Video streaming has changed the world forever. Especially after COVID-19, video has become ubiquitous in everything we do.

We are now wired to find out a new recipe on YouTube, learn an exercise or two from YouTube instructors, watch our favorite show on NetFlix, play an immersive video game with friends, or get a live consultation from a doctor. We do all of this using high-quality live and on-demand video streaming services.

According to Forbes, the video streaming industry will grow rapidly, with revenue projected to reach $43.97 billion in 2024 and $54.22 billion by 2027, reflecting an annual growth rate of 7.53%.

As a video streaming app development company, we have seen a meteoric rise and adoption of live and recorded (on-demand) video streaming in every space.

This article explores various

• Type of video streaming
• Business use cases for live and on-demand video streaming apps across industries
• Showcases top apps for live and on-demand video streaming
• Highlights essential and advanced features
• Discusses tech stacks
• Offers guidance on working with streaming service providers
• And, shares insights from our experience as a video app development company

Types of Video Streaming

Video streaming technology has transformed the way we consume content, allowing for real-time interaction and flexible access to recorded media. Here’s a look at the two main types of video streaming:

Live Video Streaming

Live video streaming involves broadcasting video content in real-time to viewers over the internet. This technology is widely used across various applications, including live events, gaming, webinars, and corporate meetings.

Did you know that platforms like Twitch and YouTube Live attract staggering numbers of monthly active users?

In 2023, Twitch alone recorded over 140 million monthly active users, underscoring the immense popularity and widespread adoption of real-time content consumption.

This demonstrates the significant role live video streaming plays in engaging audiences and fostering interactive experiences online.

On-Demand or Recorded Video Streaming

On-demand or recorded video streaming allows users to watch content whenever they choose.

Live Video Streaming

Live video streaming involves broadcasting video content in real-time to viewers over the internet. This technology is widely used across various applications, including live events, gaming, webinars, and corporate meetings.

Did you know that platforms like Twitch and YouTube Live attract staggering numbers of monthly active users?

In 2023, Twitch alone recorded over 140 million monthly active users, underscoring the immense popularity and widespread adoption of real-time content consumption. 

This demonstrates the significant role live video streaming plays in engaging audiences and fostering interactive experiences online.

On-Demand or Recorded Video Streaming

On-demand or recorded video streaming allows users to watch content whenever they choose. 

On-demand video streaming platforms such as Netflix, Disney+, and Amazon Prime Video offer vast libraries of movies, TV series, and documentaries.

As of Q1 2024, Netflix reported approximately 270 million subscribers globally, marking an increase of 9 million from Q4 2023. 

This growth underscores the widespread appeal of on-demand streaming services, which provide flexibility and convenience to viewers worldwide. The on-demand streaming market continues to expand, driven by increasing internet penetration and the growing popularity of digital entertainment options.

Use Cases Of Live Streaming Apps

Educational

Live Classes and Webinars: Educational institutions can conduct live classes, webinars, and workshops, allowing remote students to participate in real time.
On-Demand Learning: Recorded video lectures and tutorials can be accessed anytime, providing flexible learning opportunities for students and professionals.

HealthTech

• Telemedicine and Virtual Consultations: Healthcare providers can offer live video consultations with patients, providing remote healthcare services efficiently.
• Health Education and Training: Recorded videos can be used for health education, training sessions, and instructional content for medical professionals.

Entertainment

• Live Events and Performances: Entertainment venues can stream live concerts, shows, and sporting events to a global audience, increasing accessibility and viewer engagement.
• On-Demand Movies and Shows: Recorded movies, TV series, and performances can be offered for on-demand viewing, catering to diverse entertainment preferences.

