How Much Do Stream Overlays Really Matter?
A lot of streamers use overlays as a way to further engage an audience. It is believed that offering a stunning visual can accentuate a broadcast on platforms like Twitch and YouTube. But how much do stream overlays really matter, in the grand scheme of things?
Unfortunately, there is no apparent case study that denotes whether overlays are good or bad. A lot of viewers like the visuals, while others couldn’t care less. What it truly boils down to is how those overlays are used, the personality of the streamer, and the quality of the content.
If you have a poor online persona, no flashy overlay is going to rescue your channel. Most viewers want to be entertained.
What is a Stream Overlay?
A stream overlay is a graphic or set of graphics displayed over top of the gaming or video footage. These images could include boxes around the streamer’s camera, a graphic to highlight the most recent follower, animations that trigger when an action is taken, and more.
You can create overlays to accentuate the game, such as using a horror theme while playing Diablo. You can also create an overlay to accentuate your brand, such as by adding logos and website/store information.
Overlays can offer an extra level of content during the stream, but there are no case studies or statistics that denote whether they improve viewership in any regard. But that’s not to say there are no benefits.
Overlays are relatively easy to make, especially if you have any experience using apps like Photoshop, Gimp, or Photopea. However, there are many free overlay websites on the Internet where you can find some interesting and potentially attractive designs.
5 Pros of Using a Stream Overlay
Although some speculate that overlays offer greater engagement, I have yet to see scientific evidence to support the theory. If you are curious as to whether overlays work on your stream, I suggest experimenting with your channel.
With that being said, some of the pros that experts point out for stream overlays include:
Displaying Important Information
Stream overlays can be used to promote a wide range of important information you wish to share with viewers. This could include things like:
- Social media handles
- Website URLs
- Images of products you’re selling
- Charity banners
- Channel branding information or logos
- News or events tickers
These are just a few benefits of a stream overlay off of the top of my head. In reality, you can create a graphic to share with viewers for any purpose imaginable. It all depends on what you want to divulge to your audience.
For instance, I always have the Extra Life banner across the top when I stream for charity donations. I’ve also seen a lot of streamers include their social media handles in the hopes of growing their audiences on those platforms.
Recently, I interviewed an author on my writing channel and included a QR code to his new book in the overlay.
Separate You From Other Streamers
One of the most common comments is that using overlays is a way to separate you from other streamers. As the market for live streaming is highly saturated, anything that helps you stand out in a crowd is beneficial.
However, others might argue that overlays play a very small role and it’s your personality and video quality that will separate you from the chaff.
In truth, it will depend greatly on your audience and how you engage them. There are popular streamers who don’t utilize anything more than a webcam and gameplay that drive viewers simply because of their personalities. There are no flashy graphics or logos…just the person or persons playing the game.
Regardless, a unique graphic may deliver a sense of individuality and recognition for those who are enamored by overlays and active screens.
Professional Appearance
A well-designed stream overlay may boost a professional appearance. Humans are a species that are attracted to visual stimuli. That’s part of the biggest reason why a lot of streamers will use overlays in the first place. And a great design could give the stream an added boost for professionalism.
This relies heavily on the design, of course. You can’t just slap anything into an overlay and expect people to throw money at you. Even the most simple designs can be effective in engaging the right audience.
Design is such an important aspect for some that it’s helped a lot of designers make a lot of money over the years. So many streamers want to have that attractive, professional appearance but don’t have graphic design skills to make it happen. Luckily, it’s quite easy to find apps or human designers that deliver some incredible work.
I’ll go over a few of the websites to find free overlays in a moment.
Incentivizing Actions Such as Donations
Stream overlays can help incentivize people to take certain actions. For example, a lot of streamers will use animated overlays from Streamlabs when they receive a new follow or a donation. These are displayed during the stream which can prompt others to take a similar action to see it on screen themselves.
Again, there is no scientific data that correlates to this being the case other than anecdotal evidence. That is unless you take into account the psychology of FOMO. Still, from a psychological point of view, it may have some merit.
Another example is the animated “tip jar” from Streamlabs. This graphic drops certain icons into a tip jar depending on the actions of the viewers. It’s a fun way to entice others to join and conduct a specific action themselves.
