US consumption of video streaming giant Netflix will double in the next five years, new research predicts.
TDG says Netflix streaming use in the US will rise from 13 billion hours in 2013 to reach 26 billion hours in 2018.
But TDG also predicts that competition will cause Netflix domestic subscriptions and its total viewing to level out around 2020. It expects international growth to continue.
The report’s author, TDG senior analyst Bill Niemeyer, said: “Netflix is well out front in over-the-top (OTT) TV, with excellent strategy and execution, but will face increasing competition in the US from online enterprises including Amazon, Google, and Hulu, as well as the TV Everywhere efforts of television networks and multichannel operators.”
“Even with domestic growth expected to plateau in 2020, Netflix will remain a formidable US market force. Would-be competitors will need to do as Netflix has done: spend the considerable money it takes to acquire quality content, move forward with good strategy, and offer a high-quality consumer search/discovery and viewing experience.”