As video content continues to dominate online media, creators, and companies are constantly looking for effective ways to monetise their work. Whether you are a small creator or a large media brand, choosing the right monetisation model can make all the difference. Considering options such as paywalls and subscriptions, both of which offer unique benefits, it is important to understand which one is the best fit for your content and audience.

Monetisation strategies vary. They include ad-based models, sponsorships, and product sales. However, for those seeking direct income from their audience, paywalls and subscriptions offer two of the most effective approaches. Both provide distinct ways to generate revenue but come with different audience expectations and operational needs.

Importance of choosing the right model

Selecting between a paywall and a subscription model has a direct impact on how viewers access your content and how you generate revenue. Paywalls, often used for one-time purchases, suit high-value, exclusive content. Subscription models, on the other hand, are ideal for creators producing regular, ongoing content. Both options have their strengths, but making the wrong choice can lead to frustrated viewers and missed revenue opportunities.

For example, paywalls can work well for specialised content such as in-depth tutorials or exclusive documentaries. However, subscriptions are better for channels that offer continuous engagement, such as streaming series or educational courses. Understanding how your audience prefers to interact with your content is crucial when deciding which monetisation path will help you achieve both your short- and long-term goals.

What is a paywall

A paywall is a monetisation tool that restricts access to content, requiring users to pay a fee to view it. For video content, a paywall acts as a barrier, allowing creators to charge viewers for exclusive access to individual videos, collections, or even entire catalogs. Paywalls are particularly common in industries where high-quality or premium content is offered, such as streaming services or online education.

This approach ensures that only paying customers gain access to your content, giving you direct control over what you charge for, and which parts of your videos remain accessible.

Types of paywalls: hard vs. soft

There are two primary types of paywalls that content creators can implement—hard paywalls and soft paywalls.

Hard paywall: A hard paywall completely blocks access to video content unless the user pays. There are no free previews or samples available. This model is often used by platforms that offer highly specialised or valuable content that people are willing to pay for without the need to “try before they buy.” Hard paywalls work well for exclusive content such as on-demand events, feature films, or specialised training videos.

Soft paywall: A soft paywall provides partial access to content before asking users to pay. This can mean offering free previews, a limited number of free views, or short teaser clips. The goal of a soft paywall is to hook viewers with free content and convert them into paying customers once they are engaged. Soft paywalls are common in industries where it’s essential to build trust and showcase value before asking for payment, such as online news platforms or creators with large content libraries.

What is a subscription model

The subscription model is a monetisation strategy where users pay a recurring fee, usually monthly or annually, to access content. For video content, subscriptions provide ongoing access to a library of videos or regularly updated content. This model is popular with streaming services, online learning platforms and content creators who frequently publish new material.

Subscriptions offer a steady, predictable revenue stream for creators, while allowing users continuous access without having to make individual purchases for each video. The approach builds a long-term relationship between creator and audience, fostering a sense of loyalty as viewers return regularly to watch new content.

Subscription variants

Subscription models can be structured in a variety of ways, offering flexibility to both creators and subscribers. The most popular options include:

Monthly subscriptions: Viewers are billed on a month-to-month basis. This model allows users to unsubscribe at any time, making it an attractive option for those who want to test content for a short period of time. It is commonly used by streaming platforms such as Netflix and Hulu.

Annual subscriptions: Viewers pay an annual fee upfront, often at a reduced rate compared to monthly billing. Annual subscriptions encourage long-term engagement and reduce the likelihood of user churn, while providing creators with more predictable revenue over time.

Tiered subscriptions: In a tiered model, different levels of access are offered at different prices. For example, a basic tier may provide limited access to content, while premium tiers offer extras such as exclusive videos, ad-free viewing or early access to new content.

Key differences: paywalls and subscriptions

When deciding between paywall and subscription to monetise video content, it is important to understand how they differ in terms of revenue generation, user engagement and overall content strategy. Here are the key differences:

1. Revenue structure

Paywalls: Revenue is generated from transactions where users pay for individual films or specific collections of content. This can lead to immediate, high-value payments, but can be irregular depending on demand.

Subscriptions: Generate steady, recurring revenue over time as users pay a regular fee (monthly or annual) for ongoing access. This model provides more predictable revenue streams, but usually at a lower value per transaction.

2. Access to content

Paywalls: Content is locked behind a one-time payment, meaning users can only access what they’ve purchased. This suits creators who produce high-value, exclusive content that doesn’t require regular updates.

Subscriptions: Provide access to a full library or regularly updated content. Subscribers can explore a variety of videos without additional costs, making it ideal for creators who produce content on an ongoing basis.

3. User engagement

Paywalls: Paywalls typically result in shorter, more transactional engagements, as viewers may only interact with your content on a one-time basis. However, this can be beneficial for creators who want to focus on high-impact, exclusive content, such as specialised documentaries, live events, or workshops. Since each transaction is a commitment from the viewer, paywalls can help foster a high-value user experience, although audience retention might be lower due to limited ongoing engagement.

Subscriptions: Subscriptions foster a long-term relationship between creators and their audience. Since users pay for ongoing access, they are more likely to return regularly to check for new updates. This model allows for stronger audience loyalty and engagement, making it suitable for creators who want to build a dedicated community over time.

4. Flexibility and content variety

Paywalls: Paywalls offer flexibility for creators who produce a variety of content types, as each video or series can be sold separately. This model is particularly beneficial for creators with a wide range of unique offerings, such as tutorials, webinars, or film series. The ability to set individual prices for each piece of content allows creators to match pricing with content value, giving more control over revenue per video.

Subscriptions: Subscriptions provide a more streamlined experience, as all content within the library is accessible for one recurring fee. This model suits creators who produce frequent or ongoing series, as it allows users to explore various content without additional transactions. Subscriptions can also simplify content management, reducing the need to assign a price to each video individually.

Choosing between paywalls and subscriptions 

The decision to implement a paywall or subscription model ultimately depends on your specific content, audience, and business goals. Both monetisation strategies have their advantages and disadvantages, so it’s important to carefully consider which approach aligns best with your video content strategy. 

When evaluating which model to choose, consider factors such as your content cadence, audience expectations, and desired revenue goals. Paywalls may be more suitable for creators with highly valuable, one-off content, while subscriptions can work well for those building an ongoing relationship with their viewers.  

Ultimately, the right choice will depend on your unique circumstances and the preferences of your target audience. Testing different approaches, gathering user feedback, and iterating on your monetisation strategy can help you find the most effective way to generate sustainable revenue from your video content.