Video On Demand is a new media delivery system which enables users to access digital videos without the limitations of a conventional video playback machine and without the need for a monthly rental. In recent years, digital broadcasting has become the most popular form of mass media delivery. In the past, television broadcasts were the dominant medium of mass communication, with radio acting as an additional service.
The advent of cable services in the US changed the balance of power between mass media and individual media. Cable services deliver their programming through their own set of proprietary devices and transmitters. Digital Video On Demand delivery services are designed to provide viewers with on-demand access to all types of content that may be recorded and stored on a user's computer or other delivery mechanism.
A VOD provider can offer anywhere from six to nine digital channels through its services. The customer selects the service package they require, such as access to pay per view movies or sports events, according to their preferences. Depending on the type of VOD provider that a subscriber chooses, their viewing choices may range from live sports events to on-demand movies and TV shows. In addition to their basic programming selections, most VOD providers also provide a few extra features. Video On Demand platforms will generally include on-demand access to pay per view movies, music videos and music concerts. Most also provide access to seasonal sports subscriptions and special events like the Super Bowl.
With the introduction of Video On Demand and the growth in internet usage by households, there has been a marked increase in interest in finding ways to stream videos to portable devices such as iPods and mobile phones. As more television viewing habits migrate to these small screens, VOD providers are working hard to capture the multimedia market. Many of the VOD services like Hulu and YouTube are using browser add-ons to enable video playback on mobile phones and portable devices. Others have made deals with mobile network operators to allow users to stream their video content.
Types of revenue offered by Video On Demand
Video On Demand offers two types of revenue models. Pay per view revenues are based on the amount of time a viewer watches their video and their geographic location. Other monetization options are based on demographics, viewer responses, social networking activities and ads displayed on the Video On Demand screen. Both are used to help businesses understand their audience and choose the right revenue model.
Many businesses and homes want to save money. They are willing to accept the subscription-based models because they believe they are less likely to encounter annoying fees. However, these fees are often just as high or higher than those associated with pay per view television viewing. This poses a challenge to businesses who need to maximize their Video On Demand profits.
To optimize the profitability of their subscription video on demand (vod) platforms, businesses should consider two main things. First, they should consider the demographics of their audience. Second, they should choose their Video On Demand provider wisely. There are many vod platforms available that offer high quality programming at very affordable costs.
Providers of Video On Demand solutions typically provide several different kinds of benefits. These include: On Demand streaming services like hulu Plus, Total Choice, and YouTube On Demand; automatic redirection to educational videos and behind the scenes access to content that has been rated by users; and live chat features. Through a combination of these tools and services, providers can provide their audiences with a diverse range of programming and educational material. They can also provide targeted demographics with educational videos on a need-based basis.
In order to make Video On Demand work for small businesses and home businesses, it is important to select Video On Demand service plans that best fit the needs of the subscriber. As there are several different kinds of Video On Demand providers, it may be necessary to perform due diligence to determine the right Video On Demand plan for your business model.
For example, some Video On Demand service providers only feature certain programs while others offer a wide selection of educational, commercial, and other on-demand viewing options. It is important to be aware of all the options you have when it comes to Video On Demand, as it will help you make more informed decisions regarding which Video On Demand business models are right for your company. To learn more about Video On Demand and other important business models, register for a free video training course.