Nordic SVOD penetration ‘outperforming’ other markets

SVOD has grown its share of overall subscription video expenditure in the Nordic markets over the past year, with SVOD penetration outperforming other advanced markets, according to a report by Kagan.

The analyst firm found that SVOD increased its share of the overall pay video market from 18% in 2016 to 22% last year.

According to Kagan, SVOD penetration rates in the Nordic markets among fixed broadband homes exceed 75%, with 76% penetration in Sweden, 77% in Norway and 86% in Denmark.

In Finland, where fixed broadband penetration has declined in favour of mobile, the penetration rate among fixed broadband homes is 89%. The comparable figure for the UK market is 56%.

Netflix, HBO and Modern Times Group’s Viaplay are the key SVOD services with a presence in all Nordic markets.

According to Kagan, Among the leaders, Netflix remains the market leader with a 58% share across the Nordics, followed by Viaplay with 24% and HBO Nordic with 18%. In Sweden, Viaplay also faces competition from Bonnier Broadcasting’s C More, which also launched in Finland early last year.

Kagan estimates that Netflix had 4.2 million subscribers at the end of last year, up 23%. Viaplay, which offers transactional as well as subscription VOD, had about 1.7 million, up 19%, with HBO Nordic having 1.3 million, up 24%.