Traditional TV & Home Video - Australia & Oceania

In Australia & Oceania, revenue in the Traditional TV & Home Video market market is projected to reach US$5.98bn in 2024.
Revenue in this region is expected to demonstrate an annual growth rate (CAGR 2024-2029) of 1.27%, leading to a projected market volume of US$6.37bn by 2029.
The average revenue per user (ARPU) in Australia & Oceania is anticipated to amount to US$211.40.
In a global context, the majority of revenue will be generated the United States, which is expected to reach US$146.60bn in 2024.
The number of TV viewers in Australia & Oceania is projected to amount to 29.7m users by 2029.
User penetration in the Traditional TV & Home Video market market in Australia & Oceania is expected to be at 65.1% in 2024.
Additionally, the average revenue per TV user (ARPU) in the Traditional TV & Home Video market market in this region is projected to amount to US$211.40 in 2024.
In Australia, the decline of traditional TV viewership is accelerating as streaming services gain dominance, reshaping the home video landscape significantly.

Definition:

The Traditional TV and Home Video market involves the distribution and consumption of audiovisual content through conventional broadcast television channels and physical media formats like DVDs and Blu-ray discs. It encompasses the production, broadcasting, and viewing of television programs, movies, and other video content within households. Additionally, the market includes advertising placements within television programming and the collection of public TV Licence fees to support public service broadcasting networks, contributing to the diverse landscape of content delivery and revenue generation within the industry.

Structure:

The traditional TV and home video market comprises several key components, including pay TV services, physical home video sales, traditional TV advertising, and public TV Licence fees. Pay TV services involve subscription-based access to premium television channels and content, often delivered through cable, satellite, or internet-based platforms. Physical home video sales encompass the distribution of movies and TV shows on DVDs, Blu-ray discs, and other physical media formats for consumer purchase or rental. Traditional TV advertising involves the placement of commercials within broadcast television programs, generating revenue for broadcasters and advertisers alike. Public TV Licence fees refer to the mandatory charges imposed on households to fund public service broadcasting networks and channels. Together, these elements form the backbone of the traditional TV and home video market, catering to diverse viewer preferences and consumption habits.

Additional Information:

The market comprises revenues, ad spendings, viewers, average revenue per user, and penetration rates. Revenues are generated through purchases. Key players in the market are companies, such as NBCUniversal, CBS Corporation, and The Walt Disney Company.

Pay-TV subscriptions such as DirectTV, AT&T TV, and Sky
Physical home video such as DVD & Blu-ray sales
Traditional TV advertising such as commercial breaks
Public TV license fees such as BBC License in the UK and the Rundfunkbeitrag in Germany

OTT (Over-the-top content) services such as Netflix, Hulu, iTunes, and Pluto.tv
Public license fees collected in the form of a tax such as income tax in the Nordic countries
DVD & Blu-ray rental

The Traditional TV & Home Video market in Australia & Oceania has been experiencing significant developments and trends in recent years.

Customer preferences: Customers in Australia & Oceania have shown a strong preference for streaming services and on-demand content. This shift in preference can be attributed to several factors. Firstly, the convenience and accessibility of streaming platforms have made it easier for consumers to watch their favorite TV shows and movies at any time and from any location. Additionally, the wide variety of content available on these platforms, including exclusive shows and movies, has attracted a large customer base. Furthermore, the ability to personalize viewing experiences by choosing specific genres or creating personalized playlists has also contributed to the growing popularity of streaming services.

Trends in the market: One prominent trend in the Traditional TV & Home Video market in Australia & Oceania is the decline in traditional cable and satellite TV subscriptions. This can be attributed to the rise of streaming services, which offer a more flexible and cost-effective alternative. As a result, many consumers have opted to cut the cord and rely solely on streaming platforms for their entertainment needs. Another trend in the market is the increasing production and consumption of local content. Australian and Oceanian audiences have shown a growing interest in locally produced TV shows and movies, which has led to a surge in investment and production in the region. This trend is driven by a desire for authentic storytelling and representation, as well as a sense of national pride.

Local special circumstances: Australia & Oceania is a geographically diverse region with a wide range of cultures and languages. This diversity has influenced the Traditional TV & Home Video market, with a growing demand for content that reflects the unique identities and experiences of different communities within the region. As a result, there has been an increase in the production and distribution of content in local languages and with culturally diverse themes.

Underlying macroeconomic factors: The growth of the Traditional TV & Home Video market in Australia & Oceania can be attributed to several underlying macroeconomic factors. Firstly, the increasing availability and affordability of high-speed internet connections have facilitated the widespread adoption of streaming services. Additionally, the region's strong economic growth and rising disposable incomes have allowed consumers to allocate more funds towards entertainment and leisure activities, including TV and home video. In conclusion, the Traditional TV & Home Video market in Australia & Oceania is experiencing a shift towards streaming services and on-demand content, driven by customer preferences for convenience, accessibility, and personalized viewing experiences. This trend has led to a decline in traditional cable and satellite TV subscriptions. The region's diverse cultural landscape has also influenced the market, with a growing demand for locally produced content that reflects the unique identities and experiences of different communities. The growth of the market is supported by underlying macroeconomic factors such as the increasing availability of high-speed internet connections and rising disposable incomes.

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.