Japan SVoD market to hit US$5.6 billion in 2028 amidst rising premium content demand, forecasts GlobalData.
The subscription video on demand service revenue in Japan is expected to increase at a compound annual growth rate (CAGR) of 6.8% from $4 billion in 2023 to $5.6 billion in 2028, driven by the strong growth in SVoD subscriptions and unique SVoD household penetration, and a steady rise in the average monthly revenue per unique SVoD household, forecasts GlobalData, a leading data and analytics company.
GlobalData’s Japan Subscription Video on Demand (SVoD) Forecast reveals that the growth in SVoD subscriptions Japan during 2023-2028 will be supported by the continued rise in household penetration of fixed broadband services, particularly fiber optic (FTTH/B) services, and the subsequent consumer shift from traditional pay-TV services to OTT video platforms.
Kantipudi Pradeepthi, Telecom Analyst at GlobalData, said: “The projected rise in the monthly average SVoD revenue per unique SVoD household from $9.76 in 2023 to $11.68 in 2028 is expected to be driven by the increasing consumption of premium video content in the country.”
Pradeepthi concluded: “Japan SVoD market is highly competitive with several players aiming to provide exclusive content to add new customers and retain the existing ones. The market is characterized by the presence of large-scale service providers like Amazon Prime Video, Netflix and Hulu, which offer a wide range of exclusive content to users, and several local players like dTV and U-Next. Strong demand for localized content is driving service provider investments in production of exclusive and premium Japanese content.”
Source: https://www.broadbandtvnews.com/2024/08/29/japan-svod-market-to-hit-5-6-billion-in-2028/