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The Future of Video Monetization

Nithin Raj

baby-84627_640The demand for online videos grows on a daily basis. By 2016, online viewers are expected to reach 1.5 billion each day. With this extraordinary growth rate of videos, the different ways to capitalize on them will grow and adapt as well. Currently, everyone is trying to figure out which way is the best way to make money off of videos. In The future of video monetization is unlike anything we’ve seen yet, Iddo Shai implies that there are three different choices video producers have:

  • Make access to your videos free but have ads
  • Pay-as-you-go model similar to iTunes, Amazon Prime and Vudu
  • Monthly subscription like Netflix and now even YouTube

While all three of these are popular options today, the big question is which one will outshine the others as the demand for videos continues to grow over the coming years. It’s definitely a hard question to answer as each model has their own advantages and disadvantages but, as technology improves and consumers get more Internet savvy, the need for security will only increase. Thus, the market will rely heavily on DRM (Digital Rights Management) technologies.

DRM technologies are a vital part of enterprise video collaboration. Corporations use videos for everything from training to research and development. Many times these videos contain sensitive information that cannot be shared globally. Providing the perfect solution, DRM technologies allow companies to share their videos with a designated audience. No one can access or download the files without permission – keeping all propriety information secure.

It’s hard to say if pay-as-you-go or subscription will outshine the other since both are popular with consumers and businesses. The obvious solution should be for DRM technologies to offer both options for their customers.  However, most do not even offer any monetization options, and if they do it is one or the other, not both. Basically, the future of video monetization will be in the hands of the hosting services who are willing to adapt and change to the growing demands.

Niche Video Media is already changing to the growing demands of the industry. Not only are we are one step ahead of the rest by offering several monetization options for your videos, but we do not take any portion of your profits (even Shai’s article says most companies collect 10 to 30 percent of the transaction fee). You get to keep your money and you can choose your method of monetization: pay as you go or subscription. Also, your users can pay monthly, quarterly or annually. By giving you security as well as options, Niche Video Media is the future of video monetization, and you can get started today with a free trial.