The number of subscribers of ivi online cinema has doubled and reached 2.2 million people
According to IFRS, at the end of 2019, the revenue of ivi online cinema grew by 55% and amounted to 6.1 billion rubles VAT excluded. The average monthly audience of the service has grown by 14% and exceeded 50 million unique users. The total viewing time for 2019 amounted to 1 billion hours, 400 million hours thereof account for a paying audience.
The number of average monthly subscribers of the service doubled and amounted to 2.2 million users in December 2019.
In 2019, the paid model revenue grew by 68%, amounting to 4.6 billion rubles VAT excluded, which accounts for 76% of the service’s total revenue in 2019 (70% in 2018).
Key revenue growth drivers for a paid model include:
- Further development of user experience
- The growing popularity that results in continued growth in smart TVs and smartphones sales
- The growing number of subscribers for Android devices and the service’s web version.
- Exclusive content available only on ivi, including the content created with ivi’s participation
- Increasing user loyalty to legal OTT VOD services
- Anti-Piracy Initiatives
Gross revenue from the advertising model (i.e., advertisers’ budgets for advertising on ivi) grew by 27% and amounted to 2 billion rubles VAT excluded. Inventory monetization on Smart TV platforms remains the fastest-growing revenue segment of the advertising model.
An important driver for the entire online cinema business is the content offer: exclusive digital premieres, in-house production, deals with television channels, and the development of catch-up and catch-forward models (displaying content before or immediately after broadcasting).
In May 2019, ivi launched the ivi Originals Division, which focuses on creating and promoting in-house content. One of the first steps by ivi Originals included a strategic deal with one of the leading content producer Carbon Production that resulted in ivi’s acquiring a minority stake in the studio. Content production has already been launched.
Currently, the ivi catalog includes over 85 thousand pieces of content. In 2019, strategic deals were made with major international studios – Fox, Viacom, Warner Bros, which allowed to significantly replenish the subscription catalog (both exclusive and library one) with world hits and premieres.
In 2019, projects created with ivi’s participation, such as Comedian, Sober Driver, Robo, Dear Dad, had their premieres and subsequently became available for viewing by subscription.