SVOD Users in Mature Markets Favor Content Quality over Quantity

Dimitar Serafimov| Thu Mar 01 2018 CET| Subscriptions

SVOD catalogue

It’s safe to say that SVoD has been pushing the boundaries of geographical reach, user experience, innovation and content offerings to their very limits. As a result of this, more players have entered the arena, heating up the competition and forcing providers to step up their game.

Recently, it’s emerged that while the sheer amount of available content available to SVoD subscribers was of paramount importance, the trend has shifted somewhat.

A study from Deloitte has discovered that 2018 began with around 375 million SVOD subscribers worldwide – a number projected to rise further as traditional pay-TV operators expand over-the-top video platforms. What’s more, the firm predicts that 20% of adults in developed nations have at least five online media subscriptions – rising to around 10 by the end of 2020.

In mature SVOD markets, the focus has moved to quality and recency over brute volume – swapping out older content for fresher, higher quality titles.

So, as the market continues to develop, catalogue growth has started to plateaued slightly. But, while the overall title count remains reasonably static, a small percentage of each catalogue does get replaced each month. And in November to December 2017 alone, the six major US SVoD providers retained more than 90% of their respective catalogues.

SVOD Catalogue trends in 2017
Source: Ampere Analysis

All in all, these findings fortify our statement that today’s SVoD fanatic, on a global scale, craves quality content, favoring programmes, films, and documentaries that engage and inspire them on a personal level, rather than flicking through endless rafts of irrelevant options.

That said, the savviest of SVoD providers are now investing more in localized or regional content, and some are even targeting markets that we could never have even predicted.

Netflix alone recently added 59 new TV shows and movies to its streaming lineup, including 12 fresh originals, each diverse in their own right. And the plan for 2018 is quite ambitious, as the giant targets 700 original shows! 

Moreover, there are also rumblings of the streaming colossus creating its first Arabic series that ‘celebrates Arab youth. A big step forward for the SVoD world.

As time ticks on, more providers will follow in Netflix’s footsteps meaning we have a host of exciting, meaningful and culturally diverse content to look forward to in 2018 and long into the future. If you’re an SVoD provider, rather than looking to add as much content as you possibly can to your service, focus on key markets instead, delivering the kind of content that will strike a chord with your audience.


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