There are so many important terms to know in media and business. From OTT to SSAI and everything in between, it’s enough to make your head spin. So if you’ve heard about VOD, you may be wondering: What is VOD, what does VOD stand for, and what does VOD mean?
VOD stands for Video on Demand. In this piece, we’ll break that down word by word. We’ll go over what it means for businesses in media. We’ll cover why it’s important and how much money it’s worth in 2020. Most importantly, we’ll cover how you can expand your video on demand business and make more money through your streaming platforms.
So to learn the basics about what VOD is, read on through the full MAZ guide below.
What does VOD stand for?
VOD stands for Video on Demand. This refers to any video service that offers videos, TV or movies available at a viewer’s convenience. With VOD, viewers can choose what to watch, when they want. Popular examples of Video on Demand businesses include Netflix, Disney+, Hulu and many more online streaming services.
Video on Demand is different from what we call “linear” programming. Linear video means video that’s played continuously, like traditional cable TV. In addition to cable, some more modern ad-supported networks like PlutoTV or Tubi.
What are some examples of VOD businesses?
Almost all of today’s most popular streaming services are Video on Demand. This includes Netflix, Disney+, Hulu, HBO Max and thousands more. Any video library that allows users to select the show or movie they want to watch is Video on Demand.
Most VOD services are also OTT (meaning over-the-top). OTT refers to video streaming that occurs over the internet, rather than cable, satellite or other media. Sometimes people use VOD and OTT interchangeably, but they are not exactly the same. Some OTT networks are linear, like PlutoTV or Tubi which we mentioned earlier are linear. And some VOD networks are not OTT, such as cable On Demand libraries.
What are the advantages of a Video on Demand business?
Video on Demand is a booming sector in 2020. The industry is projected to grow to nearly $90 billion by 2024. And with streaming services like Netflix and Disney+ dominating traditional providers, it’s no wonder why.
For consumers, Video on Demand is a convenient way to binge shows and movies. No need to check what time shows come on or record for later. You can easily pick your favorite program and watch as much or as little as you like. VOD sparked the beginning of “binge watching,” since viewers can easily watch a whole season of a show upon release.
For businesses, VOD translates to consistent revenue and more monetization options. There are a variety of OTT business models to choose from, which we covered in a previous article. Between ad-supported networks (AVOD) subscription-based networks (SVOD) and everything in between, you can generate lots of revenue from audiences of all sizes.
How can I create my own VOD app?
Creating Video on Demand apps and starting a VOD business can be complicated. From a business perspective, there’s a lot to consider. Plus, finding the right technology partner can be difficult. So where can you get started?
For mid to large-scale businesses looking to start or improve their video businesses, MAZ can be the perfect partner. MAZ is a platform that allows you to easily create and customize streaming channels for every major platform (iOS, Android, Roku, Apple TV, Amazon FireTV and more). No coders or designers required. MAZ is trusted by everyone from Fortune 500 brands like Conde Nast and Forbes, all the way down to startups and growing businesses.
Or if you’re still exploring and want to do some research check out these articles: A guide to OTT business models, How to make a streaming app like Netflix, and a comparison of the top OTT tools and platforms.
What does the future of Video on Demand hold?
As more and more viewers cut their cable, VOD will continue to grow. In the coming years, we expect streaming businesses to expand and diversify. Right now the world is focused on streaming giants like Netflix and Disney, but that could change soon.
Thousands of smaller video businesses and startups are taking shape. With technological advances and agile mindsets, we could see many of these businesses take real swipes at the giants we’ve come to know. Here at MAZ, we’ve spent a decade advising and growing with many of these companies. So while no one knows what the future of VOD holds just yet, one thing we know is that major change is bound to happen.
We hope you found this guide on what VOD is and what VOD stands for helpful! Video on Demand is a complex topic, and this is just a beginning. If you’re serious about getting into the Video on Demand business, be sure to get in touch with us. MAZ is the industry-leading platform for all businesses across OTT and VOD.
Thanks so much for reading the MAZ blog, and best of luck in your VOD adventures!