Specialty Streamers Are Building Momentum by Tapping Niche Interests and Superserving Fandoms

Smaller streaming services are making waves by focusing on niche interests and catering to specific fandoms, rather than trying to compete with the big players like Netflix and Disney+. Companies such as Crunchyroll, MGM+, BritBox, Wonder Project, Howdy, and AMC+ are all carving out their own space in the streaming market. These specialty streamers typically have smaller subscriber counts compared to the major players, but their growth has been impressive.

In the second quarter of 2023, total specialty SVOD subscriptions grew by 14% year over year to 42 million across 31 services, more than double the 6% growth in premium SVOD subscriptions.

Roku, Amazon, and YouTube have all played significant roles in helping these smaller streaming services reach new subscribers. Prime Video Channels, for example, have accounted for 67% of the specialty SVOD market's sign-ups, thanks in part to partnerships with services like Crunchyroll, MGM+, BritBox, and PBS Masterpiece. Roku's channel distribution model has also grown in popularity, with its share of sign-ups nearly doubling to 13% over the last two years.

Despite their rapid growth, specialty streamers still face challenges, including consumer fatigue, media consolidation, and Wall Street's demands for profitability. However, the ability to partner with larger platforms like Amazon, Roku, and YouTube has proven to be a lifeline for many of these services. As more third-party distribution partnerships are formed, the future looks bright for specialty streaming services, especially those with a strong mix of programming tailored to specific niche interests.