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German VOD market to grow to €750m

July 15, 2014 07.28 Europe/London By Jörn Krieger

Cover_VoD-Forecast_2014_2019The total turnover in the German video-on-demand (VOD) market will rise to around €750 million by 2019.

With a yearly growth of around 50%, subscription offerings (S-VOD) will record the strongest growth, reports German consultancy Goldmedia in its new study Video-on-Demand Forecast 2014-2019.

20% of German internet users currently use VOD services, according to a survey Goldmedia conducted among more than 1,100 internet users. Most of them prefer free-of-charge, advertising-financed platforms like MyVideo or Clipfish. One third of VOD users have signed up for an S-VOD service such as maxdome, Watchever or Sky Snap. The rental or purchase of single movies or series has become less important.

“The competition for market shares and customers will continue to grow with the launch of Netflix later this year,” project head Tim Prien said in Berlin. “But there’s already considerable interest in VOD offerings: If the people wanting to use VOD services in future are included, we are talking about a total VOD user potential of almost one third of German internet users. That’s around 18 million people.”

Goldmedia-VoD-Forecast-2014-2019_1200pxThere are currently around 50 VOD providers in Germany with different business models. By the end of 2014, Goldmedia expects a total turnover of around €273 million. This includes advertising-supported offerings (A-VOD) which will achieve a turnover share of 28%, followed by S-VOD providers and transactional VOD providers (T-VOD) which will each reach a market share of 26%. Download-to-own (DTO) will only hold a 20% market share (see chart).

S-VOD will enjoy the strongest growth, according to the study, increasing its turnover from €71 million in 2014 to €379 million in 2019. S-VOD and A-VOD are the biggest market drivers: They will reach a combined market share of around 80% in 2019.

More information on the English-language study Video-on-Demand Forecast 2014-2019 – German VOD Market Insights, Scenarios & Key Data and an order form can be found on Goldmedia’s website.

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Filed Under: Editor's Choice, On Demand/VOD, Research Tagged With: 2019, Germany, Goldmedia, Netflix, S-VOD, study, turnover, VOD Edited: 16 July 2014 08:02

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About Jörn Krieger

Jörn reports on the latest developments in Germany, Austria and Switzerland. Since 1992, he has been working as a freelance journalist, specialised in digital media, broadcast technology, convergence and new markets. He also takes up University lectureships, writes articles in specialist publications, and produces radio reports. Jörn is also a moderator of panel discussions at industry events such as ANGA COM, Medientage München and IFA Berlin.

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