OTT Video - New Zealand | Statista Market Forecast

In New Zealand, revenue in the OTT Video market market is projected to reach US$494.60m in 2024.
Revenue is expected to show an annual growth rate (CAGR 2024-2029) of 7.17%, resulting in a projected market volume of US$699.30m by 2029.
The largest market in New Zealand is Video Streaming (SVoD), with a market volume of US$239.50m in 2024.
In global comparison, most revenue will be generated the United States, amounting to US$133.70bn in 2024.
Within the OTT Video market market in New Zealand, the number of users is expected to amount to 3.6m users by 2029.
User penetration in New Zealand will be 63.3% in 2024 and is expected to reach 65.4% by 2029.
The average revenue per user (ARPU) in New Zealand's OTT Video market market is projected to amount to US$148.30 in 2024.
The usage share of Disney+ in New Zealand amounts to an estimated 22.0% of the Videostreaming (SVoD) market in 2023.
In New Zealand, the OTT video market is witnessing a surge in demand for localized content, reflecting the country's diverse cultural narratives and preferences.

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 New Zealand has been experiencing significant growth in recent years.

Customer preferences: Customers in New Zealand are increasingly turning to OTT Video services for their entertainment needs. The convenience and flexibility offered by these platforms have made them popular among consumers. With the rise of smart TVs and mobile devices, people can now access their favorite movies and TV shows anytime and anywhere. Additionally, the availability of a wide range of content, including local and international productions, has further fueled the demand for OTT Video services.

Trends in the market: One of the key trends in the New Zealand OTT Video market is the increasing adoption of subscription-based models. Many consumers prefer the convenience of paying a monthly fee for unlimited access to a vast library of content. This trend is driven by the desire to have a seamless and uninterrupted viewing experience. As a result, OTT Video platforms are investing in original content and exclusive licensing deals to attract and retain subscribers. Another trend in the market is the emergence of niche OTT Video services catering to specific interests and demographics. These platforms offer specialized content, such as documentaries, sports, and children's programming, to target niche audiences. By focusing on specific genres or demographics, these services can differentiate themselves from larger, more general OTT Video platforms.

Local special circumstances: New Zealand's unique cultural landscape has also contributed to the growth of the OTT Video market. The country has a vibrant film and television industry, producing internationally acclaimed content. This local content has gained popularity both domestically and internationally, attracting viewers to OTT Video platforms that offer access to New Zealand productions. Furthermore, the presence of indigenous Māori culture in New Zealand has created a demand for OTT Video services that showcase Māori-language programming and cultural content.

Underlying macroeconomic factors: Several macroeconomic factors have played a role in the development of the OTT Video market in New Zealand. The country's strong internet infrastructure and high smartphone penetration rate have made it easier for consumers to access OTT Video services. Additionally, the increasing disposable income and changing consumer behavior have contributed to the growth of the market. As more people prioritize convenience and personalized entertainment experiences, the demand for OTT Video services is expected to continue to rise. In conclusion, the OTT Video market in New Zealand is experiencing significant growth due to customer preferences for convenience and flexibility, the adoption of subscription-based models, the emergence of niche services, the popularity of local content, and the country's strong internet infrastructure. These trends, combined with favorable macroeconomic factors, are driving the expansion of the market and shaping the future of the OTT Video industry in New Zealand.

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.