Online video platform Vimeo has confirmed plans to launch a subscription service.
“Vimeo has the once-in-a-generation opportunity to, following in Netflix’s footsteps, deliver compelling subscription viewing experiences for consumers in the market for pay TV,” said IAC CEO and interim Vimeo CEO Joey Levin in a letter to its investors. He continued, “I believe we can do so at a fraction of the cost of other major competitors by virtue of the audience and content benefits conferred upon Vimeo through our existing marketplace.”
Vimeo has stated that it plans on strategically funding content, but it also focuses its efforts and leverage on its community of filmmakers. The platform said it will also “spend on programming” from third parties.
The ultimate goal, Levin added, is for Vimeo to “drive millions of subscriptions and transactions for our creators while also growing a proprietary subscriber base with millions of consumers directly.”
Previously Vimeo has shunned ads and operated as a ‘software as a service’ business, offering three payment plans – Vimeo Plus, Vimeo PRO and Vimeo Business – for video creators, filmmakers, and businesses using the site.
Introducing a subscription offering would allow Vimeo to boost revenues while tapping into the site’s existing community and large archive of content.