LatAm SVOD subs to top 31M; Brazil, Mexico take top 2 spots

By Jim O'Neill on Oct 27 2016 at 5:45 AM
LatAm SVOD subs to top 31M; Brazil, Mexico take top 2 spots

The number of subscription video on-demand users in Latin America is expected to hit 31.81 million by 2021, a 161% increase from the 12.19 million subscribers in the region at the end of 2015. Nearly one-in-five TV households will subscribe to an OTT service, up from just 11% this year.

Netflix is expected to maintain its top position in the region with 16.7 million subscribers, compared to Claro Video with about 6.2 million subscribers, according to Digital TV Research’s latest report, Latin America SVOD Forecasts. Blim (2.9 million), Movistar Play (824,000) and HBO (818,000) will round out the top five services in the region.

“Despite losing market share, Netflix will still account for more than half of Latin America’s SVOD subscribers by 2021,” said Simon Murray, principal analyst at DTVR. “Demonstrating rapid growth, Claro Video will bring almost another fifth – so Netflix and Claro Video together will account for 70% of the 2021 total.”

As for household penetration, DTVR said more than a quarter (28%) of Mexico’s TV households will have at least one pay-TV service, followed by Chile (24%) and Argentina (24%). Venezuela, swimming against a tide of economic and political issues, will see penetration increase to just 12% by 2021.

Brazil, the region’s biggest economy, is expected to have the lion’s share of SVOD users as well; more than a third (36%) of the region’s subs will call Brazil home by 2021. Mexico, the region’s second-biggest economy, will also have the second-largest share of subscribers, about 26%.

Stay tuned.

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