How to Create a Video on Demand Business: A Detailed Guide to Get Started a VOD Website
Published On December 4th, 2024 OTT
The VOD industry is experiencing explosive growth if we go by reports and statistics. Reports show that video constitutes about 82% of internet traffic, with users consuming over 16 hours of video content weekly.
This surge has greatly propelled the demand for video-on-demand services to levels that are unprecedented.
To give you some context, in 2025 alone, the video-on-demand (VOD) sector witnessed a 12% increase in user base and a 15% revenue growth.
This signals a solid, robust expansion of the VOD industry.
According to Statista, the VOD market is poised to achieve a market value of approximately $126,548 million by next year, that is 2025.
And if you know how the free market economy works, then you should know that businesses will always try to capitalize on trends.
Over the last few years, so many businesses have been launching their video content monetization strategies using some of the best VOD platforms available in the market.
This article will explore the impact, key sectors, and advantages of the VOD business. In the end, we will also offer some practical insights on launching your very own VOD website.
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Table of Contents
What is Video on Demand?
Video on Demand (VOD) is a service that allows viewers to select and watch the video content of their choice at their convenience, rather than at a scheduled broadcast time.
Why is it such a big deal?
Because VOD platform or VOD solution providers have fundamentally changed the way we consume media.
It provides almost instant access to a vast library of movies, TV shows, documentaries, and other content genres which are unprecedented in the history of streaming and broadcasting.
In VOD, users can easily stream or download videos with whatever devices they use like smartphones, tablets, smart TVs, and computers.
What is the VOD Business Model?
The VOD business model allows content providers to distribute and monetize their videos directly to consumers. The big advantage: they can do this by bypassing traditional broadcast channels.
This direct-to-consumer approach has been revolutionary and embraced by a string of popular platforms like Netflix, Amazon Prime Video, Hulu, and Disney+. And how do they earn money?
These platforms offer subscription-based, ad-supported, or pay-per-view models. This way users pay for access to content either monthly, per view, or through advertisements.
For example, Netflix offers a subscription-based model where users pay a monthly fee to access a wide range of movies and TV series.
Amazon Prime Video allows users to rent or purchase movies and shows on a pay-per-view basis. Disney+ combines both these models — it gives subscription-based access to exclusive content from its extensive library of movies and TV shows.
Type Of Industries Benefited Using Video On-Demand Technology
Due to the adaptable nature of VOD technology, many niches are using it to streamline their operations and grow their business.
A report by Wibbitz suggests that 56% of marketers currently implement video in their content strategy, and another 61% plan to do it soon.
With HD video on the frontline of business and communications, VOD websites are becoming more and more relevant.
Video-On-Demand: Use Cases
Here are the top 5 industries leveraging video-on-demand technology in their business.
1. Media & Entertainment
The media industry is all about providing information and entertainment to audiences. With content becoming increasingly video, VOD technology helps build a business to deliver it effectively to viewers.
It deals with media content related to film, radio, and television, where the genres range from movies, TV shows, radio programs, music concerts, sporty events, news bulletins, talk shows, etc.
2. Sports & Fitness
VOD has added a new dimension to this online fitness platform industry by introducing recorded events that viewers can watch as many times as they want.
Sports VOD enable gamers to capture momentary experiences and post videos on their dedicated channels.
The same applies to fitness enthusiasts who try to stay fit with accessible online fitness tutorials, takeup Instagram fitness challenges, personal training sessions, and more using a VOD platform.
3. Education
Today, Education is not only confined to classrooms. With the introduction of e-learning, students can learn remotely through recorded videos, lecture capture flipped classrooms, and more, all made possible due to video on demand.
This industry has captured many eyes benefiting from the best online video platforms.
One of the finest examples from UNESCO lets us know that distance learning programs are recommended to cope with the extensive impact of a pandemic on the education sector.
4. Enterprises
VOD website helps businesses with their communications by effectively exchanging messages, training materials, instructional videos, and promotional content among the team members and the end-users.
Real-time conversation apps like Zoom, Skype, and Slack are perfect examples of how increased interconnectedness among employees results in a corresponding increase in productivity.
5. Religious
VOD technology helps religious communities spread discourses worldwide through recorded videos. Followers can watch the preaching sessions online and become a part of the community transcending geographical barriers.
