How OTT Platform works and earns revenue.
                     HOW OTT PLATFORM WORKS AND EARNS REVENUE?
INTRODUCTION
 Over the years, OTT platforms have acquired tremendous 
success. In contrast, the current time of lockdown due to 
COVID19 proved the greatest point for these online streaming 
services that played a powerful role in keeping us all enjoyed.
Source: www.marketingmind.in
OTT PLATFORMS
•Netflix, Prime, Hotstar, Hulu have all seen a heist of the users. More 
such mainstream movies that have been to debut on the silver 
screen have chosen to continue using the one of these channels to 
release the movies. 
Source: www.marketingmind.in
The Revenue Model
•Today, there are only two essential ways to raise profits from 
user. First is the basic method of using commercials in 
between videos. 
•The other and more frequent model is the payment model. 
The person is expected to spend some money up front so it's 
just about ad free as she likes.
Source: www.marketingmind.in
BUSINESS MODEL
•These companies respect follow the business model of VOD, 
the business model for videos on demand. 
•This app allows audiences to watch their choice of a film at 
their own pleasure. 
Source: www.marketingmind.in
VOD MODELS
•Contrary to cineplexes where people present films at their 
time and their pick. There are three types of VOD models 
that could be personalised.
• SVOD: Subscription Video on Demand
• AVOD: Advertising Video on demand
• TVOD: Transactional Video on Demand
Source: www.marketingmind.in
SVOD: Subscription 
Video on Demand
•SVOD is a video-on-demand service that requires users to access a 
repeated charge for an entire video archive. 
•After the user has paid their email to access the application, she can view 
as many videos as she wants under the option.
•Examples: Netflix, Hulu, HBO, Prime
Source: www.maginepro.com
AVOD: Advertising Video on 
demand
•AVOD refers to ad-based video on demand that is free to its consumers. In this model, ad revenue is used to 
balance the production and hosting costs.
•Examples: Youtube, AOL On, FilmOnX
Source: www.marketingmind.in
TVOD: Transactional 
Video on Demand
•TVOD service allows you to buy content on a pay-per-view 
basis. Unlike SVOD, you are charged per video or video 
package rather than gain access to the entire library.
•Examples: Google Play and iTunes
Source: www.marketingmind.in
Hybrid Model
•A Hybrid approach, as described below, is a mixture of one 
or more resources. 
•Although many come for free, the user will have a cost 
option to watch those videos, available by membership 
only, on their own. 
Source: www.marketingmind.in
The Future
•The increasing success of smartphones, less beneficial smart 
TVs, fresh content, and protection seems to present little 
indicator whether we want to question the future. 
•One must understand that fundamental reason of popularity 
of OTT web streaming platforms, like Netflix, was its ‘out-of-
the-world’ content. If the content is compromised, the 
business is compromised.
Source: blog.finology.in