11% Retention Rate Increase After Implementing Custom Multi-Bitrate Feature

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Advanced Hosting Team

In 2010, a major Funtech streaming client approached us to solve a critical issue: high abandonment rates due to video buffering on unstable connections. To address this, we became one of the first infrastructure providers to implement adaptive multi-bitrate streaming in our CDN – long before it became industry standard.

Industry

Funtech

Our client is a prominent streaming service in the Funtech industry. Its ability to provide smooth, uninterrupted video content directly impacts engagement and abandonment rate. Especially for viewers with weak or unreliable internet connections.

Challenge

When internet speeds fluctuate, video buffers or crashes, causing many viewers to abandon their sessions before the video finishes. This results in a poor experience, a higher bounce rate, and a significant drop in engagement – directly affecting ad revenue.

The client, who’d been using our CDN for optimized delivery, needed a way to retain viewers even under less-than-optimal network conditions without forcing them to compromise their experience by trying to pause and load the content. They approached us seeking an adaptable infrastructure-level solution that would eliminate buffering entirely.


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Solution

To fulfill this specific request, we decided to build multi-bitrate adaptive streaming into our Video CDN. This was in 2007 – long before many other providers began employing adaptive delivery. 

In fact, AH was among the first infrastructure vendors to embrace this advanced approach, enabling our CDN and, by extension, the clients’ video players to respond in real-time to changing network conditions.

This allowed the system to dynamically reduce or increase the video’s resolution – for instance, seamlessly dropping from full HD down to 480p – without interrupting playback.

To enable this functionality, we implemented:

Adaptive quality delivery. We prepared multiple copies of each video at different bitrates (Full HD, 720p, 360p, 240p, 120p), allowing the delivery algorithm to select the most appropriate one for each view. 

Automatic adjustment. The CDN was also configured to dynamically respond to changing network conditions, whether due to a weak connection or a move to a new location. This allowed us to minimize interruptions, reducing frustration and helping our client strengthen viewer engagement.

Optimized performance. This early innovation ensured the platform could serve a wide variety of videos across a range of devices – from low-end smartphones to high-definition TVs – ensuring broad accessibility and a consistent experience.

Results

This forward-thinking solution, implemented at a time when adaptive streaming was barely conceived by the industry, resulted in significant retention gains for the client. 

As is characteristic of our client-centric approach, we built what was then a custom feature to address the client’s needs. This effort translated into:

  • Higher user retention and watch time. By providing a superior, uninterrupted viewing experience, we retained users for significantly longer sessions, which directly correlated with greater ad revenue.
  • Enhanced customer satisfaction and competitive edge. Our early adoption of adaptive streaming, when buffering was frequently driving users away, gave our client a massive advantage in the funtech landscape.

Setting a standard for quality. This sophisticated feature paved the way for delivering a resilient, adaptable video experience under challenging network conditions – a precedent for many CDN vendors in subsequent years, solidifying our reputation as an innovator in the field.

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