents a step-by-step process to create a streaming service


How Much Does It Cost to Start a Streaming Service?

After you decide how to start a streaming service, it’ll be easier to calculate app development costs.

When you create a streaming service, it takes a lot of time and financial resources. The more features you add, the higher will be the cost. The development process can also involve the creation of different apps for end-users and admins. Thus, the cost will grow even more.

An average video streaming app cost is estimated at ~$30,000 (for a single iOS or Android app). The development process usually takes 5-7 months for a single application.

Note: Please be aware that the above cost covers the development only of a single application with a basic set of features. The development time and cost can grow significantly depending on the number of features that need to be implemented. App development price doesn’t cover content creation and licensing costs.

How to Start a Streaming Service: Afterword

Now you have an idea about how to start a streaming service.

As you can see, the development of such an app is a complex process with multiple steps. If you decide to create a streaming service, your project will go through the development process, building business relationships with content licensing companies or content creators, marketing and promotion, and planning for future growth. How to Start a Streaming Service , How to Start a Streaming Service Like Netflix , Streaming Apps , Start a Streaming Service Like Netflix , Create a Streaming Service , Restaurant App development , Social Network App , Healthcare in Mobile


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Table of contents

A streaming service is an on-demand online entertainment service for TV shows, movies, and other video content. Those services were created as an alternative for cable TV and have gained popularity over the last few years.

Creation of a video streaming service is a process that consists of the following steps:

  • Legal registration and content licensing
  • Choosing an app development company
  • Deciding on the app’s functionality and tech stack
  • UX/UI designing
  • Planning for further app growth

Video streaming services offer a lot of opportunities for financial growth. Today, the market value is estimated at $50 billion. It’s predicted to multiply and reach over 184 billion in revenue by 2027.

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How to Start a Live Streaming Business

Live streaming business owners make money by broadcasting live video gaming footage on popular platforms while making use of ad revenue. Popular websites like Twitch.TV and Smashcast (formerly Azubu) create great platforms for gamers to share their content. By acquiring a large following, (500+ average for Twitch.TV) the player becomes qualified to become a partner for the live streaming site. The streaming site will pay based on the internet traffic for the individual’s channel. Live streaming channels also solicit donations from their fans.

You may also be interested in additional side hustle ideas .

Learn how to start your own Live Streaming Business and whether it is the right fit for you.

Ready to form your LLC? Check out the Top LLC Formation Services .

Live Streaming Business Image

Start a live streaming business by following these 10 steps:

  • Plan your Live Streaming Business
  • Form your Live Streaming Business into a Legal Entity
  • Register your Live Streaming Business for Taxes
  • Open a Business Bank Account & Credit Card
  • Set up Accounting for your Live Streaming Business
  • Get the Necessary Permits & Licenses for your Live Streaming Business
  • Get Live Streaming Business Insurance
  • Define your Live Streaming Business Brand
  • Create your Live Streaming Business Website
  • Set up your Business Phone System

We have put together this simple guide to starting your live streaming business. These steps will ensure that your new business is well planned out, registered properly and legally compliant.

Exploring your options? Check out other small business ideas .

STEP 1: Plan your business

A clear plan is essential for success as an entrepreneur. It will help you map out the specifics of your business and discover some unknowns. A few important topics to consider are:

What will you name your business?

  • What are the startup and ongoing costs?
  • Who is your target market?

How much can you charge customers?

Luckily we have done a lot of this research for you.

Choosing the right name is important and challenging. If you don’t already have a name in mind, visit our How to Name a Business guide or get help brainstorming a name with our Live Streaming Business Name Generator

If you operate a sole proprietorship , you might want to operate under a business name other than your own name. Visit our DBA guide to learn more.

When registering a business name , we recommend researching your business name by checking:

  • Your state's business records
  • Federal and state trademark records
  • Social media platforms
  • Web domain availability .

It's very important to secure your domain name before someone else does.

Want some help naming your live streaming business?

Business name generator, what are the costs involved in opening a live streaming business.

A high-speed Internet connection costs about US$50 to $100 per month. You will also need a gaming computer for about $1,000, with a high-resolution monitor(s) that costs around $350 each and game players with controls (Xbox, Wii, Sony PlayStation) for each type of game you want to play, which are around $300 to $400 each.