Enterprise and Corporate Communication

• Internal Meetings and Trainings: Enterprises can conduct live streaming of internal meetings, training, and corporate events, facilitating communication and collaboration among employees.
• Company Updates and Announcements: Recorded videos can be used for CEO messages, company announcements, and employee training modules, ensuring consistent communication across the organization. ## Examples of Businesses Using Live Video Streaming Apps

Shopify

Shopify's Live Shopping App is a powerful tool for merchants to engage with their customers in real time.

Features

• With the app, merchants can host live streams on their Shopify store, allowing customers to watch and interact with them in real time.

• The app allows merchants to broadcast live streams to social media platforms like Facebook, Twitter, and YouTube.

• Shopify merchants report a 17% conversion rate from live-stream shopping events.

Udemy

Udemy is an online learning platform that provides customers a convenient and effective way to learn new skills and gain knowledge through its live streaming service.

Features

• Through this service, users can access a variety of courses, tutorials, and lessons taught by experts from a range of disciplines.

• The service creates an engaging and interactive learning experience.

Target

Target Live is an innovative shopping feature that allows customers to purchase their favorite items in real-time.

Features

• The feature provides shoppers with a wide range of product information, including product descriptions, images, and pricing.

• The app also features a live chat feature, allowing customers to ask questions and get help from Target's customer service team.

World Bank

The World Bank Live platform is an interactive platform that provides a wide range of services, including interviews, market analysis, and discussions with global audiences.

Features

• Customers can use this platform to access information and resources related to financial services, such as banking and investment.**

• People can receive answers from experts and have a transparent and engaged banking experience.

Fhitting Room

Fhitting Room is High-Intensity Interval Training (HIIT) studio that provides on-demand and live-streaming classes for users to get an intense full-body workout.

Features

• The live streaming classes allow users to perform challenging workouts from the comfort of their own homes.**

• The live classes are pre-recorded. So users can access them anytime.**

Faith and Spiritual

Live Religious Services: Churches, temples, and religious institutions can stream live religious services, ceremonies, and sermons to remote congregations, fostering community engagement.
On-Demand Spiritual Guidance: Recorded videos of sermons, spiritual teachings, and inspirational messages can be accessed by followers for spiritual guidance and reflection.

These use cases demonstrate how Live Video Streaming and Recorded Video Streaming apps can serve diverse industries and purposes, enhancing communication, education, entertainment, and community engagement across various sectors.

On-demand video streaming platforms such as Netflix, Disney+, and Amazon Prime Video offer vast libraries of movies, TV series, and documentaries.

As of Q1 2024, Netflix reported approximately 270 million subscribers globally, marking an increase of 9 million from Q4 2023.

This growth underscores the widespread appeal of on-demand streaming services, which provide flexibility and convenience to viewers worldwide. The on-demand streaming market continues to expand, driven by increasing internet penetration and the growing popularity of digital entertainment options.

What are the essential features of an MVP for a live streaming app?

When building a Minimum Viable Product (MVP) for a live video/on-demand video Streaming app, consider integrating these key features:

1. User Authentication and Profile Creation: Allow users to sign up, log in, and create personalized profiles.
2. Create and Schedule Streams: Enable users to start live streams or schedule them for later.
3. Real-Time Video Streaming and Playback: Provide smooth, high-quality live streaming and on-demand playback.
4. Interactive Features: Include basic chat or comment functionality for real-time interaction.
5. Notification System: Notify users about new or upcoming streams and on-demand content.
6. Basic Analytics: Track key metrics like viewership, engagement, and video performance.
7. Social Sharing: Let users share live and on-demand videos on social media.
8. Monetization Options: Support revenue generation through donations, subscriptions, or ads.
9. Moderation Tools: Use AI to help manage user comments and enforce community guidelines effectively.
10. User-Friendly Interface: Ensure the app is intuitive and easy to navigate for all users.

If your MVP succeeds, you will be keen to enhance the software with more advanced features.

What are the advanced features you should implement for a live-streaming app?

To enhance the user experience and functionality of a live streaming app, consider implementing these advanced features:

Low-Latency Streaming: Minimize the delay between live events and when viewers see them. This creates a more real-time experience, crucial for live interactions.

