Video On Demand Meaning: What is VOD? What Does VOD Stand For?
Published On August 9th, 2024 How To
The global over-the-top services market has significantly driven the growth of various streaming companies.
As the demand for Smart TV app development continues to rise, newer innovations.
And advancements in Internet penetration, smart TV, mobile, and 5G infrastructure are set to further fuel the streaming marketplace, with a particular focus on original content production.
Nevertheless, a number of Smart TV app development companies in the market offer a remarkable platform that engages consumers with bigger screens, delivering a grand viewing experience.
Also, these apps provide users with enhanced surround sound, leading to positive adoption rates, especially after the outbreak of the pandemic.
VOD (Video on Demand) is the present and future of the broadcasting industry. A report by Conviva suggests that video on demand is viewing up 155% year-by-year with an average of 17.1 minutes spent per session.
A recent survey by Hubspot revealed that people prefer video overall & other forms of content including infographics, blog posts, and also emails.
Cisco Systems predicts that 70% of people will own mobile devices by 2024, and consequently, the demand for 4K/UHD video content will double up.
These statistics clearly show that video on demand is on the rise. It is currently one of the most profitable businesses to tap into.
This article discusses the VOD platform model in-depth and how businesses can benefit from it.
Table of Contents
What is VOD?
Video-on-demand (VOD) is a technology that allows for the immediate delivery of video content, such as films and TV series, to individual subscribers.
It encompasses all varieties of user-requested on-demand video content.
These might be expensive movies, TV show archives, sporting events, or concerts. Besides that, it might also contain user-generated video content.
Pay-per-view and subscription models (monthly, half-yearly & annual) are typically used to monetize VOD services.
Looking into how does it all work, we come to know that on demand, which also abbreviated as VOD or Video on demand allows viewers to watch a movie or television show whenever it is convenient for him or her’s schedule.
Viewers can pause, play, fast-forward, rewind, and also re-watch the show as many times as they want with On-Demand.
VOD Meaning
Video on Demand provides an interactive technology for delivering video-based content such as movies, television shows.
Basically, VOD streaming allows individual viewers to watch a video from a content library for immediate viewing which can be accessed on their TV, personal computer, mobile phone, or any other device
Individual viewers to watch a video from a content library for immediate viewing which can be accessed on their TV, personal computer, mobile phone, or any other device.
The VOD service is offered by the means of a cable, telephone provider, or broadband and provides viewers with the option to pause, play, rewind, or fast forward the video as per their wish.
Video-on-demand has 3 core advantages. It allows viewers to:
Take a glimpse of 3 core video-on-demand advantages. It facilitates users to:
Watch At Any Hour – Allow your users to play content at any time they prefer.. Unlike “linear” TV auto programming, where VOD is not dependent on a planned timetable.
Take Liberty To View Favourites – Viewers have more opportunities to handpick and select what they want to watch, in comparison to traditional pre-scheduled viewing.
Keep Media Controls in Hand – Users can play, stop, rewind, quick forward, and also totally control how they watch content. Along these lines, they’ll miss nothing significant.
Why Video on Demand is Important?
The significance of top video on demand platforms lets you know when favorite movies, TV shows can be watched at your own convenience instead of pre-scheduled watches that are decided earlier by traditional TV providers in both cases of cable & satellite.
Let’s imagine that you are owning a DVR from your service providers that facilitates you to record and also playback any TV show, series or programs like sports, movie etc.
Surely, the fact can’t be ignored if any movie at any date & time can be broadcasted to enjoy them leisurely.
Video on demand services gives its users features that allow them to easily create content that is available all over the world.
How Does Video On Demand Work?
VOD functions through the storage of content as compressed digital files on a centralized server. Viewers navigate a menu via their device, selecting content, which may be available for free or require payment. Upon selection, the server promptly initiates the streaming of the chosen program. This seamless process ensures easy access to a wide range of content.
A Video on demand platform works in the following steps.
- The video is converted into digital format and stored in a video server.
- It is then compressed and transmitted to the viewer via broadband or cable.
