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==Types == === Transactional === Transactional video on demand (TVOD) is a distribution method by which customers pay for each piece of video-on-demand content.<ref name="Kehoe">{{Cite web|title = VOD Rights Models|url = http://indiefilmplace.com/2013/10/20/video-on-demand-rights-models/|access-date = 9 December 2015|first = Keith|last = Kehoe|archive-date = 18 December 2015|archive-url = https://web.archive.org/web/20151218163351/http://indiefilmplace.com/2013/10/20/video-on-demand-rights-models/|url-status = dead}}</ref> For example, a customer would pay a fee for each movie or TV show that they watch. TVOD has two sub-categories: [[electronic sell-through]] (EST), by which customers can permanently access a piece of content once purchased via the Internet; and download to rent (DTR), by which customers can access the content for a limited time upon renting.<ref name="Kehoe"/><ref>{{Cite web|url = https://www.linkedin.com/pulse/understand-svod-tvod-avod-terms-business-models-streaming-mads-kaysen|title = Understand the "SVOD", "TVOD" and "AVOD" terms and business models of streaming services like Netflix|date = 24 August 2015|access-date = 9 December 2015|publisher = LinkedIn|last = Kaysen|first = Mads|archive-date = 8 March 2021|archive-url = https://web.archive.org/web/20210308183945/https://www.linkedin.com/pulse/understand-svod-tvod-avod-terms-business-models-streaming-mads-kaysen|url-status = live}}</ref> Examples of TVOD services include the Apple [[iTunes]] Store and the [[Google Play]] Store, as well as VOD rental services offered through [[multichannel television]] (i.e., cable or satellite) providers. === Premium === Premium video on demand (PVOD) is a version of TVOD which allows customers to access video-on-demand content several weeks or months earlier than their customary TVOD or home video availability β often feature films made available alongside, or in place of, a traditional release in [[movie theater]]s β but at a much higher price. A version of the model was tested in 2011 by American satellite TV provider [[DirecTV]] under the brand name "Home Premiere", which allowed viewers to rent select films from major studios for [[US$]]30 per rental as soon as 60 days after they debuted in cinemas, compared to 120 days for the regular TVOD window; this version only lasted a few months.<ref>{{cite web|url=https://www.hollywoodreporter.com/news/analysts-predict-studios-premium-vod-174622|title=Analysts Predict Studios' Premium VOD Plans Will Have Limited Impact|first=Georg|last=Szalai|work=[[The Hollywood Reporter]]|date=5 April 2011|access-date=21 June 2020|archive-date=23 June 2020|archive-url=https://web.archive.org/web/20200623024132/https://www.hollywoodreporter.com/news/analysts-predict-studios-premium-vod-174622|url-status=live}}</ref><ref>{{cite web|url=https://variety.com/2011/digital/news/biz-redefines-pvod-plan-1118039574/|title=Biz redefines PVOD plan|first=Marc|last=Graser|work=[[Variety (magazine)|Variety]]|date=8 July 2011|access-date=21 June 2020|archive-date=9 March 2021|archive-url=https://web.archive.org/web/20210309044908/https://variety.com/2011/digital/news/biz-redefines-pvod-plan-1118039574/|url-status=live}}</ref> PVOD made a return during the [[COVID-19 pandemic]] and the resulting [[Impact of the COVID-19 pandemic on cinema|global closures of cinemas]]. Certain films that had already been released including ''[[The Invisible Man (2020 film)|The Invisible Man]]'' were quickly also released on VOD platforms for a higher rental price than usual, while other films including ''[[Trolls World Tour]]'' were released [[Simultaneous release|simultaneously]] on PVOD and in [[drive-in theater]]s, or in some cases directly to PVOD only.<ref name="slate-uni">{{Cite web |url=https://slate.com/culture/2020/03/coronavirus-universal-movies-trolls-2-the-hunt-invisible-man-streaming.html |last=Adams |first=Sam |title=Universal Reacts to Coronavirus by Releasing New Movies Straight to Streaming |work=[[Slate (magazine)|Slate]] |date=16 March 2020 |access-date=16 March 2020 |archive-date=18 February 2021 |archive-url=https://web.archive.org/web/20210218232011/https://slate.com/culture/2020/03/coronavirus-universal-movies-trolls-2-the-hunt-invisible-man-streaming.html |url-status=live }}</ref> In most cases, these PVOD releases are offered through most of the same platforms as traditional TVOD, but at a higher price, typically about US$20 for a 48-hour rental;<ref name="slate-uni" /> this offering has again been branded as "Home Premiere" by some studios and platforms. [[The Walt Disney Company|Disney]] used the September 2020 release of [[Mulan (2020 film)|the live-action remake of ''Mulan'']] to launch a related model called [[Disney+#Premier Access|Premier Access]]; this requires customers to pay a premium fee (approximately US$26β30 depending on country) on top of a subscription to the [[Disney+]] streaming service, but they then retain access as long as they maintain their subscription (for ''Mulan'', this was effectively a 90-day rental, as the film became available to all Disney+ subscribers at no extra charge in December).