Just when there seemed to be no end to the buzz surrounding streaming subscriptions, a study by AMPD, part of the Media Partners Asia group, tempers the mood by revealing a noticeable slowdown in Southeast Asia in 2023.
But while the number of new subscribers has grown only slightly – by 1.3 million, compared with 11 million in 2022 – the industry is far from being at half-mast, since revenue climbed 12.5% to US$1.4 billion (RM6.7 billion).
While Netflix retains its leadership with a market share of over 45%, local platforms are gaining ground. In Indonesia, Vidio, with its highly local and sports-oriented catalogue, has climbed to second place in terms of revenue thanks to clever tactics such as broadcasting the Liga 1 soccer and the Fifa U17 World Cup.
Korean shows continue to be all the rage: they account for 36% of premium video-on-demand (VOD) viewership and 34% of subscription VOD consumption, with hits like “The Glory” and “King The Land” on Netflix and season 2 of “Taxi Driver” on Viu.
Last year, Netflix and Viu established themselves as the kings of K-content streaming in Southeast Asia, capturing over 90% of demand for such shows.
The breakthrough of Thai content is also noteworthy, with horror shows appealing even beyond the country’s borders. Chinese productions account for 10% of consumption and are particularly popular in Thailand.
In all, Korean, American and Japanese content accounts for 70% premium VOD viewership in Southeast Asia, demonstrating regional interest in these cultures.
Far from being a simple niche phenomenon, animé is shaping up to be an essential pillar of streaming in Southeast Asia, accounting for 14% of SVOD demand in the region and confirming viewers’ enthusiasm for Japanese animation.
US content continues to enjoy strong appeal in Southeast Asia, accounting for 21% of the overall premium VOD audience and 30% of the SVOD audience in 2023. Netflix takes the lion’s share in this field, followed by Disney+ and Prime Video.
The “One Piece” movie, a live-action adaptation of the cult manga, was the most popular American production on streaming platforms. Other Netflix originals – such as “Tyler Rake 2” (“Extraction 2”), “XO, Kitty” and “Queen Charlotte” – were also a big hit with audiences.
Optimism remains high this year, according to AMPD senior analyst Dhivya T, who said: “Subscriber growth dramatically slowed over a volatile and high churn 2023, but monetisation remains robust and will further improve over this year.
“The content pillars that drive customer acquisition, retention and engagement are now well-defined with new Asian/local pillars emerging.”