According to Dataxis, subscription video on Demand (SVOD) services are showing great potential growth in Latin America and is expected to reach 17.4 million in 2017. Dataxis forecasts that the market will double its volume to reach 33.5 million in 2022.
Netflix, which was launched in the region 2011, will remain the leading player with a market share of around 60% of total Latin America’s subscribers for the next five years.
In 2016, 91% of the paid accounts in the region were concentrated in only four markets: Mexico (46.8% of total Latin America), Brazil (31%), Colombia (6.6%) and Argentina (6.5%).
In turn, markets with more active competitors were Brazil (22), followed by Mexico (16), Argentina (13) and Colombia (10).
Moreover, Dataxis noted that new players specialized in niches and genres emerged in 2016. Differentiation strategies are shortening exhibition windows for VOD OTT by transactional models. In this way, players are simplifying payment methods. In addition to reaching customers directly, new alliances are arriving with pay TV operators for billing and collection of their services.