Oh the times they are a changing, and if you thought News Corp was a dinosaur in a modern media world you’d be wrong. Company results show some pretty impressive numbers from a subscription TV perspective in Australia.
The bad news is the number of “Traditional” Foxtel subscribers is down. Years ago the touted number was 2.7 or 2.8 million Foxtel customers.
Today it’s more like 2.3 or 2.4 million – and with an Average Revenue Per User at almost $80 ($78) you can see that a loss of 100,000 customers is a loss of almost $8,000,000 per month.
What is on the way up are subscribers to there “OTT” or “Over the Top” services which are internet based subscription services like Foxtel Now and the recently launched Kayo Sports streaming services.
Monthly revenue there will be low, Kayo is a $25 proposition, while some Foxtel Now subscribers might be at $50, it’s more likely their average is under $50 – but that’s a guess.
What’s staggering is the growth of Kayo.
Foxtel Now has 460,000 users, and it’s been going a little while now. In less than a year, Kayo Sports has signed up 382,000 with 331,000 of them paying every month (the rest are in their free trial period).
And the company isn’t backwards in coming forwards either. Unlike other streaming services they’re throwing data out to prove their success – and it’s impressive.
The Cricket World Cup in June helped push average viewing time to approximately 8.5 hours a week! 8 Million hours of cricket content was streamed during the six-week World Cup.
Most watched of all the World Cup was the final with 220,000 users tuning in.
AFL fans watch for 3.5 hours a week – with 100,000 users tuning into regular season games, the NRL has the same average time viewing with a lower figure of 70,000 regular season match viewers.
F1 Fans know where to get it, with 75,000 tuning in for the German Grand Prix, while the NBA Finals showed the international sports desire of Aussies with 113,000 viewers for Game 6.
To release these figures is a sign of confidence – and the growth each quarter is impressive.
Kayo is certainly doing something right! Well done to Julian and the team – keep on rocking it!