The Future of European Broadcasters in the Streaming Era: Insights from Ampere Analysis

Netflix’s hit series ‘Lupin’ has been making waves in the streaming world, but a new report from research firm Ampere Analysis suggests that European commercial broadcasters need to step up their game to reclaim lost ground from streaming giants.

According to the forecast, subscription video-on-demand platforms are set to hit €10 billion in Europe’s major TV markets by 2024, surpassing the investment made by commercial broadcasters in original and acquired content. This comes at a time when consumer engagement with commercial broadcasters has declined by 16 percent since 2016, leading to a 19 percent decrease in content spending budgets.

However, the report also highlights an opportunity for broadcasters as streaming giants like Netflix, Disney, and Warner Bros. Discovery are scaling back their spending growth to ensure sustained profitability. This shift in strategy opens the door for commercial broadcasters to capitalize on the slowdown in spending by major streaming services.

Ampere Analysis emphasizes the importance of maintaining or increasing content investment levels for broadcasters to differentiate themselves in the industry. Bold commissioning decisions can drive engagement and advertising revenue, setting broadcasters apart from their streaming competitors.

In addition to content spending decisions, European broadcasters must prioritize the transition of audiences to streaming platforms to ensure their long-term relevance. This includes investing in streaming capabilities, expanding content libraries, enhancing digital advertising capabilities, and tailoring content output to cater to younger demographics.

Neil Anderson, senior analyst at Ampere Analysis, stresses the importance of long-term investment in both content and streaming capabilities for commercial broadcasters to maintain prominence in Europe’s competitive TV market. As streaming giants moderate their spending growth, the time is ripe for broadcasters to seize the opportunity and reclaim their position in the industry.