Today, nearly all OTT players lie somewhere on the ‘freemium’ spectrum, where some material is behind a paywall and other is available for free with adverts interleaved. The video on demand market is expected to be worth USD 257.59 billion by 2029, with a CAGR of 17.6% over the forecast period. This data was supplied by Fortune Business Insights in its study titled “Video on Demand Market Forecast, 2023-2029.” In 2021, the market was worth USD 69.55 billion, and in 2022, it was worth USD 82.77 billion.
Platforms are also making a pit stop at transactional video on demand (TVoD) services, where viewers are given with limited-period movie rentals at prices lower than full subscription fees, in their pursuit of the optimal income model.
In India, Amazon.com Inc. has launched prime video channels. The premium video Channels provide access to many on-demand video channels for its prime subscribers, including Eros Now, Lionsgate Play, discovery+, Hoichoi, Docubay, Manorama Max, MUB, and Shorts TV.
Rentals for ZEE5, for example, range from Rs 29 to Rs 349. According to ZEE5 Chief Business Officer Manish Kalra, when cable TV and DTH went behind a paywall, they evolved through bundles, sachets, and adjustable price points.
Over-the-top (OTT) platforms are quickly expanding content providers as more consumers seek entertainment through internet means. According to a ComScore analysis published in November 2021, more than 50 million homes globally already have access to OTT video and consume it at the same rate as traditional TV viewers. However, increased market participants’ concerns about video content piracy and protection are projected to stymie the expansion of the global video on demand business.
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