23 AUG 2021

Global revenue from adult VR content to reach $19 billion by 2026

The global value of the Virtual Reality adult content market will increase from US$716 million in 2021 to $19 billion in 2026, representing 22% of the global digital adult content market value by 2026, according to Juniper Research.

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The global value of the VR (Virtual Reality) adult content market will increase significantly, from US$716 million in 2021 to $19 billion in 2026, representing 22% of the global digital adult content market value by 2026, according to a new Juniper Research study, which also predicts that subscription-based models will be key in enabling adult content platforms to successfully monetize VR content and capitalize on the growth of headset ownership.

The new research, entitled “Digital Adult Content: Key Monetisation Models, Emerging Technologies & Market Forecasts 2021-2026,” urges mainstream adult content platforms, such as Pornhub and XVideos, to form strategic partnerships with specialist VR content providers in order to diversify their libraries of adult content and ensure more consistent revenue streams.

The study found that the global number of users viewing VR adult content via compatible headsets will rise by 2,800% over the next five years, with headset adoption primarily driven by mainstream use cases, such as digital games and media. It suggests that market stakeholders must leverage existing distribution channels to extend the reach of VR adult content to this growing user base.

“The United States will emerge as a key market for VR adult content, accounting for 33% of market spend by 2026. Adult content channels targeting US users must use advanced analytics to monitor viewing habits and trends, tailoring VR-enabled content accordingly,”  commented research author Scarlett Woodford.

The report also found that, by 2026, 97% of the total VR adult content market will be derived from subscriptions, with distribution channels using this monetization model to cover the increased costs associated with recording VR content. “Platforms must ensure adult content libraries are regularly updated, to refresh the user’s value proposition and justify charging a recurring fee. A failure to do so will reduce the value of subscription services and put distribution channels at risk of customer attrition,”  the report recommends.