by The AVOD Services Market is estimated to be valued at US$ 28.09 billion in 2023 and is expected to exhibit a CAGR of 14.2% over the forecast period 2023-2030, as highlighted in a new report published by Coherent Market Insights.
Market Overview:
AVOD (Advertising-Based Video on Demand) services are platforms that provide free streaming content to users, with advertisements as the revenue source. These services offer a wide range of movies, TV shows, and other video content that can be accessed by users without any subscription fees. AVOD platforms have gained immense popularity due to their affordability and accessibility. Users can enjoy a variety of content without having to pay for monthly subscriptions. Popular AVOD platforms include YouTube, Hulu, and IMDb TV, among others.
Market Dynamics:
The AVOD services market is driven by two key factors. First, the increasing demand for free streaming content among consumers, who are looking for cost-effective entertainment options. AVOD platforms provide a wide range of content genres, catering to the diverse interests of users. Second, there is a growing opportunity for digital advertising on these platforms. Advertisers are leveraging the popularity of AVOD services to reach a large audience base and target specific demographics. Moreover, the shift from traditional TV advertising to digital advertising has further fueled the demand for AVOD services. As a result, content providers and advertisers are increasingly collaborating to offer engaging content and innovative advertising solutions on AVOD platforms.
Segment Analysis:
The AVOD services market can be segmented based on content type, platform, and region. In terms of content type, the market is dominated by video content, accounting for the largest share. This is due to the increasing popularity of video streaming platforms and the growth of user-generated content. The video segment is expected to continue dominating the market during the forecast period.
On the basis of platform, mobile devices are the dominant segment in the AVOD services market. With the increasing adoption of smartphones and the availability of high-speed internet, more users prefer to access AVOD services on their mobile devices. This dominance is expected to continue in the coming years.
PEST Analysis:
Political:
The AVOD services market is influenced by government regulations and policies related to content licensing, copyright infringement, and data protection. Changes in these regulations can impact the operations of AVOD service providers and their ability to offer certain content.
Economic:
The economic factors influencing the AVOD services market include disposable income of consumers, advertising budgets of companies, and overall economic growth. A strong economy leads to higher consumer spending and increased advertising revenue, which positively affects the growth of the AVOD services market.
Social:
Changing consumer preferences, especially among younger demographics, towards online streaming and on-demand content consumption, is a significant social factor driving the growth of the AVOD services market. The increasing popularity of video content and the convenience of accessing it anytime, anywhere, are key social drivers.
Technological:
Technological advancements in streaming platforms, high-speed internet connectivity, and the proliferation of smart devices have greatly facilitated the growth of the AVOD services market. Improved video quality, personalized recommendations, and seamless user experiences are some of the technological advancements driving the market.
Key Takeaways:
The global AVOD services market is expected to witness high growth, exhibiting a CAGR of 14.2% over the forecast period. This growth can be attributed to increasing internet penetration, rising smartphone adoption, and changing consumer preferences towards on-demand content.
In terms of regional analysis, North America is the fastest-growing and dominating region in the AVOD services market. The region has a high internet penetration rate, advanced streaming infrastructure, and a large consumer base. Additionally, North America is home to major AVOD service providers such as YouTube and Hulu, contributing to its dominant position.
Key players operating in the AVOD services market include YouTube (Google), Hulu (Disney), Peacock (NBCUniversal), Tubi (Fox Corporation), Pluto TV (ViacomCBS), IMDb TV (Amazon), Roku Channel (Roku), Crackle (Chicken Soup for the Soul Entertainment), Xumo (Comcast), Vudu (Walmart), The Roku Channel (Roku), Popcornflix (Screen Media Ventures), MX Player (Times Internet), Voot (ViacomCBS), and Tubi TV (Fox Corporation). These key players have established a strong presence and are driving the growth of the market through their extensive content libraries, user-friendly interfaces,
Money Singh is a seasoned content writer with over four years of experience in the market research sector. Her expertise spans various industries, including food and beverages, biotechnology, chemical and materials, defense and aerospace, consumer goods, etc.
