Global Video on Demand (VOD) Service Market – Industry Trends and Forecast to 2029

Market Analysis and Size

The consumer's streaming choices have changed drastically over time. The desire for video material is fueled by its flexibility in allowing viewers to schedule their time, improved streaming quality, and the variety of subscription options available. They frequently collaborate with other technology players to enhance the entire viewing experience. These phenomena shape the video on demand (VOD) service market's outlines. For companies in the video on demand (VOD) service market, the rapid growth of OTT platforms, particularly among millennials and Gen Z, supported by dependable and affordable internet connections, has stimulated the development of new revenue sources.

Global video on demand (VOD) service market was valued at USD 55.99 billion in 2021 and is expected to reach USD 120.02 billion by 2029, registering a CAGR of 10.00% during the forecast period of 2022-2029. In addition to the market insights such as market value, growth rate, market segments, geographical coverage, market players, and market scenario, the market report curated by the Data Bridge Market Research team includes in-depth expert analysis, import/export analysis, pricing analysis, production consumption analysis, and pestle analysis.

Report Scope and Market Segmentation

Market Definition

The video on demand (VOD) services basically allows users to choose and access video content on display devices including smart TVs, tablets, smartphones, game consoles, and others at a convenient time, or "on demand." Such content is transmitted by VOD providers using a real-time streaming protocol. OTT, IPTV, cable television, and direct home television offer these services.

Video on Demand (VOD) Service Market Dynamics

This section deals with understanding the market drivers, advantages, opportunities, restraints and challenges. All of this is discussed in detail as below:

Drivers

• Burgeoning Use of Smart Devices and Rising Mobile Data Subscriptions

Increasingly common smart devices like tablets, smartphones and laptops, and consumer preference for having access to a variety of intriguing entertainment options whenever and wherever they choose, have made it more convenient for people to watch media material. Additionally, the global market for video on demand is growing as a result of improving affordability, the introduction of high-speed internet connections, and increased usage of these connections and services. Additionally, rising mobile data subscriptions, increased use of high-speed data networks, and the advent of cutting-edge functionalities in smartphones and tablets are some of the major drivers expected to propel the worldwide video on demand market over the forecast period.

Additionally, the prevalence of flexibility and ease of use offering seamless customer experience is estimated to boost the overall market’s growth. Also, the increase in live streaming of various events to avoid mass gatherings, the growing prevalence of local players, and the film studios coupled with the high preferences towards online steaming services over traditional are anticipated to bolster the overall market’s growth rate.

Opportunities

• Surge in Usage of Analytics And The Mergers

The rising usage of analytics and artificial intelligence is estimated to generate lucrative opportunities for the market, which will further expand the video on demand (VOD) service market's growth rate in the future. Additionally, the mergers with local producers and film studios across regions for the subscription video on demand (VOD) service model further offer numerous growth opportunities within the market.

Restraints/Challenges

• High Cost

The video on demand (VOD) services are very expensive, further derailing the overall market’s growth. Therefore, the high cost associated with video content creation is further expected to obstruct market growth over the forecast period.

• Privacy and Disagreements Issues

The market restraining factors for the expansion of video on demand (VOD) in the aforementioned anticipated timeframe are likely to be the escalating dangers to the privacy of video content and disagreements between producers and aggregators regarding licensed business models.

• Complex Regulatory Framework

The video on demand (VOD) service market’s growth rate will be further slowed down by complex government regulatory framework and licensing regime as they are time taking procedure. The complex regulatory framework is therefore estimated to be significant challenge for the video on demand (VOD) service market over the forecast period.

This video on demand (VOD) service market report provides details of new recent developments, trade regulations, import-export analysis, production analysis, value chain optimization, market share, impact of domestic and localized market players, analyses opportunities in terms of emerging revenue pockets, changes in market regulations, strategic market growth analysis, market size, category market growths, application niches and dominance, product approvals, product launches, geographic expansions, technological innovations in the market. To gain more info on the video on demand (VOD) service market contact Data Bridge Market Research for an Analyst Brief, our team will help you take an informed market decision to achieve market growth.

COVID-19 Impact on Video on Demand (VOD) Service Market

The video on demand (VOD) service market was immensely impacted by the outbreak of COVID-19, as the movie theatres and other screening locations worldwide have been closed for an extended period. Various governments around the world took this action to halt the spread of the deadly virus. As a result, throughout the epidemic and the ensuing lockdowns, there was an unanticipated increase in the amount of entertainment content seen online. Sales of the on-demand and subscription-based streaming services increased as more individuals chose to stay at home. This gave the global video on demand market's competitor’s prospects for exponential growth.

