The premium video-on-demand (VOD) sector in Southeast Asia has shown impressive growth despite a slowdown. Revenues in the sector grew by 11% in the first half of this year, with the number of paid SVOD subscribers increasing by one million to 49 million.
This latest report from AMPD and Media Partners Asia includes data from Indonesia, Thailand, Malaysia, the Philippines and Singapore. The quarterly report shows a 4% increase in total audience, driven primarily by growth in the Philippines and Indonesia.
Platform performance and market share
The premium video market in the region is becoming increasingly lucrative. Subscription and advertising revenues grew 11% to $895 million. Indonesia remains the market leader, followed by the Philippines, Thailand and Malaysia, all of which have seen rapid subscriber growth.
Both Netflix and Viu recorded double-digit revenue growth in the first half of 2024. Netflix has a 50% viewership share in Malaysia, the Philippines, and Singapore, although it faces strong local competition in Indonesia and Thailand.
Netflix also leads with a 40% revenue share, including ad revenue, while Viu accounts for 10%.
On the other hand, Disney+ continues to grow revenue by focusing on higher ARPU customers, while China's WeTV maintains an 8% share of engagement.
In Indonesia, Vidio leads the category with 20% revenue share and 7% audience share, thanks to the popularity of local dramas and sports. In Thailand, True ID dominates premium VOD viewing with a 27% share, although it still lags behind Netflix in terms of revenue.
Content Trends and Future Opportunities
According to Vivek Couto, Executive Director of MPA, while price increases have slowed subscriber growth, there are significant opportunities to expand penetration beyond major cities in Indonesia, the Philippines, and Thailand. Premium content transitioning to online platforms accounted for 80% of premium VOD viewership in Southeast Asia during the first half of 2024, with Korean, Chinese, and U.S. content dominating, while local content remains effective in attracting subscribers.