Live and On-Demand Chat: Enable real-time chat for live streams and allow comments on recorded videos. This promotes interaction and community building among viewers and creators.

Adaptive Bitrate Streaming: Automatically adjust video quality to match the viewer's internet speed. This ensures smooth playback for users with varying bandwidths, maintaining a seamless viewing experience.

Viewer Analytics: Provide detailed insights into viewer behavior for both live and on-demand content. Analytics like engagement, retention, and drop-off rates help content creators understand and improve their performance.

Multiple Camera Angles: Offer viewers the ability to switch between different camera angles during live and recorded streams. This feature can make the experience more dynamic and personalized.

Monetization Options: Incorporate various monetization strategies such as ads, subscriptions, or pay-per-view for both live and on-demand videos. This can incentivize content creation and enhance the app's revenue model.

Cross-Platform Compatibility: Ensure the app works seamlessly across multiple devices, including desktop, mobile, and smart TVs. This widens the audience reach and provides flexibility in how viewers access content.

Virtual Backgrounds and AR Filters: Allow streamers and content creators to use augmented reality (AR) filters and virtual backgrounds. This can enhance visual appeal and engagement for both live and recorded videos.

Screen Sharing: Enable screen sharing for live streams, useful for presentations, tutorials, and educational content. This feature can enhance the instructional value of the app.

Interactive Overlays: Add interactive elements such as graphics, polls, and quizzes to live and recorded videos. These overlays can make the content more engaging and participatory.

Content Recommendations: Use AI to suggest both live streams and on-demand videos based on user preferences and viewing history. This helps in keeping users engaged and discovering new content.

Content Segmentation: For recorded videos, allow creators to segment their content into chapters or sections. This makes it easier for viewers to navigate and find specific parts of the video.

Download for Offline Viewing: Provide the option to download on-demand videos for offline viewing. This enhances accessibility and convenience for users who want to watch content without an internet connection.

Implementing these advanced features can significantly improve the functionality and user engagement for a live video/on-demand video streaming app, catering to both live streaming and recorded video needs.

Benefits of a Live Video Streaming App

A live video streaming app allows for real-time interaction, creating dynamic and engaging experiences for both content creators and their audiences. Here are the key benefits:

Real-Time Engagement: Live streaming facilitates instant communication. Viewers can comment, ask questions, and participate during live sessions, making the experience highly interactive.

Immediate Feedback: Content creators receive instant reactions from their audience, enabling them to adjust their content or engagement strategies in real time.

Higher Engagement Rates: Live videos often generate more interaction and a sense of urgency, as viewers are compelled to join and engage during the broadcast.

Improved Authenticity: The unedited nature of live streaming makes it feel more genuine and relatable, fostering trust and connection with the audience.

Increased Reach: Live streaming can attract a global audience. With internet access, anyone can tune in from anywhere, breaking down geographical barriers.

Event Promotion and Urgency: Live streaming is ideal for promoting events, product launches, or announcements, driving real-time interest and participation.

Cost-Effective Communication: It offers a budget-friendly way for individuals and businesses to broadcast events or engage with audiences without costly production setups.

Monetization Opportunities: Live streaming can be monetized through ads, sponsorships, donations, or pay-per-view, creating immediate revenue streams during broadcasts.

Enhanced Customer Relationships: Engaging directly with your audience in real time can strengthen relationships and foster loyalty.

Benefits of an On-Demand Video Streaming App

An on-demand video streaming app provides flexibility and convenience, allowing users to consume content at their own pace. Here are the key benefits:

Flexible Content Consumption: Users can watch videos anytime, anywhere, fitting content consumption into their schedules rather than adhering to live broadcast times.

Accessible Content: Content is available long after it’s created, providing ongoing value and the ability to reach audiences over time.

