Global Video on Demand Market Research Report: Forecast (2024-2030)

Market Definition

Video on demand (VoD) is a system that facilitates users to choose and watch video content, usually sent using a real-time streaming protocol, on their portable digital devices or even smart televisions. It consists of free and paid programs from telephone, cable companies, and satellite TV, as well as streaming services on the Internet. It includes three kinds of business models, including a single transaction or pay-per-view, rentals as a subscription-based service, and digital purchases via download or permanent cloud storage option.

Market Insights & Analysis: Global Video on Demand Market (2024-30):

The Global Video on Demand Market size is valued at nearly USD 87.1 billion in 2023 and is estimated to grow at a CAGR of around 17.67% during the forecast period, i.e., 2024-30. The market's growth can be attributed to the rising adoption of smart devices & gadgets, the continuous improvement in internet services, and the increasing demand for subscription-based platforms to access a wide range of content, including series, shows, documentaries, movies, and more. The growing affordability of streaming devices like smartphones, along with convenient access to streaming platforms from anywhere, is contributing to the industry's expansion.

Furthermore, consumer preferences for a broad selection of subscription options and enhanced content quality have undergone a significant transformation over time. As a result, the freedom to enjoy desired content without being tied to cable or channel schedules has significantly attracted a large number of subscribers. The constant enhancement and diversification of content across various genres and languages are expected to attract even more audiences in the upcoming years.

Moreover, the accelerating technological progress in mobile devices, coupled with advancements in streaming platforms and the enhancement of video formats, is poised to create opportunities, contributing to the growth of the Global Video on Demand Market in the coming years. Additionally, the user-friendly nature of subscription-based services, which permits customers to easy-in and out, is projected to encourage viewers to subscribe to video streaming platforms. This, in turn, enables content providers to swiftly & conveniently notify users about enticing offers, further encouraging subscription and engagement of video on demand in the forecast years.

Global Video on Demand Market Driver:

Digitalization & Compatibility with Streaming Platform Are Driving the Market Growth – The increasing digitization & improved internet connectivity have led to a surge in the adoption of various gadgets like smartphones, tablets, smart televisions, and more, driving the Video on Demand Market. The compatibility of various streaming services, such as Netflix, Amazon Prime Video, and Disney Hotstar, with a wide range of digital devices has encouraged consumers to access video content of their choice.

Additionally, service providers offering faster download & streaming capabilities, owing to high-speed networks, are contributing to the expansion of the market. Technological advancements in smartphones, along with the addition of numerous features, have replaced desktops & traditional televisions as the primary means of consuming media. This shift in consumer behavior is further boosting the demand for streaming video content on portable devices, hence enhancing the market size.

Global Video on Demand Market Opportunity:

High-quality Video Formats & Enhanced Streaming Services Creating Opportunities – The improvement in video formats, particularly UHD & 4K, along with the advancements in both streaming devices & services, has unlocked profitable prospects for the industry. The widespread availability of smartphones with enhanced capabilities has driven the demand for high-quality content, particularly in 4K resolution, propelling the industry forward. Additionally, the increasing need for superior bandwidth, high-resolution videos, and advancements in video formats are expected to create opportunities for a larger subscriber base, viewership, and overall industry growth. For instance:

• In 2023, Apple Inc. launched a spatial computer that seamlessly blends digital content with the physical world, allowing users to stay present and connected to others.

Hence, these developments in video formats would create the opportunity for video-on-demand service providers & accelerate the market growth in the forecast years.

Global Video on Demand Market Challenge:

Threat of Pirated Content & Illegal Streaming Services to Restrict the Market Expansion – The proliferation of pirated content, coupled with the growing presence of illegal streaming services, poses a significant obstacle to Video on Demand Market expansion. Research from the US Chamber of Commerce's Global Innovation and Policy Center, in collaboration with NERA Economic Consulting, reveals that approximately 80% of worldwide online piracy activities are associated with illegal streaming websites, primarily affecting the TV & movie industry.

Thus, with video content readily available and stored in digital format, content providers and market players feel threatened by the increasing chances of content piracy & reselling. This, in turn, is diminishing the viewer and subscriber numbers, leading to substantial financial losses for market players and hindering industry expansion.

Global Video on Demand Market (2024-30): Segmentation Analysis

The Global Video on Demand Market study by MarkNtel Advisors evaluates & highlights the major trends and influencing factors in each segment & includes predictions for the period 2024–2030 at the global, regional, and national levels. In accordance to the analysis, the market has been further classified as:

Based on Type:

• Subscription Video On Demand (SVOD)
• Advertising Video On Demand (AVOD)
• Transactional Video On Demand (TVOD)

The Subscription Video On Demand (SVOD) segment is projected to dominate the Video On Demand Market, primarily due to the increasing viewer interest, leading to a growing number of subscribers opting for Over-The-Top (OTT) platforms. Within this business model, users pay a subscription fee to gain access to all available content on the video streaming platform. Hence, the production of exclusive & compelling content by OTT platforms has led to a surge in subscription rates as viewers seek to keep up with trending shows & movies while enjoying the existing content, thus contributing to the industry's growth.

Based on Platform:

• Smartphones & tablets
• Laptop & PCs
• Smart TV

Smartphones hold the maximum share of the Global Video on Demand (VoD) Market. This preference is attributed to the widespread availability & affordability of smartphones, which make them a ubiquitous choice for consumers, ensuring easy access to VoD content. Smartphones offer portability, allowing users to enjoy content on the go, which aligns with the evolving lifestyle & viewing habits of modern consumers.

Additionally, the increasing quality and size of smartphone screens, improved processing power, and enhanced audio-visual capabilities make them suitable for an immersive VoD experience. Moreover, the convenience of smartphone apps and their user-friendly interfaces further contribute to their popularity in accessing streaming services.

Global Video on Demand Market (2024-30): Regional Projection

Geographically, the Global Video on Demand Market expands across:

• North America
• South America
• Europe
• The Middle East & Africa
• Asia-Pacific

North America held the largest share in the Video on Demand Market, mainly due to the significant presence of key players such as Netflix, Amazon, Apple Inc., and others within the region. These companies have been actively developing advanced Video on Demand (VoD) services for consumers. Furthermore, the region's diversity and the substantial investments made by industry leaders in adopting advanced technologies like cloud computing and artificial intelligence have enhanced the market's value.

This increasing production of content across various genres, including entertainment, sports, and TV commerce, along with collaborative efforts among content producers, have further fueled the North America Video on Demand Market expansion.

Global Video on Demand Industry Recent Development:

• 2022, Muvi LLC partnered with Datasry to present an integrated streaming solution at the Broadcast India Show.
• 2022: Walt Disney announced its plans to launch an ad-supported video (AVOD) service as part of its strategy to achieve its goal of surpassing 230 million subscribers by 2024.

Gain a Competitive Edge with Our Global Video on Demand Market Report

• Global Video on Demand Market Report by MarkNtel Advisors provides a detailed & thorough analysis of market size, share, growth rate, competitive landscape, and key players. This comprehensive analysis helps businesses gain a holistic understanding of the market dynamics & make informed decisions.
• This report also highlights current market trends & future projections, allowing businesses to identify emerging opportunities & potential challenges. By understanding market forecasts, companies can align their strategies & stay ahead of the competition.
• Global Video on Demand Market Report aids in assessing & mitigating risks associated with entering or operating in the market. By understanding market dynamics, regulatory frameworks, and potential challenges, businesses can develop strategies to minimize risks & optimize their operations.