What is Video On Demand? History and Benefits

The popularity of video on demand (VOD) is rising. Learn what it is and what benefits it holds for enterprises.

We know that you are fed up with hearing that the digital landscape is changing. So, for a change – we would like to break that one thing remains constant – video content continues to dominate as the go-to medium for information.

With 66% of users citing video content as their primary source of information, one thing remains clear – video on demand (VOD) is not dying any sooner or later.

You might be wondering why VOD is so popular.

Well, imagine this – you are super occupied with a tight schedule and have no time to attend a lengthy meeting that could’ve been an email. So, what do you do now? Waste your precious hours of the day and give in to the fear of missing out (FOMO) or watch a recorded version of the meeting? Obviously, you would choose the latter option. Right?

For the above reason, an on demand video is not only popular among the masses but also holds a special place in the business landscape. From corporate communications to employee training programs and beyond, you would probably be surprised to know how organizations can use VOD to achieve their business objectives.

This blog aims to cover video on demand (VOD), what a video on demand platform is, and the advantages of VOD from an organizational perspective.

So, without any further ado, let us touch upon VOD.

What is Video On Demand?

Video on demand, or VOD, is a technology for distributing or delivering video content. With VOD, users can watch videos at their own pace, whenever and wherever they want.

For the sake of old times, think of VOD as a Blockbuster store. Instead of going to the theatre and spending a fortune on popcorn, you simply drive to the store and rent a movie DVD for a week. Cheap and easy!

Not only does it benefit viewers, but VOD also allows organizations to create content that stays relatively forever, thereby extending the life of the video content. More on this later in the blog. Stay tuned!

Video On Demand vs. Live Streaming

Both video on demand and live streaming are popular means of delivering video content to your viewers. While it may seem to you that we have pitted them against one another, there is no clear winner here. In fact, in many cases, both complement each other.

The difference between the two technologies lies in how video content is consumed. Think of it as a restaurant – where you can either dine in or take away. In VOD, you can watch videos anytime, like a takeaway order, while live-streamed content is consumed right there in real time, just like dine-in.

Another difference lies in the time of feedback. Video on demand offers delayed feedback from the audience, while instant feedback is obtained through live streaming.

Finally, you can access an on demand video as many times as you want. However, this is not true for live streaming.

By the way, VIDIZMO EnterpriseTube allows you to host both live and on demand video content.

Unlock Your Free Trial!

Now, let’s move on to discuss video on demand platforms briefly.

What is a Video On Demand Platform?

So far, we have discussed video on demand as a useful medium for enterprises. However, one question remains: How and where can an on demand video be accessed? The answer lies in a VOD platform.

A video on demand platform is used to create, upload, host, analyze, and securely share video content and digital media – all from a centralized platform. A VOD platform allows you to host valuable video content that helps you accomplish business goals and drive results.

Read our comparison blog on the best video on demand (VOD) platforms.

Since we are done with understanding what video on demand platforms are, it is time to look at the benefits of VOD.

History of Video on Demand

Since 1990s, developments in compression technology such as DCT and ADSL paved the way to practically introduce VOD services.

In 1994, The Cambridge Digital Interactive Television trial included a major VOD service, supplying access to 250 homes and schools connected to the Cambridge Cable network. The trial ran at the speed of 2Mbps which was later increased to 25 Mbps. BBC and Anglia Television offered content. Although it proved to be practical, the project concluded in 1996 due to great difficulty in sourcing content.

Virgin Media (formerly Cable TV providers Telewest and NTL) introduced VoD services in 2005 by the name of Sky by broadband (Later renamed to SkyAnytime on PC). It used a peer-2-peer approach which means that video content comes from multiple system users who already downloaded the content.  

The European Audiovisual Observatory reported 142 VoD paying services in 2006 across Europe, which rose to 650 by 2009.  

Later, businesses began to look for alternatives because platforms at the time had limited features like lack of customization, loss of content ownership once it was publicly shared, and secure sharing to internal stakeholders. To meet this gap, professional-grade VoD options became prominent in the marketplace such as VIDIZMO, Kaltura, Wistia, Vimeo and Muvi. 

Later, businesses began to look for alternatives because platforms at the time had limited features like lack of customization, loss of content ownership once it was publicly shared, and secure sharing to internal stakeholders. To meet this gap, professional-grade VoD options became prominent in the marketplace such as VIDIZMO and other video on demand platforms.

History of video on demand

Benefits of Video On Demand

Benefits of video on demand

Video is one of the most immersive media formats since it merges audio, visuals, and motion to create a rich viewer experience. Research suggests that people tend to remember 95% of the message conveyed in the video content as opposed to 10% when reading something.

Needless to say, video on demand hosted on VOD platforms offers many more benefits, discussed as follows:

  • Videos can be played on any device
  • Videos can be played even with poor Internet
  • Videos can have a far and wide reach
  • Video performance can be measured
  • Videos can showcase your brand
  • Videos can be made accessible
  • Videos can be made interactive
  • Videos can be made secure
  • Videos can be organized
  • Videos can be searched quickly.

Videos can be Played on Any Device

Almost 70% of video content is consumed on mobile devices, which suggests that many people enjoy watching videos on the go. However, that doesn’t mean people have stopped watching videos on their computers, laptops, or tablets.

A video on demand platform ensures that the video content can be played on any device, thanks to encoding.