There are a lot of ways you can incentivize actions through overlays. A lot of it has to do with providing an interactive experience, meaning you are making viewers part of the show.
An Added Layer of Fun
Lastly, overlays can add a layer of fun to the experience of watching your live streams. For instance, when playing retro game consoles, I’ll embed the stream in an old-style CRT television set overlay from the 1980s. Add in some 8-bit font texts and you can recreate a lot of nostalgia.
It’s a unique way to not only stand out in the crowd but add a lot more fun to the visual of the stream itself.
As streaming gets more and more popular every year, more companies and developers are creating things that go well beyond simply watching gameplay. You’re only limited by your imagination, but there are a lot of things you can add to the video to make it more fun for the viewer.
For Twitch users, there is a huge list of extensions to accentuate the live stream.
Of course, that is all subjective. What’s fun for one person may be the bane of someone else. But the same can be said about the streamer’s personality. You can’t please 100% of the people 100% of the time.
In any case, interactivity and visual appeal have the potential to deliver an entertaining stream.
Where to Find Free Stream Overlays
There are quite a few places online where you can find free overlays. The problem is that many of them are not saved as PNG files and will need to be adjusted to remove their backgrounds. That is unless you spend the time to make them an underlay, which is a bit different.
Essentially, an underlay is a background that you place the game, camera, and other elements on top of.
Regardless, you can find free graphics for your stream from:
- Canva
Unless you’re a premium member, you cannot save overlays as a PNG and will most likely have to use them as an underlay during the live stream. - StreamElements
StreamElements is essentially Streamlabs competitor, and they have a few free overlay templates that are quite attractive. - Streamlabs
Streamlabs has several functions for your stream, which include free overlays that are easy to set up in Streamlabs Desktop+ (formerly Streamlabs OBS). - GamingVisuals
Although it has a small selection of graphics compared to others, some of the layouts in GamingVisuals are quite attractive. - kudos
There are a lot of interesting designs over at kudos. You can get more than just overlays as the packages can also include stream alerts, offline banners, and more. You just don’t have a lot of free designs to choose from.
These are just a few of the sites available. You can simply search for “free twitch overlays” to find a lot of websites out there promoting visual effects for streams.
Experimenting with Your Channel
If you’re not sure what method works best for you, why not experiment with your channel? Try a few streams with different variations or with no overlay at all and keep an eye on the data. Both Twitch and YouTube have analytics that are helpful with this kind of experimentation.
For instance, on YouTube, you’d want to keep an eye on the total watch time of your stream and the average view duration, not necessarily the number of views. Watch time will tell you whether people are watching the stream or not. Average view duration tells you the average number of minutes each viewer consumes during your stream.
NOTE: You can see the average view duration in the backend of YouTube during the stream. However, it will change once the live stream becomes a VoD (video on demand) as it will start collecting data of being a regular video instead.
Twitch is a bit more complicated because it doesn’t directly provide average view time. Instead, you’ll have to access the Engagement function in Twitch analytics and take a look at the “Minutes Watched” metric. It works in a similar fashion to YouTube’s Average View Duration.

In any case, try running several streams using a single overlay or without. You’ll need more than a few streams with specific layouts to collect enough data to give you a better idea of what viewers want from your live streams.
For instance, if you’re a daily streamer, go an entire week without an overlay. Then, run the next week with an overlay that you’re curious about using…and so on.
The bottom line is the more data you collect, the more accurate the results.
What is Your Favorite Streaming Visual?
There are all kinds of things you can do to a livestream to add flair. But don’t let someone tell you that you’re not successful because you don’t have an overlay. There is no concrete evidence to support the claim aside from personal experience and unrelated psychological nuance.
And as I pointed out, a lot of streamers are quite successful without having fancy graphics. Success as a streamer comes down to two critical elements: the quality of the content and the personality of the streamer.
Sure, the argument can be made that adding overlay graphics might improve the stream’s quality. I’m not talking purely from a graphic standpoint, though. Topics you talk about, the games you play, the video quality of the stream itself, the sound, and more are in that category as well.
Most people are there to watch you, the personality.
Experiment with a few things on your channel and find something that works best for you and your audience.
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