In forecasting how much growth can be expected in the UK’s OTT subscription market in the next few years, one can certainly say there will be big changes in subscriber numbers, according to Mike Darcey, senior strategy advisor, MTM.
However, speaking at an MTM Forum event in London entitled Riding the Wave: Where next for subscription OTT, he added that subscriber numbers alone don’t pay the bill.
Furthermore, while there will be some modest growth in total revenue generated, it may shift around and the question will be who gets the money.
In his reply to the reasons for the success of Netflix, Amazon and Now TV, he said that each was quite distinctive and unique.
While Netflix has benefited from the amount of money it can spend despite making a loss, Amazon has a business model on the back of a retailer. Now TV meanwhile gets to piggyback on sports rights it does not contribute to.
Looking to the prospects of future OTT services from Disney, Warner Media and NBC Universal entering the UK market, he said that Disney’s were the most promising as it has the most extreme position on exclusivity and the best brand name.