Apple TV+ leads subs growth in Q4, but planned cancellations rising

Source: AdobeStock

Apple TV+ emerged as the surprise winner in terms of rate of SVOD growth in the fourth quarter, according to Kantar’s latest Entertainment on Demand (EoD) data, with VOD penetration growing but planned cancellations also increasing.

According to the report, VOD household penetration increased across all markets covered in Q4’23 compared to the previous quarter, with on average a 1.8% increase. However, planned cancellations in Q4 vs Q3 also increased across all major SVoD providers.

While AppleTV+ was the clear winner in the share of new subscribers in the quarter, Netflix continues to grow its subscriber base in nearly all markets.

Kantar said AppleTV+ success resulted from a combination of free trials and the success of British shows Slow Horses and Ted Lasso to attract new viewers.

Kantar’s data also showed that 48% of new Netflix subscribers opted for its ad-tier in Q4.

While Apple TV+ grew fastest among SVOD providers, Amazon Prime Video took the number one spot for share of new paid VOD subscriptions.

All all major SVoD providers meanwhile noted a higher planned cancellation rate in Q4 than in Q3.

Netflix saw subscriber growth in all markets tracked by Kantar EoD, except for the UK, where it was marginally down quarter on quarter.

AppleTV+ on the other hand performed strongly in the UK, taking number one spot for new paid subscription share, and was in the top five across share of new SVoD subscribers in all other markets, except Germany.

Some 36% of all new Apple TV+ sign-ups cited the availability of free trials as a driving factor. According to Kantar, 23% of current subscribers now rank AppleTV+ as their primary SVOD service, an increase from 20% in Q3’23.

However, 13% of current Apple TV+ subscribers plan to cancel in the next quarter.

Kantar also found that FAST is now present in over a third of households, led by services like Samsung TV Plus, Pluto TV, and Freevee.