On-demand adds just 2.3% to pay TV revenues in 2012

A new report from Digital TV Research has found that in 2012, on-demand television generated just 2.3% of the $184 billion total for pay TV revenues.

However, the on-demand proportion is forecast to grow to 2.9% of the $203 billion total in 2018.

The US accounted for 37% of global on-demand TV revenues in 2012, but this is expected to fall to 30% by 2018 – despite its revenues climbing by 16%.

Revenues in Asia Pacific (up 113%), Eastern Europe (up 89%) and Latin America (up by 129%) are predicted to soar between 2012 and 2018 – with on-demand TV revenues in the Asia Pacific region more than doubling during that period to $1.5 million. The report predicts that on-demand TV revenues will increase from 16% to 24%.

Digital cable on-demand TV revenues are forecast to rise by 41 billion between the same time period to reach $2.77 billion, while internet protocol television (IPTV) on-demand TV revenues will almost double to $1 billion.

Satellite on-demand TV revenues are expected to grow by 22% over the next six years to reach $1.79 billion – almost $1 billion lower than digital cable.