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Subscription VOD platforms in Southeast Asia: International Company Profiles

We’ve experienced the rise of VOD platforms in Southeast Asia. Media Connex analyses the viability of VOD platforms, as well as their potential for content distribution.


According to a study by eMarketer.com, digital subscription services are gaining popularity in the United States. A study conducted in April 2015 shows that subscription-based streaming services are the most common platforms on which digital movies and TV shows may be viewed; this information was collected from US digital video viewers from 2013 to 2015.

Amongst these providers, Netflix, Amazon Prime and Hulu are the strongest ones in the US. Research shows that these service providers have all increased their subscriber bases from 2013 to 2015. The respondents who used Netflix, Amazon Prime and Hulu have increased by 15, 14 and 6 percentage points respectively.

Market Trends

The commercial success of these service providers may be caused by an international demand for the paid-subscription model. More internet connections possess the minimum speed recommended for streaming high definition content, the number of internet households has increased across multiple countries, and consumers have embraced the Paid-subscription model.

In order to capitalise on these trends, media companies, multichannel video programming distributors (MVPDs) have implemented strategies to bolster their paid-subscription campaigns. In order to attract potential subscribers, MVPDs implemented tiered pricing strategies, created quality original content, and intend to distribute new media releases. In addition, they take advantage of increasing broadband rates by providing 4G services.

Although these favourable market conditions have allowed MVPDs to establish digital subscription platforms, there are various challenges that they must overcome. Before expanding into selected territories, they must overcome high barriers-to-entry into selected territories, high media piracy rates, and a maelstrom of other obstacles.

“Subscription VOD platforms in Southeast Asia: International Company Profiles” is a series of articles that explores the establishment and expansion of international digital service providers. With reference to Netflix, Amazon Prime and Hulu, these articles will document expansion strategies that have already been implemented by digital service providers, as well as the benefits and challenges of their expansion into South-East Asia.

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Tiffany Lim has assisted local and international partners with their writing, design and marketing initiatives. ​ Tiffany has created original manuscripts and graphics for the Marshall Cavendish-published series, The April Fool's Apprentice. She was an assistant producer and lead writer for Secrets of the Swamp (2016), a Mediacorp-broadcasted telemovie, and has assisted the organising committee of the Southeast Asian Film Financing Forum (2015). Her extended resume may be found on her website - www.story-sight-studio.com

tiffany@mediaconnex.asia

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