Research and Markets recently released its “VOD in Europe: 2021-2024: The New Normal” report, which highlights various consumption trends seen within the European Pay-TV and streaming markets. “2020 saw SVOD grow at one of the fastest rates on record, with more subscribers added than at any other time in history,” ResearchandMarkets wrote. “The acceleration of cord-cutting and the shift to video streaming during the pandemic has led to a faster-than-expected migration to on-demand services on a global scale.”
Total VOD revenues in Western Europe are estimated to increase from €10,655 million in 2020 to €18,031 million in 2024, suggesting a 12% yearly growth rate. Sports TV rights revenues are expected to reach over €71 billion by 2024. “For the first time ever, more people globally will pay for online video services than for pay-TV, and the resulting increase in video streaming spending means that online video has become the leading source of TV and video revenue around the world,” the researcher wrote.
The top five regional players in the European OTT market include the UK, Germany, Spain, Italy, and France. In just four years, total media rights acquisitions will rise from 6% to 24% with over one billion euros. The most profitable will still be football rights, which will go from €11 billion to €27 billion over the period. More than half of the total football content will be offered to broadband consumers. Last year’s figures were already labeled record-breaking, but still fall behind this year’s numbers. The growth results from a spike in cord-cutters as consumers transition into the digital streaming world, and the increasing demand for sports through these outlets.
The research report expects the 2020 trend to continue, albeit a little more slowly, and lead to a substantial increase in revenues, favoring one business model, in particular, the Subscription VOD. As a result, the analyst expects VOD revenues in Western Europe to steadily increase, at an average annual growth rate of 12%. In terms of market share, TVOD will grow much less, decreasing in importance in the following years. Consequently, in 2024 SVOD will represent 87% of the total revenues, while TVOD will represent the remaining 13%.
2020 saw SVOD grow at one of the fastest rates on record, with more subscribers added than at any other time in history. The acceleration of cord-cutting and the shift to video streaming during the pandemic has led to a faster-than-expected migration to on-demand services on a global scale.” Research and Markets
Related News
