Netflix To Boost APAC Content Investment By 15% In 2023 – Report

Netflix will splash the cash in the APAC region this year, boosting content investment by 15% as revenues grow by 12%, according to a report from Media Partners Asia (MPA).

The forecast content spend of $1.9B will comprise almost half of the streamer’s predicted $4B revenues in the region. Last year, content spend grew by 9%, the report said.

More spend in Japan and Korea will drive the boost, while India and Indonesia remain the highest-growing markets in APAC, according to MPA, which also cited the rollout of the advertising tier to Australia and “increased contributions” from Thailand and the Philippines as making a difference to revenues in 2023.

“The ad tier has seen a slow start in the three APAC markets and Australia is expected to see greater momentum through 2023, helping boost subscribers and revenues in a market where churn has been increasing,” said MPA Executive Director Vivek Couto.

“Japan will continue to grow as Netflix strives to make an impact with new scripted non-anime shows. Japan is critical to Netflix’s prospects in the region with the market contributing over a quarter to the company’s total APAC revenues in 2023.”

MPA Head of Content and Insights Dhivya T added that the rocketing content investment will have “global impact,” pointing out that Japanese anime, Korean drama and movies from Indonesia and India have ranked among the globally top streamed titles over the past year.

According to a recent Enders Analysis report, Netflix nearly doubled its number of Japanese shows last year from 60 to 109.

Meanwhile in Korea, a recent event in the nation saw Netflix unveil a 34-strong TV and film slate including six new movies, one of which, Kill Boksoon, premiered at the Berlin Film Festival.

The streamer’s most recent results for Q4 2022 showed better-than-expected 7.7M subscriber gains to reach 230.75M globally, but revenues only increased slightly, to $7.8B.