- After reaching its destination, the video is decoded and extracted via the set-top box and stored on a video server in the viewer’s device.
- The viewer can now watch the video and also control its playback speed and other aspects (start, pause, stop) at their convenience.
Videos streamed this way using VOD offer superior streaming quality with a personalized watching experience
How Does VOD Makes Money?
Like it is previously mentioned about VOD’s definition that’s On-Demand typically sends packets of data retrieved from server hosting video content that is delivered to your advanced video player.
Providers of VOD usually create impactful video on demand content to make money with primary two models & they are advertising video on demand (AVOD) & subscription video on demand (SVOD).
Recommended Reading: How To Build A Billion-Dollar Video On Demand (VOD) Website?
Different Types of VOD Models to Choose
The success of a VOD business depends on the content strategy and also the monetization model chosen. With the right revenue generation method, one can achieve their monetary goals along with building and popularizing their brand.
The success of a VOD business depends on the content strategy and also monetization model chosen.
With the right revenue generation method, one can achieve their monetary goals along with building and popularizing their brand.
As a content owner, you may be wondering….
VOD streaming platform with full integration that allows people to easily upload and monetize online video content.
How well to use and also extract maximum revenue by using VOD. Then, let me tell you are at the right place, where you can find several ways to convert video content & make incredible profitability.
Here are the top three video monetization model to earn revenue from your offerings:
1. TVOD or Transactional VOD
What is TVOD? Transactional video on demand is based on a pay-per-view monetization model and best suited for the most popular videos with small video libraries.
Here, the viewers purchase or go for digital renting for the specific content they want to watch.
The TVOD business model is further divided into two categories – EST (Electronic Sell Through), where the viewers get permanent access to the content on a one-time payment, and DTR (Download to Rent).
In which they’ll have to pay a smaller fee to access the content for a scheduled period of time.
Examples of TVOD monetization models are Google Play, iTunes, etc.
2. SVOD or Subscription VOD
The subscription video on demand is the most popular monetization model for varied content creators in order to broadcast with large video libraries.
Here, the viewers subscribe to a video service for a certain period of time (weekly, monthly, yearly) to access its content.
Once the viewers pay the SVOD platform, they are eligible to surf unlimited content on their online video library.
The subscription plans auto-renewal and also cancel at any time by the viewers. Examples of SVOD vs AVOD are Netflix, Hulu, Amazon Prime, etc.
3. AVOD or Advertising VOD
What is AVOD? The advertising video on demand is another popular monetization model that uses ads for earning revenues.
Here, the viewers stream the content for free but stressed to watch ads as well.
The VOD ads are classified into three categories: – Pre-roll (plays at the beginning), Mid-roll (plays in the middle), and also Post-roll (plays at the end).
The AVOD business model generates a good amount of revenue that gives a large viewer base. Examples of AVOD monetization models are YouTube, Daily Motion, etc.
Why Your Business Should Use VOD ?
The modern busy lifestyle calls for a system that is equally flexible to suit the viewers’ needs. Video on demand (VOD) services provide enhanced accessibility to audiences and also enough time for creators to perfect their videos for release.
What is a VOD? Video on demand, refers to any content distribution platform that allows viewers to choose when, where, and how they watch media.
The modern busy lifestyle calls for a system that is equally flexible to suit the viewers’ needs.
Video on demand services provides enhanced accessibility to audiences and also enough time for creators to perfect their videos for release.
Take a look at some of the main reasons why businesses should use VOD for their growth.
● Convenience
VOD allows customers to consume the content as per their wish. There are no restrictions on time and place, and the viewers can watch as many videos as they want.
Unlike a traditional broadcasting service, VOD app services are not limited to geographical locations and viewers can stream content from worldwide.
Furthermore, VOD businesses do not have any contractual obligation and also provide customers the flexibility to discontinue the service at any moment.
● Online Community and Passion
With VOD, creators can build communities around their videos and the industry they are passionate about.
This creates better engagement and a sense of belongingness among the viewers. And if the content is good, it leads to increased business success and also earnings.
