22 / 03 / 17

  VoD, SVoD

  USA, Netherlands

  Netflix, Amazon, HBO

Less is more: The changing landscape of the SVoD market

2016 has seen a marked change in the number of distinct titles available on Subscription Video On-Demand (SVoD) services. As the sector continues to mature, the general market trend has been towards refinement and reduction of content libraries, with the majority of platforms showing signs of tailoring and reducing offerings over the year. However, there are exceptions to this, with the most notable being that of Prime Video. Amazon’s on-demand subscription service has increased its content quantity by nearly two thirds over the past 12 months.

The reasoning for the reduction in available content and platforms is twofold. Firstly, following the boom in SVoD platforms in recent years, some providers are beginning to exit the SVoD market, and in the notable case of HBO Go in the Netherlands, finding greater profitability through more traditional carriage business models. Secondly, SVoD services are beginning to refine their catalogues and remove content with low viewership. Using internal viewing data they are able to better provide and target subscribers with popular content, and therefore reduce unnecessary content acquisition spend. Netflix, for example, has overseen a decrease in library size of over 7% in its largest market, the USA.

A key reason for Amazon bucking the trend is the launch of its direct-to-consumer content hosting platform, Video Direct. This provides another avenue to increase traffic on its website and hence pickup of its other services. For the bulk of the market however, Ampere believes the drive will continues towards smaller, constantly changing, libraries of higher quality content in order to hold the interest of viewers.

15 / 03 / 17

  Mobile Telephony , SVoD

  India

  Netflix, Amazon

Mobile will be key to Netflix and Amazon's Indian success

India's growing uptake of 4G mobile services will be key to the success of Amazon and Netflix as they target the market as their next big push. After finding a launch in China difficult, streaming giants Netflix and Amazon are shifting their focus to India, the next most populous country in the world. To succeed, they will have to overcome two major obstacles: a low broadband penetration, and access to online payments. Only around one in three Indians have a means to pay for their service via credit or debit card. New operator Reliance Jio's 4G push could be a particular ally to the SVoD services' roll out because its network will bridge gaps in India's uptake of high-speed internet. While 4G devices have been available in India since Airtel launched its pilot network in 2011, no real spikes in 4G subscriptions were seen until September 2016, when disruptive mobile operator Reliance Jio launched. Jio offers completely free access to its 4G services and caused a large spike in 4G subscriptions, recently surpassing 100m users.

One fly in the ointment is that Jio intends to begin charging for access to its services this April, which could lead to a drop in user base, even with promises of preferential pricing. Nevertheless, the Jio experiment has proved that Indian consumers are hungry for fast mobile data and, if its planned pricing model proves successful, could vault Jio to a significant market share in its first year of operation. The group has already reached 10% market share of mobile subscriptions in just six months. Competitors have taken notice, and Bharti Airtel, which today completed a national roll-out of 4G services across India, launched an offer for its postpaid customers to receive 30GB of free data. Vodafone, meanwhile, temporarily offered a 1GB-a-day package at a competitive price, while select Idea Cellular customers can get 500MB of data at a similar price-point.

Netflix is also taking steps to solve the issue of payment. It has partnering with Vodafone for operator billing, enabling its customers to pay for Netflix through their mobile provider. Netflix is also securing a prime presence in front of many existing pay TV subscribers as it will come integrated on Videocon d2h and Airtel’s set-top boxes. In addition to plans to create localised content, Netflix has also partnered with Bollywood actor Shah Rukh Khan's Red Chillies Entertainment, giving Indian subscribers access to a portfolio of his films.

Amazon has taken a different approach, focusing on a competitive price point of INR499 (£6) a year including free delivery through its retail site. After an initial promotional period, this will double to INR999. By comparison Netflix currently charges INR500 a month. Amazon has also focused on content with a reported plan to invest $300m in original Indian content and a partnership with Lionsgate for content exclusivity in India.

Even if the internet speed situation in India does not improve, Amazon and Netflix both offer offline viewing which can combat slower internet connections; viewers can use a fast internet connection when available, or download content and then view later. The battle for India’s video streaming market has begun. 

9 / 03 / 17

  Pay TV, Sports Rights

  USA, UK, Turkey, Germany

  BT, Sky

Ballon d'More: How much longer can sports rights values continue to inflate?

Ampere looks at the inflation of broadcasting sports rights of some of the major domestic leagues in the US and Europe

27 / 02 / 17

  VoD

  USA

  Netflix, Twitter, Snapchat, Facebook

Social Media platforms are yet to be content with media content

Over the past few years, social media networks have been focusing on video and are now investing in exclusive and original content. This could further increase competition in an already competitive VoD market.

22 / 02 / 17

  USA, UK

Window pains: How the subscription window affects title performance

The debut of film titles into the subscription window is correlated with an immediate deterioration of chart positioning, reflecting the impact on subscriber willingness to spend on content they already can view within an existing package, as well as the emergence of holdbacks on rental availability.

1 / 03 / 17

  Pay TV, Satellite TV, Cable TV , IPTV

  Portugal, Greece, Italy, Spain, France

IPTV drives pay TV growth in Portugal, France, Spain

Telco-backed IPTV is driving pay TV subscriber growth in three southern European markets but infrastructure is holding back development in Greece and Italy.

16 / 02 / 17

  VoD

  UK

BBC: British Binge-watching Corporation?

Ampere looks into the BBC's move towards facilitating binge-watching.

15 / 02 / 17

  TVoD

  USA

How the price of Transactional Video-on-Demand content declines

Looking at all pricing data from a selection of large US transactional stores, Ampere has been conducting research into how price decline varies with content age.

8 / 02 / 17

  USA, Western Europe

  Amazon, Netflix

Not the market toy manufacturers deserve, but the one it needs right now

Alongside the release of "The LEGO Batman Movie", Ampere finds that the number of LEGO-related titles licensed to major SVoD services in the UK and US has doubled in the last 18 months.

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