What is the FVOD model? We have already talked about the term Video On Demand (VOD), as systems that allow users to select and watch / listen to video or audio content such as movies and television shows when they want, instead of having to watch them at a specific time.
But then, what is the FVOD model and why has it become such a trend in recent years? Learn all about it below.
What is FVOD and how does it work?
By now, you probably have a fixed idea of what VOD is. Yet, for some people, the terms derived from this model remain somewhat confusing. So, to clarify, Free Video On Demand (FVOD) is VOD programming offered by a network operator at no charge.
In other words, this service delivers content without prior established parameters, and without charging any fee or access charge, be it transactional, recurring, periodic or otherwise.
What is the future of the Free Video On Demand (FVOD) model?
The primary goal of many advertisers is to reach their customers through video and content delivery platforms. However, many viewers ignore the ads. For example, Netflix AVOD and Amazon Prime are ad-free, and Hulu even offers an option without them.
However, advertising on FVOD sites is expected to skyrocket in the coming years. Spending on free ad-supported video (content on YouTube and Facebook, for example) is forecasted to rise from $ 16 billion in 2017 to $ 37 billion in 2022.
Free content will be viewed by a global audience of 4.5 billion by 2022, as its appeal only grows stronger.
What is the leading FVOD platform today?
Despite the wide number of platforms and social networks that exist, the undisputed winner is by far YouTube. This platform offers 1 billion hours of free video every day. However, as the market matures, it will also face certain challenges.
Youtube’s main competition will be social networks, using free videos to increase their audience.
That said, any of these platforms will become ideal options for advertisers.