Are Video Streaming Services Losing Their Footing?

There was an amazing point in the 21st century when we all collectively realized that streaming was the way forward. While we were used to owning massive collections of DVDs or heading over to Blockbuster every few days to keep the roster fresh, suddenly being able to access hundreds or thousands of titles (most of which were familiar, and some of which we actually wanted to watch) from our own homes, ad free, with just one subscription payment per month was pretty revolutionary.

After that, many more companies followed in Netflix’s footsteps. What started as one became two, and then five. Now, in order to watch that movie we really feel like seeing, we have to manually check every single one of our platforms to see if it’s available – which, all too often, it isn’t. Geo-restrictions and a constantly changing lineup of shows and movies (and we won’t even mention the series cancellations) mean that we barely know what’s available to use, and what we’re subscribing for.

So, perception really started to change. And, what began as a vague nostalgia for the video rental days has now evolved into something quite a bit more…decisive. More and more users seem to be cancelling their subscriptions to streaming platforms like Netflix and HBO Max, opting to put their faith in just one of the many platforms in existence today – trusting they will have enough content to keep them going for a month – and walk away from the expectation that we can all access more content than any person could watch in several lifetimes, all of the time.

Is this a turning point?

Potentially, but it’s really too soon to say either way. The shift away from over-subscribing to these platforms is being driven largely by the repeated price hikes and the introduction of advertisements to paying customers – something that streaming was supposed to do better than regular cable tv.

But another part of the puzzle lies in content management issues, whereby the streaming platforms simply haven’t perfected the art of showing users exactly what content their subscription gets them access to. Netflix and its competitors have too many titles to expect users to scroll through the selection. While that may have been something users did in the first few weeks of subscribing, it’s unlikely many of us are willing to invest more than a minute or two into scrolling.

How can content be organized better?

There are plenty of examples of platforms that have managed to perfect the algorithm and turn a massive content library into something manageable and intuitive. The leading online casinos are a strong example of this, since they can house hundreds or even thousands of different titles, and face stiff competition from competitors to capture users’ interest and ensure that the most relevant content is front and center. If the algorithm can appreciate that a user prefers bingo-style games, then it can confidently suggest a live alternative like Monopoly Big Baller and prevent them from getting lost in the scroll.

Being able to do that is just as important as having an expansive content library in the first place.

The same goes for traditional game platforms like Steam. They make no secret of the fact that multiple algorithms are working in tandem to ensure suggestions aren’t just generic or loosely based on a user’s account history, but genuinely targeted.

If the streaming sites can do that, then that’s half the battle being fought from the front. The other half is figuring out a way to meet profit targets without ads…