In India’s fast-evolving digital entertainment landscape, AVOD (Advertising-Based Video on Demand) has emerged as the engine driving content accessibility and brand visibility. With a consumer base that’s both price-conscious and content-hungry, the freemium model—a combination of free access supported by ads—has transformed how OTT platforms operate and how advertisers plan campaigns.
New to Connected TV? Start with our comprehensive guide What Is CTV Advertising? Discover How It Works (2025) to understand the medium, audience, and ad formats before exploring how AVOD fits into the bigger picture.
Let’s break down the AVOD revolution, understand the dominant platforms, examine monetization models, and explore what this means for brand ROI.
What Is AVOD—and How Is It Different?
- AVOD (Advertising Video on Demand): Content is free for users but monetized through advertisements.
- SVOD (Subscription Video on Demand): Users pay to access content ad-free.
- Freemium: A hybrid, offering both free (ad-supported) and premium (ad-free) tiers.
“The Indian consumer has shown a strong preference for ‘value-first’ viewing. That’s where AVOD fits like a glove,” says the EY–FICCI 2024 report .
Why AVOD Is Gaining Ground in India
- Over 500M OTT users in India (EY Report).
- AVOD dominates—accounting for 80% of video consumption and over ₹5,000 crore in annual ad revenue.
- Massive rural and Tier 2/3 adoption driven by low data costs, regional content, and smartphone penetration.
Local content + free access = stickiness. Shows like “Shark Tank India” and IPL matches are streamed free on JioCinema, bringing millions of daily users.
AVOD Monetization Models
| Model | Description |
| Pre-Roll Ads | Short ads before the video starts |
| Mid-Roll Ads | Ads embedded during the video |
| Display Overlays | Banner or clickable ads on screen |
| Pause Ads | Static ads when video is paused |
| Branded Content | Sponsored shows, influencer integrations |
| Shoppable Ads | Interactive formats (QR codes, links) enabling purchases directly |
The Beyond Screens MPA 2024 report notes that brands are increasingly blending AVOD with shoppable formats and regional targeting to drive commerce.
Consumer Behavior in the Freemium Era
- Watch time spikes during IPL, Bigg Boss, and live events.
- Content bingeing on shows like Asur, Family Man—often started on AVOD, later driving SVOD upgrades.
- Youth + Bharat drive ad-viewing comfort, with 63% of users willing to watch ads in exchange for free content.
AVOD also enables first-time internet users to explore long-form content in their native languages.
Top AVOD Platforms in India
| Platform | Key Features |
| YouTube CTV | 60M+ users on TV screens, interactive ads, strong brand ROI. |
| JioCinema | Free IPL and entertainment content, regional language dominance. |
| MX Player | Strong in Tier 2/3 cities, ad-driven monetization. |
| Zee5 (Free tier) | Hindi and regional content, live TV integration. |
| Sony LIV Free | Limited access to shows with ads. |
| Samsung TV+ | 100+ FAST channels including news, movies, kids content. |
Brands like Tata, PepsiCo, and HUL have led innovative AVOD campaigns using pause ads, regional creatives, and mid-rolls.
Brand ROI and Strategy
AVOD campaigns offer:
- Wider reach at lower costs
- Full-funnel tracking (via YouTube, programmatic platforms)
- Niche targeting by age, interest, language, or device
- Performance lifts: e.g. Mondelez saw 11% incremental reach and 12% cost savings using AVOD CTV + digital bundles
“We don’t think of AVOD as ‘low-budget’ anymore. For reach and recall, it often outperforms SVOD and even linear TV,” notes a senior marketer quoted in Impact on Net.
Freemium = Retention + Upgrade
Freemium models help OTTs:
- Acquire users via AVOD
- Monetize through ads and brand partnerships
- Upgrade users to SVOD via premium content or early access
According to Media Partners Asia, this model has helped Indian VOD platforms clock over $1B in revenue in 1H 2024, thanks to smart pricing and hybrid offerings.
Infographic: AVOD vs SVOD vs FAST
| Model | Price | Ads | Content Focus | Example |
| AVOD | Free | ✅ | Mass appeal, regional | YouTube, MX |
| SVOD | Paid | ❌ | Originals, global hits | Netflix, Prime |
| FAST | Free | ✅ | Linear-like live feed | Samsung TV+, LG |
What This Means for Advertisers
If your brand’s goal is:
- Mass reach: Start with YouTube CTV or MX Player
- Regional penetration: Try JioCinema, Zee5 AVOD
- Interactive formats: Use pause ads or shoppable shorts
- Budget optimization: Mix AVOD + FAST + Shorts for max value
🧠 Pro Tip: Use AVOD as the first step in a CTV funnel, retarget with YouTube Shorts or mobile video, and close the loop with search or e-commerce nudges.
Related Read: Want to see how CTV stacks up against traditional television? Check out our in-depth comparison CTV vs Linear TV in India: Which Works Better for Brands? to understand where each format fits in your 2025 media plan.
Final Thoughts
AVOD in India isn’t just a budget-friendly tactic—it’s a strategic lever. As freemium models deepen, platforms are becoming smarter, ads are becoming interactive, and brands are getting bolder.
Whether you’re a legacy advertiser or a new-age D2C brand, AVOD gives you access to a massive, multilingual, mobile-first audience—right in their living rooms.
✅ Explore how AVOD can power your next digital campaign- check The Media Ant’s CTV Planning tool. From CTV to FAST, we help brands reach every screen, smartly.
