Media streamer market shows pockets of growth despite overall decline

The media streamer market continues to face some serious challenges, as the combination of a weak economic climate and the growing ownership of smart TVs continues to exert downward pressure on sales. However, despite the decline, a new report from Futuresource Consulting identifies several areas of opportunity.

“Times are tough in the media streamer market,” says Rajni Srirangam, Associate Consultant, Futuresource Consulting. “Pay TV operators are investing in app-based content, which has provided some demand for media streamers, but this is not producing sufficient volume to create a positive sales curve. In 2023, we expect a market contraction of a little over 4% in shipments, though the volume CAGR out to 2027 will be slightly less negative.”

USA still leads the way, AsiaPac presents opportunities

According to the report, the USA remains the leading market for media streamer ownership, followed by the UK, Germany and Italy. Sales in all these markets are expected to decline across the forecast period, due to limited new adoption, as well as falling replacement purchases.

Opportunity still lies within the emerging markets of Asia Pacific, particularly India, which is anticipated to register a CAGR growth of 1.3% between 2023 and 2027. Yet the household penetration of media streamers in India and other emerging markets will remain relatively low, due to the gradual uptake of smart TVs.

Competition still hotting up and adding to price erosion

Futuresource notes that fierce competition in the market continues, causing average selling prices to fall even further than they would from the threat of smart TV ownership alone.

“Although prices are falling, we anticipate further features to be embedded in media streamers, to add value and differentiate between products,” says Rajni. “New product launches are also impacting pricing, with Apple’s 2022 launch of a low-cost version of its Apple TV 4K at $129, which was $50 less than its previous version. Google also unveiled Chromecast with Google TV at $29.99, which was $5 lower than the previous model. Bucking this trend, Amazon has been the only vendor to increase the price of its upgraded media streamer.”

For more information on Futuresource Consulting’s new global media streamer market outlook report, or to make a purchase, please contact leon.morris@futuresource-hq.com.