Asia Pacific and Latin America to Drive On-Demand TV Growth

MPP Global Posted by MPP Global on Monday, 02 September 2013

On-demand TV revenues from movies and TV programs – excluding sports and adult entertainment – will reach $6 billion in 2018, up by 44 per cent from $4.2 billion in 2012, according to research from Digital TV Research.

In 2012, on-demand TV generated just 2.3 per cent of the $184 billion total pay TV revenues. However, the proportion will grow to 2.9 per cent of the $203 billion total in 2018.

The US accounted for 37 per cent of global on-demand TV revenues in 2012, but this proportion will fall to 30 per cent by 2018, despite its revenues climbing by 16 per cent. This is because other emerging markets are growing at an exceptional rate, with the Asia Pacific region being a key driver.

Simon Murray, the report’s author, said: “The US is undoubtedly the most sophisticated on-demand TV market, with a long-standing consumer acceptance of the concept. Furthermore, the US has the highest rates of cinema attendance per capita in the world by some distance, which reveals a love of movie-watching.”

However, China will more than double its revenues between 2012 and 2018, while Indian revenues will almost triple over the same period.

North America and Western Europe together accounted for 73 per cent of global on-demand TV revenues in 2012, but despite revenues growing by 20 per cent, these two regions combined will take only 61 per cent of the global total by 2018.

Revenues in the Asia Pacific region will leap 113 per cent between 2012 and 2018, while Eastern Europe will see an 89 per cent increase.

Another upcoming continent is Latin America, which will see a 129 per cent boost in the same period.

In terms of revenue, the Asia Pacific region will more than double between 2012 and 2018 to $1.46 billion.

Worldwide digital cable on-demand TV revenues are expected to increase by $1 billion between 2012 and 2018 to reach $2.77 billion, while IPTV figures will nearly double over the same period to $1 billion by 2018.

MPP Global

Posted by MPP Global

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