Introduction
A filmmaker posts: 'My film got 500,000 views on streaming.' The comments assume financial success. The reality depends on which platform and revenue model. On Apple TV TVOD, 500,000 transactions at $4.99 with 55% share generates $1.37 million. On Tubi AVOD, 500,000 views at $0.006 per stream hour for a 90-minute film generates $4,500. That is a 300x difference for the same 'views.' Streaming rates fluctuate based on advertising markets, subscriber counts, content performance, territory, and deal terms. This simulator shows actual revenue ranges across 10 platforms so you can plan with realistic numbers.
What This Tool Calculates
The simulator accepts AVOD/FAST views, TVOD transactions, TVOD price, Netflix license fee, and runtime. It calculates revenue for each of 10 platforms using the appropriate model. TVOD uses transactions times price times revenue share. AVOD/FAST uses views times runtime hours times rate per stream hour. Netflix uses a flat license. Each platform shows revenue, the calculation, and the low-to-high variance percentage. A rate scenario selector (low, mid, high) adjusts rates based on market conditions.
The Formula and How It Works
Netflix and similar SVOD platforms acquire indie films through flat license fees ranging from $20,000 for micro-budget acquisitions to $500,000+ for festival films with cast. The fee is not based on viewership. Whether your film gets 50,000 or 5 million views, you receive the same fee. This eliminates variability but caps upside. Some newer deals include performance bonuses at viewership thresholds, but these are not standard for indie acquisitions.
Real-World Examples
TVOD: Highest Per-Unit Revenue
TVOD pays the highest per-unit revenue because each viewer pays individually. Apple TV/iTunes and Amazon TVOD typically share 50% to 65% of the transaction price. A $4.99 rental at 55% generates $2.74 per transaction. The challenge is volume. Independent films without major marketing typically generate 200 to 5,000 TVOD transactions in the first 90 days. TVOD revenue has declined since 2019 as audiences shift to subscription and ad-supported models, but it remains the most profitable per-viewer model.
AVOD and FAST: Volume-Based with High Variability
| Detail | Value |
|---|---|
| AVOD and FAST channels pay based on ad revenue from views. | |
| Typical rates range from $0.002 to $0.015 per stream hour. | |
| A 90-minute film viewed 100,000 times on Tubi at $0.006/hr generates $900. | |
| At $0.012/hr (high), $1,800. | |
| At $0.003/hr (low), $450. |
Pro Tips and Common Mistakes
Pro Tips
- Advertising market conditions directly affect AVOD rates.
- Platform subscriber growth affects SVOD license budgets.
- Competition among platforms drives fees in both directions.
- Seasonality matters: Q4 ad rates are 40% to 80% higher than Q1.
Common Mistakes
- The most effective strategy combines multiple platforms.
- Start with TVOD (2 to 4 week exclusive window) to capture fans willing to pay.
- Follow with SVOD licensing for guaranteed revenue.
Frequently Asked Questions
How much does a typical indie film earn on streaming?
Revenue varies enormously. A micro-budget indie with no marketing might earn $1,000 to $5,000 total. A well-marketed genre film with buzz might earn $50,000 to $200,000. A film with recognizable cast and strong distribution might earn $200,000 to $1 million. Platform mix and deal structure matter as much as view count.
Are AVOD rates really that low?
Yes. AVOD rates of $0.003 to $0.015 per stream hour are standard for independent content. The model works at massive scale but generates modest revenue at indie volumes (10,000 to 500,000 views). AVOD is best viewed as supplemental revenue.
Should I accept a Netflix license or keep all streaming rights?
A $50,000 Netflix license is guaranteed money. Self-distributing across AVOD and TVOD might generate $20,000 to $80,000 over 3 years with significant effort. Use this simulator to model both scenarios with realistic view counts.
Start Calculating
Before signing with a distributor, verify their revenue projections. If they claim $50,000 on AVOD, check whether that requires 5 million views (possible for well-marketed genre film) or 50 million (unrealistic). If they project $30,000 TVOD, verify whether that needs 6,000 transactions (optimistic) or 60,000 (unrealistic). Running their numbers through this simulator reveals whether projections are based on realistic assumptions.
