How Does Vimeo Make Money?

Screenshot of Vimeo homepage
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Vimeo Overview

Vimeo is a professional video platform that provides tools to create, upload, and share long-form videos online. It is commonly used by artists, advertisers, and content creators in general. 

Unlike its prime competitor, YouTube, Vimeo is seemingly less suited for viral and trendy content and is instead used for animation, short films, commercial videos, and informative pieces, amongst others. Viewers can choose from a wide range of videos from a panoply of categories – Travel, Sports, Animation, Branded Content, and many more.  

Here are several examples of typical videos on the platform:


In addition, many websites and online businesses will host their video content on Vimeo and then embed it on their websites, whether in the form of advertisements, or in terms of video Q&A’s or instructional videos that would be found behind a paywall.


How Does Vimeo Make Money?

Unlike its competitor, YouTube, Vimeo’s business model does not rely on advertising and instead, generates revenue through subscription plans and by being a software as a service (SaaS) company.

As per an article published on in 2019, 

“Vimeo has managed to survive in the age of YouTube and Netflix Inc. by taking a much different approach than the media giants. Rather than show advertisements to viewers, the company has opted to generate revenue on the back end, charging content creators for tools that allow them to edit, store, and share the video.

The result is a more stable business model built on recurring software revenue..”

As of November 2020, Vimeo is still considerably profitable according to an article published on which stated the following:

Vimeo has seen a significant increase in demand for its software in 2020: since the pandemic, the platform has scaled to over 200 million users globally and the company is seeing particularly strong traction with its enterprise and collaboration products, with over 3,500 enterprise customers including Amazon, Starbucks, Deloitte, Zendesk, Rite Aid and Siemens, and 1.5 million paying subscribers, of which almost 10% are currently using multiple seats per account. According to IAC’s third-quarter results announced today, Vimeo was profitable in the third quarter and grew overall revenue 44% year over year.


Vimeo Pricing

Screenshot of Vimeo pricing structure
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Vimeo offers five different subscription levels, giving users a large amount of flexibility and convenience. Plans start from the free Vimeo Basic subscription, which comes with a weekly limit of 500MB of uploads. 

For unlimited Vimeo services, and additional benefits such as live streaming, video messaging for teams, and more, users have to consider one of the paid plans listed below.

The Vimeo Pricing or Membership Plans are as follows:

  • “Basic” is free forever but offers limited functionality. 
  • “Plus” costs $12 a month or $7 a month if billed annually
  • “Pro” costs $20 a month and is billed annually. 
  • “Business” costs $50 a month and is billed annually.
  • “Premium” costs $75 a month and is billed annually.


To compare features included in each Vimeo plan, visit this page.


Funding & Valuation

Stock Photo from Pixabay
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An article published by on November 6th, 2020, reported that “Vimeo  has raised $150 million in new equity funding, announced in conjunction with the third-quarter earnings of its parent company IAC.”

In a blog post detailing what is next for Vimeo, the CEO clarified that “the funding comes from New York-based Thrive Capital (investments include Instagram, Slack, and Stripe) and Singapore-based GIC (investments include Snap, Alibaba and Spotify).”

In the press release, Anjali Sud, CEO of Vimeo, said, “Our goal is to radically simplify how businesses create and share video, with tools that are far more intuitive and cost-effective than they’ve been historically. We’re energized to access additional capital to pursue this enormous opportunity with the full focus and scale of the Vimeo platform.”


Company Info

Vimeo is headquartered in New York City with offices around the world and is an operating business of IAC/InterActiveCorp. 

The company was founded in November 2004 by Jake Lodwick and Zach Klein and it was acquired by IAC in 2006. In 2007, Vimeo became the first video sharing site to support high-definition video streaming. 

In October 2020, the company announced its partnership with GoDaddy and integration that will combine the features of Vimeo with GoDaddy’s website builder and marketing tools. The press release highlighted the fact that “Vimeo is the first and only video platform to enable GoDaddy’s Websites + Marketing customers to upload and manage videos directly within the website builder. Now, these users will get access to a co-branded video platform where they can natively upload, host, and manage video content in the highest possible quality. ”


Vimeo Contact Info

You may reach Vimeo via the following social media pages:



All of the above is a basic run-down of Vimeo as a company and how they make money as a professional video platform. To learn more about Vimeo, you can visit their website or check out their blog for inspiration and helpful guides on content creation and video editing.





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