<ref>{{cite web|url=https://variety.com/2020/digital/news/mulan-disney-plus-all-subscribers-no-extra-charge-1234757666/|title='Mulan' Will Be Available to All Disney Plus Subscribers in December for No Extra Cost|last=Spangler|first=Todd|work=[[Variety (magazine)|Variety]]|date=2 September 2020|access-date=2 September 2020|archive-date=3 September 2020|archive-url=https://web.archive.org/web/20200903070441/https://variety.com/2020/digital/news/mulan-disney-plus-all-subscribers-no-extra-charge-1234757666/|url-status=live}}</ref> It has been reported that the pandemic had contributed to a transformation in movie distribution in favor of PVOD over traditional movie houses, as studios were able to realize 80% of revenue through PVOD versus 50% of traditional theater box office receipts. Theater owners including AMC and Cinemark, as well as suppliers including IMAX and National CineMedia, all experienced significant drops in revenues during shutdowns related to COVID-19.<ref>{{cite web |last1=Williams |first1=Joseph |title=Premium VOD here to stay as more studios embrace streaming, analysts say |url=https://www.spglobal.com/marketintelligence/en/news-insights/latest-news-headlines/premium-vod-here-to-stay-as-more-studios-embrace-streaming-analysts-say-59140797 |website=www.spglobal.com |publisher=Standard & Poors |language=en-us |date=23 June 2020 |access-date=3 November 2021 |archive-date=23 October 2021 |archive-url=https://web.archive.org/web/20211023231932/https://www.spglobal.com/marketintelligence/en/news-insights/latest-news-headlines/premium-vod-here-to-stay-as-more-studios-embrace-streaming-analysts-say-59140797 |url-status=live }}</ref> ===Subscription models=== {{See also|List of streaming media services|Streaming media}} [[File:The Great. Courses Plus - App Screen Shot.jpg|thumb|right|A screenshot of a subscription video on-demand service showing a typical visual catalog interface of video content]] '''Subscription VOD''' ('''SVOD''') services use a [[subscription business model]] in which subscribers are charged a regular fee to access unlimited programs.<ref name="McDermott">{{cite web|last1=McDermott |first1=John |title=CTV, OTT, SVOD, AVOD, BVOD, FASTβ¦What the Tech are all these digital TV acronyms? |url=https://www.thecurrent.com/ctv-ott-svod-avod-bvod-fast-what-the-tech-are-all-these-digital-tv-acronyms |website=The Current |publisher=[[The Trade Desk]] |date=March 17, 2022 |access-date=10 July 2024 |archive-url=https://archive.today/20231201202818/https://www.thecurrent.com/ctv-ott-svod-avod-bvod-fast-what-the-tech-are-all-these-digital-tv-acronyms |archive-date=1 December 2023}}</ref><ref name="Dacast">{{cite web|last1=Krings |first1=Emily |title=SVOD: Everything to Know About Subscription Video On Demand |url=https://www.dacast.com/blog/svod/ |website=[[Dacast]] |date=April 10, 2024 |access-date=10 July 2024}}</ref><ref name="Endavo">{{cite web|title=What is SVOD? Your Guide To Subscription Video On Demand |url=https://www.endavomedia.com/svod/ |website=Endavo Media |date=October 26, 2022 |access-date=10 July 2024}}</ref> Examples of these services include [[Netflix]], [[Hulu]], [[Fandango at Home]], [[Amazon Prime Video]], [[Max (streaming service)|Max]], [[Disney+]], [[Peacock (streaming service)|Peacock]], [[Paramount+]], [[Apple TV+]],<ref name="Bacon">{{cite web|last1=Bacon |first1=Brian |title=Content most enjoyed on top US SVOD services, (US) 2023 |url=https://www.spglobal.com/marketintelligence/en/news-insights/research/content-most-enjoyed-on-top-us-svod-services-us-2023 |website=[[S&P Global]] |date=22 February 2024 |access-date=10 July 2024}}</ref> [[Disney+ Hotstar]], [[iQIYI]], [[Star+]], [[Hayu (streaming service)|Hayu]], [[BET+]], [[Discovery+]], [[Canal+ (streaming service)|Canal+]], [[Crunchyroll]], [[Hidive]], [[SonyLIV]], [[ZEE5]], and [[Gulli|GulliMax]]. ===Near video on demand=== {{Globalize section|date=February 2015}} Near video on demand (NVOD) is a [[pay-per-view]] consumer