As with every other vertical, religious communities had also switched to the Internet when the pandemic peaked. As a result, an uptick in church attendance was witnessed to compensate for the lack of in-person worship.
How do I start an online video on demand business?
Starting an online video-on-demand business is no longer reserved for the elites.
With platforms like VPlayed, anyone — even beginners with no coding experience — can create a video-on-demand platform.
And the best part is having complete control over the user interface, customization, and viewing experience. This means that you can personalize the OTT platform according to your needs.
Here are some simple steps to create a stunning video on demand website:
Step 1: Build a Good VOD Website
Your video-on-demand service is like a catalyst for your business. So, the first step is to build a good-looking, visually appealing website for your business.
Step 2: Find your niche and target audience
The first item on your to-do list after deciding to launch your video streaming platform is to identify your niche. Of course, this may include comedic performances, popular TV shows, concerts, and documentaries
Step 3: Choose a monetization model
Once you’ve finalized your niche and target audience, the next step is setting quantifiable goals.
Choosing suitable monetization models like SVOD, TVOD & AVOD would help measure any streamed content’s success.
Some of the common monetization models
a. Advertisements (AVOD)
Ads significantly garner your revenue scales, especially for content-based businesses.
Here primary factors when you are starting to stream them; it is an all-time winner that supports your sustainability since its demand in the market is in volumes.
b. Subscriptions (SVOD)
When you look for how to start a video streaming website, it becomes essential to gauge if your content can permit subscriptions.
Seeking exclusive rights for it and having in-house shows can ensure a sustainable model. It also proves as a unique differentiator from the rest.
c. Pay-Per-View (TVOD)
If you have content to sell videos online piecemeal, pay-per-view is your best choice. This model is primarily used when every video is priced individually.
While building an on-demand library, if you have yet to have a vast one, this can be your go-getter.
Recommended Reading
Why Does Your Business Need A VOD Platform?
VOD has multiple benefits to offer to both the creators and the consumers. Here are seven solid reasons why you should build your own video-on-demand website.
1. Convenience:
VOD services allow users to watch the content as and when they like. There are no restrictions on time and place, and one can watch a particular content multiple times.
Additionally, users can stream content from any geographical location, which is not the case with a traditional TV. With VOD, audiences also have the freedom to cancel their subscription at any time.
2. Better customer reach and accessibility:
Having a VOD website allows you to cater to a large audience base. One can access your website from any device with a single click.
Furthermore, creating content that resonates with your viewers can increase your audience base manifold.
3. Build online communities
VOD business is more than just video viewing. It is about building a community around your ideas and passions with people who share similar interests.
By delivering value and original content in their particular industry, one can succeed in VOD streaming.
Take the example of Netflix, whose users share a common sense of belongingness around its video content, making it a viewer giant.
4. Source of passive income:
There are various monetization options in a video-on-demand business.
For instance, with SVOD (subscription video on demand), you get recurring revenue month-on-month from your subscribers.
This ensures a steady flow of income and allows you to focus more on creation without worrying about money.
5. Creative freedom and control over monetization:
Building your own video-on-demand website gives you complete control over your content.
You get to choose what, when, and how you want to share your ideas with the world. There are no advertisers’ guidelines to be followed that may hamper your creativity.
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6. Multiple revenue streams:
Video streaming services have multiple monetization methods to monetize video content and earn revenue from the content. You can choose among the most popular ones, including AVOD(ad-based), SVOD (subscription-based), and TVOD (transactional or pay-per-view).
In addition, there are also options to use hybrid models like SVOD & TVOD or SVOD & AVOD to maximize profits depending on the business.
7. Ad-Free Entertainment:
There is no denying that our consumers have never welcomed advertisements. As a result, most are ready to pay a premium VOD price to stream ad-free content.
In traditional TV, viewers can only watch the ads as the service uses AVOD monetization. But VOD provides them without ads entertainment after a video subscription platform that attracts many consumers.
How to choose video on demand Business?
For building your own VOD business, you require the services of VOD software.
Today, the market is saturated with eclectic VOD businesses. Still, choosing the right one that fits your business needs and goes well with your content strategies is essential.
An effective VOD business must have the latest cutting-edge technologies that are future-proof.
An excellent IT infrastructure coupled with a robust distribution network will help you remain relevant and scale up in the future.
If you want to make money from your VOD website, pay attention to the monetization models and payment gateway support.