Diverse Revenue Streams: On-demand content can be monetized through subscriptions, ads, or pay-per-view models, providing sustained revenue opportunities.

Increased Reach: On-demand streaming allows content to be accessible globally, expanding your audience without the constraints of live streaming schedules.

Higher Viewer Retention: Users are more likely to finish watching videos at their convenience, leading to better engagement and retention rates.

Enhanced Brand Awareness: Regularly updated on-demand content keeps your brand visible and top-of-mind for users, promoting long-term engagement.

Cost-Effective Content Delivery: It eliminates the need for continuous live production setups, making it a budget-friendly way to maintain a library of content.

Content Control and Quality: Creators can edit and polish their videos before making them available, ensuring high-quality, professional content.

In-depth Analytics: On-demand platforms provide detailed viewer data and analytics, helping creators understand and optimize content based on user preferences and behaviors.

Tech stack to build a live video/on-demand video streaming app

Find some of the common tech stacks we use in building a high-performance live video/on-demand video streaming app below:

Follow these 9 steps to build a live video/on-demand video streaming app

Creating a streaming app involves understanding and addressing the distinct needs of live and on-demand video services. Here's how to navigate the process:

Step 1 - Identify Your Target Audience

Understanding who your app is for is the foundation of your project.

Whether you're targeting live viewers who value real-time interaction or on-demand users who prefer flexibility, knowing their demographics, interests, and preferences helps design features and content that resonate with them.

This tailored approach enhances user engagement and retention.

Step 2 - Assemble a Skilled Team

Building a live or on-demand video streaming app requires a team with expertise in video streaming technology, UI/UX design, backend development, and monetization strategies.

Ensure your team can address the specific challenges of live streaming, such as low latency and real-time interaction, or on-demand streaming, like content delivery and user experience.

Step 3 - Choose Monetization Strategies

Select monetization models that align with your audience's needs and your app's capabilities.

Consider options like pay-per-view, subscriptions, and live ads for live streaming.

For on-demand streaming, explore subscriptions, in-app purchases, ad-supported content, or offering premium access to exclusive videos. These strategies not only generate revenue but also enhance the value proposition for users.

Step 4 - Select a Content Delivery Network (CDN)

A robust CDN is critical for delivering smooth streaming experiences.

The CDN should support low latency for live streaming to minimize delays during broadcasts.

For on-demand streaming, focus on CDNs that efficiently cache and distribute large volumes of video content. Your CDN choice should accommodate your app's growth and ensure high-quality video delivery worldwide.

Step 5 - Opt for a Reliable Hosting Service

Your hosting provider must support high uptime, fast load times, and strong security.

For live streaming, ensure the service can handle peak traffic during live events.

For on-demand streaming, the focus should be on consistently fast delivery of video content, regardless of user demand spikes.

Step 6 - Choose a Scalable Storage Solution

For live streaming, storage solutions should efficiently handle real-time video data, including recordings for later viewing.

For on-demand streaming, select storage that can manage large volumes of pre-recorded, high-quality videos. Prioritize scalability, speed, and security to provide a seamless user experience.

Step 7 - Design an Engaging UI/UX

Create an intuitive and attractive interface tailored to your audience's needs.

For live streaming, emphasize easy access to live events, real-time interaction features, and notifications.

For on-demand streaming, focus on smooth navigation, personalized content recommendations, and easy access to a video library. An engaging UI/UX boosts user satisfaction and retention.

Step 8 - Test Your Minimum Viable Product (MVP)

Develop an MVP to test the core features of your app.

For live streaming, ensure real-time video delivery, low latency, and interaction functionalities work seamlessly.

Focus on video playback quality, load times, and user navigation for on-demand streaming. Collect feedback to refine and enhance your app before full-scale development.

Step 9 - Iterate and Improve Your Application

After launching your app, gather user feedback and monitor performance metrics.

