What Is On-Demand TV and How Does It Compare with Linear TV?
The way we watch television has changed dramatically. Viewers now have more choice over what they watch, when they watch it and which screen they use.
On-Demand TV, also known as Video on Demand (VOD), is a major part of this change. Instead of waiting for a programme to be broadcast at a scheduled time, viewers can select content and watch it when it suits them.
For advertisers, this creates exciting opportunities to combine the impact of television with more data-driven audience targeting.
But there's an important point to remember: on-demand hasn't replaced linear TV. Live television remains hugely important, particularly around sport, news and major events.
What Are the Different Types of On-Demand TV?
There are two main categories advertisers should understand.
BVOD – Broadcaster Video on Demand
BVOD refers to the on-demand and streaming services provided by established television broadcasters.
These services allow viewers to catch up with programmes or stream broadcaster content without having to watch at the original scheduled time.
For advertisers, BVOD offers an attractive combination of premium broadcaster content, large-screen viewing and sophisticated audience targeting.
SVOD – Subscription Video on Demand
SVOD refers to subscription-based streaming services such as Netflix, Amazon Prime Video and Disney+.
Consumers pay for access to libraries of films, entertainment and original programming.
As advertising-supported subscription options have developed, these streaming environments have also created additional opportunities for brands to reach audiences around premium content.
Why Is VOD Attractive to Advertisers?
More Sophisticated Audience Targeting
One of the major advantages of VOD is the ability to take a more audience-led approach.
Depending on the platform and campaign, advertisers may be able to target using factors such as:
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Age and demographics
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Location
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Interests
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Lifestyle
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Viewing behaviour
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Household characteristics
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Relevant audience segments
Instead of simply choosing a programme and assuming the right customer is watching, brands can use data to help improve the relevance of their campaign.
Premium Content Without Always Paying Premium Linear Prices
VOD can also provide a more accessible route for brands wanting to appear around premium television content.
Rather than committing to a large traditional TV campaign, advertisers may be able to buy a more defined audience, geography or number of impressions.
This can make VOD particularly interesting for growing businesses, ecommerce brands and advertisers experimenting with television for the first time.
VOD Can Be Measured
On-demand television also provides additional measurement opportunities.
Campaigns can potentially be evaluated using metrics such as impressions, completed views and other platform-specific measures.
Advertisers can also examine what happens away from the television screen.
For example, unique campaign URLs, website analytics and attribution tools can help brands investigate whether television exposure is contributing to website visits, searches, enquiries and sales.
The important thing is not to judge television exclusively by the last click. A viewer might see your advertisement on TV and search for your brand later rather than immediately visiting a URL.
But Has Everyone Stopped Watching Linear TV?
Absolutely not.
It's easy to assume that because streaming has grown rapidly, everybody has abandoned scheduled television.
The reality is more nuanced.
Linear television continues to deliver significant audiences, and its strengths become particularly obvious around content people want to experience live.
Sport is the perfect example.
A major football match isn't quite the same when you watch it the following morning and already know the result.
Live football, major sporting events, breaking news and entertainment finales can still bring enormous audiences together at the same moment.
That creates something particularly valuable for advertisers: simultaneous mass reach.
VOD vs Linear TV: Why Choose Just One?
The strongest advertising strategy may not be about deciding whether linear TV or VOD is better.
They perform different roles.
Linear TV can provide mass reach, shared viewing moments, live audiences and powerful brand-building opportunities.
VOD can provide flexible viewing, sophisticated targeting and opportunities to reach audiences consuming premium content on their own schedule.
Used together, they can help advertisers increase reach while managing how frequently audiences encounter their message.
Follow the Audience, Not the Technology
Consumers don't sit down thinking, "I'm going to watch BVOD instead of linear television tonight."
They simply choose what they want to watch.
They might watch a live football match tonight, catch up with a drama tomorrow, stream a film at the weekend and watch clips on their phone during the week.
Advertisers need to think the same way.
Instead of asking "Should we advertise on linear TV or VOD?", ask:
"Where is our target audience watching, and how can we reach them effectively across both live and on-demand environments?"
The future of television isn't simply linear or on-demand.
It's both — and the brands that understand how the two work together can create a much stronger total-video strategy.