The Internet has made a massive impact on people’s lives in the past 20 years. Streaming Media predicts that SVOD subscribers will rise from 199 million to 307 million by 2025. In this blog, you will get to know what is svod and the complete guide on subscription video on demand platform.
Especially in the last five years, it changed the way people watch video content. As in the past, people have to choose from channels on the TV networks and need to be present to watch the show broadcast at a particular scheduled time. But as of now, We can watch any videos at any time and any place, due to the rise of Online Video platforms known as Video On Demand (VOD)
By end of 2021, Video Streaming is a $ 5 billion industry as more and more people have decided to watch videos online rather than on TV cable networks. As many businesses are moving to choose video as a marketing tool to make their product or service reach people. Many businesses are willing to have separate independent video platforms to generate revenue from it
Video Streaming is becoming popular; they are different methods to monetize video to make money. Three methods are SVOD, AVOD, and TVOD. Which SVOD is the best and most profitable method used by most businesses all around the world? SVOD is the winner when you are looking for a continuous flow of income in video streaming.
What is SVOD?
SVOD stands for Subscription Video on Demand. SVOD is a type of Video Streaming Service where users can access the entire video library in that particular platform an unlimited number of times on any device with internet access when fees are paid monthly or annually. Subscription fees vary from monthly to annually depending on each video platform.SVOD helps in generating a continuous flow of income stream monthly or annually as users pay the recurring fees to access the video. Some of the most popular video platforms which use the SVOD method as a source of income are Netflix, Disney+, HBO, and Hulu.
Above mentioned three examples are big video streaming platforms as these three show SVOD works. You can also create an independent video platform with the help of the video streaming solution Webnexs VOD. Many businesses have invested money in building separate video platforms for their purposes.
The Rising Demand for SVOD Monetization
Subscription-based business models are gaining significant traction in today’s digital age. People are increasingly gravitating towards pay-per-use models, where they can choose to pay only for the services they use. This trend has paved the way for the growth of SVOD services, as they offer a unique value proposition to users.
The demand for SVOD services has grown substantially in recent years, with more and more users subscribing to these services. According to Statista, the global SVOD market is expected to grow to 1.2 billion subscribers by 2026, up from 642 million subscribers in 2019. This growth can be attributed to the convenience, affordability, and variety of content that SVOD services offer.
As a result, businesses that offer streaming services are jumping on the bandwagon, adopting SVOD monetization models to generate revenue. By offering subscription-based services, streaming businesses can provide users with a hassle-free viewing experience, leading to a win-win situation for both parties.
How Is SVOD Different From Other Monetization Models?
There are various monetization models that businesses can adopt, such as pay-per-view, advertising-based, and transactional video-on-demand (TVOD). While these models have their advantages, they also have certain limitations. On the other hand, SVOD offers several unique benefits.
|Monetization Model||Revenue Generation||Content Access||Duration of Access||Who Can Adopt||Ads||Market Players|
|SVOD (Subscription Video on Demand)||Monthly subscription fees||Unlimited access to a library of premium content||Access is unlimited while subscription is active||Platforms with a large library of premium content and a loyal user base||No, ad-free viewing is typically offered for subscribers||Netflix, Amazon Prime Video, Hulu, Disney+|
|AVOD (Advertising Video on Demand)||Revenue is generated through ads||Access to a limited selection of content for free, with more content available for paying users||Access to content is typically limited by time or number of views||Platforms with a broad audience base||Yes, users are shown ads during the viewing experience||YouTube, Crackle, Peacock|
|TVOD (Transactional Video on Demand)||Revenue is generated through pay-per-view or rental fees||Access to content is limited to the specific title(s) paid for||Access is typically limited to a set period of time||Anyone willing to pay for a specific title or titles||No, users pay to access content without ads||Amazon Prime Video, Apple TV, Google Play|
When Can a Streaming Business Monetize with SVOD?
Streaming businesses can leverage the SVOD model to monetize their content when they have a vast library of content that users are willing to pay for. For instance, if a streaming business has an extensive collection of movies, TV shows, or documentaries, it can offer users access to this content through a subscription-based service.
It’s important to note that businesses must ensure that their content is high-quality and engaging enough to attract and retain subscribers. The success of an SVOD service relies heavily on the value proposition it offers to users, so businesses must ensure that their content meets user expectations.
What Type of Video Content can Businesses Monetize with SVOD?
- When a business has many videos in the library
- When your video content is specific to a particular group of audience
- Ready to invest money in exclusive content from time to time so that you can acquire new users and retain the existing ones
- Offering flexible subscription plans so that users can opt in or opt out without any contract
- Free trial or demo for a particular time to use to access video content
- Containing Video content that can be watched again and again
- Releasing new video content on regular basis and notifying users about new content so that they won’t unsubscribe and pay the subscribing fee to stay connected with your video platform
- Having video content targeting a particular niche group so that they can sign up because they don’t find exclusive content other than your video platform
Which Type of business is suitable for Video Streaming with SVOD?
