Kudos on launching. BTW is this free? Last I checked it seemed quite CPU intensive to encode/decode long videos.
As for the CPU usage - it is quite intensive so we set up a Linode instance dedicated to processing the videos. It costs us $80 a month, but Linode throttles it automatically. That's nice because if a lot of videos are being created, it just means that they get created slower for everyone. But they don't fail.