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Netflix Australia Sub Growth Up, Streaming Time Down

4 Dec, 2016 By: Erik Gruenwedel

Netflix’s popularity down under remains a growth story. At the same time, more subscribers do not necessarily translate into more time spent streaming content.

New data from Roy Morgan Research found more than 5.7 million Australians older than 14 years of age (29% of the population) had access to Netflix in the home through November via more than 2.2 million household subscriptions. The SVOD pioneer was accessed by 766,000 Australians in 296,000 homes a month after launching in March 2015.

Notably, the data found that while subs are up, viewership time is not. For the first time, two-in-five Netflix subscribers stream less than three hours of content per week, including 26% who watch less than three hours and 16% who don’t watch at all.

Meanwhile, 35% of subs stream three to seven hours per week, and 14% watch eight to 14 hours. Less than 10% binge-view, streaming 15 or more hours of content. 

A Netflix sub that binged the whole season of “The Crown” over a weekend might not watch Netflix again for a month; another might watch one episode per week in line with traditional linear TV.

Indeed, pay-TV subs spend twice as much time watching content. The majority of Foxtel subscribers spend at least eight hours a week watching TV, including over a third who watch more than 15 hours. Only 5% of Foxtel subs hadn’t watched TV in the last seven days, according to an online survey of 1,121 Aussies.

“In its first year, Netflix had limited impact on Foxtel with SVOD catering to a very different audience than pay-TV. However, with [mainstream] households now discovering SVOD, this puts more pressure on the pay-TV service to justify its premium cost to subscribers,” Michele Levine, CEO of Roy Morgan Research, wrote in a blog post.

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