Continuous enhancement of real-time interaction capabilities for live streaming reduces latency and improves broadcast quality.

Refine content discovery, playback quality, and user personalization for on-demand streaming.

Regular updates based on user insights and market trends will keep your app competitive and engaging.

What are some of the common live streaming concerns?

Some of the most common live streaming concerns include:

Buffering and Lag: Video streaming apps may suffer from buffering or lag issues, causing delays or interruptions in the video playback.

Audio and Video Quality: Low-quality audio and video can detract from the viewer experience, affecting their enjoyment of the content.

Bandwidth Limitations: High-demand live events may strain available bandwidth, leading to buffering or degraded video quality for viewers.

Compatibility Issues: Users may encounter compatibility issues with their devices or web browsers, preventing them from accessing or enjoying the live stream.

Tips to ensure high-quality live streams

To provide a positive user experience, consider the following tips:

• Optimize Encoding Settings: Use appropriate video encoding settings to balance between quality and bandwidth efficiency.
• Choose a Reliable CDN: Choose a good CDN for video streaming that will be able to withstand pressure on large traffic and deliver videos.
• Monitor Network Conditions: Keep track of network conditions and adjust bitrate dynamically to maintain stream quality during fluctuations.
• Test Across Devices and Platforms: Ensure compatibility across all the platforms (mobile, make the stationary; TVs), browsers (Chrome, Mozilla Firefox and so on).
• Implement Adaptive Bitrate Streaming: Offer adaptive bitrate streaming to automatically adjust video quality based on the viewer's internet connection speed, ensuring a smooth viewing experience.
• Preventive Maintenance: Regularly update software, servers, and CDN configurations to prevent potential issues and optimize performance.

By addressing these concerns and implementing best practices, you can enhance the quality and reliability of your video streaming app, improving user satisfaction and engagement.

Cost to create a video streaming app

The cost of video streaming app development can vary widely based on factors such as complexity, desired features, and the expertise of the video streaming app development company.

Entry-level apps that offer core functionalities of on-demand or recorded video streaming cost between US $15K and US $25K.

However, applications that involve real-time live video streaming streaming and other features such as interactivity and are located on large scalable platforms may cost over US $25K+.

For an accurate estimate tailored to your specific needs, it's recommended to approach a reputable live video streaming app development company.

We can evaluate your project requirements comprehensively and provide a detailed cost breakdown based on the complexity and scope of development. This approach ensures you receive a precise estimate aligned with your budget and objectives.

Monetization strategies for a live video streaming app

It is imperative to note that when developing live video streaming apps, monetization has to be well employed. Here are several approaches to generating revenue:

Advertisements: Monetize through implementing ads in pre-roll, mid-roll, or post-roll of the live-streams through the pay-per-click or the pay-per-view model. It may involve a banner ad, video ad, sponsored content mentioning the brand’s name in the content, among others, making it possible to have several ad placements.

Subscription-Based Model: You can offer unique content or limited streaming of the event via paid subscription services. This can generate a constant flow of income and encourage the user to pay for the additional content, value, or features.

Pay-Per-View Model: Charge viewers to access specific live events or content on a pay-per-view basis. This strategy works well for special events, webinars, or exclusive live performances where users are willing to pay for access.

In-App Purchases: Provide options for users to purchase virtual goods, such as custom stickers, emojis, or other interactive features during live streams. These microtransactions can add a fun, engaging element to the user experience while generating additional revenue.

Brand Partnerships: Collaborate with brands to feature their products or services during live streams. This can be through sponsored content, product placement, or brand shout-outs, creating a mutually beneficial revenue stream.

Donations: Enable viewers to donate to content creators during live streams. This not only provides a direct revenue source but also enhances audience engagement and loyalty, fostering a supportive community around the content creators.

Merchandise Sales: Shirts, mugs, or any other item with the picture or logo of your app or video/web content can be sold to the public to generate income. This is not only a source of earning money but also plays a role in publicizing the app and people’s awareness of the brand.

