Netflix and Spotify pushing for £1 billion market in UK

Netflix and Spotify could be on the verge of hitting a billion pound market, according to market research group Mintel.

The video and music subscription markets are both popular in the UK, with Brits getting the pickings of BBC iPlayer, Amazon Prime Instant Video, NOW TV and Netflix for video and Spotify, Rdio, Deezer and Last.fm for music.

Netflix is way ahead when it comes to video subscription, compared to Instant Video and NOW TV, both below 20 per cent of the overall audience.

The original content pushed by Netflix seems to be a hit in the UK, including House of Cards, Orange is the New Black and AMC’s Better Call Saul. Amazon’s own Instant Video originals are having less success, and NOW TV less than both with its 13 Sky affiliated channels.

Numbers for Netflix put the internet service at 60 million subscribers worldwide, almost 40 million of them are based in the US, with an additional five million in China - a place where Netflix currently offers no support.

These services combined made £437 million in 2014, Mintel claims that by 2019 we will have a billion pound market on our hands. This will become even more prevalent if Apple launches its TV service in the UK, alongside other new services like PlayStation Vue and Sling TV also coming across the pond.

Netflix has committed to 200 countries by 2016, alongside a strong investment in future content like the second season of Marco Polo.

Spotify is not as close to 1 billion pounds, but it is still riding the UK wave with strong ambitions. The music streaming service recently caught a bit of flak for its opinions against musicians like Taylor Swift and Adele, who both dislike Spotify’s free service.

Even with the hatred from the stars, customers still love Spotify. The European-based company did not give exact figures, but it expected to have over 30 million subscribers by now.

Apple is launching two new services this year, an internet TV service and the re-launched Beats Music. This might be a pain in the rear for both Netflix and Spotify, the current favorites.