The internet has changed the way we access video and audio content. We no longer have to switch between TV channels; instead, we can select what we want to watch from a catalogued list. VOD (video on demand) is the umbrella term for this, and businesses can choose from a variety of revenue models if they go this route. The top two are AVOD vs SVOD, AVOD (Advertising Video on Demand) and SVOD (Subscription Video on Demand).
What is SVOD?
Subscription video on demand allows users to pay a monthly fee in exchange for unlimited access to a massive catalogue of audio or video content for the duration of the subscription. This OTT video monetization model is very similar to traditional TV packages, except that the content is much more curated and can be categorised for niche industries or general audiences.
What is AVOD?
AVOD stands for ad-supported video on demand. Users can access video content for free using this OTT monetization method. However, similar to broadcast television, they will have to sit through targeted advertisements in order to access that content, which becomes a revenue stream for the platform owner. By far the most well-known example of AVOD advertising is YouTube, where ad revenue is used to offset the costs of production, hosting, and delivery.
It’s really great breakdown for taking the time to put best video streaming platform with the revenue model. Its very helpful for people who looking to start their own VOD platform. It’s much appreciated.