What does Pay Per Download (PPD) mean?
Pay Per Download (PPD) is a digital content distribution model in which consumers pay a one-time fee to download and own a specific piece of content — such as a film, television episode, album, or e-book — rather than paying a recurring subscription fee. In the film and television industry, PPD is one of the transactional video on demand (TVOD) models alongside rental. For actors, PPD sales generate a specific type of residual payment under union agreements, calculated differently from subscription streaming residuals.
Example:After its streaming exclusivity window expired, the film was made available for PPD purchase through digital storefronts, allowing fans to buy and permanently own a copy for a one-time fee of $14.99.
Example: A parent checking her child’s residual statement noticed a PPD line item — the film had been downloaded thousands of times through digital purchase platforms, generating residual payments calculated per unit sold.
Did you know?
The music industry pioneered the PPD model when iTunes launched in 2003, selling individual songs for 99 cents each. At its peak in 2012, the iTunes Store was selling approximately 15 billion songs per year via PPD. The rise of streaming subscription services like Spotify dramatically eroded PPD sales, and the film industry has seen a similar shift away from digital purchases toward streaming subscriptions.
You can also find “Pay Per Download (PPD)” and related terms in this category: Administrative and Financial.
