Anyone dealing with streaming advertising for the first time immediately trips over an alphabet soup: AVOD, SVOD, FAST, BVOD, TVOD. Behind the acronyms are simply different business models, in other words the question of who pays for the content: the viewer, advertising, or both.
For you as an advertiser this is more than theory. The model decides whether you can advertise on a platform at all, who you reach there and what mood the viewers are in. This article explains all the models with German examples and shows at the end why, fortunately, you do not have to pick just one.
The overview
| Model | Meaning | Who pays? | Examples in Germany | Advertising bookable? |
|---|---|---|---|---|
| AVOD | Advertising Video on Demand | Advertising | YouTube, Joyn (Free), Pluto TV | Yes |
| SVOD | Subscription Video on Demand | Subscription | Netflix (ad-free), WOW | No (in the ad-free tier) |
| SVOD with ad tier | Hybrid of subscription and advertising | Subscription plus advertising | Netflix, Disney+, Prime Video | Yes |
| FAST | Free Ad-Supported Streaming TV | Advertising | Samsung TV Plus, LG Channels, Rakuten TV, Pluto TV | Yes |
| BVOD | Broadcast Video on Demand | Subscription and/or advertising | RTL+, Joyn | Yes |
| TVOD | Transactional Video on Demand | Individual purchase/rental | Apple TV (buy/rent), Amazon Video Store | No |
AVOD: watch for free, see advertising
AVOD stands for Advertising Video on Demand: the viewer chooses their own content (on demand) and watches for free, the whole thing is financed through advertising. The best known example is YouTube, in Germany the free area of Joyn and Pluto TV also belong here.
For advertisers, AVOD is attractive because the reach is large and the advertising can be delivered precisely to the target audience. The viewer has actively chosen a piece of content and watches attentively.
SVOD: the classic subscription model
SVOD stands for Subscription Video on Demand: the viewer pays a subscription and in return watches (originally) ad-free. Netflix made this model big, WOW and Apple TV+ work similarly.
For advertisers, SVOD was long a closed door: no ad space, no booking. That is exactly what has changed, and fundamentally so.
The gamechanger: SVOD with ad tier
Since 2022 the large subscription services have introduced cheaper tiers with advertising, also called HVOD (Hybrid Video on Demand) in the industry:
- Netflix offers "Standard with ads" for €4.99 a month, with around four minutes of advertising per hour.
- Disney+ has a comparable ad-financed entry tier.
- Prime Video has shown advertising by default since early 2024, an ad-free access costs extra. That makes a very large share of Prime users a reachable advertising audience.
The result: the platforms with the greatest reach in Germany today are premium advertising media. Content that viewers consciously make time for, combined with non-skippable advertising on the big screen. This environment simply was not available to buy just a few years ago.
FAST: television like it used to be, just over the internet
FAST stands for Free Ad-Supported Streaming TV. Unlike AVOD, the viewer here does not select individual pieces of content, but switches into running, curated channels, like classic television with a schedule, only completely free and over the internet.
In Germany, FAST runs mainly via the channels of TV manufacturers and platforms: Samsung TV Plus, LG Channels, Rakuten TV and Pluto TV. The channels are often pre-installed on Smart TVs and cover everything from news to niche channels.
For advertisers, FAST is the "lean-back environment": viewers let themselves be entertained like with linear TV, and usage has grown by double digits for years. The line to AVOD is fluid here, many platforms such as Pluto TV offer both: linear channels and an on-demand library.
BVOD: the streaming offshoots of the TV broadcasters
BVOD stands for Broadcast Video on Demand, in other words the streaming offerings of classic TV broadcasters. In Germany these are mainly RTL+ (RTL) and Joyn (ProSiebenSat.1). Both combine live TV, a media library and originals, and both are ad-financed or offer ad tiers.
BVOD is particularly relevant for the German market because local content runs here: German series, shows and live programming. Anyone who wants to reach an audience that loves classic German television but has long since switched to streaming ends up at BVOD.
TVOD: buying and renting
For the sake of completeness: TVOD (Transactional Video on Demand) means individual transactions, in other words buying or renting films, for example in the Apple TV Store or Amazon Video Store. Advertising plays no role here, for your media planning you can ignore TVOD.
Why the lines are blurring (and why that is good for you)
The textbook separation is increasingly dissolving. Netflix is SVOD and an advertising medium at the same time. Joyn is BVOD, AVOD and FAST in one. Pluto TV is FAST with an on-demand area. The industry discusses the acronyms, the viewer notices none of it: they turn on the television and watch.
That is exactly how you should plan too. Your audience is spread across all models, depending on time of day, mood and content. Anyone who relies on just one model is giving away reach.
What does this mean for your advertising?
As a rough rule of thumb for planning:
- SVOD with ad tier (Netflix, Disney+, Prime Video): premium environment with full attention, ideal for brand and image impact.
- BVOD (RTL+, Joyn): German content and live moments, strong for broad audiences and regional campaigns.
- FAST and AVOD: large, cost-effective reach across many niche channels, good for topping up net reach.
In practice, though, you do not have to make this decision channel by channel: via onescreen you book a campaign across more than 40 streaming services, from Netflix to RTL+ to FAST channels. You define audience, region and budget (onescreen campaigns start at €1,000, individual premium streamers have their own, sometimes higher minimum budgets), delivery is spread across the models, and in the live dashboard you see which environments deliver. The model question then answers itself, with data instead of acronyms.
Want to see which platforms are relevant for your audience? Book a free demo, we will show you the complete overview in 30 minutes.
FAQ
What is the difference between AVOD and FAST? Both are ad-financed and free. With AVOD, the viewer selects content themselves (on demand), with FAST they watch linear, curated channels with a fixed schedule, like classic television over the internet. Many platforms such as Pluto TV now combine both.
What is the difference between AVOD and SVOD? AVOD is free and ad-financed, SVOD is a paid subscription, originally ad-free. The line is blurring: Netflix, Disney+ and Prime Video now offer cheaper subscription tiers with advertising, a hybrid of both models.
Can you advertise on Netflix, Disney+ and Prime Video? Yes. All three show advertising in their ad-financed tiers. Via onescreen these environments are bookable together with over 40 other streaming services. onescreen campaigns start at €1,000, the specific minimum budget per premium streamer is shown in the Ad Manager.
What are FAST channels in Germany? Free, ad-financed streaming channels with a fixed schedule, for example on Samsung TV Plus, LG Channels, Rakuten TV or Pluto TV. They come pre-installed on many Smart TVs.
Which streaming model is best for advertising? None on its own. Your audience is spread across all models, so streaming campaigns are best planned across models by audience, region and budget rather than by acronym.