OTT Video - Americas | Statista Market Forecast

Revenue in the OTT Video market market in the Americas is projected to reach US$151.30bn in 2024.
Revenue is expected to show an annual growth rate (CAGR 2024-2029) of 7.57%, resulting in a projected market volume of US$218.00bn by 2029.
The largest market in the Americas is OTT Video Advertising, which will have a market volume of US$95.06bn in 2024.
In a global context, the majority of revenue will be generated the United States, amounting to US$133.70bn in 2024.
Within the OTT Video market market in the Americas, the number of users is expected to reach 755.4m users by 2029.
User penetration in this market will be 66.6% in 2024 and is anticipated to rise to 72.1% by 2029.
The average revenue per user (ARPU) in the OTT Video market market in the Americas is projected to be US$223.30 in 2024.
In the United States, the OTT video market is experiencing a significant shift towards ad-supported streaming platforms, reflecting changing consumer preferences and economic considerations.

Definition:

OTT Video refers to a digital media distribution model where users can access and watch video content at their convenience, usually through an online platform or service. With VoD, users have the flexibility to choose what content they want to watch, when they want to watch it, and how they want to consume it. This allows users to stream or download video content on demand, without the need for traditional broadcasting schedules or physical media. VoD platforms typically offer a wide range of content, including movies, TV shows, documentaries, and other video content, which can be accessed and viewed instantly or stored for later viewing. VoD has become increasingly popular in recent years, offering convenience, flexibility, and a personalized viewing experience for users.

Structure:

The market consists of several markets, namely Video Streaming (SVoD), which is streaming on a subscription basis, Pay-per-View (TVoD), which is paying for digital video content and watch it online, Video Downloads (EST), which is the download of digital video content and OTT Video Advertising, which is the advertising in video streaming.

Additional Information:

The market comprises revenues, users, average revenue per user, and penetration rates. Revenues are generated through purchases and subscriptions. Market numbers for OTT Video can also be found in the video-on-demand market. Key players in the market are companies, such as Netflix, Amazon or Disney+.

Rentals as single transaction or pay-per-view (transactional VoD or TVoD)
Subscription-based services (subscription VoD or SVoD)
Digital purchases via download or permanent cloud storage (electronic-sell-through or EST)
OTT Video Advertising
Free ad-supported streaming TV (FAST) services, such as Pluto TV or Freevee

Pay-TV subscriptions (cable TV, satellite TV, IPTV, DTTV)
Physical home video (DVD & Blu-ray)
Traditional TV advertising

The OTT Video market in Americas is witnessing significant growth and development, driven by changing customer preferences, emerging trends in the market, local special circumstances, and underlying macroeconomic factors. Customer preferences in the OTT Video market in Americas are shifting towards on-demand content consumption, personalized recommendations, and seamless user experiences. With the increasing availability of high-speed internet and affordable data plans, customers are demanding access to a wide range of content, including movies, TV shows, and original programming. They are also seeking convenience and flexibility in terms of when and where they can watch their favorite content. As a result, OTT Video platforms are focusing on enhancing their content libraries, improving their recommendation algorithms, and optimizing their user interfaces to cater to these preferences. Trends in the OTT Video market in Americas are also driving its development. One prominent trend is the rise of original content production by OTT Video platforms. With the success of platforms like Netflix and Amazon Prime Video in producing critically acclaimed and award-winning original series, other players in the market are following suit. This trend is not only attracting more customers to these platforms but also driving competition among content creators and distributors. Additionally, the increasing adoption of smart TVs, streaming devices, and mobile devices is enabling customers to access OTT Video content on multiple screens, further fueling the growth of the market. Local special circumstances in different countries in the Americas also play a role in the development of the OTT Video market. For example, in countries with a large Spanish-speaking population, there is a growing demand for Spanish-language content. OTT Video platforms are capitalizing on this opportunity by offering a wide range of Spanish-language content, including movies, TV shows, and original programming. Similarly, in countries with a strong sports culture, there is a high demand for live sports streaming on OTT Video platforms. As a result, platforms are partnering with sports leagues and broadcasters to offer live sports events, attracting sports enthusiasts and expanding their customer base. Underlying macroeconomic factors are also influencing the development of the OTT Video market in Americas. The increasing disposable income of customers, coupled with the affordability of OTT Video subscriptions, is driving the adoption of these platforms. Additionally, the growing penetration of smartphones and internet connectivity is enabling customers in remote areas to access OTT Video content, expanding the market reach. Furthermore, the presence of strong local content creators and production houses is contributing to the growth of the market, as customers are drawn to high-quality regional content. Overall, the OTT Video market in Americas is experiencing significant growth and development, driven by changing customer preferences, emerging trends, local special circumstances, and underlying macroeconomic factors. As the market continues to evolve, OTT Video platforms will need to adapt and innovate to meet the evolving needs and demands of customers in the region.

Data coverage:

The data encompasses B2C enterprises. Figures are based on Traditional TV & Home Video and OTT (over-the-top) Services. All monetary figures refer to consumer spending on digital goods or subscriptions in the respective segment. This spending factors in discounts, margins, and taxes.

Modeling approach / Segment size:

The segment size is determined through a bottom-up approach. We use annual financial reports of the market-leading companies and industry associations, third-party studies and reports, survey results from our primary research (e.g., Consumer Insights), as well as performance factors (e.g., user penetration, price per product, usage) to analyze the markets. To estimate the segment size for each country individually, we use relevant key market indicators and data from country-specific industry associations, such as GDP, number of internet users, and internet consumption.

Forecasts:

We apply a variety of forecasting techniques, depending on the behavior of the relevant segment. For instance, the S-curve function and exponential trend smoothing are well suited for forecasting digital products and services due to the non-linear growth of technology adoption.

Additional notes:

The data is modeled using current exchange rates. The market is updated twice a year in case market dynamics change. The impact of the COVID-19 pandemic is considered at a country-specific level. The data is modeled using current exchange rates. The impact of the COVID-19 pandemic and the Russia-Ukraine war are considered at a country-specific level. The market is updated twice a year. In some cases, the data is updated on an ad hoc basis (e.g., when new, relevant data has been released or significant changes within the market have an impact on the projected development). Consumer Insights data is reweighted for representativeness.

This report presents a comprehensive analysis and additional information on the Advertising & Media market, in a PDF format.

Online video streaming has visibly transformed the global media landscape and impacted viewing behavior around the world. Driven by rapid leaps in internet adoption, widespread availability of mobile devices, and the ever-increasing popularity of online video content, the global video streaming market has experienced unprecedented growth in the last decade. In 2023, the over-the-top (OTT) video revenue reached an estimated 288 billion U.S. dollars, with the United States accounting for the largest share of revenue worldwide. Considering that the list of international streaming services and the catalog of online video content continue to expand at a rapid pace, the number of OTT users worldwide is expected to reach new heights in the future.