Lastly, the service should be within your budget, as content creation and business require a hefty upfront investment.
How VPlayed Helps Business to Build Successful VOD Website
VPlayed is an end-to-end video on demand website builder that lets you digitize the video experience for global audiences.
- VPlayed is an end-to-end video-on-demand website builder that lets you digitize the video experience for global audiences.
- Design a business model by finding the ideal niche on which you can create quality content.
- The next step is to find a business service like VPlayed and pay at a one-time cost which you will ultimately own.
- Customize the added features in your kitty to suit your business based on what customers expect.
- Also, customize the layout to resonate with your brand image.
- Ensure that the videos are compatible to stream on multiple and remote devices.
- Find out the best video monetization platform that you can work with.
- Pay attention to the video content management system and the security of the system with the necessary tools.
- Add features such as analytics to monitor your videos’ engagement rate and other progress to analyze them regularly and make necessary changes then and there.
- Set up the on-cloud hosting and build an available VOD app after ensuring the security features.
Here are the top 6 features that make VPlayed a robust VOD website
1.100% Customizable:
VPlayed offers the best white-label OTT platform capabilities to host videos with your branding.
In addition, you can customize the website to match your brand image without creating anything from scratch.
2.10+ Flexible Monetization Models:
There are three basic monetization models – SVOD, AVOD, and TVOD on VPlayed.
In addition, the platform also offers catch-up TV, coupons & promotions, third-party ad integrations, and server-side ad insertion.
3. On Cloud/ On-Premises:
VPlayed provides both on-cloud and on-premise hosting. You can select one that matches your use cases and requirements to build the best online video hosting platforms.
4. Multi-DRM Solution:
VPlayed has multi-DRM security that manages your licensed content. In addition, it protects your content against piracy and unauthorized access..
5. Built-in Marketing Integrations:
To enhance user engagement and lead conversions, VPlayed provides multiple tools to create compelling CTAs, lead capture forms, and video email marketing.
6. 4K HLS Streaming With HTML5 Player:
VPlayed offers a state-of-the-art HTML5 video player with HLS streaming that ensures a high-quality buffer-free viewing experience.
In addition, it comes with adaptive bitrate streaming and multi-screen support that adds to the convenience of viewers.
Conclusion
Video on demand is a powerful asset for businesses. However, knowing where and how to start can be confusing.
As mentioned, an advanced white-label VOD platform like VPlayed can help you build an impactful website to take your content to a global audience.
With adequate planning and thoughtful investments, you can achieve tremendous success.
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Frequently Asked Questions (FAQ):
1. How To Create A Video On Demand Website For Business?
You can now build customized streaming business specially for various genres in video on demand by firstly planning content with the target audience. Then content production & uploading on the website comes into the category. When it’s all set to stream you need to embed your video player & finally promote your VOD business.
2. Why VOD Business Important In 2054?
With 2021 year nearing to a closure many business owners are flipping through the page to start video on demand service, looking forward to new avenues. On-demand video business models help to convert their vision into incredible success via its popularity, high engagement, versatile ways to target, & ability to share & monetize.
3. Which Monetization Model Is The Best For VOD Business?
Streaming with an effective business revenue model largely depends on genre of content that’s added to a video on demand site created on your own. SVOD platform is the most common type chosen by media owners to reap constant profits. Other than that, selecting a perfect monetization strategy depends on audience’s choices to cater. Some may like to watch a complete pack where TVOD can help, apart from AVOD.
4. How To Secure Your Video On Demand Content?
When you have decided to start an online video streaming business, secure video delivery comes into major play and we all know that security is the lifeblood of professional broadcasting. Some of the key protocols like AES Encryption, HTTPS Delivery, SSL Paywall, Password Protection, etc. will ensure to monitor your content originality.
5. What Is The Most Popular Video On Demand Service?
While looking into establishing yourself as one among the big brands in the industry, typically Netflix can help you to gain best insights as it shares the standard-bearer. Subsequently, Vimeo occupies the place offering vivid video projects through on demand section. Then, definitely Twitch & YouTube TV are your best bets to enjoy people’s games. Not to forget, Amazon Prime & Hulu share an amazing library for standalone video subscriptions.
I suggest that you to include information about different monetization models for video on demand businesses. It’s great to have a variety of options to choose video on demand business from on my specific goals.
