Video-streaming services or OTT platforms have witnessed massive growth in recent years. But how do they make money? Through three models--SVOD, AVOD and TVOD.

In SVOD (subscription-based video on demand), users pay a fixed fee to access the entire content library that could include movies and television shows. In AVOD (advertising-based video on demand), users access the content for free but they must tolerate advertisements. Meanwhile, TVOD (transaction-based video on demand) offers individual shows or movies to consumers on sale or rentals.

Some services such as Netflix strictly follow one business model, others such as Disney Hotstar, and Zee5 use a hybrid of these models.