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Transactional Video-on-Demand (TVOD) Market Report 2026-2031: Subscription and Ad-Supported Services Increase Competitive Pressure

globenewswire.com
AMZN Amazon is mentioned as a major storefront operator in the US transactional video-on-demand market. The article discusses how subscription and ad-supported services increase competitive pressure on transactional demand, which could impact Amazon's offerings. AAPL Apple is identified as a major storefront operator in the US transactional video-on-demand market. The article notes that while premium new releases strengthen transactional demand, subscription and ad-supported services increase competitive pressure. GOOGL Alphabet (Google) is listed as a major storefront operator in the US transactional video-on-demand market. The report highlights increased competitive pressure from subscription and ad-supported services, which could affect transactional demand. CMCSA Comcast is mentioned in the context of the broader transactional video-on-demand market. The article discusses how subscription and ad-supported services are increasing competitive pressure, which could impact companies like Comcast. ROKU Roku is mentioned as a player in the transactional video-on-demand market. The article notes that while premium new releases drive demand, subscription and ad-supported services are increasing competitive pressure. SONY Sony is listed as a company within the transactional video-on-demand market. The article discusses market dynamics including increased competition from subscription and ad-supported services, and the importance of premium new releases. PARA Paramount Global is indirectly impacted by the trends in the transactional video-on-demand market, as the article discusses increased competition from subscription and ad-supported services, and the strategic importance of premium new releases. NFLX Netflix is a major player in the streaming market and is indirectly affected by the article's discussion of increased competitive pressure from subscription and ad-supported services on transactional video-on-demand. WBD Warner Bros. Discovery operates in the streaming and content distribution space. The article's analysis of increased competition from subscription and ad-supported services, and the dynamics of transactional video-on-demand, is relevant to their business.

Transactional Video-on-Demand (TVOD) Market Report 2026-2031: Subscription and Ad-Supported Services Increase Competitive Pressure Dublin, Aug. 19, 2026 (GLOBE NEWSWIRE) -- The "Transactional Video-on-Demand (TVOD) - Market Share Analysis, Industry Trends & Statistics, Growth Forecasts (2026-2031)" has been added to ResearchAndMarkets.com's offering.

The global transactional video-on-demand market was valued at USD 43.18 billion in 2025 and is expected to increase from USD 46.21 billion in 2026 to USD 62.30 billion by 2031. The market is forecast to register a compound annual growth rate of 6.16% between 2026 and 2031, supported by premium digital releases, expanding connected-device adoption, hybrid streaming ecosystems, and sustained demand for early access to high-profile content.

The market report evaluates the industry by content type, revenue model, device type, and geography. Market forecasts are provided in terms of value in USD, with analysis covering competitive conditions, regional opportunities, consumer behavior, release strategies, and emerging monetization models.

Premium New Releases Strengthen Transactional Demand

Consumer willingness to pay remains strongest when movies and episodic titles retain theatrical momentum or offer timely access ahead of subscription availability. Premium rentals and purchases allow studios and digital platforms to capture concentrated demand during the first home-entertainment window. This model is particularly attractive to viewers seeking immediate access without adding another recurring subscription.

Studios continued to use premium windowing strategically during 2025 and 2026. Several major releases maintained theatrical exclusivity for at least 45 days, while selected titles remained in cinemas for substantially longer periods before becoming available through transactional platforms. These release schedules can strengthen opening-period digital revenue by increasing anticipation and preserving the value of first paid access.

Fast checkout experiences are also becoming increasingly important. Platforms that reduce friction between content discovery and payment are better positioned to convert high-intent audiences, particularly on smart TVs, smartphones, and connected devices.

Subscription and Ad-Supported Services Increase Competitive Pressure

Subscription bundles, free streaming platforms, and ad-supported services continue to limit transactional demand for older catalog content. Lower-cost streaming tiers accounted for a significant portion of subscriber additions across major platforms in early 2025, reflecting strong consumer interest in affordable viewing options.

The transactional video-on-demand market is most exposed when competing for broadly available library titles. As a result, providers are placing greater emphasis on new-release movies, premium episodic content, live events, sports, concerts, and pay-per-view programming, where direct substitutes are less readily available.

Additional market factors include the growth of hybrid streaming ecosystems that integrate rental and purchase options, rising smart TV penetration, and price sensitivity among repeat viewers.

Content Segment Insights

Movies and films accounted for 58.32% of the transactional video-on-demand market in 2025. The segment benefits from established theatrical-to-digital release patterns, with franchise films, awards-season titles, and family entertainment supporting premium transaction prices before subscription distribution begins.

TV shows and episodic content are projected to record the fastest content-segment growth, expanding at a CAGR of 6.72% through 2031. Demand is being supported by premium season launches, anime, Korean dramas, and regionally fragmented content rights. Hybrid platforms are also using transactional access to monetize high-demand titles before moving them into subscription catalogs.

Documentaries remain a smaller but differentiated category, particularly for premium investigative, cultural, and nature programming. Other content types, including sports events, music performances, and interactive formats, provide additional opportunities for market diversification.

Regional Market Outlook

North America held 41.87% of the global transactional video-on-demand market in 2025. The United States remained the leading benchmark for digital rental and purchase activity, supported by major storefronts operated by Amazon, Apple, and Google. Canada followed similar release and consumption patterns, while Mexico benefited from broader payment options that expanded access beyond traditional credit card users.

