SVoD market revenues across selected countries in Africa & the Middle East (AME) will grow at a robust CAGR over 2020-2025, with no CAGRs below 15%. Saudi Arabia and Turkey presented the largest SVoD market sizes in terms of subscriptions and revenues in 2020 (among GlobalData’s selected and are still experiencing rapid growth. Nigeria is the smallest market in the selected list*; however, it has the largest CAGR over 2020-2025, with smartphone-tiered SVoD subscriptions contributing to SVoD growth prospects, as such plans are lower-priced and are more accessible.

For example, Showmax launched a mobile plan that costs less than half the price of Showmax’s standard monthly plan US$7 vs US$3 and allow access to their complete catalogue in standard definition – with users locked to using the plan on a single Netflix launched mobile-only plans across a number of African markets including South Africa and Nigeria. These plans are R49 (US$3)/month, compared to the basic plans price of R99 (US$7)/month and give the user one standard definition stream on a smartphone or tablet.

SVoD platforms will also see growth through bundling, as telcos package their services alongside fixed broadband and mobile postpaid plans to improve the value proposition of packages. For example, telco du UAE bundles selected mobile postpaid plans with a 12-month OSN streaming app subscription starting from US$71.

The strong growth is also supported by increasing investment in content as SVoD players seek to add live sports, localized content and international series to their portfolios.

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