● Source of passive income
Create a video subscription platform, provide a regular income to the service provider, so they don’t need to focus on picking up customers each day.
One can easily increase the customer base with the reference of their online community.
This allows the creators to invest more of their time and also resources into creating quality content and positioning themselves as an authority in their industry.
As a result, customers are more willing to buy from them at a premium price.
● Control over your variety of content
By creating the best online video platforms, creators have complete control over their content. They can create whatever they like for whoever they want.
One can create videos on the go and also share them with the world while being their most authentic selves.
● Monetize your current fan
If you have a large social media following, you can direct it to your existing online space and turn your followers into viewers.
With an increase in the number of viewers, the popularity and also revenue of the business will also increase.
● Unlimited Customers & Accessibility
Creating a unified platform is much better, as it is accessible through a variety of devices.
Audiences can log in to their account from any laptop/computer or mobile phone with a single click and also start streaming their favorite videos.
VOD inclined services are also capable of providing content to unlimited customers. Thus, maximizing their revenue potential.
● Ad-Free Entertainment
Nothing irritates viewers more than ads during video streaming. In fact, many viewers are ready to buy premium memberships to surf ad-free content online.
VOD services help businesses deliver a smooth ad-free streaming experience that helps to build a loyal audience base.
Recommended Reading
How to Get Started With VOD Streaming?
Creating your own VOD platform is one of the best decisions that you can take to upscale your business. It is not only useful for providing VOD services but also facilitates business communication, education, training, and much more.
It is not only useful for providing entertainment services but also facilitates business communication, education, training, and much more.
Indeed, we can definitely say that VOD is an opportunistic niche with a huge market. And, therefore there are endless possibilities in 2024 for you to start a video on demand service of your own with every tryout..
So, let us start from the first step here:
- Create Unique Video Collection .
- Discover Your Niche
- Obtain Streaming Rights.
- Finalize on revenue models.
- Build a top video streaming website.
- Upscale via Mobile
- Boost Content with Marketing Funnel
Step 1: To get started with your business, the first thing that you need is to create a strong library of videos to make the audiences’ invest in your digital entertaining store worthwhile.
Step 2: If you are looking to grab the attention of a heavily crowded space, it becomes necessary to do something that others are not doing.
And that would be creating uniqueness with your own niche found. In other words, decide on your business plan by creating a video streaming website like Netflix.
Step 3: Once you are definite about the contents that you plan to stream, it’s perfect to get those aligned with your business plan.
You can approach content owners & distributors to acquire individual content rights to publish their copyrighted content into your online video platform.
Step 4: Then, molding your revenue is utmost necessary as per legal terms of content usability.
Get a clear understanding of types of revenue models such as SVOD, TVOD, AVOD, CatchUp TV, Paywall Feature, SSAI, and others.
Recommended Read: Difference Between CSAI vs SSAI
Step 5: After that, you can start by building a website of your own to host your videos.
You can now have numerous turnkey solutions from top video streaming platform provider which are affordable to launch your video on demand services on the move.
Step 6: Now the time has come, where you can get a major proportion of the video streaming audience which is highly dependent on mobile apps.
Upload content consistently to keep your viewers engaged through platforms like Android, iOS. Since, mobiles are chosen over computers, develop a video streaming app or website & this would assure lump sum results.
Step 7: And finally, promote your platform well to reap extraordinary benefits while earning money.
After finalizing a business niche, license, website and also platform integration into mobile apps readily, the last step that’s left to do is — bring-in subscribers.
You can run promotional ad campaigns, add SEO-focused video descriptions, and 10-30 seconds video snippets to entice audiences to view your content. Apart from that, you can:
Grow Socially: Use every integral aspect of social media marketing and also get people to let your platform know through it.
Monetize Ads: According to your marketing planned budget, traditional adverts can give a great head start.
Emailing Prospects: Build a list of mailing contacts of your customers for you to alert them when your planned videos go live.
Start Your VOD Journey With VPlayed
Now that you know how important online video portals are for your business, you may want to find a suitable VOD hosting service for your content.
