Western Europe SVOD market to add 73MN subs by 2027 | Media Analysis | Business | News | Rapid TV News
By continuing to use this site you consent to the use of cookies on your device as described in our privacy policy unless you have disabled them. You can change your cookie settings at any time but parts of our site will not function correctly without them. [Close]
In a market marked by intense competition, with six US-based platforms accounting for 81% of all customers, Western Europe is set to have 238 million subscription video-on-demand (SVOD) users by 2027, up from 165 million by end-2021 says a study from Digital TV Research.
Netflix office LA 20 Jan 2021 1
The Western Europe SVOD Forecasts report found that the market leader in terms of subscriptions will of course be Netflix which is set to have 62 million subscribers by 2027, three million more than 2021. Subscriptions are expected to be flat for 2022 due mainly to increased competition and Netflix’s share of the total is projected to fall from 36% in 2021 to 26% by 2027.

Rival service Amazon Prime Video is set to have 60.3 million customers in the region by 2027 but growth leader will be Disney+ which is set to have gave 46 million subscribers, 20 million more than 2021. Newcomer Paramount+/SkyShowtime is forecast to add 11 million subscribers and HBO Max will bring in an extra 5 million.

The subs growth will drive Western European SVOD revenues to total $25 billion by 2027 up from $16 billion in 2021 with the UK to remain the SVOD revenue leader. Netflix is forecast to slowly lose SVOD revenues and Digital TV Research assumes that it will convert its cheapest tier to a lower-priced hybrid AVOD-SVOD tier. The analyst also believes that any SVOD revenue shortfall will be more than covered by its AVOD revenues. Netflix will remain the SVOD revenue winner, although its share of the total will fall from nearly half in 2021 to a third in 2027.

The Western Europe SVOD Forecasts report also suggested that there would not be many more price rises in the region due to the intense competition. The analyst also assumed that Disney+ would follow its US example by converting its present tier to a hybrid AVOD-SVOD one and charging more for an SVOD-only tier.