COVID-19 has improved consumer and government understanding of the value and applications of advanced networking, including augmented and virtual reality-based education, sophisticated telemedicine, and remote employment. Video-on-demand services have made it easier for individuals to enjoy entertainment thanks to the 5G trend, increasing mobile penetration, and improved high-speed broadband internet connection via fixed wireless access (FWA). They were somewhat relieved by this as they endured a protracted period of social isolation due to their pandemic anxiety.

Recent Developments

•  In June 2020, the business unveiled a multi-faceted concept that enables customers to confidently return to moving cinemas. With the help of this new software, Fandango is now able to activate all of its digital assets, including Movieclips on YouTube and the effectiveness of its marketing channels. Fandango's fan base will grow as a result of this product introduction, which will also result in a larger client base for the business.
• In April 2020, Synamedia joined forces with Google Cloud to expand its video network portfolio and offer a new OOT solution. By addressing client questions about OTT services through this relationship, Synamedia can maximise performance while maximising scalability and cutting expenses. A major benefit of this relationship is that it enables both businesses to incorporate machine learning and artificial intelligence, which enhances customer experience by generating compelling content for users.

Global Video on Demand (VOD) Service Market Scope

The video on demand (VOD) service market is segmented on the basis of delivery technology, device used, application, and industry vertical. The growth amongst these segments will help you analyze meagre growth segments in the industries and provide the users with a valuable market overview and market insights to help them make strategic decisions for identifying core market applications.

Delivery Technology

• Near Video on Demand (NVOD)
• Subscription Video on Demand (SVOD)
• Transactional Video on Demand (TVOD)
• Others

 Application

• Entertainment
• Education and Training
• Network Video Kiosks
• Online Commerce
• Digital Libraries
• Others

 Industry Vertical

• Healthcare
• Manufacturing
• Academia and Government
• Consumer Goods and Retail
• Hospitality and Tourism
• Telecommunications and IT
• Media and Entertainment
• Transport and Logistics
• Banking
• Financial Services and Insurance (BFSI)
• Others

 Device Used

• Mobile
• PCs
• Tablets
• TV

Video on Demand (VOD) Service Market Regional Analysis/Insights

The video on demand (VOD) service market is analyzed and market size insights and trends are provided by country, delivery technology, device used, application, and industry vertical as referenced above.

The countries covered in the video on demand (VOD) service market report are U.S., Canada and Mexico in North America, Germany, France, U.K., Netherlands, Switzerland, Belgium, Russia, Italy, Spain, Turkey, Rest of Europe in Europe, China, Japan, India, South Korea, Singapore, Malaysia, Australia, Thailand, Indonesia, Philippines, Rest of Asia-Pacific (APAC) in the Asia-Pacific (APAC), Saudi Arabia, U.A.E, Israel, Egypt, South Africa, Rest of Middle East and Africa (MEA) as a part of Middle East and Africa (MEA), Brazil, Argentina and Rest of South America as part of South America.

North America dominates the video on demand (VOD) service market because of the increasing prevalence of service providers within the region. Moreover, the rising demand for on demand video consumption is further estimated to accelerate the expansion over the forecast period.

Asia-Pacific is expected to witness significant growth during the forecast period of 2022 to 2029 due to the rising demand of pay-per-view programs and movies within the region. Moreover, growing preferences towards online steaming services is further estimated to boost the regions’ growth rate during the forecast period.

The country section of the report also provides individual market impacting factors and changes in regulation in the market domestically that impacts the current and future trends of the market. Data points like down-stream and upstream value chain analysis, technical trends and porter's five forces analysis, case studies are some of the pointers used to forecast the market scenario for individual countries. Also, the presence and availability of global brands and their challenges faced due to large or scarce competition from local and domestic brands, impact of domestic tariffs and trade routes are considered while providing forecast analysis of the country data.   

Competitive Landscape and Video on Demand (VOD) Service Market Share Analysis

The video on demand (VOD) service market competitive landscape provides details by competitor. Details included are company overview, company financials, revenue generated, market potential, investment in research and development, new market initiatives, global presence, production sites and facilities, production capacities, company strengths and weaknesses, product launch, product width and breadth, application dominance. The above data points provided are only related to the companies' focus related to video on demand (VOD) service market.

Some of the major players operating in the video on demand (VOD) service market are

• Netflix (U.S.)
• Amazon Inc., (U.S.)
• Google Inc., (U.S.)
• Akamai Technologies (U.S.)
• YouTube (U.S.), Apple Inc., (U.S.)
• Home Box Office, Inc.  (U.S.)
• Cisco Systems, Inc. (U.S.)
• Roku Inc., (U.S.)
• iNDIEFLIX Group Inc (U.S.)
• Fandango (U.S.)
• Hulu, LLC (U.S.)
• Comcast (U.S.)
• Huawei Technologies Co., Ltd. (China)
• Fujitsu (Japan)
• CenturyLink (U.S.)
• Muvi LLC (U.S.)
• Vubiquity, inc. (U.S.)

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