Europe maintained a fragmented transactional landscape. Germany and the United Kingdom remained prominent digital storefront markets, while ad-supported and free streaming services increased competition in France. Operator partnerships also supported distribution growth, including Rakuten TV's March 2026 agreement with Vodafone TV Spain, which added approximately 6,000 rental titles to the operator's platform. CHILI continued developing its transactional, ad-supported, and business-to-business operations in Italy.

Asia-Pacific is forecast to be the fastest-growing regional market, registering a CAGR of 7.67% through 2031. Japan, India, and South Korea are expected to drive expansion through premium local content, telecom partnerships, digital payments, and demand for early access to popular franchises. India is emerging as an important market for integrated streaming models combining subscription, advertising, transactional access, and channel add-ons within unified platforms.

Saudi Arabia and the United Arab Emirates remain among the most commercially developed transactional video markets in the Middle East and Africa, supported by expanding digital infrastructure and demand for premium international and regional entertainment.

Key Topics Covered

1 INTRODUCTION

1.1 Study Assumptions and Market Definition

1.2 Scope of the Study

2 RESEARCH METHODOLOGY

3 EXECUTIVE SUMMARY

4 MARKET LANDSCAPE

4.1 Market Overview

4.2 Market Drivers

4.2.1 Rising Consumer Willingness to Pay for New Release Access

4.2.2 Expansion of Premium Windowing Across Studios and Territories

4.2.3 Growth of Hybrid OTT Ecosystems That Bundle Rental and Purchase Flows

4.2.4 Smart TV and Connected Device Penetration

4.2.5 Mobile Wallet and One-Click Checkout Adoption in Emerging Markets

4.2.6 CDN and Codec Optimization Lowering Per-Transaction Delivery Friction

4.3 Market Restraints

4.3.1 Subscription Bundling and Ad-Supported Alternatives Erode Transactional Demand

4.3.2 Price Sensitivity for Repeat Viewers Limits Purchase Frequency

4.3.3 Content Overlap Across Major Platforms Compresses Differentiation

4.3.4 Rights Fragmentation and Windowing Complexity Raise Operating Costs

4.4 Industry Value Chain Analysis

4.5 Regulatory Landscape

4.6 Technological Outlook

4.7 Impact of Macroeconomic Factors on the Market

4.8 Porter's Five Forces Analysis

4.8.1 Threat of New Entrants

4.8.2 Bargaining Power of Buyers

4.8.3 Bargaining Power of Suppliers

4.8.4 Threat of Substitutes

4.8.5 Intensity of Competitive Rivalry

5 MARKET SIZE AND GROWTH FORECASTS (VALUE)

5.1 By Content Type

5.1.1 Movies and Films

5.1.2 TV Shows and Episodic Content

5.1.3 Documentaries

5.1.4 Other Content Types

5.2 By Revenue Model

5.2.1 Rental / DTR (Download to Rent)

5.2.2 Purchase / EST (Electronic Sell-Through)

5.2.3 Pay-Per-View

5.2.4 Other Revenue Models

5.3 By Device Type

5.3.1 Smartphones and Tablets

5.3.2 Smart TVs

5.3.3 Laptops and Desktops

5.3.4 Other Devices

5.4 By Geography

5.4.1 North America

5.4.1.1 United States

5.4.1.2 Canada

5.4.1.3 Mexico

5.4.2 South America

5.4.2.1 Brazil

5.4.2.2 Argentina

5.4.2.3 Chile

5.4.2.4 Rest of South America

5.4.3 Europe

5.4.3.1 Germany

5.4.3.2 United Kingdom

5.4.3.3 France

5.4.3.4 Italy

5.4.3.5 Spain

5.4.3.6 Rest of Europe

5.4.4 Asia-Pacific

5.4.4.1 China

5.4.4.2 Japan

5.4.4.3 India

5.4.4.4 South Korea

5.4.4.5 Australia

5.4.4.6 Rest of Asia-Pacific

5.4.5 Middle East

5.4.5.1 Saudi Arabia

5.4.5.2 United Arab Emirates

5.4.5.3 Qatar

5.4.5.4 Rest of Middle East

5.4.6 Africa

5.4.6.1 South Africa

5.4.6.2 Egypt

5.4.6.3 Nigeria

5.4.6.4 Rest of Africa

6 COMPETITIVE LANDSCAPE

6.1 Market Concentration

6.2 Strategic Moves

6.3 Vendor Positioning Analysis

6.4 Company Profiles (includes Global Level Overview, Market Level Overview, Core Segments, Financials as available, Strategic Information, Market Rank/Share, Products and Services, Recent Developments)

6.4.1 Amazon.com, Inc.

6.4.2 Apple Inc.

6.4.3 Google LLC (Alphabet Inc.)

6.4.4 Fandango Media, LLC

6.4.5 Comcast Corporation

6.4.6 Roku, Inc.

6.4.7 Sony Group Corporation

6.4.8 Rakuten Group, Inc.

6.4.9 Lionsgate Plc

6.4.10 Orange S.A.

6.4.11 America Movil, S.A.B. de C.V.

6.4.12 Fetch TV Pty Limited

6.4.13 CHILI S.p.A.

6.4.14 Pathe SAS

6.4.15 SF Studios AB

6.4.16 JioStar Media and Distribution Ltd.

6.4.17 Zee Entertainment Enterprises Limited

6.4.18 Preemz, LLC

6.4.19 Plex, Inc.

6.4.20 DIRECTV, LLC

7 MARKET OPPORTUNITIES AND FUTURE OUTLOOK

7.1 White-Space and Unmet-Need Assessment

For more information about this report visit https://www.researchandmarkets.com/r/f3xwr4

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