Advertising-based Video On Demand Market Size & Share, By Advertisement Position (Pre-roll, Mid-roll, Post-roll), Device, Enterprise Size, Industry Vertical, Regional Forecast, Industry Players, Growth Statistics Report 2024-2032

Market Outlook:

Advertising-based Video On Demand Market crossed USD 38.59 Billion in 2023 and is expected to reach USD 384.42 Billion by end of the year 2032, growing at over 29.1% CAGR between 2024 and 2032.

• Base Year Value (2023): USD 38.59 Billion
• CAGR (2024-2032): 29.1%
• Forecast Year Value (2032): USD 384.42 Billion
• Historical Data Period: 2019-2023
• Largest Region: North America
• Forecast Period: 2024-2032

Market Dynamics:

Growth Drivers & Opportunity:

The increasing penetration of high-speed internet and adoption of smartphones among consumers are expected to drive the growth of the advertising-based video on demand market. This is expected to result in more consumers accessing video content on-the-go, leading to a higher demand for advertising-based video on demand services.

The growing popularity of streaming services and the shift towards digital advertising are also expected to be major growth drivers for the advertising-based video on demand market. Advertisers are increasingly looking for innovative ways to reach their target audience, and advertising-based video on demand platforms offer a cost-effective and targeted advertising solution.

The rising investment in original content by streaming platforms is expected to further propel the growth of the advertising-based video on demand market. Original content attracts a larger audience and keeps consumers engaged, leading to increased viewership and advertising opportunities for brands.

Report Scope

Report Coverage	Details
Segments Covered	Advertisement Position, Device, Enterprise Size, Industry Vertical
Regions Covered	• North America (United States, Canada, Mexico) • Europe (Germany, United Kingdom, France, Italy, Spain, Rest of Europe) • Asia Pacific (China, Japan, South Korea, Singapore, India, Australia, Rest of APAC) • Latin America (Argentina, Brazil, Rest of South America) • Middle East & Africa (GCC, South Africa, Rest of MEA)
Company Profiled	Brightcove, Dacast, Dailymotion, Facebook, IBM, Kaltura, Muvi, SymphonyAI Media, Vdocipher, Vidyard, Vimeo, YouTube

Industry Restraints:

The increasing competition in the advertising-based video on demand market is a major restraint for the industry. With the entry of new players and the expansion of existing players, there is a fierce competition for viewers and advertisers, leading to pressure on pricing and profitability.

The rise in ad-blocking technologies and consumer fatigue with ads are also significant restraints for the advertising-based video on demand market. Consumers are becoming increasingly resistant to traditional forms of advertising, leading to a decline in ad effectiveness and revenue for advertising-based video on demand platforms.

Regional Forecast:

North America:

The Advertising-based Video On Demand market size in North America, specifically in the U.S. and Canada, is expected to experience significant growth in the coming years. The increasing popularity of streaming services and the shift towards digital advertising are driving the demand for Ad-based VOD platforms in the region. Major players like Hulu, Peacock, and Tubi are capturing a large share of the market with their diverse content offerings. Furthermore, the high internet penetration and technological advancements in North America are creating favorable conditions for the growth of the Ad-based VOD market.

Asia Pacific:

In Asia Pacific, countries like China, Japan, and South Korea are witnessing a rapid adoption of Advertising-based Video On Demand platforms. The increasing disposable income and changing consumer preferences towards online streaming are fueling the growth of the market in the region. Platforms like iQiyi, Rakuten TV, and Watcha are gaining popularity among viewers with their localized content and targeted advertising strategies. Additionally, the expanding digital infrastructure and smartphone penetration in Asia Pacific are further propelling the growth of the Ad-based VOD market.

Europe:

The Advertising-based Video On Demand market in Europe, specifically in the United Kingdom, Germany, and France, is experiencing steady growth driven by factors like increasing digitalization and the presence of established media companies. Platforms like ITV Hub, Joyn, and Molotov are attracting a large audience base with their mix of international and regional content offerings. The favorable regulatory environment and growing investments in digital advertising are supporting the expansion of the Ad-based VOD market in Europe.

Segmentation Analysis:

In terms of segmentation, the global Advertising-based Video On Demand market is analyzed on the basis of Advertisement Position, Device, Enterprise Size, Industry Vertical.

Advertising-based Video On Demand Market

The advertising-based Video On Demand market can be categorized based on advertisement position, device, enterprise size, and industry vertical.

Advertisement Position

Pre-roll advertisements are shown before the video content and are often unskippable, giving advertisers a guaranteed view.

Mid-roll advertisements are shown in the middle of the video content, interrupting the viewing experience but potentially capturing more attention.

Post-roll advertisements are shown after the video content and may have lower engagement rates compared to pre-roll and mid-roll ads.

Device

The Video On Demand market can be segmented based on the device used to access the content, including smartphones, tablets, smart TVs, and desktop computers.

Each device may have different advertising capabilities, such as interactive ads on smartphones and targeted ads on smart TVs.

Enterprise Size

The Video On Demand market can be segmented based on enterprise size, including small and medium-sized businesses as well as large enterprises.

Different enterprise sizes may have varying advertising budgets and strategies, impacting the types of ads they run on VOD platforms.

Industry Vertical

The Video On Demand market can also be segmented based on industry vertical, such as entertainment, sports, news, and education.

Different industry verticals may target specific audiences and have unique advertising needs and opportunities in the VOD market.

Competitive Landscape:

The Advertising-based Video On Demand (AVOD) market is characterized by intense competition among a variety of players, ranging from established tech giants to emerging platforms. Major stakeholders leverage their extensive content libraries and user bases to attract advertisers while providing free or low-cost access to viewers. Key differentiators in this landscape include content diversity, user experience, ad placement strategies, and targeting capabilities. Additionally, partnerships with content creators and advertisers play a crucial role in enhancing value propositions. As consumer preferences shift towards on-demand content, competition intensifies, leading to continuous innovation and the introduction of advanced analytics tools for better ad performance.

Top Market Players

- YouTube

- Pluto TV

- Tubi

- Peacock

- Roku Channel

- IMDb TV

- Sling TV

- Vudu

- AdRise

- Sony Crackle