Report: Netflix Driving Latin America SVOD Growth

On July 11, 2011 Netflix announced plans to expand service into South America spearheaded by Brazil. The SVOD pioneer at the time had 23 million subscribers in the United States and Canada – the latter Netflix’s first foreign expansion.

Leapfrog to the present and Latin America is forecast to reach more than 51 million SVOD subs by 2024 – about double the 27.1 million recorded at the end of 2018, according to new data from Digital TV Research.

The top six regional platforms – driven by Netflix – will account for 85% of the region’s paying SVOD subscribers by end-2024.

Netflix is projected to reach 26.3 million paying subscribers in 2024 – or about 50% of the region’s total – but down from 66% market share at the end of last year.

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Simon Murray, principal Analyst at Digital TV Research, said Netflix’s declining market share in Latin America is due to the rise in ad-supported VOD and subsidized SVOD platforms in the region.

“Several mobile and pay TV operators provide free and limited SVOD platforms to their top paying subscribers. This stifles pay SVOD take-up,” Murray said in a statement.

SVOD subscription revenue will drive overall over-the-top video revenue across 19 countries with $6 billion of the projected $8.25 billion in revenue through 2024. The latter up 147% from revenue of $3.33 billion in 2018.

Brazil will remain the SVOD revenue leader by 2024 – supplying 40% of the regional total. Mexico will provide another 24%. Combined, Brazil and Mexico will account for 66% of the region’s SVOD revenue by 2024.

 

Roku Resumes Selling Streaming Media Devices in Mexico

Roku Oct. 16 announced it would resume sales of streaming media devices in Mexico. This follows a favorable ruling from the 11th Collegiate Court in Mexico City.

“Today’s decision is an important victory for Roku and its Mexican distributor, Latamel Distribuidora, and Mexican retailers in the legal battle against an improper ban on sales of its popular streaming players in Mexico,” Stephen Kay, general counsel at Roku, said in a statement. “We are pleased with the Collegiate Court’s decision and look forward to continuing to build Roku’s TV streaming business in Mexico.”

Roku had been banned for sale in Mexico since the summer of 2017.

At issue were allegations by Cablevision claiming third-party hackers had created apps on Roku to pirate their content. The Fourteenth District Judge in Civil Matters in Mexico City agreed last summer, invoking a country-wide ban that Roku twice failed to overturn on appeal.

Roku CMO Matthew Anderson said customers in Mexico, despite the sales ban, continued to stream increased hours of video content.

“We look forward to launching the latest Roku devices in Mexico soon and giving customers an even richer streaming experience,” said Anderson

Netflix Launching First Mexican Reality TV Series

Netflix may not be interested in sports programming, but reality TV is fair game for the SVOD pioneer.

The world’s largest subscription streaming service announced that its first-ever Mexican reality series, “Made in Mexico,” featuring Mexico City’s wealthy socialites and their opulent lifestyles, is set to debut globally on Sept. 28.

Netflix launched service in Mexico in 2011, and currently has more than 6 million subs in the country – with household penetration above 70%. Netflix is projected to generate approximately $295 million with its Mexican streaming segment in 2020.

Made in Mexico follows the lives of nine well-to-do socialites in Spanish (with English subtitles), revealing the flawed lives of the seemingly perfect elite. They are passionate, unapologetically real, fashionable and sophisticated, and know how to set trends in one of the world’s most culturally vibrant cities, where family name is your bond and legacy is everything.

Cast members include Pepe Díaz, a 35-year-old successful businessman and nightclub impresario who wants to shed his playboy past and settle down into a new life.

Kitzia Mitre, born and raised into Mexico’s high society, is a fashion designer who splits her time between the city and her family’s sprawling ranch. When she’s not chasing after her toddler son, Kitzia sits atop her social circle, keeping a tight rein on who gains access while acting as the de facto arbiter of taste and style.

Carlos Girón Longoria is at the center of his social scene and is the connector between everyone in the “Made in Mexico” cast. Estranged from his father, Carlos keeps his focus on his fast-paced life as a TV host, actor and model when he is not refereeing the drama of his high-society friends.

Liz Woodburn is a cultured, well-traveled American food blogger who is recently engaged and finds that she must re-climb the social ladder as she adjusts to her new home after leaving New York City to live with her fiancé.

Columba Díaz is a high-fashion model who is the life of the party. The highly sought after bachelorette discovers herself in the middle of a love triangle, but wants nothing more than to focus on her career and philanthropy work.

Chantal Trujillo is an American expat who left a job at Vogue to follow the love of her life to Mexico. In short time, Chantal has made a name for herself as a lifestyle blogger running in Mexico City’s it-crowd. But the young fashionista must decide whether she made the right move coming to the city and if the prospect of a marriage proposal is really in her future.

Shanik Aspe is a TV personality and former swimsuit model who has dreams of being a pop star. While she enjoys the lavish life of TV celebrity, she has to figure out if she wants to give it all up for one last chance to become a singer or settle down to raise a family.

