As per Statista, the TVOD revenue model is expected to reach US$10.93bn in 2025.
By 2027, the revenue model is predicted to reach US$12.66bn, having an annual growth of 5.55%.
It is also predicted that most of these revenues will come from the US, and pay-per-view content will reach $13.90 in 2025.
Seeing all these predictions and growth rates, it is evident that TVOD will be the next revenue model which would generate creators the most revenue. This is because TVOD allows individuals to pay only for the piece of content they want to stream.
This means that viewers don’t have to pay the entire price of a subscription; instead, they only pay for the video they want to stream.
Below, we will cover more factors about TVOD and how this online streaming business benefits creators.
Let’s get going.
What Is Pay-Per-View, And How Does It Work?
Pay-per-view (PPV) or TVOD is one of the video monetization models for content creators. As the name suggests, this model lets viewers pay only for the content they want to watch.
For example, when a person opts for a certain streaming platform only to watch a specific movie, web series, or an exclusive sports match session, they only pay for that specific video instead of the whole content range.
This makes PPV streaming a pocket-friendly option for viewers to take a specific video on rent and watch.
How Does Pay-Per-View (PPV) Work?
When a user pays for Pay-Per-View streaming, the streaming platform provides a specific key to access the video. Users can utilize this key or specific URL to access the content they pay for.
TVOD also allows users to have permanent access to a movie or video other than taking it on rent.
Note: Content creators may use the pay per view business model alongside other revenue models, such as subscriptions, AVOD, and donations. This helps creators earn from multiple revenue streams and increases their overall income.
Why Do You Need To Choose Pay-Per-View Streaming?
As a content creator, you get many benefits bestowed upon choosing PPV. Since most premium content is eligible under the PPV revenue method, it lets creators charge as per their preference.
The price remains lower than the subscription cost; however, for one video piece, it still brings in more money.
Let’s check more reasons why creators should opt for PPV-
- PPV model refines your subscribers and pushes the non-subscribers away. It gives you an idea about the range of audiences interested in your content genuinely who can pay for it.
- PPV lets you have subscribers for exclusive events such as a musical event, a sports match live session, and exclusive web series. It lets you set your own prices, and by targeting the right audience, you can attract many subscribers.
- Since PPV lets you set your own prices, it also gives you more revenue than when you do not employ PPV.
- Additionally, it lets people pay only for the content they are interested in, and you do not have to keep up with the whole range of content like you do under the subscription revenue model.
Benefits And Advantages Of Pay Per View
Let’s dive deeper and get to know even more benefits the PPV model serves creators with-
1. Simplified Payments
Unlike subscriptions, viewers opting for PPV content know exactly what they are paying for. This makes them more confident in paying for their choice since they know what they will stream.
This also gives a clear idea to creators about the value of all the content they put under PPV. It lets them recognize which video brings the most money and which one derives the lowest payment.
2. Comprehend Consumers’ Behavior
PPV or TVOD model also lets creators understand the psychology of their viewers by the kind of content they choose to pay for.
Though subscriptions also give an idea about the audience’s choice, it doesn’t give specific information. This is because when a user pays for a subscription, they might end up watching a show they don’t prefer much.
In pay-per-view video streaming, the viewer knows which piece of video is their favorite, and hence it lets the creators know about their viewers’ favorite choices.
3. ROI Analysis
On a VOD platform with PPV, creators can analyze the most-performing and lowest-performing videos. This gives them a chance to focus only on what is the most beneficial and stop wasting time on content that doesn’t generate much profit.
4. Instant Returns
PPV lets you receive payment instantly for specific videos. If you want to have instant returns on something newly released, putting it under the PPV revenue method is the most convenient way.
5. Flexible Pricing
For PPV content, creators can determine their own prices and don’t have to be competitive with other platforms.
Differences Between Pay-Per-View And On Demand
PPV and On Demand allow viewers to stream content online differently. PPV, for example, shows exclusive content such as live sports matches, concerts, shows, and other premium content.
Both live streaming and pre-recorded sessions can be streamed under the PPV category. However, the viewer only pays for the content they wish to stream. PPV is more like renting a particular video or buying it permanently.
On-demand only includes pre-recorded videos such as web series, movies, TV shows, and other content. On-demand falls under the category of Subscription, where the user subscribes to the whole range of content instead of one particular video.
PPV is a one-time thing for viewers who pay for one specific content and might not return for the rest. On-demand is about subscribing to a channel where the creator can expect the subscribers to continue the Subscription every month.
Pay-Per-View vs. Subscription: What’s the Difference?
Streaming platforms provide creators with different monetization methods or revenue models. In these revenue models, TVOD and SVOD are the most prominent, known as Pay Per View and Subscription, respectively.
Both PPV and Subscription require the viewers to pay a certain amount to stream the content. However, they both charge different fees and allow the viewers to stream different kinds of content.
PPV is similar to renting video content, where a viewer only pays for the content they want to stream. Under Subscription, the user pays monthly and can stream the whole range of content for a month.
So, with a Subscription, viewers can watch any amount of content they want for a month. On PPV streaming platforms, they can only watch the specific video they pay for. That’s how PPVs bring a one-time payment to the creators, whereas subscriptions are recurring payments.
Pay-Per-View Video Platform Considerations
To utilize the PPV revenue model, creators should choose a professional live streaming platform that avails PPV. However, there are other factors that you should consider while choosing an ideal platform.
1. Digital Rights Management (DRM)
DRM protects your digital rights and keeps your content from getting stolen or having copyright issues. DRM is the protector of intellectual property that is transmitted using the Internet. Hence, when choosing a streaming service, choose one with DRM.
