Netflix's Global Subs Share -31% In 2020, Amazon Also Down: Analysis

While Amazon still commands 20% of the U.S. market — and added an impressive 40 million subscriptions globally last year — its global share declined by 31%, from 29% to 20%, lamid mounting competition from streaming services launched by major entertainment companies.

That’s according to Ampere Analysis data provided to The Wrap.

The data also show Amazon Prime Video’s global market share declining from 23% to 16%.

That’s even with some 54 million U.S. Amazon Prime members in the U.S. actively using the Prime Video app.

Peacock and HBO Max, which launched nationally in the U.S. in July and May 2020, respectively, ended 2020 with global shares of 5% and 3%, according to Ampere.

Meanwhile, eMarketer’s first estimates of major streamers’ U.S. subscription revenue put Netflix’s share at 44.4% in 2019, 36.2% in 2020, 30.8% in 2021 and 28.4% in 2022.

“Netflix’s share of total OTT subscription revenues is declining, but that’s due to increased competition and a growing market, not to a decline in Netflix’s subscriber base,” notes eMarketer. “Netflix had a banner year in 2020 and continued to add subscribers in North America even though it has become saturated in that market.”

In fact, for 2021, Netflix’s U.S. subscription revenue is forecast to rise to $11.76 billion, from $10.64 billion in 2020.

The subscription estimates include revenue from regularly recurring fees for access to video services, including digital video and pay TV services, but exclude revenue from pay-per-view, as well as advertising.

eMarketer found Disney — including ESPN+, Hulu and Hulu + Live TV, as well as Disney+ — and YouTube commanding the next-largest shares of U.S. subscription revenue.

Disney’s share is projected to rise to 25.9% this year — up from 17.4% in 2019 and 24.9% in 2020 — and reach 27.1% in 2022.

YouTube’s is projected to reach 13.2% this year — up fro 7.7% and 10.9% in 2019 and 2020— and reach 14.2% in 2022.

eMarketer points out that, unlike Netflix, both Disney and YouTube operate vMVPDs (Hulu + Live TV and YouTube TV), which while relatively small in subscription numbers, are significantly more expensive than Netflix and most other SVODs.

Overall, the pandemic’s stay-at-home dynamics helped drive U.S. OTT subscription revenues up 41.2% in 2020.

This year, a 29.9% subscription revenue increase is projected for U.S. OTT overall, and a 3.6% increase, to $119.69 billion, is projected for U.S. video subscription revenue.

1 comment about "Netflix's Global Subs Share -31% In 2020, Amazon Also Down: Analysis".
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  1. Ed Papazian from Media Dynamics Inc, April 6, 2021 at 3:56 p.m.

    As the broadcast TV networks and cable channels learned long ago, that's what happens when many more sources of content become available. There's an increase in overall usage but not enough by a long shot to cover the effects of audience fragmentation. I assume that these percentages are based on share of subcsribers---but they look pretty close to what I'd expect if they were calculated on share of viewing time.

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