We need to start a video on demand website customized as per our need for delivering our 200 hrs. of vod content in USA. Kindly reach out at the earliest with pricing factors and features.
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Hello VPlayed, I’m trying to create a video on demand website like Netflix to help deliver on demand content. Please inform me of pricing options. Thanks!
Hi Team, kindly share the prices for the vod website like Netflix, we will be building businesses like Hulu or Netflix, most of the distribution will be in nearby countries.
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Hi, my question is, it like the mode of starting video on demand business can only be for movie streaming or it will work for general YouTubers who are at home & can upload videos anytime? Thanks
We are interested to start a vod business for multiple of my current users. What’s the price for the vod website? & are there any monthly subscriptions involved. Is it have secure video service? Looking forward to doing business with you. Kindly revert back.
Hey, here
I want to know about costing.. Whether Costing would be a one-time?
Soon I am planning to launch an e-learning Vod website with online, I will share my requirement.
It would be completely based on my requirement. The website would be hosted in your server/cloud?
The option which I like to have Pay per view and monthly subscriptions…
Please get back to me asap.
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Best regards, Haatim
Hey, how much would I be looking to spend if I am trying to make a video on demand business?
Kindly let me know the pricing for vod business that you have.
I have business ideas about creating a Video on Demand business like Netflix, Hulu, Amazon Prime.
I would like to know how much costs to do the same Amazon prime video? Looking forward to your response.
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Greetings, Still no response from anyone about my request. Please I would like to know if I can create a video on demand website for my youtube channel studio to create more revenue on my own live video from the subscribers and if I can get a vod business for session plan website too, although we will be using for the live class, whiteboard screen sharing, video recording, etc…please get back to me asap
I would like to create and use your video on demand business for all my youtube channels and also make money with monetization models with best svod revenue option right now. Kindly let me know the pricing or packages you have.
Hello, we have a collection of video and movie-making studios with multiple locations, we like to move online and I want to make revenue with the monetization model. We would like to implement a customized vod website and streaming business services able to track progress through and allow the consumer & the service provider to video and transact. We are launching this month and we would greatly appreciate your input. Many thanks, Ana
Hi Ana, To have a perfectly suited vod business model, we recommend you to have a video on demand website where you can provide lucrative opportunities for service to showcase their unique content in the form of in-stream ads.. On the other hand, you can broadcast blockbuster video releases to your end-consumers maximizing profits in a short time with monetization model.
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Hi…
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Hi.. Thanks for enquiring… You can have all services put together in one unified solution from VPlayed. Let us know with your details through the contact us form & we can have a quick chat to take things forward.. Also you can request for a demo to have an idea of launching a video on demand business.
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Hi! We are a startup in the professional networking sector. We are interested in your video on demand business. Similar to professional networking website like Amazon Prime, we are looking to put heavy emphasis on helping our users to have new valuable connections through video on demand business. I’m quite intrigued by your pricing structure breakdown as well as the video monetization feature like SVOD, AVOD & more.
Hi.. Thanks for getting back to us.. You can now help users to have personalized video watching experience with user-centric & professional video on demand website. For exploring pricing structure, you can get in touch with our in-house streaming experts. All you need to do is fill in the details via the contact us page, & we’ll get back to you shortly.
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Looking to how to create a video on demand business? with integrate vod website into our eLearning online classes. Can you please provide details of how your vod business works on web? Also, provide details about your pricing.
Dear team,
I would like to know whether your company helps startups with a profit-sharing model, in how to create a video on demand website, to begin with? Any set percentage as building fee and similarly as AMC fee, IPR remains with me. Let me Know.
Hello,
Very nice article about how to make a video on demand website. I want to start & build a web channel with a video on demand business that supports smart tv too. Need to know more about vod website detailed features and monetization options.
We are looking to build a video on demand website to stream video and I was hoping to get a quote for our needs.
Hi Team,
Reading “how to start video on demand business” and other written content on the contus blog encouraged me to contact you. Like to know more about pricing.
We are interested in the video on demand streaming website. What’s the price for the VOD business.
Hello, We Need a video on demand website to create in Romania to stream physical therapy video exercises, and we want to find a better solution for our video resources. Can you please give us a monthly/yearly quotation?
We are a company looking for a VOD business for streaming to be integrated to our web shop which would let our customers (mainly from US) upload videos to our website.
