Newsletter 5th of May: Mediavision Q1 SVOD Analysis – Frequent Usage is the Best Churn Antidote
5 May 2021
The fierce competition on the video streaming market shows no signs of slowing down in Q1 – quite the contrary. Following a strong and pandemic-induced growth in 2020, customer retention is likely one of the most important issues this year for all SVOD services. Mediavision’s Q1 analysis shows that frequent usage plays a key role in reducing churn.
Loyal customers and long-lasting relations are key on a quickly maturing SVOD market. Inducing high engagement (i.e. viewing) is paramount – both in frequency and time spent. During Q1, Mediavision has analyzed how frequently households in Sweden engaged with the services they subscribe to. Most commonly, the services were used 1-3 days a week. Only 14% of the hosuseholds claimed a 7-day-usage an average week. Maybe a bit worrysome, almost 25% quantified a “no-usage” at all an average week.
Mediavision analysis points to a strong correlation between frequent use and low risk of churn. Among those that adhere to using their SVOD services 7 days a week, the risk of churn is significantly lower than for all the other customers. For those claiming a usage of the service 0-6 days a week, the churn risk increases by more than 90% compared to the daily users. Market leader Netflix stands out; high-frequency usage and significantly lower churn risk among its’ subscribers.
To conclude: Consumer engagement is the name of the game as we approach market saturation.
TV2 Play DK in Partnership with Paramount+
TV2 Denmark has entered a new partnership with ViacomCBS ‘streaming service Paramount+. TV2 Play customers get free access to Paramount + in July and can then purchase the service at a reduced price.
Bonnier’s Strawberry Acquisition Questioned
The Norwegian Competition Authority believes that Bonnier’s planned acquisition of a 70% ownership stake in Strawberry could weaken competition in the market. Strawberry is currently Norway’s fourth largest general publisher.
Netflix Introduces ‘Play Something’ Feature
Netflix has introduced a new feature, that by using an algorithmic curation, suggests titles that fits the user based on profile and viewing history.
Danish Cinemas to Reopen
This Thursday, cinemas in Denmark will reopen following several months of closure. Postponed premieres in 2020 will result in almost twice as many weekly premieres in 2021 (as of May) as last year; 4 per week compared to 2.3 in 2020.
Twitter Introduces Payments on Spaces
Twitter users with more than 600 followers are now able to host audio discussions on Spaces – and the possibility to charge for tickets will soon be available. Twitter will take a cut of those transactions.
Peacock Added 9 million Subs in Q1
Comcast owned NBCUniversal’s streaming service Peacock added nine million subscribers in Q1 2021. In total, Peacock now has 42 million subscribers in the US, but the company does not state how many of the new signups are paying subs.
Clubhouse Tests Android App
A beta version of the Clubhouse application will now be tested among a small group of non-employees who will provide the company with early feedback ahead of a public launch.
Mediavision in the News
Report: 15% Nordic adults listen to podcasts
In the Nordics, approximately 3 million people (equivalent to 15 per cent of the population 15–74-year-olds) listen to podcasts on an average day, according to Mediavision’s Q1 figures.
Clubhouse-nedlastinger ned 72% i mars
Man må ikke laste ned en app mer enn én gang for å bruke den jevnlig, og Clubhouse er totalt lastet ned mer enn 15 millioner ganger, men tall fra det svenske analysefirmaet Mediavision viser at antallet nordiske brukere av appen er begrenset.
Netflix-veksten avtar: - Flere som slåss om kundene
De ferske kvartalstallene til strømmetjenesten Netflix viser at selskapet kun fikk fire millioner nye abonnenter i første kvartal. Strømme-tjenesten Netflix fikk fire millioner nye abonnenter i første kvartal.
Netflix växer blygsamt i Norden – konkurrensen oroar inför rapport
Streamingtjänsterna såg sin guldålder under 2020 men nu hopas orosmolnen över bolagen. Marknadsledaren Netflix väntas bjuda på en ljummen rapport för det första kvartalet.
Sweden: Families prefer Disney+ over Netflix
The launch of Disney+ in 2020 fundamentally changed the competitive landscape for streaming in Sweden in many ways – but perhaps most notably in the battle over families with young children.
Netflix likely to report 5% Q1 Nordic subscriber growth vs 8% market growth rate
Swedish consultancy Mediavision says it predicts that Netflix will report a 5 percent increase in Nordic customers for the first quarter of 2021, or a rise of 200,000 subscribing households since Q1 2020.
Så mycket mer pengar lägger hushåll med barn på streamingtjänster
Barnhushåll konsumerar i högre grad streamingtjänster än hushåll utan barn, visar Mediavisions analys för streamingmarknaden under första kvartalet.
”Om ett år finns vi i större delen av Europa”
På Sesamy är man nöjda med lanseringen. Nu är målet att skala upp.
– Förlagen gillar oss, och att någon tänker och gör annorlunda, säger Måns Ulvestam, en av sajtens grundare.
Nordic families preferring Disney+ over Netflix
New analysis by Stockholm-based consultancy Mediavision has found Disney+ already has a “very strong” position among families with children.
Tufft för Spotify att gå från prat till pengar
Spotify börjar göra vinst, men tillväxten tappar fart. Frågan är: Om musik inte kan motivera den skyhöga värderingen, kan satsningen på poddar rädda börskursen?
MWC Barcelona: 28 June – 1 July 2021, Barcelona, Spain
Série Series: 30 June-2 July 2021, Fontainebleau, France
Cannes Film Festival: 6-17 July 2021, Cannes France
NEM: 6-9 September 2021, Dubrovnik, Croatia (new dates)
IBC: 10-13 September 2021 (or 3-6 December 2021), Amsterdam, Netherlands
MIP Junior: 9-10 October 2021, Cannes, France
Cannes Series: 9-14 October 2021, Cannes, France
MIPCOM: 11-14 October, Cannes, France
*Mediavision will attend
**Mediavision will present