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The Growing Trend Of Live Streaming Is Attracting Interest From Investors

Date: Friday, October 27, 2017 4:03 PM EDT

The current trend among most, if not all people who use a smart phone or tablet is live streaming. Live streaming is when users broadcast live video content using a camera and a computer through the Internet, and viewers to play the content via the web.

 

Among the many trends, live streaming is taking the world by storm with ample opportunities be a part of a growing community of users from all over the world. With popular apps like Periscope, Facebook Live (FB) and Kanvas or the infamous Snap Chat (SNAP), sharing and making new memories is just a click away.

 

But let’s take it a step further. What if you were able to make a living off of these apps by live streaming your best and worst moments and getting paid to do it? The only thing these apps take is percentage of platform fees.

 

Newer live streaming apps such as Peeks Social (PKSLF) offer a bit of a different model than your traditional live streaming platforms. The differences come in the form of a Mobile Wallet similar to Pay Pal (PYPL) or Crowd Funding, which gives users a chance sway their audience to raise the desired financial goal or something a bit more ecommerce-based.

 

This is where you, as a user have the platform to buy and sell digital and physical goods, just to name a few. The future of apps like this is definitely in a place where it will only continue to grow from this point forward.

 

The revenue that is generated by using these apps beyond the buying and selling of items is done so by various users and different advertisers & promoters. Advertisers will continue to invest heavily in online video, especially as live streaming video gains more traction. Already in the US, digital video ad revenue reached $7.8 billion in 2015, up 55% from 2014, according to figures from the Internet Advertising Bureau and they are only continuing to increase.

 

Live streaming video will further accelerate streaming video’s overall share of internet traffic. Streaming video accounts for over two-thirds of all internet traffic, and this share is expected to jump to 82% by 2020, according to Cisco’s June 2016 Visual Networking Index report.

 

So, from reading all of the above, it is pretty clear that the world of live streaming is only getting more popular as time goes on. Although live streaming is still in its early stages, brands are leveraging micropayments, mid-roll video ads and direct payments from social platforms in order to monetize their live streaming videos. As “social Media Boom 2.0” is underway, investors are starting to take notice and looking for ways to get involved.

 

Facebook (FB) initially opened the door for this market to truly hit the mainstream and where other social media companies looked to “copy cat” the social experience, Facebook excelled to perfect its monetization platform.  This spawned companies like Twitter (TWTR) and even Google (GOOG) early on, to focus on making money from a captive and very social audience. 

 

During the course of the last few years, there really hasn’t been a major market disruption as Facebook has been able to continue to evolve and build on its revenue model. But now you see companies like Snap, Inc. change the playing field a bit and take the “see it live” experience even further. 

 

It has also changed the “attention span” of users as well.  Where people used to think a recorded video on YouTube that lasted one minute was a short video, now advertisers are trying to achieve the same within 30 seconds or less.

 

This is where multiple ways of monetizing streaming video becomes important and now, Peeks Social could be the next company to make a move toward the cutting edge.  It hasn’t just come down to live streaming entertainment but also live streaming entertainment that offers “streamers” a way to make money from “tips” or even sell merchandise through affiliate marketing, It also allows viewers to benefit from “live specials” or be part of exclusive events through the platform.  For Peeks Social, they take a cut of everything.

 

This concept has been used in the past but to the extent that Peeks has embedded it into the entire app ecosystem could be a first, especially for investors looking for a new trend in social media.  In the end, will it become another budding social media stock or could it be primed for a potential situation of M&A?

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