Amazon Prime catching Netflix as Paramount and Kayo climb quickly
The days of Netflix dominating the Australian streaming landscape are numbered with Amazon’s Prime Video fast approaching, while the likes of Paramount+ and Kayo are also enjoying a surge in subscribers.
According to Telsyte’s FY24 Subscription Entertainment Study, Netflix had 6.2 million subscribers at the end of June, increasing by a modest 2% from a year prior.
Prime Video climbed to 4.8 million subscribers, jumping by 7%, while Disney+ increased at the same pace as Netflix, up 2% to reach 3.1 million users.
Stan stayed flat on 2.6 million (Nine’s own yearly financials has the total at 2.3 million), while both Paramount+ and Kayo have surged – with Paramount reaching 1.8 million subscribers, an 18% leap in a year, and Kayo landing 1.6 million, up 14% – reaching Foxtel’s other streamer, Binge, also at 1.6 million after a 1% climb.
A further 3.7% Australians used other smaller streaming services such as Optus Sport and Britbox.
During the 12 month period, another 1.5 million people signed up to an ad-supported plan, up to 2.5 million from just 1 million a year prior.
Despite the rise in customers opting for cheaper ad-supported services, Australians spent $3.5 billion on streaming TV during the last financial year, a 15% leap driven by price hikes to the ad-free offering.
The average number of subscriptions per household remained at 3.4, however, the average amount spent by each household dropped to $36, a slight 2% drop that reflects the shift to ad-supported tiers.
“People are looking at their video entertainment and having greater scrutiny towards that, and that’s reflected, I guess, in the flat results from Netflix and Disney,” Telsyte managing director Foad Fadaghi said.
“I think we’re at the end of the cycle. The time of ‘all-you-can-eat content on a streaming video service through the internet’ is coming to an end.”
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Nathan Jolly is the Features Editor at Mumbrella. He joined the team in July, 2023.
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Perhaps it has to do with the price?
Netflix is now $25.99 a month (unless you want ads) Prime is only $16.99 – that’s a difference of $311.88 vs $203.88 – if you wanted to cut costs you would get rid of Netflix and take the cheaper Prime option saving yourself around $100 a year – every little but counts!
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Interesting Stan has its own Foxtel problem where it has been stuck at “close to 2.5m” subscribers for the last couple of years.
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