The mentioned tactics should be considered to ensure your live video streaming app development project generates a sustainable and profitable business model by applying at least one of the presented monetization strategies. Each strategy can be used individually, depending on the target audience’s needs and preferences regarding the app.

Our learnings and key takeaways as a video streaming app development company

Drawing from extensive experience in video streaming app development across diverse industries, we've distilled essential insights that can empower entrepreneurs and business leaders aiming to launch their own video streaming apps. These principles are designed to offer practical guidance and enhance the success of your venture in today's competitive digital landscape.

Embrace Technological Advancements: Utilize cutting-edge technologies like RTMP for low-latency streaming, HLS for adaptive bitrate delivery, and WebRTC for real-time communication to ensure scalable and reliable streaming experiences tailored to your audience.

Enhance User Experience: Prioritize intuitive interfaces and innovative features to boost user engagement and retention. Implement personalized recommendations, interactive elements, and seamless cross-platform integration to elevate user satisfaction.

Implement Effective Monetization Strategies: Explore diverse monetization models such as subscription plans, ad-based revenue, and pay-per-view options to maximize revenue while maintaining a seamless user experience, ensuring sustained profitability.

Adopt Agile Development Practices: Embrace Agile methodologies like Scrum to deliver projects efficiently, respond swiftly to market demands, and uphold high-quality standards through iterative development cycles.

Ensure Robust Security Measures: Implement stringent security protocols to protect user data and intellectual property across all platforms, ensuring compliance with industry standards and maintaining a secure environment for content delivery.

Accelerate Time-to-Market: Streamline development processes to reduce time-to-market significantly. Adopt an agile approach to enable rapid prototyping, testing, and deployment, empowering you to seize market opportunities promptly and effectively.

Focus on Customer-Centricity: Incorporate user feedback to tailor your app to user preferences, enhance usability, and foster long-term customer satisfaction and loyalty. This customer-centric approach ensures your app meets the needs of your audience effectively.

Harness AI and Machine Learning: Leverage AI-powered technologies for content recommendations, predictive analytics, and audience segmentation. Enhance user engagement and retention by delivering personalized experiences and optimizing content delivery based on user behavior and preferences.

By integrating these insights into your video streaming app development strategy, you can enhance its competitiveness and success in today's dynamic digital environment. Embrace these principles to create a compelling and user-centric video streaming experience that resonates with your audience.

Our works

Real-time video and audio app for team collaboration

Worx Squad revolutionized remote team collaboration with its comprehensive video platform tailored for seamless virtual interactions.

By enabling real-time video and audio communications, the app facilitated effortless team engagement. Integration of immersive 3D virtual rooms, personalized alerts, and smooth content sharing enhanced collaboration effectiveness, supporting teams to stay connected and productive irrespective of location.

Worx Squad's innovative approach redefined remote teamwork, offering a unified platform that bridges communication gaps and fosters efficient collaboration in distributed work environments.

Know more about the project >>

Video streaming app for remote theaters

Remote theaters in India, grappling with the limitations of physical film reels, sought a solution for timely and diverse content delivery.

A custom Android app was built, enabling over 4,000 theaters to seamlessly stream live broadcasts of new releases.

This initiative streamlined content distribution, enhanced accessibility, and overcame challenges posed by unreliable internet connections through optimized streaming capabilities and robust security features.

Know more about the project >>

Conclusion

In conclusion, developing a live video/on-demand video streaming app presents challenges that can be effectively navigated with the right SDKs and APIs.

Partnering with a skilled video streaming app development company like RaftLabs can streamline this process, offering flexible team adjustments and expert engineers who excel in meeting project timelines.

Whether you're launching a new app or enhancing an existing platform, RaftLabs provides the technical expertise to elevate your business and deliver a top-tier streaming experience to your audience.

Originally published at https://www.raftlabs.com.