Showmax surpasses Netflix, secures 40% market share in African streaming landscape.
In the African streaming landscape, Showmax overtakes Netflix and gains a 40% market share.
Omdia Research reports that Showmax has triumphed over Netflix, the world’s largest streaming service, in the heated competition for supremacy in Africa’s growing streaming market, taking a commanding 40% of the market.
With Showmax firmly positioned as the go-to option for viewers throughout the continent, this move heralds a dramatic change in the dynamics of the African streaming market.
Showmax’s success is the product of calculated efforts and financial commitments rather than a lucky break. However over the previous four years, premium subscribers have increased by an astounding 26% year over year, according to CEO Marc Jury, demonstrating the platform’s expanding appeal.
With a strategic investment of $1 billion in content production and acquisition, Showmax has demonstrated its dedication to the African market by enhancing its local content offerings.
After joining the African market in 2016, Netflix is currently facing more competition from regional and international firms. However the streaming behemoth’s market share has dropped to 35%, which is indicative of the difficulties it has keeping its user base in the face of shifting consumer tastes and fierce competition.
With an anticipated 10.4% annual increase, the African streaming industry is quickly becoming a battleground for different platforms hoping to take a piece of Netflix’s flagging subscriber growth. Low salaries, erratic internet connectivity, and expensive bandwidth have all made it difficult for Africa’s streaming business to grow quickly.
However Netflix is aware of the opportunity for expansion in the area despite these obstacles. 73.3% of Netflix’s customer base is in South Africa, which is still the company’s largest market. This six-year, $175 million strategy has shown promise, with price reduction initiatives leading to a 6.8% increase in subscribers in certain markets. The streaming giant has adopted a dual strategy, licensing local content like Nigeria’s “Black Book” and producing original content like “The Origin: Madam Koi-Koi.”
Moreover netflix’s adaptable techniques and Showmax’s rise highlight the dynamic character of the African streaming market as the wars for subscribers rage on.