There is a 30-day free trial for Twitch.TV and after that, there is a monthly subscription fee of $5.99 to $10.99 per month depending on the features desired.

What are the ongoing expenses for a live streaming business?

The ongoing expenses are a high-speed Internet connection, updating gaming equipment and a computer with a high-resolution monitor(s), and buying the games (although sponsored streamers can get games for free). This is about fifty to several hundred dollars per month.

Popular streamers also typically hire one or more assistants to help manage the workflow of communicating with fans, talking with sponsors, updating website information, setting up paid appearances, and organizing attendance at conventions and gaming tournaments. Assistants make about $250 per week for part-time help.

Who is the target market?

The customers are video game enthusiasts who want to learn how to become better players by watching how professionals play certain games.

How does a live streaming business make money?

The revenues come from advertisements, profit-sharing from channel subscription fees, sponsorship, in-person appearances at events, and earnings from winning game tournaments.

Streamers who have enough followers to qualify as partners are allowed to have a subscription button on their individualized web page within the streaming system. Subscribers to their streaming channel pay a monthly fee of $4.99 for that certain channel and get to have special features as well. Around 50% of the $4.99 goes to Twitch.TV, while the other 50% is paid to the streamer.

Viewers can also give donations to the streamers they like. Streamers who are top-rated, with lots of followers, can get fees from sponsorship just like professional sports players.

How much profit can a live streaming business make?

Professional streamers, who have enough subscribers (500+) to become partners, make US$3,000 to US$5,000 per month for full-time streaming. This means playing at least 40 hours each week. Additionally, they earn a portion of the advertising revenues which equates to about $250 per 100 subscribers for each month. The highest paid and most popular streamers make over $300,000 per year.

How can you make your business more profitable?

In addition to having a streaming presence, it is important to create a following by posting videos on a YouTube channel. There are two video gamers in the top ten YouTube channels and they earn millions of dollars per year. Here are the latest figures reported by Forbes of the top ten highest paid YouTubers that are also gamers (at least part-time):

Mark Fischbach who goes by the name Markiplier on YouTube brought home a cool US$5.5 million during 2016 for his video commentaries on video games, along with his other eclectic content.

The Swedish PewDiePie who shows video snippets of himself playing video games and his comedic sketches was the top earner on YouTube during 2016 with an astounding US$15 million in revenues. He had over 13 billion views on YouTube during 2016 and lots of profits from his best-selling book, entitled “ This Book Loves You .” He also promotes mobile games. His latest game is “ Tuber Simulator .” It is the number one mobile game app in the Apple app store. It was so popular it crashed the servers due to the excessive demand.

Streamers who also become YouTube celebrities can make a lot of money from advertisements, sponsorship, endorsements, public appearances, and winnings in professional gaming tournaments.

Want a more guided approach? Access TRUiC's free Small Business Startup Guide - a step-by-step course for turning your business idea into reality. Get started today!

STEP 2: Form a legal entity

The most common business structure types are the sole proprietorship , partnership , limited liability company (LLC) , and corporation .

Establishing a legal business entity such as an LLC or corporation protects you from being held personally liable if your live streaming business is sued.

Form Your LLC

Read our Guide to Form Your Own LLC

Have a Professional Service Form your LLC for You

Two such reliable services:

You can form an LLC yourself and pay only the minimal state LLC costs or hire one of the Best LLC Services for a small, additional fee.

Recommended: You will need to elect a registered agent for your LLC. LLC formation packages usually include a free year of registered agent services . You can choose to hire a registered agent or act as your own.

STEP 3: Register for taxes

You will need to register for a variety of state and federal taxes before you can open for business.

In order to register for taxes you will need to apply for an EIN. It's really easy and free!

You can acquire your EIN through the IRS website . If you would like to learn more about EINs, read our article, What is an EIN?

There are specific state taxes that might apply to your business. Learn more about state sales tax and franchise taxes in our state sales tax guides.

STEP 4: Open a business bank account & credit card

Using dedicated business banking and credit accounts is essential for personal asset protection.

When your personal and business accounts are mixed, your personal assets (your home, car, and other valuables) are at risk in the event your business is sued. In business law, this is referred to as piercing your corporate veil .

