Global consumer spend on subscription video-on-demand services is due to grow by 28.1% in 2014 and 18.2% 2015, according to Gartner stats.
The research firm claims that, of all the video services that see consumers pay the service provider directly, SVOD has the strongest growth potential – even though the market conditions differ by region.
“While North America and Western Europe will drive overall spending on S-VOD services, they are the slowest growing markets globally,” said Gartner principal research analyst, Fernando Elizalde.
Spending on SVOD services in North America is expected to grow 28.5% and in Western Europe 18.6% in 2014. In the emerging regions, Gartner estimates that SVOD spending will grow 53% in 2014.
“Gartner estimates that households spend anywhere between US$6 and almost US$10 on average per subscription worldwide. The spending varies somewhat regionally with emerging Greater China, Sub-Saharan and Asia Pacific countries paying the least per subscription,” said Elizalde.