The streaming wars have been the talk of the town for quite some time now, with viewers being spoiled for choice when it comes to the options at their fingertips. 

When you think of streaming, Netflix is usually the first thing that comes to mind — the service does have 208 million paying members after all. 

With this in mind, the number of competitors hoping to tap into that user base continues to grow by the day, with its biggest competitors being Hulu, Amazon Prime Video and Apple TV+. But what if these big brands aren't Netflix’s biggest competitors after all? 

You know it and you love it: YouTube is the world's biggest online video platform, and it is substantially responsible for the boom that the mobile streaming industry is experiencing. 

You heard that right — mobile streaming is where it's at. But why? Let’s find out:

The rise of mobile streaming

With every media house out there seemingly creating streaming platforms — think HBO Max and Disney+ — consumers are inundated with choices.

Amongst all this competition, a different kind of streaming has started to gain traction: mobile streaming

As is its nature, technology is evolving, meaning that the way we consume it is constantly changing as well. 

Over the past couple of years, mobile usage has increased, with the average consumer spending 3.7 hours a day on mobile devices in 2019, according to App Annie

If it baffles you as to why this type of streaming has become so popular all of a sudden, its appeal is clear; more and more consumers are gravitating towards this medium because they desire content on-demand and on the go

Consumer demand aside, this medium has also seen a surge because of an improvement in streaming quality. 

As mobile devices have evolved over the years, they have improved —and so have their abilities to stream. Now, consumers can watch high-quality content on their devices, which bolsters the demand for these streaming channels.

YouTube versus Netflix

YouTube has always been a popular social media app due to its variety of content and its accessibility. But in recent years, the video platform is cementing itself as a serious threat in the streaming wars, and to Netflix specifically. 

Need more proof? Let these stats do the talking: 
  • In Q1, Youtube reported a growth rate of 49%. This was double Netflix’s growth rate of 24%.
  • The video platform’s user base grew from 73% of American adults in 2019 to 81% in 2021.
  • 500 hours of content are uploaded onto the platform every minute.
  • YouTube monopolises 70% of the total time people spend on the top five entertainment apps (Tencent News, Tencent Video, iQIYI and Xigua Video).
YouTube’s domination is particularly impressive because its usage does not factor in Chinese users, as Google does not operate in China. 

As impressive as these statistics are, it is crucial to understand why this popular video platform is such a hit with consumers. 

This can be attributed to: 

An increase in user-generated content 

People are not only using mobile to watch series and videos on the move, but they are using these devices to create content as well. 

With the improvement in mobile technology and its increased accessibility, there has been a swell in user-generated content (UGG). 

Different monetisation options 

Another major draw of content streaming is that many mobile tech brands offer varied monetisation options. 

First and foremost, video streaming platforms, like YouTube, are free and this is a strong draw for consumers. Those who want to avoid ads can also pay a monthly fee to join the premium version of the app. 

A variety of content on mobile platforms

No matter what your interests are, there is a YouTube video that will tickle your fancy. 

This variety of niche content is a primary perk of the platform for consumers, as they like to have options to choose from. 

As successful as  YouTube is right now, it is important to note that it offers a completely different service to Netflix. 

Netflix generates its revenue through a subscription-based monetisation model while YouTube relies on advertising. Additionally, the streaming service also specialises in scripted and unscripted content, which differs from YouTube’s UGC-centric model. 

These differences in the platforms make it difficult to read who is the frontrunner in this streaming battle, as Netflix overshadows users in subscriptions but Youtube leads in the number of hours users spend on the platform

Why advertisers are going mobile

Marketers are starting to catch on to the increase in mobile usage, as it is reported that advertisers aimed to spend $240-billion on mobile ads in 2020

But this begs the question: Why exactly are mobile ads so successful? Well, this can be largely attributed to the increase in time users spend on their mobile devices. 

Marketers need to reach consumers where they are, and with the average user spending more of their time glued to these devices, it adds up that more and more advertisers are venturing into this space. 

Do you prefer streaming on Netflix or Youtube? Why? Be sure to let us know in the comments section below.

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If you want to learn more about the streaming industry, then be sure to check out Streaming versus pay TV: Which option is best?
*Image courtesy of Pixabay