2. Content Management System
A streaming platform should always provide Video CMS; if it doesn’t, you should think twice before choosing it. This is because CMS easily lets you manage all your video content in one place.
You can publish, share, and organize your videos the way you want only if you have an effective CMS.
3. Pricing Plans
One should never overlook the pricing plans and should always consider their budget. You don’t have to go with expensive options; instead, choose a pricing plan as per the features that are a must-have for you.
It’s wise not to go fancy at this point, not until you have a requirement for more features and advancements.
4. Smooth Streaming
Consider choosing a platform that provides multi-bitrate streaming. The same provides your viewers with a smooth playback experience with minimal to no buffering. The multi-bitrate feature adjusts the streaming as per the network availability and ensures smooth playing even when the Internet is slow.
What are the Alternative Monetization Options
Other than the TVOD or PPV revenue model, there are other ways in which a creator can earn. Let’s have a look at these alternative monetization options here-
Subscription-Based Revenue Model Or SVOD
SVOD is based on subscriptions, and it helps creators earn from their creations every time a viewer pays the subscription fee. If viewers like the range of video content on your channel, they pay for the Subscription weekly or monthly, as per their preferences.
After subscribing to a channel, a user can stream the content for a specific period. They can watch your content anywhere and anytime until the subscription period expires. Platforms like Netflix, HULU, and Prime utilize the subscription revenue method, which lets them earn from recurring payments every month.
By opting for a subscription-based revenue model, creators don’t have to rely on ads and third-party services. In the beginning, however, a creator should try utilizing ad-based monetization; once you have earned a decent amount of subscribers, you can switch to SVOD and TVOD.
Ads And Sponsorships
The next method to earn from your videos is to rely on ads and sponsorships. When creators are unsure if their target audience would be ready to pay, they often go with ad-based monetization.
Creators can choose the placement of the advertisements and the ad providers; the amount of customization you get also depends on the streaming platform you choose.
In ad-based monetization, viewers don’t pay you any amount for streaming your content. Instead, they pay you with their time by watching the ads between the videos. Whenever your ads get clicked or viewed, you earn some amount, and that’s how you earn.
The next way to earn is through sponsorships once you get regular traffic. Creators can ping sponsors in the same niche and tell them about their channel. These sponsors then analyze your channel and approve or disapprove accordingly.
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Donations
Many video streaming platforms allow creators to ask their subscribers for donations. On such platforms, creators usually get a “Donate” button that can be used whenever a fan wants to donate or support financially.
5 Best Pay-Per-View (PPV) Video Platforms
Now, let’s have the platforms that offer PPV as a monetization method. By hosting your video content on these platforms, you can categorize exclusive videos, live sports matches, events, web series, and movies under PPV or TVOD.
#1 GUDSHO
GUDSHO provides on-demand content hosting services to premium content creators and businesses. Its live stream allows you to host events and communicate in real time. To monetize your content, GUDSHO provides Pay-Per-View, Subscriptions, and Ad-based revenue methods. Here, you can utilize one particular monetization method or multiple of them, whichever suits the kind of content you produce.
Features
- 5+ revenue methods, including PPV
- Video CMS
- Live streams recording
- Real-time analytics
- Geo-restrictions
#2 VPlayed
VPlayed is most suitable for businesses and enterprises wanting custom OTT solutions. The platform provides 100% customized platforms and applications where you can have preferences for security measures, monetization options, video player customizations, and much more. Its cloud-based hosting ensures maximum accessibility and enhanced safety for your content.
Features
- Lifetime ownership of your platforms and apps
- Free migration with 99.9% uptime
- Fully customizable video player
- 100+ integrations supported
- 9+ revenue methods
#3 Castr
Castr is a multistreaming platform that allows you to broadcast your content to multiple platforms simultaneously. Creators can record their live streams and host them as on-demand content. You can also keep track of your content performance and viewer engagement with their real-time analytics. To monetize your content, you can arrange your content behind a paywall and get paid every time a viewer wishes to stream.
Features
- Multi-stream to 30+platforms at once
- Get OTT apps without any coding
- Host on-demand video content and stream in real-time
- Monetize videos with ads, PPV, and subscriptions
- Cloud-based storage
#4 Uscreen
Uscreen allows you to create premium memberships on your platforms and applications. With its community-building option, you can turn your subscribers into members and serve them with on-demand content as well as live streams. Creators can utilize their free trial and test out their various monetization models including PPV.
Features
- White-label apps and websites
- In-built community building
- Netflix & YouTube like interface
- Customized subscription and membership offerings
- Analytics to have insights
#5 Vimeo
Vimeo provides channel creation to individual creators and businesses. You can host your video content on your channel and monetize it using PPV, subscriptions, and ads. The platform also allows you to host your past events and offer them for rentals to your viewers. You can monetize in-app and web video content to generate additional revenue.
Features
- On-demand hosting and live-streaming
- Multiple revenue streams
- Video Editor
- Screen recording
- Advanced analytics
Conclusion
Pay-per-view is the most effective monetization method for creators to upgrade their overall income while providing premium content to stream.
With the right pay-per-view video platform, creators can unleash the true potential of this revenue option and see their channel growing by leaps and bounds. If you also wish to bring premium content to your viewers and get fairly paid for the same, opt for a streaming platform with a PPV monetization option.
Hello, I am looking for video streaming platform to deliver PPV and On-Demand. What is the best way to do this? I prefer to be contacted via email. Thanks,
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From a creator’s standpoint, how does the pay-per-view model work? I’m curious about the potential earnings and whether it’s a viable option for monetizing my content.
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