How Are Video Streaming Platforms Retaining Their Users
Over-the-Top (OTT) services have now become the preferred source of entertainment for everyone. The global OTT market is expanding rapidly and is expected to attain USD 1,039.03 billion by 2027, growing at a compound annual growth rate (CAGR) of 29.4% from 2020 to 2027.
Given the intense competition in this saturated industry, prominent streaming platforms like Netflix, Amazon Prime Video, and Sony Liv place equal emphasis on maintaining long-term relationships with their existing subscribers as they do on attracting new ones.
And the emerging streaming businesses are curious about how these giants do it. Don't worry if you're one of them; this blog will walk you through on how to keep your current customers interested.
What is Subscriber Retention?
Subscriber or user retention is a metric that measures how long your existing customer decides to stay with your OTT platform.
A high retention rate means your users are happy with your service and will renew their subscriptions.
The Rise of Subscription Members
OTT platforms have risen dramatically in recent years, and India is expected to be the second largest OTT market after the USA. India's OTT active paid subscriptions are currently 148.2 million, as per Ormax Media's 2025 study.
With 15,000 original movies and shows available worldwide, Netflix has maintained its subscriber base to this day. It has a user retention rate of about 98.2%.
Key User Retention Strategies
User retention is the key to your video streaming business’ success. Consider the following effective approaches to maintain the long-term engagement of your current subscribers:
1. Integrate Serialized Dramas
Video streaming giants offer an extensive range of high-quality content, with serialized dramas taking the lead.
A serialized drama is a show that consists of multiple episodes, each of which ends in a way that makes viewers want to watch the next one. Stranger Things, Game of Thrones, Squid Game, The Boys, etc., are all serialized dramas.
2. Bundling Subscriptions
Instead of selling individual subscriptions, many OTT platforms partner with telecommunications service providers like Airtel and Reliance Jio. Bundling subscriptions allows users to purchase many subscriptions at a discounted rate compared to subscribing to individual platforms, resulting in a more affordable option.
Airtel introduced a prepaid pack of ₹279 for one month that includes subscriptions to over 25 popular OTT sites, including Netflix, JioHotstar, Zee5, and SonyLiv.
This strategy enhances user retention as people are less likely to cancel a bundle package that offers so much value for a low price.
3. Personalised Recommendations
Personalised recommendations can make your existing customers’ viewing experience more gratifying. Streaming services utilize artificial intelligence (AI) and machine learning (ML) algorithms to evaluate their viewing patterns and interests, and recommend the best shows. This way, the retention rate grows by 40%.
Amazon Prime Video never fails to amaze its consumers with its personalized touch, while constantly keeping its valued members' requirements in mind.
4. Flexible Pricing Models
Most platforms come with a budget-friendly package, meaning, they have flexible price options. These streaming services provide a variety of pricing tiers (different levels of membership plans) to cater to different types of customers while keeping their budget in mind.
Netflix, for example, offers a variety of pricing options with no advertisements, making it ideal for those looking for a more reasonable option.
5. Focus on Regional Shows
OTT platforms offer more than just streaming; they now focus on creating videos catering to the global non-Hindi speaking community. There is a growing number of regional OTT providers that produce their native content, such as movies, series, and documentaries. Among the well-known OTT services in this field are Planet Marathi OTT (Marathi content), Chaupal (Punjabi, Haryanvi, and Bhojpuri movies), Aha (Telugu and Tamil), and SainaPlay (Malayali).
With over 13 million subscribers in 2020, Hoichoi has emerged as the top on-demand video streaming platform, offering original Bengali shows.
6. Intuitive User Experience
An intuitive user experience is important for a successful streaming service. It ensures that every user can easily find and enjoy their favorite content without interruption.
Skara provides the tools and framework to overcome these challenges. It enables you to build a truly intuitive interface, providing a superior viewing experience. By focusing on personalization and a seamless user journey, Skara empowers streaming providers to maintain long-lasting relationships with their audience.
7. Gamification for Everyone
Including interactive features enhances user retention rate by 42%. To make your existing customers feel more valued, you can integrate gamification features. Challenges and quests are effective ways to engage users. For example, you could create a weekly challenge in which users must watch a certain number of episodes from a specific series within a set time limit. And whoever completes the task within the specified time frame will be rewarded with early access to videos or gift them exclusive items.
They can even be ranked on leaderboards for viewing content or given badges as rewards.
8. Customer Support
Your customers are more likely to continue using your streaming services if you offer immediate assistance to them. They get the impression that you truly care about your users and run your service not just to generate revenue.
Plus, sending emails and notifications tailored to their tastes is another option. But do not overload their phones with messages. Suppose, based on their viewing history, you can send a push notification informing them that the second season of a particular series they were watching is now available. In this way, you build a connection without annoying them.
9. Building a Community
More than just offering a content library, you build a community where like-minded people connect. Users are more inclined to stick with your service if they feel like they're part of something greater.
You can interact with your subscribers and ask for any improvements, which will improve their overall experience. They can also message you privately if they encounter any technical issues.
Communicating with your users encourages them to share their positive experiences with friends and family, which in turn helps convert their acquaintances into devoted members.
Wrapping Up
As additional streaming platforms emerge, the race for user retention is more intense than ever. Platforms that leverage these smart strategies are the ones that win. Skara assists you in this race, providing the tools to turn your vision into a reality. From building intuitive, user-friendly interfaces to robust community forums, Skara helps you seamlessly launch your own branded OTT platform and build a loyal audience that keeps coming back.
FAQ
Q: Why is user retention so crucial in the video streaming industry?
Retaining users is key to long-term success. It ensures a consistent revenue stream and builds brand loyalty, which is more sustainable and profitable than constantly acquiring new customers.
Q: What role does user experience play in retaining subscribers?
User experience is crucial for retaining subscribers. A user-friendly interface, seamless navigation, and quick loading times can significantly enhance viewer satisfaction and encourage them to stay subscribed.
Q: Do streaming platforms offer any incentives for long-term subscribers?
Definitely. Many streaming platforms provide incentives such as loyalty rewards, early access to exclusive content, or bundled services to reward long-term subscribers and encourage continued loyalty.
Q: How do streaming platforms personalize content for their users?
Streaming platforms use AI and ML algorithms that analyze viewing habits and preferences, allowing them to recommend shows and movies tailored to each user’s tastes, making the experience more enjoyable.