video technique used by multi-channel broadcasters using high-bandwidth distribution mechanisms such as satellite and cable television. Multiple copies of a programme are broadcast at short time intervals (typically staggered on a schedule of every 10β20 minutes) on linear channels providing convenience for viewers, who can watch the programme without needing to tune in at the only scheduled point in time. A viewer may only have to wait a few minutes before the next time a movie will be programmed. This form is bandwidth-intensive, reduces the number of channels a provider can offer, and is generally provided by large operators with a great deal of redundant capacity. This concept has been reduced in popularity as video on demand is implemented, along with providers often wanting to provide the maximum [[throughput]] for their [[broadband]] services possible.<ref name="What Is VOD Technology">{{cite web|url=https://smallbusiness.chron.com/vod-technology-14311.html|title=What Is VOD Technology?|date=20 July 2011 |access-date=21 April 2021|archive-date=21 April 2021|archive-url=https://web.archive.org/web/20210421091132/https://smallbusiness.chron.com/vod-technology-14311.html|url-status=live}}</ref> Only the satellite services [[DirecTV]] and [[Dish Network]] continue to provide NVOD services, as they do not offer broadband and much of their rural customer base only has access to slower [[dial-up internet access|dial-up]] and non-[[5G]] wireless and [[Satellite Internet access|satellite internet]] options which cannot stream films or have onerous [[data cap]]s (and where possible, [[AT&T]] is now prioritizing their streaming service [[AT&T TV]], which utilizes a fully immediate VOD experience, over DirecTV<ref>{{Cite web|url=https://arstechnica.com/information-technology/2020/03/struggling-att-plans-tens-of-billions-in-cost-cuts-more-layoffs/|title=Struggling AT&T plans "tens of billions" in cost cuts, more layoffs|last=Brodkin|first=Jon|date=2020-03-04|website=Ars Technica|language=en-us|access-date=2020-03-04|archive-date=18 March 2020|archive-url=https://web.archive.org/web/20200318212102/https://arstechnica.com/information-technology/2020/03/struggling-att-plans-tens-of-billions-in-cost-cuts-more-layoffs/|url-status=live}}</ref>). Before the rise of VOD, the cable pay-per-view provider [[In Demand]] provided up to 40 channels in 2002, with several films receiving four channels on a staggered schedule to provide the NVOD experience for viewers.<ref>{{Cite web|url=http://echelonstudios.us/?page_id=681|title=Echelon Studios|website=Echelon Studios|access-date=18 May 2017|archive-date=28 October 2017|archive-url=https://web.archive.org/web/20171028201237/http://echelonstudios.us/?page_id=681|url-status=live}}</ref> As of 2018, most cable pay-per-view channels now number mainly 3β5, and are used mainly for live ring sports events (boxing and professional wrestling), comedy specials, and concerts, though the latter two sources are declining due to streaming services offering much more lucrative performance contracts to performers, and several ring sports organisations (mainly [[UFC]] and [[WWE]]) now prefer direct marketing of their product via streaming services such as [[ESPN+]], the [[WWE Network]], and the apps of [[Fox Sports (United States)|Fox Sports]] over pay-TV providers which require a portion of the profits they otherwise retain directly. In Australia, pay-TV broadcaster [[Foxtel]] offers NVOD for new-release movies over their satellite service.<ref>{{Cite web|title= Rent Store + Box Office titles β Store + Box Office|author= Foxtel Support|url= https://www.foxtel.com.au/got/support/tv/how-to-use/store-box-office/store-box-office.html|website= foxtel.com.au|access-date= 9 December 2015|archive-date= 19 September 2015|archive-url= https://web.archive.org/web/20150919040412/https://www.foxtel.com.au/got/support/tv/how-to-use/store-box-office/store-box-office.html|url-status= live}}</ref> Edge Spectrum, an American holder of [[low-power broadcasting]] licenses, has an eventual business plan to use its network and a system of [[digital video recorder]]s to simulate the video-on-demand experience.<ref>[https://www.edgespectrum.com/ EdgeSpectrum.com] {{Webarchive|url=https://web.archive.org/web/20200219202609/https://www.edgespectrum.com/ |date=19 February 2020 }}, retrieved 19 February 2020.</ref> Most of Edge Spectrum's channels, where they are on air, carry [[televangelism]].