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Netflix remains Australia’s #1 streaming service – The Hollywood Reporter

Netflix has a significant subscriber lead over rivals Disney+ and Amazon Prime Video in Australia, the most mature online video market in Asia Pacific. However, all platforms Down Under are increasingly aligning themselves with the new top metric of profitability rather than simple subscriber growth.

A new report from regional consultancy Media Partners Asia found that Australia had 22.1 million premium video subscribers at the end of August, up from 19.4 million at the same time in 2021. Netflix claimed 30 percent of the pie with Disney+ and Prime Video sharing, according to the MPA 17 percent share each. Local operators Foxtell OTT Bundle (which includes Kayo, Binge and Foxtel Now) and Stan followed with 12 percent and 11 percent shares, respectively.

“As the Australian SVOD market matures, platforms are increasingly focused on monetization. Netflix, Binge, Kayo, and Stan have all increased prices over the past year, and lower-cost, ad-supported tiers are expected from Netflix, Disney+, and potentially Amazon as the platforms seek new revenue streams,” said Vivek Couto, executive director of MPA .

The competition has also started hitting Australia’s local streaming operators. Stan’s market share, now fully controlled by Australia’s Nine Entertainment, saw its share of streaming minutes shrink from 18 percent in 2021 to 8 percent in August this year as competition for US TV dramas intensified in the first Window amid Disney and Paramount involvement only tightened back their content.

Couto said the changing dynamic “[place] Pressure on local general entertainment platforms Stan and Binge to grab popular dramas, while Stan and Foxtel’s Kayo continue to leverage key esports to drive average revenue per user.”

MPA’s research revealed a significant discrepancy between subscriber market share and actual video consumption per platform. While Netflix accounts for 30 per cent of subscribers in Australia, it claims a 50 per cent share of premium streaming viewing time. Disney+, on the other hand, has 17 percent of the subscribers but 16 percent of the consumption. Prime Video only has 9 percent of viewing time, according to MPA reading (most likely due to the incentives and momentum of the Prime e-commerce package). Foxtel OTT accounts for 12 percent of subscribers, with Kayo and Binge combined accounting for 14 percent of viewing time. Stan, on the other hand, only notched 8 percent of the viewing time from his 11 percent share of subscribers.

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