Vimeo‘s business model has taken a major step forward today with the launch of Vimeo On Demand, an easy way for video producers to distribute and earn revenue from their work.

Vimeo On Demand allows Pro account subscribers to sell or rent their videos on the platform at a price of their choice, with Vimeo taking a cut of just 10% of revenues.

Beyond price, the new offering allows users to set country-by-country availability and customize their page design to better suit their own brands. Creators can sell their content on Vimeo itself or via their website as they choose.

Launching at SXSW, Vimeo On Demand’s first title is a remastered and expanded version of animated film It’s Such a Beautiful Day, by the Academy Award nominated Don Hertzfeldt. The film is available to rent for $2 or buy for $6.

vod sons of the clouds screenshot 730x607 Vimeo now lets video producers sell and rent their work – and keep 90% of the revenue

Vimeo has always been popular with independent filmmakers, and this move – especially accompanied with such as competitive rate of just 10% in a market where Apple’s 30% is closer to the standard – is likely to attract plenty of interest. It’s also a perfectly-pitched way to boost the revenue Vimeo extracts from its 15 million registered users and worldwide audience of 93 million people per month, while maintaining a creator-friendly image.

The move builds on the launch in September last year of a ‘Tip Jar’ for creators. At the time, Vimeo promised a paywall offering for 2013.

If you’re a video producer interested in offering your content via Vimeo On Demand, you can head to the website to find out more.

Image credit: Adam Gault / Thinkstock