During its Capital Market Day held both onsite in Stockholm and online November 9, the fast-expanding streamer has reaffirmed its five-year plan until 2025, outlined its expectations for 2023 and announced changes to its executive management team and operational model to better serve its on-going expanding global footprint.

Summarising Viaplay’s journey so far, CEO Anders Jensen first restated the Nordic group's decision to expand internationally in 2020 to build more value, create synergies and content leverage among others. “We need critical mass to be big and make an impact”, noted Jensen. The group’s uphill trajectory went from four direct to consumers (D2C) territories and three million paying subscribers in 2020, to 11 D2C markets and anticipated subs of 7.3 million by the end of 2022. “An increase in content, sports, tech investments is what took us there,” stressed the CEO.

Following the recent D2C launch in the UK, Viaplay will next roll out in the US in February and Canada in March 2023.

In territories where Viaplay doesn’t currently have a D2C basis, B2B partnerships are still allowing the group to “monetise its content and build its brands”, as explained by Jensen.

A recent deal signed with the European streaming operator Pickbox NOW has opened up seven new territories (Bosnia and Herzegovina, Bulgaria, Croatia, Montenegro, North Macedonia, Serbia and Slovenia) for the Viaplay Select curated brand, which offers Viaplay Originals as well as third-party content. Thanks to this latest pact, Viaplay Selects will now be available in 18 markets across Europe, Asia, Australia and Latin America.

Looking ahead, Jensen underlined his group is fully-funded to continue its global expansion and its international operations are performing “ahead of plan”, although the Baltic region is being challenged by war in Ukraine and the weaker macro-economic environment. Regarding the Nordics, Viaplay is facing “short-term challenges”, referring notably to the loss of Telia’s customer base following a dispute with the Swedish telco.

The group’s prospects for 2023 look very positive, with organic sales for the entire group set to grow by 24-26%, and by 12-15% for the Nordics, while paying customers should reach 9 million (up 23% from 2022), of which 5 million will come from the Nordics.

In terms of earnings, the group anticipates operating income (EBIT) for the Nordic operations to reach SEK 1.2-1.35 million, against a loss estimated at SEK 1.0-1.1 billion for the international. Cost-savings and investment deferral programmes will be implemented to offset the currency headwinds due to the inflation of content acquisition costs in US dollars, and the impact of the weaker macro-economic environment.

Decentralisation
To increase its local focus, Viaplay has also made changes to its leadership team and split its commercials operations into four regions.

As a result, Stockholm-based Kim Poder has been appointed EVP and Chief Commercial Officer for the Group’s Nordic operations, Alexander Bastin will be moving to Amsterdam to supervise the Baltic, Polish and Dutch operations, as EVP and Chief Commercial Officer for those markets; Matthew Hooper is named EVP and Chief Commercial Officer for the UK operations, and Vanda Rapti EVP and Chief Commercial Officer for North America and Viaplay Select. Both Hopper and Rapti will be working from Viaplay London offices.

Content King
Regarding content, Filippa Wallestam, EVP Chief Content Officer emphasised that acquired content is stronger than ever, thanks to B2B partnerships, notably with Sony and Nordisk Film, and new film buys increased from 115 titles in 2021 to 200 in 2022.

“Our strong focus on local content is a strategic advantage when global players are pulling back, noted Wallestam, referring to HBO Max’s decision to end its commissioning of original Nordic content.

In terms of Originals - the heart of Viaplay offerings, as stressed by Wallestam, as many as 70 titles will premiere in 2022.

For 2023, Viaplay will continue to raise the bar in four areas:

• the commissioning of big Nordic stories for the global market, such as the recently launched Lasse Hallström’s biopic feature Hilma. The next big Nordic series will be Filmlance’s family epic Ronja the Robber’s Daughter based on Astrid Lindgren’s classic, written by Hans Rosenfeldt.
  
• International series, such as the upcoming environmental thriller The Swarm from Game of Thrones’ exec producer Frank Doelger, co-produced with Italy’s RAI Fiction, France Télévisions, Germany’s Intaglio Films and ndF International Production.
  
• Sports documentaries, such as Taming Speed (December 8 premiere) in which Norwegian former World Cup alpine ski racer Aksel Lund Svindal, transfers his speed skills to motor racing.
• Local productions, with sustained investments in the Nordics and increased focus on Dutch and Polish content.