An article by Amanda Smith.
By 2022, video on demand traffic is predicted to double and be equivalent to 10 billion DVDs per traffic. The entire film industry is headed towards streaming choices and that includes independent filmmakers as well. As ingenious content creators, you want to get your masterpiece in front of a global audience. The obvious choice is to have them broadcast by a streaming service. If you can get your film picked up by a popular streaming service, it can be placed in front of thousands of viewers and it could even be your ticket to stardom. It’s an admirable goal, but is it a viable one? With so many choices around, how to pick the right one?
To embark upon this strategy, you need to know more about video-on-demand business and how it works. In this blog, we will look into the key aspects content creators need to know to succeed in the competitive video on demand industry. Let’s get started.
Which video-on-demand platform pays content creators the most?
Without any doubt, YouTube, Netflix, etc. are some of the best places to put your content. They have a massive number of daily viewers, quality analytics, and tools to grow your audience. If you are a content creator, you are probably on one or more of these platforms already. However, your strategy would be incomplete if you are not considering the payout schedule. Let’s have a look at some of the popular platforms to see how much each of them pays content creators.
YouTube is the ultimate platform for video bloggers and content creators to start making money online. The primary way to make money from YouTube is through advertisements. YouTube also has partner programs where you get access to special features. While you don’t have to be a YouTube partner to make money on YouTube, being a partner makes it easier. You can earn from premium subscription fees, brand collaborations, features like Super Chat, and merchandise shelf.
Dailymotion is one of the streaming platforms that offer the same look and feel like YouTube. Just like YouTube, you get paid according to the views you get on your videos. To start making money from daily motion, you need to have at least 4 or 5 original videos uploaded on your channel. You need to have at least 500 views per video, and the same amount of views on all of your videos to monetize. For every 500 views you earn, you get $1 each.
Facebook is another great alternative for video creators and publishers. It has started giving content creators access to its Ad breaks program to monetize original video content. The best part is that Facebook pays over 55% of ad revenue to the creator which is really good. The Ad break program is nothing but running short ads inserted at natural intervals on your videos. It can be pre-roll, mid-roll, or even image ads. If your Facebook page is eligible to be a part of the ad breaks, it will be displayed.
To earn eligibility, you need to comply with Facebook partner monetization policies and must reside in one of the eligible countries and post videos in any of the eligible languages. You must also have over 15k engagement in the past 2 months, and 180,000 minutes viewed for all your videos.
Vimeo is another video platform that is open to both individuals and businesses. It is a platform that supports high-quality videos and offers reliable monetization models. Rather than running ads in videos, Vimeo allows members to collect tips from viewers for videos. Your viewers can pay you anywhere from $0.99 to $500 for a single video.
Vimeo follows a creator-friendly revenue model where it offers enough opportunities for content creators to make money. The program called Vimeo-on demand offers great opportunities for content creators to sell the results of their work and pays 90% of gross revenue. Vimeo takes only a small percentage of the transaction costs which vary based on the total price.
Having looked at the platforms, let’s consider how to decide what’s best for you.
What do you think is the best revenue strategy for VOD businesses?
When evaluating the different ways that video creators make the most money, advertising is one of the most lucrative sources of income. Over 90% of video creators monetize their content with advertising followed by selling and services. The trick is to make the most money is by not limiting the creators to just one type of content. Video creators who make more also create live videos, blog posts, and podcasts. Other ways to monetize and maximize your revenue potential would be to try out affiliate partnerships and sell sponsored ad placements in your videos.
How to price your content the right way?
For many video creators, this can feel like totally uncharted territory, especially when they have their own video on demand business. You must also compare the pricing of your competitors of the same niche to understand the current trend in the industry. Pricing too low or too high can have negative effects. When setting a price tag to your videos and services, make decisions based on the value you offered to your users.
Is creating your own VOD platform the best bet?
Netflix, YouTube, and Facebook are great platforms to establish a user base and monetize your content. Thousands of video creators have grown their channels and have made money in significant numbers. However, if you want to gain more control over and your video content, you could consider creating your own video streaming website. Why wait for someone to buy the distribution rights for your creations when you can have it yourself? Look out for different ways on how to start a streaming service like Netflix.
Here are some reasons why you should consider building your own video streaming platform.
Monetization on streaming platforms like YouTube and Netflix is pretty straightforward. You earn a share of ad revenue, a percentage of the subscription fee, or money for distribution rights. By launching your video streaming service, you can increase your monetization avenue and eliminate the third parties who will take a share of the revenue earned. You will have complete control over the amount of revenue generated and keep 100% of it.
When you have content on your YouTube channel, how much control you think you have on promoting YouTube channels? Mostly, YouTube takes care of it by identifying videos that are worth promoting. However, with your own video streaming platform, you will have control over promoting your content and website. If you have your video streaming platform, you can add a link to your platform in the description and inside your videos to get the initial traffic. Additionally, you can also run ads to promote your website by running targeting ads to acquire new users.
While existing platforms offer analytics and reporting about demographics, audience retention rate, watch time, preferred content type, etc., the data is often not easily customizable. If you have your own video streaming service, you can incorporate smart analytics and reporting to have a better understanding of user behavior on your platform. This helps in creating engaging content that your viewers would love to watch.
To Wrap Up
You have got a great collection of original videos. Now, it’s time to consider the video on demand business as a way to generate more revenue, expand your user base, and build a community. The world’s obsession with video content is a reflection that it is going only going to get bigger in the future. Whether you are a creative content creator, video publisher, video production house, there are a lot of opportunities out there in the video on demand industry awaiting you. I hope this blog gave you an idea about the abundant opportunities in the industry and how to use it to your advantage. Do you have any great ideas or tips to succeed in the video on demand business? Do share them with us via Facebook or Twitter.
Amanda is a marketing consultant at StreamHash, a company that provides a one-stop solution for live streaming business, with specialist expertise in current strategies to engage customers and improve business opportunities.