This snapshot takes a close look at subscription video on demand (SVOD) services in Australia, including the take-up, use and satisfaction with these services. It looks at time spent using these services and provides insights into why SVOD services are seen to be attractive, particularly amongst younger adults.
The ACMA surveyed 1,505 Australian adults in May and June 2015 and asked about their use of subscription online video services.
Subscription video on demand is growing rapidly in Australia, becoming an increasingly popular way to watch video content. SVOD services provide users with unlimited access to a wide range of video on demand content that can be viewed at any time, for a flat monthly fee. SVOD services are distinct from other online video services such as pay-per-view, catch-up television or other professionally-produced online content.
From January to March this year, Australia saw the launch of new SVOD services, including Netflix, Presto TV and Stan, and the take-up since then has been rapid. With the introduction of these services, Australians now have a greater range of video content viewing options.
This snapshot distinguishes between ‘SVOD users’ and ‘recent SVOD users’:
‘SVOD users’—those who had watched video content via an online subscription service in the six months to June 2015
‘recent SVOD users’—those who watched video content via an online subscription service in the last seven days at June 2015.
Use of SVOD services
The ACMA survey found that an estimated 3.2 million adult Australians (17 per cent) watched video content via SVOD in the six months to June 2015, and 2.2 million (12 per cent) in the last seven days at June 2015.
Launched in March 2015, Netflix accounts for the majority of SVOD services used in Australia. An estimated 2.5 million adult Australians (14 per cent) used Netflix Australia to stream TV shows or movies in the six months to June 2015 (Figure 1).
Amongst SVOD users, 78 per cent used Netflix Australia in the six months to June 2015, and 88 per cent in the past seven days at June 2015.
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