Which statement best differentiates SVOD from AVOD?

• A. AVOD is ad-supported; SVOD is ad-free.
• B. AVOD includes advertising spots; SVOD is a subscription service typically without ads.
• C. SVOD is ad-supported; AVOD is ad-free.
• D. SVOD uses advertising spots while AVOD uses per-view pricing.

Answer: (B)

The difference being tested is how each service earns money and how ads fit into the viewing experience. SVOD, or Subscription Video On Demand, relies on a recurring subscription fee to give you access to content, and it’s typically ad-free during viewing. AVOD, or Advertising-supported Video On Demand, is offered free or at a lower cost, but includes advertising spots inserted into content to generate revenue. That makes the statement that AVOD includes advertising spots and SVOD is a subscription service typically without ads the best description of their standard models. Note that some SVOD platforms have introduced ad-supported tiers, which is a newer wrinkle, but the classic distinction remains: ads for AVOD, subscription without ads for SVOD.