Roby Checa is a brother-in-law to Kitzia and the bad boy of the Checa clan. He is loud, proud and the ultimate showman who is always ready to entertain. The 31-year-old is balancing his desire to party with a need to find success in his business partnerships and prove to his family that he can make it on his own.

Hanna Jaff is 30-year-old politician and philanthropist who runs the Jaff Foundation. Hanna passionately pursues causes that are important to her, but sometimes finds her ambition leads to friction within her social circles.

 

 

 

Netflix Partners with Salma Hayek’s Production Company on Mexican Series

Netflix’s latest original series from Mexico will be produced by Salma Hayek’s company Ventanarosa, Lemon Studios and Stearns Castle.

The series, “Monarca,” will begin production this fall and will launch globally in 2019. It stars Irene Azuela and Juan Manuel Bernal and will follow the world of wealthy Mexican elites riddled by corruption, scandal and violence.

“I’m extremely excited to partner with Netflix, and to be working with amazing Mexican talent in front of and behind the camera,” said Hayek in a statement. “We are proud to show Mexico as a vibrant, sophisticated and culturally rich nation, fighting to control its own destiny.”

“Mexico is a top priority for us in which to continue to develop series, and we look forward to bringing the best originals to the world through partnerships with key players such as Ventanarosa and Lemon Studios,” said Netflix’s Erik Barmack in a statement.

Hayek’s Ventanarosa Productions has produced such films and TV shows as Frida, which earned Hayek an Academy Award nomination, and “Ugly Betty.”

Mexico vs. Sweden World Cup Soccer Generates Telemundo’s Highest Non-Super Bowl Digital Audience

With the United States and Canada not playing in the ongoing 2018 soccer World Cup in Russia, Mexico represents North America’s biggest draw.

The El Tri didn’t disappoint (except for losing 3-0), with the June 27 streaming presentation Mexico vs. Sweden in group play generating a record 1 million concurrent live streams on digital devices across TelemundoDeportes.com, the Telemundo Deportes En Vivo app, and the NBC Sports app.

Despite the loss, Mexico (and Sweden) advances to the elimination round following defending champion Germany’s 2-0 loss to South Korea.

The digital tally was the most for any event in NBC Sports Digital history, excluding Super Bowls, and the only event other than the Super Bowl to hit the 1 million mark.

Fox Sports has exclusive U.S. broadcast rights to Russia 2018. Telemundo is owned by Comcast, which is attempting to acquire 20thCentury Fox Film.

In addition, the 1.02 million concurrent livestreams topped by 53% the prior non-Super Bowl mark – 665,000 for the Mexico-South Korea match on June 23.

On June 26, the World Cup reached 3.2 million unique digital users and generated 106 million minutes viewed. To date, the quadrennial tournament has reached 9.3 million total unique users and generated 89.1 million livestreams and 1.35 billion total minutes viewed, averaging 2.0 million livestreams per match.

Notably, Argentina’s last-minute win over Nigeria, which advanced the Lionel Messi-led squad to the second round, delivered an average of 2.85 million streaming viewers – ranking as Telemundo Deportes’ most-watched weekday match through June 26.

Telemundo delivered its best-ever June 26 daytime (7 a.m.-5 p.m. ET), averaging 1.58 million digital viewers for its World Cup coverage – topping the prior record set June 20 by 41% (1.12 million).

 

Acorn TV Streaming in Mexico — via Banned Roku Devices?

NEWS ANALYSIS — Acorn TV, RLJ Entertainment’s streaming service for British and international television content, June 5 announced its availability in Mexico.

Consumers can subscribe to the service via the Roku streaming player or Roku TV. Content will be in English with Spanish subtitles. The streaming service is available for MXN $89 per month.

“Launching [in Mexico] with … Roku reflects our priority of accelerating the expansion of our distribution footprint,” Miguel Penella, CEO of RLJ Entertainment, said in a statement.

Except that Roku players have been banned for sale in Mexico since the summer of 2017.

At issue are allegations by Cablevision claiming third-party hackers have created apps on Roku to pirate their content. The Fourteenth District Judge in Civil Matters in Mexico City agreed last summer, invoking a country-wide ban that Roku has twice failed to overturn on appeal — most-recently in March.

Mario Antonio Gonzalez Martinez, a lawyer representing Roku, claims the ban unfairly targets the streaming media device pioneer while doing little to curb piracy.

“This blocking will directly affect Mexican consumers who want to buy a Roku device to see great content, legal, on their television, at affordable prices,” Gonzalez Martinez said in a statement to CordCutterNews.com.

“It is necessary for Roku to make adjustments to its software, as other online content distribution platforms do, so that violations of copyrighted content do not take place,” Cablevision said in a statement.

Roku said it eliminates apps suspected of pirating content. Walmart, Best Buy and Office Depot have joined Roku in lobby efforts to overturn the ban. Roku, together with Netflix, helped create the SVOD business model with a branded Netflix device in 2008.

“Roku is not the cause, nor the source of piracy that is carried out by third parties illegally in Mexico,” said Gonzalez Martinez.