<ref>{{cite web |url=https://www.rabbitears.info/search.php?request=owner_search&owner=Edge+Spectrum |title=Stations for Owner - Edge Spectrum |website=rabbitears.info |access-date=23 August 2021 |archive-date=13 August 2021 |archive-url=https://web.archive.org/web/20210813042159/https://www.rabbitears.info/search.php?request=owner_search&owner=Edge+Spectrum |url-status=live }}</ref><ref>{{cite web |url=https://ibntelevision.com/about/esi/ |title=Edge Spectrum, Inc. |website=ibntelevision.com |access-date=23 August 2021 |archive-date=13 August 2021 |archive-url=https://web.archive.org/web/20210813042426/https://ibntelevision.com/about/esi/ |url-status=live }}</ref> ===Push video on demand=== Push video on demand is so-named because the provider "pushes" the content out to the viewer's set-top box without the viewer having requested the content. This technique is used by several broadcasters on systems that lack the connectivity and bandwidth to provide true "streaming" video on demand. Push VOD is also used by broadcasters that want to optimize their video streaming infrastructures by pre-loading the most popular contents to the consumers' set-top device. If the consumer requests one of these films, it is already loaded on her or his DVR.<ref name="What Is VOD Technology"/> A push VOD system uses a personal video recorder (PVR) to store a selection of content, often transmitted in spare capacity overnight or all day long at low bandwidth. Users can watch the downloaded content at the time they desire, immediately and without any buffering issues. Push VOD depends on the viewer recording content so choices can be limited.<ref>{{cite web|url=http://smallbusiness.chron.com/vod-technology-14311.html|title=What Is VOD Technology?|last=Anderson|first=Casey|work=Houston Chronicle|date=20 July 2011 |access-date=8 December 2015|archive-date=10 December 2015|archive-url=https://web.archive.org/web/20151210212029/http://smallbusiness.chron.com/vod-technology-14311.html|url-status=live}}</ref> ===Advertising video on demand=== Advertising video on demand (AVOD) uses an advertising-based revenue model. This allows companies that advertise on broadcast and cable channels to reach people who watch shows using VOD. This model also allows people to watch content without paying subscription fees. [[Hulu]] was a major AVOD company before ending its free service in August 2016, transferring it to [[Yahoo! View]] using the existing Hulu infrastructure. [[Crackle (service)|Crackle]] has introduced a series of advertisements for the same company that ties into the content that is being watched.<ref>{{cite journal|title=For Ad VOD Players, Success Is Blend of Linear, Digital Models|last=Baysinger|first=Tim|journal=[[Broadcasting & Cable]]|date=15 August 2016|page=18}}</ref><ref>{{cite journal|title=Tech Tweets|journal=Broadcasting & Cable|date=15 August 2016|page=23}}</ref> Ad-Supported Video on Demand (ASVOD) refers to video services that provide free content supported by advertisements.<ref name="videa.tv"/> Popular services include [[Pluto TV]], [[Xumo]], the [[Roku]] Channel, [[Samsung TV Plus]], [[Amazon Freevee]], [[Popcornflix]], [[Crackle (service)|Crackle]], [[Tubi]], [[Movies Anywhere]], [[Vudu]], [[Dailymotion]], and [[YouTube]].<ref>{{Cite web|url=https://www.cordcuttersnews.com/the-roku-channel-is-the-most-popular-free-streaming-service-beating-out-pluto-tv-crackle-tubi-2018-cordie-awards/|title=The Roku Channel Is the Most Popular FREE Streaming Service Beating Out Pluto TV, Sony Crackle, & Tubi (2018 Cordie Awards)|last=Bouma|first=Luke|date=23 December 2018|website=Cord Cutters News|language=en-US|access-date=24 December 2018|archive-date=23 December 2018|archive-url=https://web.archive.org/web/20181223174932/https://www.cordcuttersnews.com/the-roku-channel-is-the-most-popular-free-streaming-service-beating-out-pluto-tv-crackle-tubi-2018-cordie-awards/|url-status=live}}</ref> Walmart is adding ASVOD original programming to Vudu, and YouTube Originals will be ASVOD by 2020.{{update inline|date=March 2022}}<ref name="smartbrief.com"/> '''Data analysis''' When technology companies, include SVOD apps on their devices, like phones, tablets, televisions, game systems, computers, this can remove an attitude obstruction for a user to view content.<ref name=":0">{{cite journal| url=https://doi.org/10.1080/08997764.2020.1796687| doi=10.1080/08997764.2020.1796687| title=IDEA FORUM: The impact of subscription-based video on demand on traditional distributors' value chains and business models| year=2018| last1=Clement| first1=Michel| last2=Otten| first2=Cord| last3=Seifert| first3=Rouven| last4=Kleinen| first4=Ole| last5=Houston| first5=Mark B.