A Guide to Transactional Video-on-Demand (TVOD)

Rishabh Jain Sep 29th, 2023

TVOD is an abbreviation for “transactional video on demand.” The term “transactional” comes before “video on demand” since this business model involves charging consumers a one-time cost for a set number of views, whether that be one view, a set period of time to see, or infinite views.

TVOD video streaming is diametrically opposed to the SVOD paradigm. Unlike the SVOD model, which requires users to pay a membership fee to access a large pool of video content, TVOD requires users to pay a price for each piece of content they wish to see.

According to a report by Statista, revenue in the TVOD/PPV segment is at US $10.20 billion in 2023 and is expected to show an annual growth rate (CAGR 2023-2027) of 5.55%, resulting in a projected market volume of US $12.66 billion by 2027.

Importance of TVOD for Video Streaming

Instead of needing to subscribe to a whole library of content, TVOD gives consumers more freedom to choose what they want to watch. They can pick and choose which titles they want to see and just pay for what they view. It gives content creators and distributors an extra revenue stream because they can make money from each transaction. This is especially useful for new releases or popular content that can attract a premium.

What’s more exciting is that TVOD allows viewers to access premium material that may not be available through subscription services

It also allow viewers to acquire material that they may have missed on traditional television. provides a platform for niche material that may not be popular enough to sustain a subscription service but has a paying audience.

Some Examples Of TVOD Platforms

1. iTunes:  iTunes was a forerunner of the TVOD concept, allowing customers to buy and rent films and TV episodes on a per-item basis. It was also one of the first platforms to provide a centralised marketplace for digital material, allowing users to discover and purchase content from a single source.

iTunes is still a popular tool for accessing and managing digital material today.  Although its primary focus has switched to music and the Apple Music streaming service, it still sells and rents a large variety of films, TV series, and other content.

2.Amazon’s Video Shop:  Amazon’s video shop is a transactional video-on-demand (TVOD) platform where customers may rent or buy films and TV series for a one-time cost. It’s a popular option for people who don’t want to pay for a streaming service but yet want to see the latest films and TV episodes.

Users can rent or buy films and TV series on a pay-per-view basis. It is a separate transactional video-on-demand (TVOD) service from Amazon’s Prime Video streaming service.

3.Sky Box Office:  Sky Box Office is a popular TVOD service in the United Kingdom and Ireland that provides clients with a simple method to view premium programming without the requirement for a subscription.

Sky Box Office is a transactional video on demand (TVOD) platform that allows Sky TV users to rent pay-per-view films and sporting events. Customers may use their Sky set-top box to access the service, which includes a selection of newly released films as well as live and on-demand sporting events. 

Benefits of TVOD

TVOD is a wonderful technique to build anticipation for upcoming releases. It gives your material a sense of exclusivity and entices viewers to pay for it. 

Here are some of the interesting stats on how TVOD market is evolving rapidly-

  • Revenue in the Pay-per-View (TVoD) market is projected to reach US$10.20bn in 2023.
  • Revenue is expected to show an annual growth rate (CAGR 2023-2027) of 5.55%, resulting in a projected market volume of US$12.66bn by 2027.
  • In global comparison, most revenue will be generated in the United States (US$2,279.00m in 2023).

Source: Statista

Top Benefits of TVOD Covers-

  • Users can obtain ownership of a single piece of content that they desire rather than paying for a membership that includes additional content.
  • TVOD can also be combined with SVOD to reach a wider customer base and increase the revenue opportunities.
  • TVOD platforms are in-built with Digital rights management (DRM) technology in order to safeguard your content against theft, piracy and prevent unauthorized access.


TVOD is the ideal business model for a video streaming platform with exclusive content and a high volume of sales. However, it is critical to consider your audience as well as your business goals when planning your income model for the best growth. It should be obvious by now that TVOD is a significantly better monetization solution than many people make it out to be. And, given the turbulence in the internet video market, it’s safe to predict that TVOD will only grow in popularity.

Is it, however, a better option than AVOD and SVOD, and is it worthwhile to use in the long run? There are no simple answers to these problems, so take our advice with a grain of salt.

Frequently Asked Questions (FAQ)

Ans: TVOD, or Transactional Video on Demand, is a digital streaming service that allows users to rent or purchase individual pieces of video content, such as movies or TV episodes, on a pay-per-view basis. Unlike subscription-based services like Netflix or Amazon Prime, where you pay a monthly fee for access to a library of content, with TVOD, you only pay for the specific content you want to watch. It’s a great option for those who want to watch a particular movie or show without committing to a subscription.

Ans: TVOD pricing varies depending on the platform and the content. Generally, when you choose a movie or TV show to rent or buy, you’ll see the price listed. Rental prices typically allow you to access the content for a limited period, often 24-48 hours, after which it becomes unavailable. Purchase prices are higher but grant you permanent access to the content, so you can watch it as many times as you like. Some platforms also offer bundles or discounts for purchasing multiple titles together.

Ans: TVOD content may come with certain restrictions, such as regional availability and digital rights management (DRM) protection. Some titles may only be available in specific countries due to licensing agreements, and DRM may limit the devices on which you can watch the content. It’s essential to check the platform’s terms and conditions to understand any limitations associated with the TVOD content you wish to access.

Ans: TVOD, or Transactional Video on Demand, is a model of video streaming where users pay for individual pieces of content on a pay-per-view basis.SVOD, or Subscription Video on Demand, is a different model where users pay a recurring monthly or annual fee to access a library of content.

Ans: Yes, many TVOD platforms provide parental control features. These features allow parents and guardians to restrict access to content based on age appropriateness. You can set up parental controls to ensure that children or teenagers in your household can only access content that is suitable for their age group. These controls typically require a PIN or password to modify, providing an extra layer of security.

Rishabh Jain - Director, Product Development, Enveu
Rishabh Jain is one of the co-founders and heads the Product Development at Enveu. A tech evangelist and deep tech advocate, he has been working in the Technology space, being part of many Big Data and IoT initiatives for over 10 years.

Add a Comment

Your email address will not be published. Required fields are marked *

Looking for Streaming Solutions?

  • Go-Live on 12+ platforms
  • Zero Revenue Share
  • Multiple Monetization Models
  • 50+ Integrations

get a demo today

Take control of your digital media strategy.
Contact us for a no-obligation demo of the Experience
Cloud, tailor-made for you!

    By Continuing, you agree to our Terms & Conditions and Privacy Policy