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New European milestone for Netflix

January 14, 2021 09.55 Europe/London By Chris Dziadul

Netflix became the second largest TV group in Europe in revenue terms last year, according to the latest research by Ampere Analysis.

TV revenue includes broadcast advertising income, subscription VOD revenue, public funding and subscription pay-TV revenue.

Commenting on the finding, Tony Maroulis, principal analyst at Ampere Analysis, said: “Since launching in 2012, Netflix has grown rapidly in Europe. By 2016, it had launched its services across the whole of Europe and passed the $1 billion revenue milestone. By 2017, it had the largest customer tally of any subscription TV business in Europe. And by 2020, it reached another milestone. Last year, Netflix had become the second largest entity in Europe in terms of revenues, behind only Comcast (which owns Sky’s operations in Europe), and overtaking the German public broadcaster ARD. It would seem that there is no limit to Netflix’s meteoric rise as it helps itself to a greater portion of the audio-visual revenues. In 2020, Netflix alone accounted for more than 6 per cent of all European TV revenues”.

Maroulis added: “While Netflix has enjoyed success across the continent, local broadcasters are facing increased pressures. The coronavirus pandemic has thrown the TV advertising market into decline, compounding and accelerating the woes of traditional and established brands. And while Netflix’s pockets are getting deeper, local entities are struggling to compete. Over the next few years, Netflix alone is set to be better funded than many leading commercial broadcasters, and its scale means that it is able to produce quantities of high-quality content that most of its local competitors cannot match. This global vs. local imbalance will further accelerate the online viewing shift, which is now beginning to shift to older demographics as well as young”.

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Related

Filed Under: Editor's Choice, Newsline, OTT, Platforms, Top Story Tagged With: Ampere Analysis, Netflix Edited: January 15, 2021 13:35

About Chris Dziadul

Chris is our Central & East Europe Editor. You can talk to Chris on Twitter @chrisdziadul or by email at cdziadul@broadbandtvnews.com

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