Published October 3rd, 2018
Global pay TV and SVOD subscriptions will reach 1,877 million by 2023. This total is up by 505 million (37%) from 1,372 million at end-2017. The global OTT juggernaut is rolling on and over the next five years will be boosted by a spike in business across emerging markets, especially in China, according to Digital TV Research
SVOD subscriptions will more than double between 2017 and 2023, but traditional pay TV will only add 94 million subscribers. The US will have 289 million subscriptions by 2023; up from 222 million at end- 2017. Due to cord-cutting, traditional pay TV subscriptions will fall by 10 million to 80 million. However, multiple subscriptions will push the SVOD total from 132 million to 208 million.
Simon Murray, Principal Analyst at Digital TV Research, said: “China is the brightest star by adding 171 million subscriptions during this period to take its total to 610 million. Its pay TV total will “only” grow by 32 million to 375 million, but SVOD will rocket by 138 million to 235 million subscriptions. India will add a further 49 million pay TV and SVOD subscriptions to take its total to 210 million in 2023.”
Subscription revenues will only increase by 11% ($25.2 billion) to total $251 billion between 2017 and 2023. Traditional pay TV revenues will drop by $18.5 billion to $183 billion. However, SVOD revenues will climb by $43.7 billion to $69 billion. SVOD’s share of the total will increase from 11% in 2017 to 27% in 2023.
The currently burgeoning subscription video-on-demand arena shows no signs of slowing down and the analyst notes that after taking over the lion’s share of revenues in the sector in 2016, SVOD’s share of total business will increase to 53% in 2023, a six-percentage point growth in six years. This would mean that SVOD revenues would have rocketed climb by nearly $44 billion between 2017 and 2023 to reach $69 billion.
The US will remain the subscription revenue leader despite its total falling from $108 billion in 2017 to $105 billion in 2023. Pay TV subscription revenues will drop by $20 billion, with SVOD additions not quite high enough to make up the shortfall.
It is important to note that these figures are gross subscriptions. One household can have more than one subscription. For example, a household subscribing to pay satellite TV and Netflix would be counted as two subscriptions. Some homes pay for more than one SVOD platform
Source: Digital TV Research
Sep 01, 2020
From September 8th - 15th, join us on location in Amsterdam where we are talking to customers, partners, and colleagues about how businesses and technologies have developed since IBC last year. We also share insights on how to keep connected during the pandemic and tips on how to have fun when you do get to Amsterdam next!
Apr 23, 2020
It’s probably not a great surprise that most stats published recently show that video viewing is up overall in countries enduring a COVID-19 induced lockdown. But if you look more closely at the stats three distinct patterns emerge: ● Daytime viewing is performing really well - primarily powered by large upticks in news and kid’s programming ● Live video growth is outperforming the growth in VoD and streaming - primarily driven by news ● Operators and content owners are trying new business models, such as ‘straight to streaming’ for new movies.
Daytime video viewing
While overall viewing has increased, one of the biggest trends has been a resurgence in daytime viewing. Because the effects of the global pandemic are having far-reaching impacts across the economic and political spectrums, news channels are seeing a major increase in viewership figures. Meanwhile, with social restrictions forcing schools to close down, kids have been turning to their favourite channels to pass the time. Streaming platforms are seeing increased viewership.
AT&T highlighted that CNN daytime viewership increased 150% in the week commencing 16 March compared to last year, meanwhile, on Monday, March 16 (the first full weekday following actions taken by many local and state governments to begin enforcing social distancing measures across the US) Fox News, MSNBC and Fox Business all experienced significant double-digit increases. A Nielsen analysis report also showed that consumers are increasingly gravitating to local news outlets to stay informed about the impact of the pandemic on their communities.
As governments are continuing to give daily updates on their efforts to address the virus and advise their citizens on the next course of action, it is likely that we will continue to see a rise in news consumption as people tune into their trusted channels for ongoing information about the world around them. And it’s not just news that’s enjoying a surge in popularity, with family-oriented programming channels also enjoying strong audience growth, with reports of TeenNick almost tripling and total time spent watching the network increasing 171%, DisneyXD and Nicktoons daytime viewing up over 60% with Nick Jr. and the Disney Channel up around 30%.
Live video viewing is rising fast
The Havas Media Group COVID-19 Media Behaviours Report found that in the UK 48% of people are watching more live TV than they did before lockdown, with around 40% watching more video on demand and streaming services. The report also showed that Live TV has a 40%+ upswing in all age groups, whereas streaming and VOD growth was concentrated in the younger age groups. Havas also reported strong TV growth for TV viewing in the other regions monitored, including France, Germany Italy and China.
In the USA, reports are showing total viewing hours up for live TV, driven upwards through an increase in total news viewing by over 70%.
New business models
Operators and content distributors are once again finding the truth of necessity being the mother of invention, with changes to schedules and business models.
Discussing the challenge of lockdown viewing, Ryan Chanatry, general manager of Topic, a popular OTT streaming service powered by 24i, told us that he is producing a limited series comedy special, to lighten people’s spirits and has been able to rearrange its programming schedule to launch a few high-profile and most binge-worthy dramas and comedies earlier than initially planned.
Another interesting trend is looking afresh at movie windows, with some studios trying ‘straight to streaming’ release windows. Reporting on this trend, Colin Dixon of nScreen Media discussing NBCU pressing ahead with PVOD, wrote: “It (NBCU) released Trolls World Tour direct to digital on April 10, and the move seems to have paid off. The $20 rental generated $2-$3 million on the first day of release in the U.S. and could be headed to outstrip Avengers: Endgame first week of digital availability.”
Our customers are enjoying viewing uplifts, in some cases much higher than the figures reported above. At Amino and 24i we continue to work hard to support our broadcast clients to work as effectively and efficiently as possible and that our OTT and streaming customers can readily scale in line with demand.
I’m looking forward to watching how these trends will play-out and if they will permanently affect business models as well as enabling us all to view what we want, when we want, at home, at work or on the move; long after the COVID-19 lockdown is over.
Contact us today to find out 24i can help you scale and extend your OTT streaming services
Jan 06, 2020
By DONALD MCGARVA, Group Chief Executive Officer, Amino
As we start a new year and decade at CES 2020, we cannot help but think about how we gain clarity around what the future of the TV looks like. We have seen significant change in the past several years as consumers opt out of Pay TV contracts and pursue seemingly endless alternatives in the form of vMVPD, SVOD or D2C services. Even as more content is being produced, the future of TV is dependent on what consumers really want.
We believe consumers want what we call a modern TV experience. A modern TV experience gives the consumer rich, engaging, flexible and personalised ways to access and consume video content. We already know that consumers are using more devices than ever before to watch videos. While the TV itself is still a meaningful device it is. by its very nature, limited to in-home viewing. Networks continue to advance with 5G rollouts underway and improved WiFi solutions fulfilling consumer demand for connectivity on any device.
Read full post here
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