According to a research report published by MarketsandMarkets, the VOD market is
to grow from $25.30 Billion in 2014 to $61.40 Billion in 2019, at a Compound Annual
Growth Rate (CAGR) of 19.4% during the forecast period. North America is the
region expected to be the biggest market in terms of revenue contribution, while
Asia-Pacific (APAC) and Middle East and Africa (MEA) are expected to experience
increased market traction, during the forecast period.
MarketsandMarkets broadly segments the VOD market into solutions including Pay TV
VOD, OTT videos, and IPTV. The report also covers various delivery technologies
such as TVoD, SVoD and NVoD. It is segmented by: entertainment, education and
training, network video kiosks, online commerce and digital libraries. The VOD
market is also segmented by verticals: academia and government, banking financial
services and insurance (BFSI), consumer goods and retail, healthcare,
manufacturing, hospitality, media and entertainment, telecom and IT, transportation
and logistics and others; and by regions: North America (NA), Europe (EU), Asia-
Pacific (APAC), Middle East and Africa (MEA) and Latin America (LA).
Major forces driving this market are: reaching audiences on any device, delivering
best possible viewer experience, enabling time-shifting view, and unmatched
scalability. VOD solutions help viewers reach any connected device, offering a key
competitive advantage in terms of consumer reach despite of various challenges
involved such as diversified bit rates, operating systems, digital rights management
(DRM) and multiple screen formats. As customers want to acquire large number of
programs, they demand for high quality videos and this is where an emergence of
OTT and IPTV occur. Therefore, TV no longer considers itself a push industry,
because viewers are now pulling the content they require. As the TV experience is
changing rapidly from a traditional linear TV, OTT viewers are surpassing IPTV
viewers. The VOD providers are consolidating their grounds in the highly
competitive market through mergers and acquisitions to build feature-rich solutions
and attain better market visibility.
