OTT Video - Italy | Statista Market Forecast

In Italy, revenue in the OTT Video market market is projected to reach US$3.64bn in 2024.
Revenue is anticipated to exhibit an annual growth rate (CAGR 2024-2029) of 6.37%, leading to a projected market volume of US$4.95bn by 2029.
The largest market within this market is OTT Video Advertising, with a market volume of US$1.71bn in 2024.
In a global context, the majority of revenue will be generated the United States, amounting to US$133.70bn in 2024.
In Italy's OTT Video market market, the number of users is expected to reach 46.6m users by 2029.
User penetration is projected to be 75.2% in 2024 and is expected to increase to 80.7% by 2029.
The average revenue per user (ARPU) in Italy's OTT Video market market is forecasted to be US$82.38 in 2024.
The usage share of RaiPlay is estimated to account for 17.0% of the Videostreaming (SVoD) market in the selected region for 2023.
In Italy, the OTT Video market is witnessing a surge in demand for localized content, reflecting a growing preference for culturally resonant storytelling among viewers.

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 Italy has been experiencing significant growth in recent years, driven by changing customer preferences and the local special circumstances.

Customer preferences: Italian consumers are increasingly turning to OTT Video platforms for their entertainment needs. The convenience and flexibility offered by these platforms, allowing users to stream content anytime and anywhere, have made them popular among the tech-savvy Italian population. Additionally, the availability of a wide range of content, including movies, TV shows, and original productions, caters to the diverse tastes of Italian viewers.

Trends in the market: One of the key trends in the Italian OTT Video market is the growing popularity of local content. Italian viewers have shown a strong preference for homegrown productions, including movies and TV shows, which has led to an increase in the production of original Italian content by OTT platforms. This trend is driven by the desire to connect with familiar stories and characters, as well as support local talent and industry. Another trend in the market is the increasing adoption of subscription-based models. Italian consumers are willing to pay a monthly fee for unlimited access to a vast library of content, rather than purchasing individual movies or TV shows. This shift in consumer behavior has led to the rise of subscription-based OTT Video platforms, which offer a wide range of content at affordable prices.

Local special circumstances: Italy has a strong tradition of cinema and television, which has influenced the preferences of Italian viewers. The country has a rich cultural heritage, and Italians have a deep appreciation for storytelling and visual arts. This has created a fertile ground for the growth of the OTT Video market, as consumers seek out platforms that offer a diverse range of content to satisfy their entertainment needs.

Underlying macroeconomic factors: The growth of the OTT Video market in Italy is also influenced by underlying macroeconomic factors. The increasing availability of high-speed internet and the widespread adoption of smartphones and other connected devices have made it easier for Italian consumers to access OTT Video platforms. Additionally, the relatively low cost of data plans and the increasing affordability of smart TVs have further fueled the growth of the market. In conclusion, the OTT Video market in Italy is experiencing significant growth due to changing customer preferences, including the demand for local content and the adoption of subscription-based models. The local special circumstances, such as Italy's strong tradition of cinema and television, have also contributed to the market's development. Furthermore, underlying macroeconomic factors, such as the availability of high-speed internet and affordable connected devices, have facilitated the growth of the OTT Video market in Italy.

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 market. This spending factors in discounts, margins, and taxes.

Modeling approach / market size:

The market 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 market 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 market. 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.