TVOD has some amazing advantages to tote around in its Knapsack of Positive Features. Using a TVOD model allows you to release exclusive content at a specific time, charging a fee for every user that watches your program. This is especially advantageous when it comes to providing content that you know hundreds of thousands of eyes are going to watch, such as an important sporting event or a highly-anticipated video. An SVOD model would not provide you that boost in revenue that would come from charging a per-viewer rate for a piece of content.
There’s also evidence to suggest that viewers are moving away from platforms that utilize AVOD (advertising as a form of video monetization), which is causing streaming platforms to rely more heavily on other methods of generating revenue. One of these options could be TVOD.
TVOD also allows for content creators and hosts to have options for renting or purchasing videos. Expanding types of offerings is positive because it widens a platform’s appeal to other types of audiences. Some people would rather pay one-time TVOD charges for the few movies they watch every year, and therefore a TVOD payment method would appeal to them over an SVOD method.
The disadvantages of TVOD really depend on the types of viewers a content creator is attempting to reach. For example, TVOD would be a less-than-ideal model for viewers who consume a ton of content; the likelihood of their satisfaction paying one-time TVOD charges every time they watch something is low.
Building a consistent relationship with viewers can sometimes be an issue with TVOD. With TVOD services, people come for a certain video, watch that video, and leave, uninspired to browse anything else that they didn’t come looking for explicitly because it will cost them money to try any other content. The benefit of a subscription-based model is that it allows viewers to try content out without any risk of spending money on content they end up not preferring, which increases viewer retention.
Now, comparison is usually the thief of joy, but in this case, we are going to do a rapid round of comparisons to provide you with the information you need to understand all the different variations of TVOD styles.