As the advertising industry continues to grow, so does the popularity of AVOD (Advertising-Based Video on Demand). This form of video-on-demand service is becoming increasingly popular among content creators and viewers alike. In 2021, the global AVOD market was estimated to be worth around $12 billion and is expected to climb to over $21 billion in 2023.

Today’s consumers are increasingly comfortable with ad-supported streaming services, meaning they are more willing to watch videos on demand that contain ads. This has led to an increase in both free and subscription-based services offering a variety of content, including films, TV shows, sports programs and more. All these video platforms generate revenue through ads shown before or during video content.

The growth in AVOD can be attributed to several factors. Firstly, it provides an alternative revenue stream for filmmakers and video creators without asking for payment from viewers. The proliferation of digital devices means that more people have access to videos than ever before. This has led to a surge of interest in independent films, which often aren’t available on traditional platforms like Netflix or Hulu but can still be accessed via AVOD services like Vimeo or YouTube Premium. Additionally, more advertisers are turning their attention to streaming platforms as they can target specific audiences with tailored messages through programmatic advertising technology.

In the next two years, we will no doubt see even greater growth in the AVOD market as more brands take advantage of this form of advertising and content creators discover new ways of monetizing their work online. With AVOD continuing to provide an effective way for advertisers and filmmakers alike to generate income while also making niche genres available free online, expect its presence across various streaming services only continue its upwards trajectory in 2023 and beyond.