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Market revenue growth continued to accelerate in Q2 to reach 3%, but broadband growth worryingly dipped as the lockdown boost waned.
Differing pricing dynamics (among other factors) led to very different outcomes for the main players, with BT’s growth surging to 7% while VMO2’s revenue stayed in decline.
Underlying trends of weakening broadband growth, keener pricing and customer bargain seeking point to slower growth ahead … until the next price increase.
Revenue decline accelerated in Q2 as the cost-of-living crisis appears to be impacting UK sales, but profits remained strong thanks to last summer’s Continental sports rights reset
In Italy, DAZN will return on Sky’s platform just in time for the new Serie A football season, filling a key gap in its aggregation strategy
Looking forward, thanks to its enhanced profitability, Sky has the flexibility to respond to the economic downturn using pricing and content
Joseph said the changes were “fairly minor product updates designed to keep WhatsApp competitive”.
He added: “Mark Zuckerberg seems to be trying to return to the founder-led tech startup model of placing huge, bold bets on the future. The question now is, how easy is it to make those big bets work when you're not talking about a nimble startup, but a $500bn behemoth?”
Douglas said “These magazines are very strongly in that position because that is their heritage. It’s almost like the market has shaped themselves around the product they have been running for a long time."
Claire said “The streamer bubble is well and truly burst,” says Enders. “The Netflix share price drop has been the harbinger of all of these phenomena — the Wall Street people don’t believe in it anymore.”
She added that that there is no more room in the top tier, which comprises Netflix, Disney+ and Amazon Prime Video.
“They will keep open the possibility of launching in these other European markets. When they see that they build up a big audience on pay TV for ‘House of Dragons,’ for instance, and the other spinoffs, they’ll see that has perpetuated the value."
To be clear, these cuts are likely to be uneven. What the current rationalization of ad spending is making unequivocal is that not all direct response advertising is created equal. If anything, it’s driving a divide between higher and lower funnel direct response advertising, said Jamie MacEwan, media analyst at Enders Analysis.
Amidst the US macro downturn denting online sales, Amazon reported revenue growth of 7.2%, driven by AWS and advertising, but broad-based in nature
Inelastic demand for Prime has created opportunities to increase efficiency and monetisation, with cutbacks to fulfillment costs and increased subscription fees boosting Amazon's margins
Amazon's bottom-funnel search advertising growth has proved resilient, up 18% YoY, as growth eludes higher-funnel competitors—offering a strong indication that Amazon will largely buck the trend of advertising decline