Omdia sizes up potential Netflix advertising revenue in 2023–27 and discusses the strategic and tactical choices and considerations involved in pivoting to a hybrid AVOD/SVOD business model.
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Dabbling in ads is not an option: Netflix has the ingredients to become an advertising power player, but it must go all in
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Disney overtakes Netflix as the world’s largest streaming company
Analyst Opinion / 18 Aug 2022 / Tony Gunnarsson
Disney reports that Disney Streaming has become the world’s largest streaming company, with 221.1 million subscriptions across its streaming services Disney+, Disney+ Hotstar, ESPN+, and Hulu against Netflix’s 220.67 million.
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Disney+ to introduce ad-supported tier appealing to price-conscious consumers and bolstering the Disney–Hulu advertising walled garden
Analyst Opinion / 21 Mar 2022 / Marija Masalskis
Disney+ will launch a hybrid AVOD/SVOD service tier in late 2022 in the US and internationally in 2023. The new tier will be offered at a discount compared with the ad-free tier, a pricing structure widely accepted by US online video consumers. Moreover, incorporating Disney+ into the Disney–Hulu omnichannel advertising walled garden will enable Disney to strengthen its ad ecosystem and compete effectively.
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Hybrid AVOD/SVOD Models Dominate the New US Direct-to-Consumer Streaming Landscape – August 2022
Report / 12 Aug 2022 / Marija Masalskis
Monetizing online video on a TV screen is settling into a familiar dual revenue stream pattern of the traditional TV business. This report looks at key dynamics driving direct-to-consumer services to adopt a hybrid model: subsidizing consumers’ access, replicating traditional TV channel economics, and competing with big tech in the connected TV advertising market.
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Pay TV & Online Video Report: North America – 2022
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In-depth insights on the US and Canada pay-TV and online subscription video markets, including the growth of subscription video, how pay TV is fighting churn rates, and how successful AVOD is in the North American market.
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Microsoft renews its ad market ambitions and joins the CTV fray with the acquisition of Xandr and a Netflix partnership
Analyst Opinion / 27 Jul 2022 / Marija Masalskis
Microsoft’s acquisition of Xandr signaled the company’s renewed bet on advertising. Its global partnership with Netflix paves the way for it to compete in the rapidly growing connected-TV marketplace as both platform and tech vendor.
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The Analyst Team
Tony Gunnarsson
Follow AnalystPrincipal Analyst, TV, Video & Advertising
As part of Omdia's media and entertainment team, Tony Gunnarsson covers the global online video sector, with a specific interest in direct-to-consumer video services, across both subscription and transactional video, as well as online video aggregation.
His main research interests are in the premium, paid-for subscription online video (SVOD). Tony provides analysis of the key developments in the global online video market, consumer insights, and business intelligence. He also writes on adjacent developments in the broader TV and home entertainment market, including the emergence of AVOD services as a vehicle for premium content. Prior to joining Informa Tech (now Omida), formerly Ovum, in 2014, Tony worked as a senior analyst at IHS Markit, formerly IHS Screen Digest. He holds a master’s degree in imperial and commonwealth history from King’s College London.
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Max Signorelli
Follow AnalystPrincipal Analyst, Media & Entertainment
Max Signorelli is a principal analyst for the Media & Entertainment team at Omdia and is product lead for Omdia’s Consumer Research – Devices, Media & Usage Spotlight Service.
Max’s research builds on Omdia’s syndicated consumer survey to monitor and rationalise market traits and consumer profiles as well as track real, cross-platform usage of services and devices with time. Max specializes in global video markets with regional expertise in EMEA, covering markets both developed and emerging through in-depth strategy analysis and contextualising of local and international video players. Max joined the company and industry in 2017 after earning his Bachelor of Science in physics from Imperial College London, United Kingdom.
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