Consumer spending on video in Europe 2013-2023, by sector
The European video market has undergone a significant transformation over the past decade, with digital video consumption surging and physical formats declining. Consumer spending on digital video in Europe skyrocketed from 1.3 billion euros in 2013 to an impressive 24.39 billion euros in 2023, reflecting changing viewer preferences and the growing dominance of streaming platforms in the entertainment landscape.
Streaming services dominate content investments
As traditional TV broadcasters' content spending has stagnated in Europe's largest markets, subscription video-on-demand (SVOD) services like Netflix, Amazon Prime Video, and Disney+ have ramped up their investments in producing and acquiring content. These platforms are expected to increase their spending to over 10 billion euros in 2024, surpassing all other company types in the region. This surge in investment underscores the fierce competition for viewers' attention and the pivotal role of original content in attracting subscribers.
Pay TV faces challenges amid streaming boom
The rise of digital video consumption has had a profound impact on traditional pay TV services and physical video formats. Pay TV subscribers are forecast to decline across Western European countries, with Germany alone expecting to lose over two million subscribers between 2023 and 2029. Meanwhile, SVOD revenues continue to climb in the region, reaching an estimated 27 billion U.S. dollars in Western Europe by 2029, demonstrating that viewers are looking for more flexible and cost-effective options.