VPlayed is an excellent option for next-generation video streaming.
VPlayed offers the latest features that set it apart from other VOD streaming support.
It is a white label OTT platform that comes with 100% customization to establish your own brand.
You can stream videos on-premises/on-cloud and also manage your uploads with its in-built video CMS platform.
Its multi-device support and also progressive web apps provide a smooth experience to potential viewers.
VPlayed also features a variety of revenue generation models that include Catch-up TV and Push TV, in addition to the three basic VOD monetization options to maximize your income.
Conclusion
Video on Demand is an excellent way to connect with the audiences and make meaningful relationships that go a long way in business growth.
A best video hosting platforms gateway that streamlines the entire content delivery process is your perfect partner in achieving your business goals and also climbing the ladder of success swiftly.
If You Already Have an Idea About Starting a Video on Demand Platform, Schedule a Free Demo and We’ll Get You On The Road To VOD Streaming Success!
Frequently Asked Questions(FAQ):
Video on Demand (VOD) in streaming refers to any service that offers viewers the flexibility to access and watch captivating videos, TV shows, or movies at their convenience. In fact, VOD allows viewers to select content and determine when they wish to view it.
Video on Demand (VOD) works by securely storing digital content on a video server. When a user selects content, it is compressed. After that, it gets transmitted online, and then decompressed and decoded for seamless viewing on the user’s device. This allows uninterrupted, on-demand access to content across various network devices.
Various VOD business models, including SVOD, TVOD, AVOD, and SSAI, enable online video streaming businesses to generate consistent and profitable revenue. Nevertheless, these models cater to a wide range of viewer preferences and contribute to the VOD industry’s popularity.
Setting up a VOD business is a strategic choice given the growth in this industry. To establish your VOD service, consult with streaming experts who specialize in creating VOD websites and implementing on-demand solutions for content monetization. This approach can have a substantial influence on launching your VOD service successfully in any market.
The primary benefits of VOD solutions include the ability to create a well-planned business model with consistent recurring revenue streams. This approach minimizes the need for significant capital investments, especially when utilizing a fully white-labeled platform. In fact, providing continuous access until the subscription ends enhances the overall customer value.
Choosing the right VOD service involves assessing your specific business needs, budget, and target audience. Consider factors like content licensing, platform customization, monetization options, and scalability to make an informed decision. Overall, one can say that the ideal choice should simplify the organization and distribution of your content.
Video on Demand (VOD) comes in various types, including:
SVOD (Subscription VOD): Requires a recurring subscription fee.
TVOD (Transactional VOD): Offers content on a pay-per-view basis.
AVOD (Ad-Supported VOD): Free to users, supported by ads.
SSAI (Server-Side Ad Insertion): Enhances AVOD with targeted ads.
PVOD (Premium VOD): Provides premium content for an additional fee.
NVOD (Near Video on Demand): Offers scheduled programming like traditional TV.
These options cater to diverse viewing preferences and business models.
Monika Gopinath is an accomplished digital marketer with over seven years of experience specializing in the Video On Demand (VOD) industry. I am a passionate writer and avid blogger. I enjoy sharing insights on digital marketing, industry trends, and vod platform.
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Want some details regarding this.
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We are in the process of developing a VOD project with live support. Would you please guide me through the video on demand and its service definition for our employees? It will make them understand our VOD project. Thanks
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Hello,
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Hi… I understand the requirements that you have been searching for.. You can integrate an entire VOD streaming platform & whitelabel it forever or rather I would recommend you to choose an educational video platform which can be solely dedicated to stream elearning on demand or live content. And, to have monetization options with individual platforms you can get in touch with our experts at https://www.vplayed.com/contact-sales.php.
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Hi.. Thanks for getting back to us.. You can now help users to have personalized video watching experience with user-centric & professional VOD streaming platform. For exploring pricing structure, you can get in touch with our in-house streaming experts. All you need to do is fill in the details via the contact us page, & we’ll get back to you shortly.
