Generative AI: 5 trends that will impact the future of OTT and video streaming platforms
By Manish Sinha, Vice President & Business Head, Media & Entertainment, TO THE NEW
Generative AI is driving a wave of awe and hype across the world these days. We have all been amazed by the phenomenal capabilities of ChatGPT. In visual space, there is hardly anyone whose social media feeds have been immune to the artistic creativity of Midjourney AI tool rolling out captivating images of people in different multiverses.
In this article, we will explore five key trends that are set to shape the future of OTT and video streaming platforms, showcasing real-life examples of how generative AI is driving innovation and unlocking potential and opportunities for those in the media and entertainment space.
- Rise of Citizen Content Creators
Generative AI is empowering individuals with original story ideas, enabling them to build content faster and more efficiently. This trend opens doors for citizen content creators who can harness the power of AI algorithms to improve their storytelling techniques and enhance post-production processes. Platforms like TikTok have witnessed an explosion of user-generated content, showcasing the creativity and impact of citizen content creators.
- Foster Experiences and Creativity
Generative AI significantly reduces the cost and barriers to testing and experimenting with newer experiences, content formats, and visuals. This trend enables content creators to explore uncharted territories and push creative boundaries. Netflix, known for its data-driven approach, leverages generative AI algorithms to understand viewer preferences and create personalized content recommendations. By analyzing user behavior and content consumption patterns, Netflix tailors its offerings, resulting in fresh perspectives and captivating experiences.
- Improved User Experience
One of the most significant advantages of generative AI is its ability to enhance user experiences. Through personalized recommendations, enhanced content discovery, and seamless operations, generative AI drives higher engagement, viewer satisfaction, and platform growth. Spotify, the popular music streaming platform, utilizes AI algorithms to curate personalized playlists based on individual preferences, listening history, and contextual factors. By providing tailored music recommendations, Spotify offers an enhanced user experience, keeping listeners engaged and loyal to the platform. With generative AI algorithms, understanding user requirements will improve substantially due to better cognitive recognition, and hyper-personalization strategies will see more efficacy, resulting in longer viewing sessions and increased platform usage.
- Optimizing Monetization Strategies
Generative AI can analyze vast amounts of data related to user behavior, purchase history, demographics, and market trends. By identifying patterns and correlations, it can uncover hidden insights that can inform monetization strategies. By simulating various pricing scenarios and predicting customer responses, it can even identify pricing strategies that maximize revenue or profit margins. Furthermore, generative AI enables the creation of novel and innovative content formats. For example, it can generate virtual reality experiences, interactive narratives, or personalized advertisements.
- Continuous Supply Streams
Generative AI enables the entertainment industry to meet the evolving demands of audiences by producing a wider range of content that caters to diverse interests and preferences. The collaboration between generative AI and content creators will ensure a seamless content supply chain. Faster production cycles, improved processes, rapid experimentation, and an overall improved understanding of customer behavior and expectations combined with liberalization of content creation will create a continuous supply to keep users engaged and involved.
In a nutshell, generative AI presents a unique opportunity for first movers in the media and entertainment industry. By embracing the trends of citizen content creators, fostering experiences and creativity, improving user experiences, optimizing monetization strategies, and enhancing the content supply chain, businesses can gain a competitive edge and position themselves as leaders in the ever-evolving digital landscape. As the industry continues to evolve, those who seize the potential of generative AI will undoubtedly shape the future of OTT and video streaming platforms, providing an unparalleled entertainment experience to audiences worldwide.
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