We are a non-profit organization looking to start an on demand video website, looking to switch to VPlayed, but would like to learn more about your platform as well.
Very useful article. Is it necessary to make a combined vod business and website for our video services? How to do it with the VPlayed provider? Thanks
Hey, we would love to test your video on demand website as we are in the process of building a vod business for our services. Already using another one, but not satisfied. So willing to migrate to another third-party company. Kindly arrange a demo for us. Thanks
Interested in a demo that fully describes this business to see if it’s a good fit to create a video on demand website for my new streaming business. Also need experts suggestion to make more successful by generation 4x revenue. Thanks, Advance
Hi I would like to have a demo of the VOD business to check if it would suit our needs or launch our own vod website. Can you please arrange the 1-1 session for us?
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Thank you for sharing this valuable information about starting a video on demand business. I think one key factor that is often overlooked is securing the rights to the vod content.
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Dears, We are searching for a solution to create our own VOD website for our media group. Can you please advise on your pricing Best and demo session?
Thanks, Advance
Hi, We are planning to build a VOD website and would like to discuss the service/ product costing and other details. If possible arrange for a demo/ discussion by this afternoon.
Hello, I am interested in talking with someone to start VOD business with its prices, storage capabilities, and using your VOD website and Live streaming channels. Let me know when a good time to meet for any of you is.
Good day, I want to start a video on demand site like Netflix in nature (but of course smaller to start) eventually I’d like to add the capability to watch with friends maybe a side by side view video on one side chat window or later on a demand video window on the other.
The steps and top checklist on building on video on demand platform helps lot. Building relationships and finding people who share your vision is so important in the video on demand business.
Great article, it’s really informative for those who are interested in starting a video on demand (vod) business. One suggestion I have is to consider the target audience and their preferences. This can help in creating a unique value proposition and stand out from the competition.
I am looking to make a video on demand website that will allow for on demand video, essentially like a group video so the student can see the teacher, and the teacher can see all the students, is that something we can do? What would the cost look like?
We are interested in monetizing our content by starting a VOD website. Need your suggestion to create, build and monetize our content through streaming business. Thanks
Looking to build a video on demand website like Netflix but with a very different content base. I tried starting on the most popular VOD websites and find it not only difficult to navigate/setup, up but also the layout and functionality are subpar. Would love to know how you compare and the cost to create a VOD website.
Hi, We are going to build a website like Netflix (hopefully with you !!) that could be considered a sort of Netflix of Psychology with contents related to wellbeing, stress management, cognitive empowerment, memory training, … we are already building about 1000 contents among with video, audio, text on the screen, … in particular we are creating a lot of 360-degree contents at 8k resolution. Please let me know and let’s talk by email, but I am also available for a call 😉
Hi, I’d like to make a video on demand website and streaming business that is a hybrid between YouTube and Netflix. In short, it must enable users to create a profile and upload their own UGC which they can monetize via PPV or subscription model. Can your platform enable this? Is it fully customizable?
Great article, it’s really informative for those who are interested in starting a video on demand (vod) business. One suggestion I have is to consider the target audience and their preferences.
Hi there, Our US-based art organization wants to create live concert streaming, an LMS, and a VOD website. Artists ought to be allowed to make money off of these through subscriptions and/or advertising. I wanted to know what your business could offer us. Warm regards.
This article is a great resource for anyone who is trying to navigate to start a VOD business. I appreciate the detailed breakdown of each section.
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I’ve been thinking about creating a vod website for some time, but I wasn’t sure where to begin. This piece made the procedure appear a lot more feasible and provided me with a clear road map.
I thought it was great that you included a section about how VPlayed supports the video-on-demand market. I appreciate you creating such a lovely blog on building vod business.
I was looking for information on how much it would cost starting a video-on-demand business, but the advice about raising money and bootstrapping was comforting. The fact that there are ways to get started without going over budget is encouraging.
I thought it was great that you included a section about how VPlayed supports the video-on-demand. I appreciate you creating such a lovely blog on building vod business.
Starting a vod business will be difficult for someone new to the industry. Here are some pointers that anyone beginning a video streaming business should have in mind.thanks for the article.
I hope the article conveys the very well detailed point on starting a vod business that will help the video streaming revenue to increase. Thanks for the great article!