• by Karlene Lukovitz  @KLmarketdaily, October 6, 2023

The major global streaming platforms — Netflix, Amazon Prime Video, Disney+, Apple TV+, Paramount+ and Max/HBO Max — will invest $42 billion in original and acquired film and TV content this year, according to an Ampere Analysis forecast.

That spending growth rate is down 7% year-over-year, compared to 24% growth in 2022, reflecting streamers’ increased focus on honing content to deliver profits for investors and the need to leverage content to maximize subscriber retention and acquisition.

That means taking a more deliberately balanced, cost-effective approach to maximize investment in genres that appeal across global markets, while also investing in content geared specifically to key international growth markets.

Of the total $42 billion spent this year, 90% is for scripted content.

High-budget originals in key scripted genres, including crime/thriller, sci-fi/fantasy and comedy, continue to be the primary growth drivers.

Crime/thriller dominates, with investment expected to hit $12 billion this year. The sci-fi/fantasy and comedy genres also command substantial funds, confirming that high-budget scripted TV content remains the most powerful tool for maximizing subscriber acquisition and maintenance.

Netflix and Amazon Prime Video exemplify a balanced approach to genre allocation that leverages scale to cater to the preferences of diverse demographics.

Other SVOD players are pursuing more targeted spending strategies focused on key genres and intellectual property/IP to cultivate loyal subscriber bases.

Apple TV+ dedicates 40% of its budget to crime/thriller titles, building on past successes such as “Slow Horses and Severance.”

Disney+ has prioritized the sci-fi/fantasy as well as the children/family genres, anchored by TV spin-offs from the Star Wars, MCU and Pixar franchises.