Open a business bank account

Besides being a requirement when applying for business loans, opening a business bank account:

  • Separates your personal assets from your company's assets, which is necessary for personal asset protection.
  • Makes accounting and tax filing easier.

Recommended: Read our Best Banks for Small Business review to find the best national bank or credit union.

Get a business credit card

Getting a business credit card helps you:

  • Separate personal and business expenses by putting your business' expenses all in one place.
  • Build your company's credit history , which can be useful to raise money later on.

Recommended: Apply for an easy approval business credit card from BILL and build your business credit quickly.

STEP 5: Set up business accounting

Recording your various expenses and sources of income is critical to understanding the financial performance of your business. Keeping accurate and detailed accounts also greatly simplifies your annual tax filing.

Make LLC accounting easy with our LLC Expenses Cheat Sheet.

STEP 6: Obtain necessary permits and licenses

Failure to acquire necessary permits and licenses can result in hefty fines, or even cause your business to be shut down.

State & Local Business Licensing Requirements

Certain state permits and licenses may be needed to operate a Live Streaming business

  • Check with your town, city or county clerk’s office
  • Review Federal and State licenses and permits on the U.S. Small Business Administrative website.

Most businesses are required to collect sales tax on the goods or services they provide. To learn more about how sales tax will affect your business, read our article, Sales Tax for Small Businesses .

Intellectual Property Agreement

This live streaming company will operate through a partnership with a larger streaming platform which initially requires a prerequisite membership account to be able to post live streams.

  • By agreeing to the Terms and conditions of the Streaming Site (I.E Twitch ), you are agreeing to allowing users to view your intellectual property (Live Stream) even after the time that you post it.
  • Once the Partnership is established, this agreement holds a higher priority due to money being exchanged for a advertising space on the page where the video meets a minimum average number of viewers.

STEP 7: Get business insurance

Just as with licenses and permits, your business needs insurance in order to operate safely and lawfully. Business Insurance protects your company’s financial wellbeing in the event of a covered loss.

There are several types of insurance policies created for different types of businesses with different risks. If you’re unsure of the types of risks that your business may face, begin with General Liability Insurance . This is the most common coverage that small businesses need, so it’s a great place to start for your business.

Another notable insurance policy that many businesses need is Workers’ Compensation Insurance . If your business will have employees, it’s a good chance that your state will require you to carry Workers' Compensation Coverage.

FInd out what types of insurance your Live Streaming Business needs and how much it will cost you by reading our guide Business Insurance for Live Streaming Business.

STEP 8: Define your brand

Your brand is what your company stands for, as well as how your business is perceived by the public. A strong brand will help your business stand out from competitors.

If you aren't feeling confident about designing your small business logo, then check out our Design Guides for Beginners , we'll give you helpful tips and advice for creating the best unique logo for your business.

Recommended : Get a logo using Truic's free logo Generator no email or sign up required, or use a Premium Logo Maker .

If you already have a logo, you can also add it to a QR code with our Free QR Code Generator . Choose from 13 QR code types to create a code for your business cards and publications, or to help spread awareness for your new website.

How to promote & market a live streaming business

Social media is an effective way to promote your gaming skills. Joining Internet associations of video gamers and participating in game forums are great ways to establish a network of friends that like the same games. Another good strategy is to play games online with as many people as possible, in order to to get good at them and build up a following of those who respect your gameplay.

How to keep customers coming back

Making success as a streamer is about being popular on the Internet. Be respectful of your audience and play the games when you announce in advance that you will on the times that you say you will.

STEP 9: Create your business website

After defining your brand and creating your logo the next step is to create a website for your business .

While creating a website is an essential step, some may fear that it’s out of their reach because they don’t have any website-building experience. While this may have been a reasonable fear back in 2015, web technology has seen huge advancements in the past few years that makes the lives of small business owners much simpler.

Here are the main reasons why you shouldn’t delay building your website:

  • All legitimate businesses have websites - full stop. The size or industry of your business does not matter when it comes to getting your business online.
  • Social media accounts like Facebook pages or LinkedIn business profiles are not a replacement for a business website that you own.
  • Website builder tools like the GoDaddy Website Builder have made creating a basic website extremely simple. You don’t need to hire a web developer or designer to create a website that you can be proud of.

Recommended : Get started today using our recommended website builder or check out our review of the Best Website Builders .

