Interest by Czech TV viewers in streaming platforms has risen by 5% over the last year.
The latest Atmedia Index survey reveals that almost 60% of VOD service users are open to ad-supported content, with a significant portion expecting a subscription discount of up to 75% or more.
“In contrast to numerous international markets where global streaming giants like Netflix, HBO Max, and Disney+ offer cost-effective subscription alternatives inclusive of advertisements, the Czech market presents a distinct scenario, as the majority streaming service providers in this region do not currently extend advertising-based pricing options to their clients,’ explains Pavel Müller, Atmedia’s Head of Research & Marketing.
Müller says that unlike the saturated markets of the United States and Western European countries, the Czech market still has room for growth.
For Q2 and Q3 the advertising agency, which represents a number of multichannel TV services, found noteworthy 43% of individuals aged 15–69 are using at least one paid VOD service on a monthly basis. This represents an increase of 5 percentage points on the same period in 2022.
“As the Czech Republic steadily approaches the 50% milestone, it’s worth noting that foreign markets boast even higher figures. Take, for example, the United Kingdom, where an impressive 67% of households used paid VOD services solely in Q3 of this year,’ says Müller, “It is reasonable to anticipate that as the growth rate of the Czech streaming service market slows down from the rapid pace of recent years, individual players will likely introduce some more affordable subscription options that’ll include commercials.”
58% of subscribers say they would continue to subscribe after the introduction of ads, but many would be looking for a sizeable discount. More than two-fifths would demand a subscription discount of at least 75%, while another two-fifths would only consider using paid VOD services with ads if the subscription cost were at least 50% lower than the current price. Merely 10% of users would find satisfaction with a modest minimum 25% discount.