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Global Trends in Video On-demand Technology : Transforming TV Industry is Driving VOD Subscription Growth across all Segments
The global market for Internet video on-demand (VOD) services was both vibrant and dynamic in 2014 and 2015. With the rising number of cord cutters, shavers, and nevers; increasing broadband penetration; and the connected devices boom, Internet VOD is becoming the content consumption platform of choice for audiences worldwide. This study examines the global VOD services market, including drivers and restraints, industry challenges, and market forecasts. The study is divided into the cable, Internet Protocol TV (IPTV), direct-to-home (DTH), and Internet segments.
The Video-on-demand (VOD) market is thriving, driven by urgent service provider investment and energetic consumer interest. TV is inevitably shifting away from regimented, schedule-driven programming to individualized on-demand TV Everywhere (TVE). This shift is driving more service providers to invest in widely accessible online video in a bid to retain subscribers and improve viewer engagement.
- Pay-per-view (PPV) sports continues to be a key source of Pay TV revenue, although service providers are steadily expanding their library of movie content and catch-up TV content.
- To date, growth has been highest in the United States, the United Kingdom, France, and Korea, but future growth potential is highest in the BRIC nations and in Eastern Europe. The availability of broadband, however, is a prerequisite to growth in VOD and PPV.
- In the short term, the 2016 Olympics will provide a further boost to an already healthy market. In the longer term, the growing use of high-efficiency video coding (HEVC) in K scenarios and an expected shift away from traditional Pay TV towards pure Internet services will impact transaction levels in cable, Internet Protocol television (IPTV) and direct-to-home (DTH).
Key Questions This Study Will Answer
- Is the market growing? How long will it continue to grow and at what rate?
- What factors will drive the growth of this market? What are the challenges that will hold the market back?
- Are the existing competitors correctly structured to meet customer needs? How will this market evolve in the future?
- What technical trends are shaping the marketplace today? What disruptions are on the horizon?
- What segments and regions are most rapidly adopting VOD? How will this landscape evolve in the future?
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