AVOD market primed for growth, says Digital TV Research

AVOD revenues for TV series and movies will reach $70 billion in 2027, up from $33 billion in 2021, according to a study by Digital TV Research

The report predicts that 13 of the 138 countries covered will generate more than $1 billion in 2027, up from only five countries in 2021.

4.avod.amazonfreevee_156759.jpg — AVOD: Amazon Freevee

The US is currently the biggest AVOD market, home to platforms with ad supported offers such as Pluto, Roku, Tubi and Amazon Freevee (formerly IMDb TV).

The US AVOD market is projected to grow by $19 billion to $31 billion by 2027 – remaining the largest country by far.

Simon Murray, principal analyst at Digital TV Research, said: “The US has the world’s most sophisticated advertising industry by some distance, plus AVOD choice is greater in the US than anywhere else. The US will account for 46% of the global total by 2027, up from 39% in 2021.”

Second-placed China slumped in 2020 due to its economic downturn. It will take until 2024 for China to better its 2019 total. In 2021, the Chinese government clamped down on fan-based culture, which resulted in far fewer reality shows from the OTT platforms – and less viewer demand.

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