27 NOV 2020

PAY-TV IN NEW ZEALAND TO DECLINE AT 3.1% OVER NEXT FIVE YEARS

GlobalData’s data reveals that the overall pay-TV service revenue will continue to decline over 2020-2025, due to loss in cable and direct-to-home (DTH) subscriptions, declining aggregate pay-TV average revenue per user (ARPU) as well as growing subscribers’ preference for over-the-top (OTT) video platforms.

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Despite the steady growth in overall subscriptions, the total pay-TV services revenue in New Zealand will decline by a compound annual growth rate (CAGR) of 3.1% between 2020 and 2025, according to GlobalData, a leading data, and analytics company. GlobalData’s New Zealand Telecom Operators Country Intelligence Report reveals that the overall pay-TV service revenue will continue to decline over 2020-2025, due to loss in cable and direct-to-home (DTH) subscriptions, declining aggregate pay-TV average revenue per user (ARPU) as well as growing subscribers’ preference for over-the-top (OTT) video platforms.

Aasif Iqbal, Telecom Analyst at GlobalData, says: “Although DTH will remain the leading platform to deliver pay-TV services in New Zealand through 2025, IPTV subscriptions will grow at the fastest CAGR during the forecast period and will account for 40.3% subscription share by 2025, supported by the expansion of fiber-optic networks in the country, which will increase the adoption of IPTV services on fiber network".

SKY will lead the pay-TV market and account for an estimated 66.5% share of the total pay-TV subscriptions in 2020. The operator will maintain its leadership in the pay-TV segment through 2025 given its strong foothold in the DTH segment and focus on promoting a wide range of pay-TV plans catering to different needs of the subscribers like sports, entertainment, movies, kids shows, food, and lifestyle.