Other popular website builders are: WordPress , WIX , Weebly , Squarespace , and Shopify .

STEP 10: Set up your business phone system

Getting a phone set up for your business is one of the best ways to help keep your personal life and business life separate and private. That’s not the only benefit; it also helps you make your business more automated, gives your business legitimacy, and makes it easier for potential customers to find and contact you.

There are many services available to entrepreneurs who want to set up a business phone system. We’ve reviewed the top companies and rated them based on price, features, and ease of use. Check out our review of the Best Business Phone Systems 2023 to find the best phone service for your small business.

Recommended Business Phone Service: Phone.com

Phone.com is our top choice for small business phone numbers because of all the features it offers for small businesses and it's fair pricing.

TRUiC's Startup Podcast

Welcome to the Startup Savant podcast , where we interview real startup founders at every stage of the entrepreneurial journey, from launch to scale.

Is this Business Right For You?

One prerequisite for a successful live streaming business is to have top-level gaming skills in order to gain a following of viewers who will take time out of their day to watch and learn gaming styles from the streamer.

Want to know if you are cut out to be an entrepreneur?

Take our Entrepreneurship Quiz to find out!

Entrepreneurship Quiz

What happens during a typical day at a live streaming business?

Each day a professional streamer needs to answer the comments and emails from fans and make updates on Twitter. Then, the streamer needs to update news and perhaps make a posting of previous game play on social media. After this, the streamer plays video games live for the audience to watch according to a preannounced schedule. The streamer may play continuously for many hours (up to 18 hours in a row).

The average gaming session is at least four hours long. It is best to play continuously to keep viewers interested and take as little time out for intermissions as possible. The most popular streamers usually eat and go to the bathroom without stopping the gameplay. The typical times of day for gameplay start in the afternoon and continue until late at night or even until the next morning.

What are some skills and experiences that will help you build a successful live streaming business?

The ability to play the video games extremely well is critical, along with the ability to make interesting comments that keep viewers intrigued. Moreover, having excellent skills at becoming an influencer on social media will help bring more viewers to your streaming channel. It helps to be very friendly with popular streamers. Some of the nicer ones will help smaller streamers gain an audience by making recommendations to their subscribers to check out the newbies’ streams.

What is the growth potential for a live streaming business?

Using Twitch.TV as our example, there are about 14,000 professional streamers on the system. Each month, Twitch.TV has about 100 million unique visitors. Dividing those visitors by the number of streamers, shows there are about 7,000 visitors per streamer. This number continues to grow each year.

Not sure if a live streaming business is right for you? Try our free Business Idea Generator and find your perfect idea.

TRUiC's YouTube Channel

For fun informative videos about starting a business visit the TRUiC YouTube Channel or subscribe to view later.

Take the Next Step

Find a business mentor.

One of the greatest resources an entrepreneur can have is quality mentorship. As you start planning your business, connect with a free business resource near you to get the help you need.

Having a support network in place to turn to during tough times is a major factor of success for new business owners.

Learn from other business owners

Want to learn more about starting a business from entrepreneurs themselves? Visit Startup Savant’s startup founder series to gain entrepreneurial insights, lessons, and advice from founders themselves.

Resources to Help Women in Business

There are many resources out there specifically for women entrepreneurs. We’ve gathered necessary and useful information to help you succeed both professionally and personally:

If you’re a woman looking for some guidance in entrepreneurship, check out this great new series Women in Business created by the women of our partner Startup Savant.

What are some insider tips for jump starting a live streaming business?

Successful live streamers are highly strategic and effective gamers. This allows them to excel above the competition. Others may be less adept gamers but capitalize instead on their unique personality traits, including a humorous voice, or offering clever commentary on their games.

How and when to build a team

The time to add an assistant is when the maintenance of the fan communication is interfering with the time needed to play the games online. Most streamers get one of their friends to help them as they become more popular.

If a streamer becomes a top earner there is plenty of money to share with an assistant. Working as a professional streamer, playing your favorite videos games with your best friend helping you is a dream job for many people. You have to be very good and stay motivated to be your best because the competition from other excellent game players is severe.

Useful Links

Industry opportunities.

