What is AVOD?

AVOD (Advertising-Supported Video on Demand) is a streaming model where viewers watch ads to access free or discounted content. There's no subscription required. Users watch ads before and during shows or movies. Hulu's ad-supported tier, Pluto TV, Tubi, and Amazon Freevee all use this model.

How AVOD works: The platform generates revenue from ads instead of viewer subscriptions. This means advertisers get more ad inventory, but viewers also see more ads during their content.

AVOD vs. other VOD models:

  • SVOD: Viewers pay monthly or annual fees; platforms accept limited ads or none
  • TVOD: Viewers pay per title to watch individual content
  • AVOD: Free viewing supported entirely by advertising

Why AVOD matters for advertisers: AVOD reaches viewers who don't want to pay for premium services. You get scale and reach, but the audience is broader and less filtered than SVOD. Ad density is higher, so your message competes alongside more ads. The tradeoff is simple: more inventory and larger audience in exchange for lower engagement per impression.