Videos can be Played Even with Poor Internet

Internet bandwidth conditions don’t always remain the same. However, that shouldn’t stop you from getting your message across. Managing a remote workforce whose home Internet is shaky? That shouldn’t be a problem.

With transcoding, a video library platform allows you to make video playable even in low Internet bandwidth conditions by creating multiple renditions (240p, 360p, 480p, 720p, 1080p, and beyond).

Videos can Have a Far and Wide Reach

With a video on demand platform, gaining a greater audience reach is not a hassle. Video content stored on an SEO-friendly video library platform holds the power to get discovered by search engines like Google and gain a wide viewership.

In addition, through media embedding, you can ensure that your video content reaches far and wide by capitalizing on the power of other websites. Looking to attract potential talent from multiple regions? You know the drill—create enticing video messaging that goes beyond borders.

Video Performance can be Measured 

Worried about whether your videos are performing well? No worries, as a VOD platform allows you to track the performance of your video content. The question is how.

With a video on demand platform, you can track engagement trends, analyze the audience, see in which regions your videos are more popular, get user-level insights, and more, that too in real time.

Videos can Showcase Your Brand

Visually appealing videos alone are not enough to create a unified brand experience. It also matters where they are hosted and made available for the viewers to see.

With a custom VOD platform, you can showcase your brand identity to your audience by adding your logo, font, colors, thesaurus, and custom URL and applying custom CSS. Always remain on the top of the mind of your audience!

Videos can be Made Accessible

It is highly important to make your content accessible to all. Otherwise, get ready to be slapped with hefty fines for non-compliance with accessibility standards like Section 508, the Americans with Disabilities Act (ADA), Web Content Accessibility Guidelines (WCAG), etc.

An on demand video platform can help you make your media accessible to all through automatic transcription and translation, closed captioning (CC), and more.

Videos can be Made Interactive

People’s attention span is getting shorter. This means that it has become increasingly difficult to hook the audience. However, you can make your video content interactive and engaging through a video on demand platform. 

By adding in-video quizzes, forms, and handouts, you can ensure that your audience remains interested throughout the length of the video.

Videos can be Made Secure

Fearing about your internal communications getting leaked to the public? Getting a panic attack thinking that your patient-nurse communications videos might get out and violate HIPAA standards? With a secure VOD platform, this won’t be possible.

Video on demand secured with role-based access control, multifactor authentication (MFA), custom security policy, configurable retention, single sign-on (SSO), etc., ensures that your data integrity remains unharmed.

Not only this, but you can share video content securely with others by creating temporary shareable links using URL tokenization.

Videos can be Organized

A folder structure is crucial for keeping video content organized. With effective category access rights management, you can create folder structures to secure and organize your video content and digital media.

After all, as people say, data security is of paramount importance, and so is organizing your data. Isn’t it? 

Videos can be Searched Quickly

Who has the time to search for a specific portion of an hour-long video? No one, right? Thanks to an AI-powered on demand video platform, your file search costs can be significantly reduced.

With AI-powered search through AI-generated tags, faceted search, objects, and text appearing inside the video, etc., it becomes super easy to pinpoint the specific part of the video.

Making the Most of Video On Demand with VIDIZMO EnterpriseTube

Recognized by Gartner, VIDIZMO EnterpriseTube is an AI-powered video on demand platform for securely hosting, analyzing, and sharing video content and digital media. Laced with the following capabilities, EnterpriseTube makes your on demand video experience seamless:

  • AI-powered search through automatic tags, optical character recognition (OCR), spoken words, faceted search, and more.
  • Data protection capabilities, such as comprehensive encryption, role-based access control, custom security policy, configurable retention, SSO support, etc.
  • Centralized, accessible platform compliant with accessibility standards.
  • Custom VOD platform with the ability to add logo, colors, font, thesaurus, custom URL, and apply custom CSS.
  • Category access rights with the ability to create unlimited categories and subcategories to organize content.

Keen on exploring other features of EnterpriseTube, visit our dedicated website to know more.

Or you can sign up for a 7-day free trial to see it in action.

Unlock Your Free Trial!

People Also Ask

What is video on demand?

Video on demand refers to the video content that can be accessed anytime and anywhere. One of the reasons video on demand is so popular is that it offers flexibility in terms of video content consumption.

Is video on demand and live streaming the same?

No, video on demand and live streaming are not the same. Video on demand (VOD) allows you to watch video anytime you want. While, on the other hand, live streamed content is consumed at the moment.

What are the benefits of video on demand?

Video on demand offers many benefits. With VOD, videos can be played on any device even in low Internet bandwidth conditions, have a far and wide audience reach and viewership, measured in terms of their performance, etc.

What are VOD platforms?

VOD or video on demand platforms are dedicated solutions for recording, uploading, hosting, analyzing, and securely sharing video content and digital media.

Which video on demand platform is the best?

VIDIZMO EntepriseTube is leading video on demand platform for securely hosting on demand videos on a centralized, accessible platform with granular access controls.

Posted by Arsalan Paracha

Arsalan Paracha is a Marcom Strategist at VIDIZMO. He is an expert in enterprise video content management, digital evidence management, and redaction technologies. He actively researches the pain points of customers and industry trends. For any queries, feel free to reach out to websales@vidizmo.com

VIDIZMO Whitepapers

Submit Your Comment

Free Trial GIF
Choose your product and start your 7-day free trial today.