Here’s why Twitch is a BIG opportunity
Written by Paul Richards on May 3, 2018
Change is a funny thing. Often when I am presented with a radical new idea that’s contradicts my current understanding of the world, I shy away from the idea’s potential. I put the idea on a shelf and wait for more reassurance from people I respect and trust. When I first heard about Twitch, I thought, wow this is a cool live streaming community dedicated to people who like to live stream video games. I understood that Amazon owned the platform and may one day have bigger plans… But I put the idea on the shelf. This blog post is about uncovering the power of twitch especially for tech companies and creators!
Twitch launched it’s first beta in June of 2011 but has roots from acquiring Justin.TV which launched in 2007. This platform is by no means new. What is new is the migration of influencers, advertisers and content creators broadcasting on Twitch platform.
“The success of Twitch, which trails only Netflix, Google and Apple in online video traffic, epitomizes gamers’ embrace of technology.” -USA Today
Twitch is now a major media distributor ready to grow in the world known as OTT (Over the Top) entertainment. Twitch is moving far beyond video gaming, securing the rights to broadcast an 11 game package with the NFL. That’s right the National Football League! Through an aggressive shopping spree of licensing and technology related acquisitions Amazon has created perhaps the most interesting online live streaming platform.
So what’s so exciting about Twitch? First of all, it’s live streaming-focused which means the platform is all about community. Therefore the average Twitch user spends over 106 minutes on the platform which is much more than the average Facebook user. Amazon reports that there are 15 million daily viewers, a number that is increasing rapidly with the integration of Amazon Prime. Amazon is leveraging it’s massive Amazon Prime user base to offer premium Twitch features on the platform.
“It wouldn’t surprise me to see Twitch become the new Netflix, appearing on any system with an Internet connection and a few players willing to play live.” — Venture Beat
The platforms incredible feature list is astonishing when you look at competitors in the space which include Facebook, YouTube and Mixer. Twitch has a fully integrated monetary system which allows viewers to pay their favorite creators with a digital currency called “bits”. The platform includes an addictive ranking system which ranks frequent users and broadcasters alike. The entire platform has been “Gamified” which Wikipedia explains as “ the application of game-design elements and game principles in non-game contexts.” Users are flocking to Twitch and staying there because it’s fun, free and most importantly entertaining.
So why is Twitch a BIG deal for tech companies?
Twitch is a BIG deal for tech companies because of demographics. Gamers are actively using the latest in technology and many work in technology related fields. The active user base of Millenials, Generation X and Baby Boomers are a perfect fit for technology companies to advertise to. So what does this mean? There is a huge shift in advertising… How do you advertise to this audience? That is an idea for another blog post, but I can tell you it’s a BIG opportunity!
If you are interested in this type of content subscribe to our Twitch Channel here! The video above outlines some of our initial thoughts. We put our toes in the water… We found the waters are warm… and now we are jumping in. Feel free to come along for the ride by following us on Twitch and engaging with our community in the chat room!