| last6=Karniouchina| first6=Ekaterina V.| last7=Heller| first7=Christoph| journal=Journal of Media Economics| volume=31| issue=1β2| pages=50β67| s2cid=221299615}}</ref> This technology also provides an advantage for technology companies for data analysis of viewed content from consumers.<ref name=":0" /> By analyzing data of what is viewed most by consumers, companies can purchase more content that is aimed for an audience, and then in-turn market products that are based on what viewer profiles are of a group of consumers who viewer a specific amount of content.<ref name=":0" /> This data analysis will often provide researchers valuable data that includes: what was watched, when it was watched, what they watched after watching, and even how many people watched the same video at the same time in a day, month, and even year.<ref>{{cite journal| url=https://doi.org/10.1007/s11390-016-1684-9| doi=10.1007/s11390-016-1684-9| title=CPA-VoD: Cloud and Peer-Assisted Video on Demand System for Mobile Devices| year=2016| last1=Cheng| first1=Lei-Gen| last2=Cui| first2=Laizhong| last3=Jiang| first3=Yong| journal=Journal of Computer Science and Technology| volume=31| issue=6| pages=1087β1095| s2cid=255169269}}</ref> '''Economics of SVOD''' Attendance in movie theaters had declined during the 2020 COVID-19 pandemic.<ref name=":1">{{Cite web |last=Adgate |first=Brad |title=The Impact COVID-19 Had On The Entertainment Industry In 2020 |url=https://www.forbes.com/sites/bradadgate/2021/04/13/the-impact-covid-19-had-on-the-entertainment-industry-in-2020/ |access-date=2023-07-13 |website=Forbes |language=en}}</ref> Worldwide in 2019, theatrical entertainment reach 11.4 billion dollars, but in 2020, it was only 2.2 billion.<ref name=":1" /> Due recovery efforts to increase those attendance numbers, along with the growing amount of marketing that is need to gain the attention of an audience, pinning down an exact budget for a film production can be difficult.<ref name=":2">{{Cite web |title=How Exactly Do Movies Make Money? |url=https://www.investopedia.com/articles/investing/093015/how-exactly-do-movies-make-money.asp |access-date=2023-07-13 |website=Investopedia |language=en}}</ref> Video on demand can have three release strategies that include: day-and-date (instantaneous release in theaters and on VOD), day-before-date (VOD before theatrical viewing), and VOD only.<ref name=":2" /> Production studios can make revenue on these types of releases until sales start to slow.<ref name=":2" /> After that, film companies can then license the content to other streaming services and, temporarily, make extra income like that too.<ref>{{Cite web |last= |date=2020-10-30 |title=How do Netflix movies make money? |url=https://netflixlife.com/2020/10/30/how-do-netflix-movies-make-money/ |access-date=2023-07-13 |website=Netflix Life |language=en-US}}</ref> In a reflection made by 2013 Netflix Chief Content Officer, [[Ted Sarandos]], he was quoted saying, "When we launch in a territory the [[BitTorrent]] traffic drops as the Netflix traffic grows."<ref name=":3">{{cite journal| url=https://doi.org/10.1016/j.jebo.2019.03.017| doi=10.1016/j.jebo.2019.03.017| title=Experimental evidence on demand for "on-demand" entertainment| year=2019| last1=McKenzie| first1=Jordi| last2=Crosby| first2=Paul| last3=Cox| first3=Joe| last4=Collins| first4=Alan| journal=Journal of Economic Behavior & Organization| volume=161| pages=98β113| s2cid=159448708}}</ref> This can be valuably interpreted as in that online piracy numbers drop the more that SVOD companies grow, which in turn means more revenue going back to the production companies.<ref name=":3" /> '''Behavior detrimental to SVOD revenue''' Online piracy is detrimental to production companies that produce digital content.<ref name=":4">{{cite journal| url=https://doi.org/10.1287/mnsc.2017.2875| doi=10.1287/mnsc.2017.2875| title=The Effect of Subscription Video-on-Demand on Piracy: Evidence from a Household-Level Randomized Experiment| year=2018| last1=Godinho De Matos| first1=Miguel| last2=Ferreira| first2=Pedro| last3=Smith| first3=Michael D.| journal=Management Science| volume=64| issue=12| pages=5610β5630| s2cid=58008075| hdl=10400.14/33147| hdl-access=free}}</ref> In a study that offered BitTorrent users a free SVOD subscription, the results of the research provided readers with information that show download and upload speeds in those homes decreased with a free subscription, but it could not prove decreased use in BitTorrent software.<ref name=":4" />
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