By Jonathan Easton
Advertising-supported streaming services are set to continue their stratospheric climb in the coming years.
According to Digital TV Research, AVOD spend for TV episodes and movies will climb by 144 per cent between 2020 and 2026 to reach US$66 billion across 138 countries.
The report notes that the US will contribute US$21 billion of the total US$39 billion growth. The UK’s AVOD business will almost double to US$3.44 billion, while spend in India will triple to more than US$2.25 billion.
China’s AVOD business will increase by US$5 billion, with the Covid-19 pandemic severely impacting the sector to a reduction of 14% in 2020. China will not better its 2018 total until 2024, although growth will return from 2021.
Simon Murray, Principal Analyst at Digital TV Research, said: “US AVOD revenues will triple between 2020 and 2026 to US$31 billion. Rather than lose market share as other countries catch up, the US will grow its share of the global total from 37 per cent in 2020 to 47 per cent by 2026.”
This latest report complements a similar one from the firm published in September which found that global SVOD revenues will reach US$100 billion by 2025.
