OTT Video - Kenya

  • Kenya
  • In Kenya, revenue in the OTT Video market market is projected to reach US$103.40m in 2024.
  • Revenue is expected to demonstrate an annual growth rate (CAGR 2024-2029) of 11.92%, leading to a forecasted market volume of US$181.60m by 2029.
  • The most significant market within this market in Kenya is Video Streaming (SVoD), which is anticipated to have a market volume of US$63.90m in 2024.
  • Comparatively, the majority of global revenue will be generated the United States, with figures reaching US$133,700.00m in 2024.
  • In the Kenyan OTT Video market market, the number of users is expected to reach 17.1m users by 2029.
  • User penetration in Kenya will be 20.6% in 2024 and is projected to increase to 27.6% by 2029.
  • The average revenue per user (ARPU) in Kenya's OTT Video market market is estimated to be US$8.92 in 2024.
  • Additionally, the usage share of Amazon Prime Video in Kenya is estimated to account for 0% of the Videostreaming (SVoD) market in 2023.
  • Kenya's OTT video market is witnessing a surge in local content production, reflecting a growing demand for culturally relevant programming among its diverse audiences.

Key regions: United Kingdom, Germany, Asia, South Korea, Japan

 
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Analyst Opinion

The OTT Video market in Kenya has been experiencing significant growth in recent years, driven by changing customer preferences and the increasing availability of high-speed internet access. Customer preferences in Kenya have shifted towards consuming video content online, as viewers seek convenience and flexibility in their entertainment options. With the rise of smartphones and affordable data plans, more Kenyans are accessing the internet and using OTT platforms to stream movies, TV shows, and other video content. This shift in customer behavior has led to a surge in demand for OTT video services in the country. One of the key trends in the Kenyan OTT Video market is the emergence of local content providers. Kenyan viewers have shown a strong preference for locally produced content, which reflects their cultural identity and experiences. This has led to the growth of local OTT platforms that offer a wide range of Kenyan movies, TV shows, and documentaries. These platforms not only cater to the local audience but also attract viewers from the Kenyan diaspora, who are eager to reconnect with their roots. As a result, local content providers have gained a significant market share in Kenya. Another trend in the market is the increasing adoption of video-on-demand (VOD) services. Kenyan viewers are no longer satisfied with traditional linear TV programming and are turning to VOD platforms that offer a vast library of content to choose from. This allows viewers to watch their favorite shows and movies at their own convenience, without being tied to a fixed schedule. The popularity of VOD services has led to the proliferation of international OTT platforms in Kenya, as well as the expansion of local providers. Local special circumstances in Kenya also contribute to the growth of the OTT Video market. The country has a large youth population, who are early adopters of new technologies and are more inclined to consume video content online. Additionally, Kenya has a thriving creative industry, with talented filmmakers, actors, and content creators. This has resulted in a rich pool of local content that appeals to both domestic and international audiences. Underlying macroeconomic factors, such as the increasing affordability of smartphones and data plans, have played a significant role in driving the growth of the OTT Video market in Kenya. As the cost of internet access continues to decline, more Kenyans are able to access OTT platforms and enjoy high-quality video streaming. Furthermore, the government of Kenya has made efforts to improve internet infrastructure and expand broadband coverage across the country, which has contributed to the widespread adoption of OTT services. In conclusion, the OTT Video market in Kenya is experiencing rapid growth due to changing customer preferences, the emergence of local content providers, the increasing adoption of VOD services, local special circumstances, and underlying macroeconomic factors. As technology continues to advance and internet access becomes even more affordable and widespread, the OTT Video market in Kenya is expected to further expand in the coming years.

Methodology

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.

Overview

  • Revenue
  • Analyst Opinion
  • Users
  • Demographics
  • Media Usage
  • Global Comparison
  • Key Players
  • Methodology
  • Key Market Indicators
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