The reach of VOD segments is shifting
Like in other developed markets, subscription video-on-demand (SVOD) is the video type with the highest consumer spending in the UK, with Netflix and Amazon Prime Video being the most popular platforms. Data showed that over 19 million out of an estimated 28.2 million households in the country had access to SVOD services in the beginning of 2023, highlighting the popularity of this video streaming segment. However, while the pandemic has accelerated this trend towards subscription-based services, the viewing time of SVOD content has fallen back to pre-pandemic times. Furthermore, despite SVOD having the most viewers in 2022, ad-supported services, especially those from local broadcasters (BVOD), are catching up and will likely outpace subscription-based streaming in terms of viewership in the upcoming years. Most popular in this segment are BBC’s iPlayer, revamped service ITVX, as well as Channel 4’s offering.Local streaming options are increasingly popular
As a result of the ever-growing VOD market and the visible consumer preference for OTT content over linear TV, global players are placing increasing emphasis on local content to differentiate themselves and meet the rising international demand. Netflix, for instance, increased its number of original titles produced in the United Kingdom by over 100 in the period from 2016 to 2021. The streaming giant’s British portfolio includes, amongst others, Emmy Award winner “The Crown” and critically acclaimed TV show “Sex Education.” Additionally, among the main BVOD services – UKTV Play, iPlayer, My5, Channel 4, and ITVX – the majority of content hours was produced in the UK, showing even more that local streaming delivery is more important than ever before.