  • Application for Twitch Partnership/ requirements to become a twitch partner (qualify for subscription/advertising payments)
  • Learn about more Online Business Ideas

Real World Examples

  • How Individual, large scale streamers help small-scale streamers grow in popularity.
  • Profile of a Successful Denver Streamer

Further Reading

  • How to set up a profitable live stream

Have a Question? Leave a Comment!

Untitled UI logotext

Step-by-step guide to launching your own streaming service

online video streaming business plan

Launching a streaming service is a big step for any business or organization, but with the right tools and strategies, it can be a highly effective way to reach and engage with your audience. Whether you're starting from scratch or looking to enhance an existing service, this comprehensive guide will help you get started on the right foot.

Step 1: Make a Strategy

The first step in starting a streaming service is to develop a detailed business plan. This should include information about the types of content you will offer, your target audience, your pricing and monetisation strategy, and your marketing and promotion plan.  In addition, you should conduct market research to understand the competition and identify opportunities for differentiation. This initial process should also include how you will need to acquire the content that your service will offer. This can be done through licensing agreements with content creators or partnerships with other companies. It's important to have a diverse and high-quality selection of content in order to attract and retain users. Moreover, you should have a plan for organising and promoting your content, so that users can easily find what they are looking for. 

Step 2: Make Technology Decisions ‍

Once you have a solid business plan in place, the next step is choosing the right software. There are a variety of options available, ranging from open-source solutions to commercial offerings, so it's important to do your research and choose a platform that meets your specific needs and budget. Some factors to consider include the features offered, the level of support provided, and the ease of use. Moreover, it is imperative to launch your service on a platform that boasts flexibility, scalability, and ease of use. This way, you can effortlessly adjust to evolving user requirements and business objectives. If you require assistance in determining the technology that best suits your needs, we recommend exploring our Solution Builder.

Step 3: Set Up the Infrastructure

Once you've chosen your software, it's time to set up the infrastructure for your streaming service. This includes setting up a server or cloud-based solution, configuring your network, and establishing a solid internet connection. It's also important to consider the storage and bandwidth requirements of your service, as this will impact the quality and reliability of your streams. ‍

Step 4: Create Quality Content

The content you provide is the foundation of your streaming service, so it's important to create high-quality, engaging content that your audience will love. This can include live streams, pre-recorded videos, and even podcasts. You may also want to consider partnering with content creators and influencers to reach a wider audience. ‍

Step 5: Promote Your Service

Promoting your streaming service is essential to its success. You can start by using your existing marketing channels, such as your website, social media, and email marketing, to reach your target audience. You can also consider partnering with other businesses and organizations to reach new audiences and expand your reach. ‍

Step 6: Monitor and Analyze Your Results

Finally, it's important to monitor and analyze your results to see what's working and what's not. You can use tools like Google Analytics, 3rd party analytic software and social media analytics to track your traffic and engagement, and make changes as needed to improve your results. ‍

online video streaming business plan

The Components You Need to Launch and Run a Streaming Service

There are a few key components that are needed for a streaming service to work. Let's dive into it! ‍

