Julia Stoll
Research expert covering TV and video media
Content strategies of video streaming services - statistics & facts
Neither the new season of “Ted Lasso” nor “The Mandalorian” from the Star Wars universe, but a TV show from the 2010s has broken several viewing records in 2023. Available since mid-2023 on Netflix, “Suits,” a series about corporate lawyers starring Meghan Markle before she became the Duchess of Sussex, was by far the most watched acquired streaming series that year. This case proved that formerly popular TV shows which are no longer running on broadcast TV can get a new life on video-on-demand platforms. However, in today’s saturated streaming market it became clear that providers need more than one content strategy to win the battle for the most customers and the highest profit.
Video streaming services are constantly looking for innovative ways to engage their customers to navigate an industry that is more competitive than ever. While originals are becoming old news, the future belongs to remakes and adaptations.
Fewer originals, more licenses
Content is crucial to video streaming services - the top reasons for consumers to subscribe to a certain streaming platform are content related. For years, providers have spent an ever-increasing amount on their productions. So-called originals were widely talked about, with Netflix being the trailblazer in providing new own programming on a regular basis. However, it turned out that costs were too high and viewership too low for providers to continue to put all their eggs in one basket. While some companies now reduce costs by removing content from their libraries and cancelling series after one or two seasons, many services count on licensed TV shows and movies. Instead of premiering on their own platforms, experts in the industry expect that producers will sell more of their content to third parties. In fact, despite originals still being the most popular content type across all providers, an analysis found that the consumers’ time spent on licensed content increased recently, with the share of monthly viewing hours on Netflix’s original programming declining between the first and the second half of 2023. This demonstrates a shift in consumer behavior.Betting on known brands and high-quality TV shows
Reinventing old content is also a practice for many movie studios and TV producers. While Disney recently boosted the share of its movies belonging to an existing franchise or brand, also video game adaptations have become increasingly popular among streaming services and consumers alike. According to a report from the second half of 2023, viewing numbers of “The Super Mario Bros. Movie” and “Sonic the Hedgehog 2” on Netflix soar, reaching over 60 million hours watched. Furthermore, to compete for the viewers’ attention, better and larger highlights are needed. These are often lavishly produced and much anticipated series, such as “The Lord of the Rings: The Rings of Power” on Amazon Prime Video or the historical drama “Shōgun” on Disney+.Video streaming services are constantly looking for innovative ways to engage their customers to navigate an industry that is more competitive than ever. While originals are becoming old news, the future belongs to remakes and adaptations.
