The amount of revenue coming into subscription video on demand services (SVOD) has reached an all-time high.
Stockholm-based consultancy Mediavision says it has been achieved through customers signing up to additional services rather than consumers entering the market for the first time.
Revenues, estimated as part of Mediavision’s analysis of the Swedish streaming market for the fourth quarter and full year of 2021, reached approximately SEK 5 million.
“The standalone SVOD market continues to show healthy growth, even during 2021 that was characterized by maturity,” comments Natalia Borelius, senior analyst at Mediavision. “The primary driver of growth is stacking, additional subscriptions rather than new households – existing households are simply paying more for their supply of services.”
In recent months a price war as emerged as new services, such as Disney+ and HBO Max, enter the market at a significantly lower pricepoint. Consequently, growth in stacking has brought upon a lower average cost per subscription, amounting to SEK 118 per month in 2021, a 3% drop year-on-year.