  • Video hosting - a server that hosts the video content. The streaming service will store the video files on one or more servers, and users can access these files over the internet. Among the most well-known video hosting services is Amazon S3 (Simple Storage Service), which is a cloud storage service provided by Amazon Web Services (AWS). It allows users to store and retrieve any amount of data, including video files, from anywhere on the internet. Amazon S3 is a popular choice for hosting video content due to its scalability, reliability, and security. It can handle large amounts of traffic and data transfer without any downtime. Additionally, it offers features such as encryption, data backup, and disaster recovery to protect the video content. ‍
  • A content delivery network (CDN) to distribute the video to users. A CDN is a network of servers that are located around the world, and they are used to deliver the video content to users as quickly and efficiently as possible. An example of a CDN provider is Akamai. It uses a global network of servers to deliver video content to users quickly and reliably. ‍
  • Encoding and transcoding technology to convert the video into a format that can be streamed over the internet. The video files will need to be encoded into a format that can be streamed, and the streaming service will use transcoding technology to convert the video into different formats depending on the user's device and connection speed. ‍
  • Security measures to protect the video content and prevent unauthorised access. Streaming services must implement a variety of security measures to protect their content and prevent unauthorised access, such as encryption, authentication, and digital rights management (DRM). ‍
  • Analytics and reporting tools to track user behaviour and performance. Streaming services need to track a variety of metrics, such as how many users are watching a video, how long they are watching it for, and where they are watching it from. This data is used to improve the service and make it more user-friendly. ‍
  • A user interface (UI) that allows users to browse and search for content. The streaming service will need to provide a user-friendly interface that allows users to browse and search for content, as well as manage their accounts and settings. This also includes a player that can play the video on the user's device. This player will handle tasks like buffering, seeking, and adapting the video quality to the user's connection speed. ‍
  • Recommendation algorithms to suggest content to users based on their interests and viewing history. Streaming services often use recommendation algorithms to suggest content to users based on their interests and viewing history. This can help users discover new content that they might like. ‍
  • Integrations with other platforms and services, such as social media, payment systems and other 3rd parties.  ‍
  • Monetisation - Monetization is an important aspect of running a successful streaming service. It refers to the various ways that a service can generate revenue from its content and user base. Different ways to monetise your video content includes: 
  • ‍ Subscription fees: Many streaming services charge users a monthly or annual fee in order to access their content. This is the most common monetization model, and it allows users to access all of the service's content for a flat rate.  ‍
  • ‍ Advertising: Some streaming services, particularly those that offer free content, make money by showing ads to users. This can be done through pre-roll ads (ads that play before the video), mid-roll ads (ads that play during the video), or post-roll ads (ads that play after the video).  ‍
  • In-app purchases: Some streaming services offer additional content or features that can be purchased within the app or website. This can include things like extra episodes of a TV show, exclusive content, or premium features.  ‍
  • Licensing and partnerships: Streaming services can also make money by licensing their content to other companies or by partnering with other companies to offer their content on their platforms. The specific monetisation strategy will depend on your service's business model and the type of content you will offer.

These are just some of the many technical details involved in building and running a streaming service. As you can see, there is a lot of technology and expertise required to make these services work effectively. ‍

Video Content Management For Streaming Services

Having a good video content management system (CMS) is another important part of a streaming service. The video CMS is the core of your streaming service ecosystem, and it acts as the central hub for all of your content, allowing you to efficiently organise and manage it. You can use a Video CMS to categorise your videos by topic, date, or any other criteria, and you can also use it to add metadata such as titles, descriptions, and tags to your videos. This can help your viewers search for and discover your content.

A good CMS can also help you track and analyse important metrics such as how many people are watching your videos and how long they are watching for, which can help you understand your audience and improve your content. Additionally, a good video CMS can help you manage the technical aspects of streaming. Streaming video requires a lot of bandwidth and can be affected by factors such as network congestion and device capabilities. A good CMS can help you optimise your videos for different devices and network conditions, ensuring that your videos are delivered to your viewers in the best possible quality. This can help you provide a high-quality viewing experience for your audience, which can help you retain and attract more viewers. ‍

Content Curation For Streaming Services

As part of a Video CMS you want the ability to organise and categorise your videos so that users can easily browse and search for what they are looking for. In addition, content curation abilities within a video CMS can help you promote the content. Such as highlighting the best and most popular content on the service, so that users are aware of it and can easily access it. This can improve the user experience for your viewers and ultimately help your streaming business succeed.  ‍

So, when looking for streaming technology, consider investing in a good CMS to help you manage and grow your business.

online video streaming business plan

Why You Should Buy Not Build Your Own Streaming Service

If you're at the point of considering launching your own streaming service, you may be wondering whether to go at it alone or enlist some help. Starting a streaming service can be a complex and challenging endeavor, and having support along the way can make all the difference. In the list below, we have outlined some of the key considerations to keep in mind.  ‍

  • Cost savings: Building technology from scratch can be a costly and time-consuming process. By buying existing technology, you can save money and avoid the costs of developing and testing the technology yourself. ‍
  • Access to expertise: If you choose to buy technology, you are also buying the expertise and experience of the technology's creators. This can be valuable, especially since the technology is complex or requires specialised knowledge. ‍
  • Faster time to market: Building technology from scratch can take a long time, which can delay the launch of your streaming service. By buying/licensing existing technology, a company can get your service up and running more quickly. ‍
  • Scalability: If your company needs for technology change or grow over time, buying existing technology can be more flexible and scalable than building it from scratch.