Fitness freaks searching for videos online regarding workouts to keep themselves fit and strong. So here lies the massive opportunity for Gym masters to start independent video platforms, and it helps reach more people and earn some revenue from it
How SVOD can be helpful in Fitness Instruction
Subscription video-on-demand (SVOD) services are a powerful tool for fitness instruction. SVOD apps allow fitness professionals to create and distribute customized workout plans and instructional videos to clients, making it easier than ever for people to get the guidance they need to achieve their fitness goals.
By leveraging the power of OTT technology, fitness professionals can deliver engaging, interactive content that helps their clients stay motivated and committed to their workout routines. With a wide range of content available on demand, clients can access fitness videos whenever and wherever they want, making it easier to stay on track with their fitness journey.
SVOD services offer an excellent opportunity for fitness professionals to generate additional revenue by monetizing their content and building a loyal customer base. Overall, SVOD is a game-changing technology that can help fitness professionals transform their businesses and better serve their clients.
Few people searching for yoga exercise videos online to keep themselves flexible and healthy so similarly for yoga teachers starting an independent video platform will help in generating revenue out of it
Starting dance or music classes and sharing them online adds value to people as most people watch videos online
Online Education and E-learning
The birth of video streaming platforms led to where individual teachers can create and store video content on their video platforms where students can access the video online. Teachers monetizing their video content helps in making money.
Video streaming platforms are well known for movies and other TV series as many people subscribe to SVOD platforms to watch videos on these platforms
Live streaming of sports and virtual events
Because of the coronavirus pandemic period, many people prefer to watch live virtual events online and also watch sporting events live using SVOD platforms.
Advantages Of Using SVOD
- Most profitable method and there is a continuous flow of income as long as users continue to pay the subscribing fees to access videos on your platform
- SVOD platforms help in creating a loyal customer base and keep the audience engaged.
Read more: How your business benefits from SVOD
- Providing exclusive and new content from time to time and flexible subscription plans with no restrictions
- Ad-free video streaming
- They can access the entire video library an unlimited number of times within a subscribed period
Why SVOD is the Best Option to Make Money?
Big streaming video streaming platforms like Netflix, Amazon prime, Hulu, and Disney+ prefer SVOD services. At present, their market is still on the rise and it will go in an upscale direction in the future as well.
They estimate that 568 million people will watch videos on these platforms by 2022. The largest segment in video streaming is SVOD with a market volume of USD 71,237m in 2021. while Statista has projected the same to surpass USD 108,306 million five years from now.
The average income per person in the Video-on-Demand is forecast to amount to USD 47.86 in 2021. In the Video-on-Demand segment, they forecast the number of users to amount to 2,218.2m users by 2025.
Joining hands With Webnexs VOD for Subscription Video on Demand Services
Build an SVOD video platform with Webnex VOD solutions that include all the features that the SVOD platforms need
Creating Subscription Plans with Webnexs
Webnexs is a powerful video streaming solution that allows businesses to create and monetize video content. One of the key features of the platform is the ability to create subscription plans that give users access to exclusive content and features.
Here’s how you can create subscription plans with Webnexs:
- Log in to your Webnexs account and navigate to the “Monetization” section
- Click on “Subscription Plans” and then click “Create New Plan”
- Fill in the details of your subscription plan, including the name, description, duration, price, and any other relevant information.
- Set the access level of the plan. You can choose to make it available to all users, only registered users, or only users who have subscribed to a previous plan.
- Add the content that will be included in the subscription plan. You can choose to include specific videos, playlists, or even entire categories.
- Set up the payment gateway for your subscription plan. Webnexs supports multiple payment gateways, including PayPal, Stripe, and Authorize.net.
- Publish your subscription plan and make it available to your users.
With Webnexs, you can also set up free trials for your subscription plans, offer discounts, and track the performance of your plans through detailed analytics. This allows you to fine-tune your monetization strategy and maximize your revenue.
Building your video subscription service may be an upward task, depending on your expertise. However, launching a unique Netflix-style platform is an easy task when you team up with a streaming service with a highly proficient team and customizable features.
This makes it required for you to build a subscription video platform that offers flexibility in monetization.
Frequently Asked Questions(FAQ)
1. What does SVOD ?
Subscription Video on Demand (SVOD) is a streaming service that users pay for with a subscription in order to access an online library of video assets. Examples of long-form content that falls under SVOD packages could include web series, premium movies, and more. By paying for a subscription, users can watch their curated selections from the library.
2. what are the benefits of SVOD platforms?
Subscription video-on-demand (SVOD) services offer several benefits to both subscribers and creators alike. Subscribers benefit from lower subscription costs while creators receive a steadier stream of revenue compared to consumer-grade platforms. Furthermore, people can subscribe to multiple SVOD channels without spending too much money on other entertainment options, making it an economically sustainable model for all.
3. How can I Build an SVOD platform?
In order to run an SVOD service, you will need to have the right technology platform and tools in place. This includes features such as login capabilities with paywalls, device compatibility, and secure payment processing so users can monetize their subscriptions.
4. Why SVOD is the right choice to make money?
subscription video on demand has become an increasingly popular way to monetize content. Subscribers pay a recurring fee, usually on a monthly or yearly basis, in order to access the content. It is predicted that revenue from SVOD services will only continue to rise in the foreseeable future, making it an ideal option for those looking to make money from their digital content.