Strong growing transatlantic VOD market shows no sign of stopping
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Research from Broadcast Intelligence has revealed the intrinsic strength of the video-on-demand markets in the US and UK with VOD revenues across both territories generating 41% growth and shows no sign of abating.
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The Broadcast Intelligence Insights’ Streaming Services report tracks the cumulative performance of the 20 biggest AVOD, SVOD and vMVPD services in the two key territories.

It found that combined revenue reached $19 billion in 2018 growing from $13.5 billion in 2017 with a key driver of growth being the significant consumer appetite to pay for new subscriptions. In the US, subscriptions to the major vMVPD and SVOD services have more than tripled in size across the last five years, with total subscriptions rising from 49 million in 2013 to just under 172 million in 2018.

Broadcast Intelligence predicts that US subscription growth is set to continue, albeit not at that rate, with the number of subs hitting 241 million in 2023 (40% growth over five years). SVOD and vMVPD growth rates in the UK have been even more dramatic, jumping from 3.7 million in 2013 to almost 17 million at the end of 2018. Broadcast Intelligence predicts that these services will grow by 70% in the next five years, reaching 28 million by 2023. That performance is set to contribute to significant revenue increases across the UK VOD sector, with revenues that will roughly double over the next five years, jumping from $1.6 billion in 2018 to $3.2 billion in 2023.

Returning to the US, The analyst predicts that US AVOD usage is likely to explode over the next five years, with the volume of monthly active users (MAUs) jumping a 91% from 2018 to reach 172 million by 2023. The report also cited Viacom-owned Pluto TV as one of the early drivers of that growth. It added 5 million MAUs in 2018 and the analyst noted that it had ‘enticed’ key content providers such as Discovery and BBC Studios to its service.

“The UK has plenty of room left to support new SVOD service launches and still deliver growth for the major established players, the box-setting of titles and longer content windows for AVOD services will drive usage significantly,” commented Broadcast Intelligence lead analyst Jonathan Broughton regarding the Broadcast Intelligence Insights’ Streaming Services report. “[There will be] renewed purpose in the monetisation of older catalogue content.”