online video streaming business plan

How to Pick The Right Partners and Functionality for Your Streaming Service

If you have decided to enlist some help in creating your streaming service, there are several factors to consider when choosing the right partners and technologies.  ‍

  • Expertise and experience: Look for a technology partner that has experience in building and deploying the type of technology that you need for your streaming service. This can help ensure that the technology is well-designed and reliable. ‍
  • Flexibility and scalability: Your technology needs may change over time, so it's important to choose a partner that can adapt to your changing needs. Look for a partner that offers scalable solutions that can grow with your business. ‍
  • Integration capabilities: If you are using other technology or platforms in your streaming service, look for a partner that can easily integrate with them. This can help ensure a seamless user experience and avoid compatibility issues. ‍
  • Support and maintenance: Choose a partner that offers ongoing support and maintenance for their technology. This can be valuable if you encounter any issues or need help with updates or upgrades. ‍
  • Cost: Of course, cost is also an important factor to consider. Look for a partner that offers competitive pricing and flexible pricing options.

By considering these factors, you can choose the right technology partner for your streaming service. It's also a good idea to do some research and read reviews from other customers before making a decision.

How Vimond Media Solutions Can Help You Start a Successful Streaming Service

In Vimond we provide a range of services and technology solutions for the online video industry. We offer a comprehensive platform for starting and running a streaming service, including tools for video processing, content management, monetisation and delivery. Our technology has been carefully developed and refined over the past 10 years to help streaming services attract and retain users. 

To learn more about how Vimond can provide you value, you can check out some of our customer stories , or maybe you want to dive into the technical aspect? Simply just sign up for our docs! Either way, we are here to help, so don't be shy! Slide us a message! Or tell us your favorite movie, we are always on the lookout for movies and TV-series tips 📺🤓

Take Vimond for a spin!

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    online video streaming business plan


  1. The Benefits of Using an RTMP Server for Live Video Streaming

    In today’s digital age, live video streaming has become an incredibly popular way to engage with audiences in real-time. Whether you’re a business looking to reach new customers or an individual wanting to share your experiences, live video...

  2. Mastering the Art of Live Video Streaming: Tips and Tricks for Success

    Live video streaming has become increasingly popular in recent years, allowing individuals and businesses to connect with their audience in real-time. Whether you’re a content creator, influencer, or business owner, having a live video stre...

  3. The Benefits of Live Streaming for Small Businesses: What You Need to Know

    Live streaming is becoming an increasingly popular way for small businesses to connect with their audience. It allows them to broadcast live video content directly to their customers, followers and potential clients.

  4. How To Start a Video Streaming Business in 2024?

    Identify your niche: Determine the video content you will offer your audience. · Develop a business plan: · Choose a platform: · Acquire content: · Build your

  5. How to Build an Online Video Streaming Business in 2023?

    Thus, you should always have legal rights to the content (by creating or purchasing) you are planning to stream. You should ensure that you have

  6. Building a Live Streaming Business Plan

    Building a Live Streaming Business Plan · 1. Tell Your Brand Story. Live streaming gives you a platform to share your brand's story with your

  7. How to Start a Video Streaming Business

    This is a process that involves delivering live content to your target audience through various livestream hosting channels. It's a popular tool

  8. How to start a video streaming business

    Develop Your Video Streaming Business Plan ... With a good web app development company, create an online web page and market your video streaming

  9. What is a video streaming business plan?

    Steps to Create Your Own Video Streaming Service: · Step 1. Acquire Content Licenses: · Step 2. Create a Monetisation Model: · Subscription Video

  10. Series Streaming Platform Business Plan Presentation

    Join the streaming wars with this business plan template for a new platform! Edit it on Google Slides or PowerPoint and get ready to persuade some

  11. How to start an online video streaming business

    1. Subscription VOD model (SVOD). In SVOD, as the name suggests, users need to subscribe to a monthly or yearly membership plan to watch the

  12. How To Start A Streaming Service: Guide For App Ideas

    Finding a niche and USP · Creating a business plan · Content licensing · Finding a reliable app development vendor · Deciding on the video streaming app's

  13. How to Start a Live Streaming Business

    Live streaming business owners make money by broadcasting live video gaming footage on popular platforms while making use of ad revenue.

  14. Step-by-step guide to launching your own streaming service

    online video industry. We offer a comprehensive platform for starting