We are interested in the video on demand platform. What’s the price for the VOD business.
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Hi Alex… Thank you for approaching us to develop your video on demand platform along with a dynamic app for showcasing your VOD works.
You can feed-in your queries with necessary information in this page: https://www.vplayed.com/contact-sales.php and our team will quickly contact you.
We are interested in building a video on demand streaming platform for multiple current users. What’s the price for the vod streaming and are there any monthly subscriptions involve
Hi…
I want to make my streaming video, required vod platform with including video live streaming, workout live streaming to connect the user with our experts’ clients and get more revenue through monetization model. we need to customize it. could you please send me all the details along with your pricing? And finally, we need a video on demand streaming that’s why we will reach you.
Hi.. Thanks for enquiring… You can have all services put together in one unified solution from VPlayed. Let us know with your details through the contact us form & we can have a quick chat to take things forward.. Also you can request for a demo to have an idea of launching a VOD streaming platform.
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Hi Ana, To have a perfectly suited business model, we recommend you to have a video on demand platform where you can provide lucrative opportunities for service providers to showcase their unique content in the form of in-stream ads.. On the other hand, you can broadcast blockbuster video releases to your end-consumers maximizing profits in a short time with monetization model.
Greetings, Still no response from anyone about my request. Please I would like what is vod? to know if I can get a vod streaming for my teachers to create their own live classes for the student and if I can get VOD solution for the lesson plan created for my online school website, although we will be using this company for the live class lesson, whiteboard screen sharing, video recording, etc…please get back to me asap
Hello.. Firstly, we would like to apologize for keeping you waiting for a long time. We deeply appreciate it. You can let us have your contact details as our technical team would get in touch with you in a jiffy to provide more inputs to build an educational platform & deliver live class sessions, lecture capture, etc.
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Yes definitely! Without any doubts, you can build a whitelabel video on demand platform with customized functionalities along with niche requirements like live streaming, third-party integration, etc. To facilitate with an array of feature-rich platform, you can check wide opportunities to monetize at: https://www.vplayed.com/
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I am looking for what is vod? , video on demand platform or solution for my youtube channel. Looking forward to getting your estimate. Regards Jain
Hello Jain.. While you are in search of video on demand works your own channel you can have your monetization model as well as cast live content in a video on demand platform from VPlayed where you can store numerous content with an extensive video CMS library. To have estimated figures, you can drop-in your queries in contact us form & our sales team will contact you soon.
We are a movie production company based out of Singapore and we are looking for a video on demand, what it is, for a movie vod streaming. We would like to know more about the pricing and other commercial details.
Hi… Thanks for taking the time to let us know with your feedback. You can now have the pricing structure to launch your own video on demand platform with other related information through our sales team https://www.vplayed.com/contact-sales.php.
Meanwhile, you can have refer things that you need to know before what it is, & how to stream video content works via https://blog.vplayed.com/what-is-vod-streaming/
Looking to what id vod? with integrate vod streaming into our eLearning online classes. Can you please provide details of how your vod streaming works with Fluter and web? Also, provide details about your pricing.
Hello, I am contacting you on behalf of one of our customers, I would like to know some information about your vod platform works. Is it possible to know your pricing model for your video on demand solution, your hosting solution, what is a vod and order of price for about 5 million subscribers? Best regards, Clara Lê
Hi clara.. Thanks for getting back to us. You can have detailed information about how to create an end-to-end budget-friendly video on demand platform from our technical team of streaming expertise.
For getting in touch you can click on https://www.vplayed.com/contact-sales.php & send-in your queries & we’ll be happy to answer them quickly.
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Hi, my Question, the mode of video on demand platform is only for entertainment or it will work for general vod businesses who were in home can upload videos?
Thanks
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Hi, Looking for the best video on demand platform provider. Thanks for the definition meaning of vod. Do you offer unlimited bandwidth? What about VOD hosting & storage? What packages do you offer?
We are a company looking for a VOD platform for streaming to be integrated into our web shop which would let our customers (mainly from US) upload videos to our website.