New data from Omdia reveals that approximately 25% of all paid Subscription Video on Demand (SVOD) subscriptions in Central and Eastern Europe (CEE) now originate from pay TV and telco bundles. This shift highlights the growing importance of strategic partnerships in the region’s streaming landscape.
According to Omdia’s research, indirect net additions—those through partnerships rather than direct-to-consumer channels—will dominate SVOD net additions in the CEE region from now until 2028. By that time, indirect subscribers through partnerships are projected to constitute 29% of the total SVOD subscription base.
Omdia’s analysis includes data from Russia, where some SVOD services were withdrawn following the invasion of Ukraine in 2022. This period saw a peak in subscriber additions during the COVID-19 pandemic, followed by some market volatility and subscriber churn. Noteworthy partnership deals implemented in 2022, such as HBO Max with Vodafone Hungary, Viaplay with Canal+ Polska, and Disney+ with Netia, have significantly influenced the market dynamics.
The increasing significance of bundling in the CEE region makes indirect subscriptions more prominent relative to the total than in North America, although still trailing behind Latin America, where bundling is crucial for SVOD.
“Partnerships between streaming services and telcos are a win-win for both parties,” said Maria Rua Aguete, Senior Research Director at Omdia, who revealed the data at the NEM conference in Dubrovnik. “For streaming services, it means tapping into a ready-made customer base, while telcos can enhance their value proposition and reduce churn by offering in-demand content as part of their service bundles. These partnerships not only increase subscriber growth but also enhance customer engagement.”
Adam Thomas, Senior Principal Analyst in Omdia’s TV & Video team, added: “Traditional pay TV subscriber growth in Eastern Europe was still strong until relatively recently. But with that now slowing down, telcos and pay TV operators are becoming more open to partnership deals with OTT services, to make their overall offering more attractive. Crucial however is that the terms of these deals are right for both parties to ensure they’re mutually beneficial.”
As the streaming landscape continues to evolve, Omdia anticipates that these strategic partnerships will become even more critical in driving subscriber growth and enhancing consumer experience.
