Aussie SVOD Subscriptions Up 46%27 Jun, 2016 By: Erik Gruenwedel
Subscription video-on-demand memberships in Australia are projected to reach 2.7 million by the end of June, up 46% from 1.85 million during the previous-year period, according to new from emerging technology analyst firm Telsyte.
Citing data from an online study of 1,075 respondents, Telsyte found 43% of households subscribe to either pay-TV or a SVOD service, up 4% from the previous-year period.
Sydney-based Telsyte estimates SVOD subscriptions have grown by almost 900,000 during the twelve months ending in June. The total number of paid (excluding free trial users) SVOD subs is on track to more than double from 1.9 million to 4.1 million in 2019, which would exceed the total number of pay-TV. As of June, there were 3.3 million pay-TV subs.
Telsyte contends SVOD takes up 30% of subscribers’ mobile data allowance and mobile SVOD subs typically have a 65% larger data cap than those who do not stream SVOD on mobile. Through high conversions from trial usage to paid subs, SVOD services are generating about 40% more revenue than a year ago.
SVOD market leaders, in order, include Netflix, Stan and Presto. Together they represent around 85% of all subscriptions.
Notably, despite Netflix’s No. 1 status, Stan and Presto have been growing faster than Netflix as appetite for more content drives consumers to adopt a second or third SVOD service, according to Telsyte. Indeed, 20% of Netflix members subscribe to more than one service, with the average number of SVOD subscription up from 1.5 to 1.7 per household.