Netflix was the top SVOD app by revenue in 2017
Netflix (NFLX) was the top non-game app in terms of revenues in 2017, according to research firm Sensor Tower. Revenues from the top ten subscription video-on-demand (or SVOD) apps like Netflix, surged by 77.0% in 2017. The total figure in 2017 was ~$781.0 million across the App Store and Google Play.
This growth peaked in 4Q17, during which the revenues generated by the top ten SVOD apps rose a whopping 88.0% year-over-year (or YoY), highlighting the burgeoning cord-cutting trend. Netflix was followed by Google’s (GOOG) YouTube, Time Warner’s (TWX) HBO Now, and Hulu in the top four SVOD apps by revenue for 2017.
Top SVOD apps saw tremendous growth in 2017
According to Sensor Tower, Netflix’s (NFLX) app generated revenues of $290.0 million in 2017, growing 113.0% year-over-year. YouTube’s revenues from its SVOD app grew 154.0% YoY. The HBO Now app made $67.3 million in 3Q17, primarily due to the popularity of Game of Thrones. However, the app made only $53.2 million in 4Q17.
Revenue growth in SVOD apps is much higher than that of other apps. The top ten SVOD apps by revenue saw revenues grow 77.0% in 2017. Total US consumer spending on the App Store and Google Play increased only 30.0% in 2017 to nearly $14.4 billion.