“Anime Growth in 2024”: Analysis of Netflix Earnings Surpassing Crunchyroll in the Expanding Anime Market

Over the past several years, the world of anime has witnessed a remarkable surge in popularity, transcending cultural and language barriers to captivate fans around the globe. This growing fascination has not only led to a substantial increase in anime content on various streaming platforms, but it has also resulted in significant revenue growth for the anime industry.

A recent study from Parrot Analytics, a firm specializing in audience demand analytics, highlights that anime generated an astonishing $19.8 billion in 2023 from streaming and merchandise sales. Alejandro Rojas, the Vice President of Applied Analytics at Parrot, notes the integral role of anime in the broader entertainment landscape, asserting, “Japan is at the heart of the global entertainment ecosystem, and anime is a clear testament to its creative power.”

As streaming platforms adapt to increasing viewer interest, many have placed a greater emphasis on anime content to attract diverse audiences. Notably, platforms like Netflix and Hulu have expanded their anime offerings, aiming to tap into the burgeoning global market. Following the pandemic in 2020, there has been an explosion in the North American audience, evident in the anime industry’s impressive revenue figures for 2023.

Record-Breaking Revenue for Anime in 2023

Major Releases Fuel a Thriving Year for Anime

According to Parrot Analytics, the anime industry saw a remarkable revenues of $19.8 billion in 2023, marking a record high. Of this total, $5.5 billion was generated through streaming platforms, while merchandise sales accounted for $14.3 billion. These figures illustrate a robust market eager for new content and highlight the profitability of incorporating anime into streaming services’ catalogs.

The unprecedented success can be attributed to a plethora of high-profile releases in 2023. Renowned titles like Demon Slayer, Jujutsu Kaisen, and Vinland Saga captured audience acclaim, while One Piece’s buzz from Luffy’s Gear 5 transformation added to the excitement. Additionally, the much-anticipated second season of Spy x Family retained strong momentum, especially with a film announcement boosting its popularity.

Newer series also played a pivotal role in generating buzz, with strong debuts from titles like Blue Lock and Hell’s Paradise: Jigokuraku. Although some established franchises like Dragon Ball took a backseat this year, the overall earnings still set new records. Looking ahead, 2024 promises an array of anticipated series, suggesting that this year’s revenue may very well be eclipsed.

North America’s Significant Contribution to Global Anime Revenue

North America and Asia Together Drive Most of Anime’s Revenue

The Parrot report further details which regions contributed most significantly to anime revenues in 2023, highlighting a close partnership between North America and Asia. Collectively, these markets generated $14.3 billion, with North America alone responsible for an impressive 41% of all streaming revenue. Platforms like Netflix and Hulu, alongside the steadily growing Crunchyroll, played an essential role in driving these impressive numbers.

Interestingly, North America’s merchandise sales almost matched those of Asia, generating $4.97 billion compared to Asia’s $5.46 billion. Together, these regions accounted for approximately 73% of global merchandise revenue. This trend can be attributed to the growing collaborations between Western brands and popular anime franchises, as well as the rise of anime-centric online retailers.

In total, anime represented 6% of the overall global streaming revenue in 2023—a notable feat given the competition against dominant American film and television sectors. Particularly impressive is North America’s achievement in surpassing Asia’s streaming revenue, especially since anime is rooted in its native landscape. With streaming services continually expanding their anime libraries, expectations for future growth remain high.

Netflix’s Ascendancy Over Crunchyroll in the Streaming Sphere

One notable finding from Parrot’s analysis shows that Netflix, a leading global streaming service, generated over $2 billion in anime revenue, overtaking Crunchyroll for the first time. This accounted for 38% of the total anime streaming revenue. An analysis posted on X illustrates Netflix’s dramatic lead, nearly doubling Crunchyroll’s revenue for the year. According to an earlier report, the strategic demographic targeting by platforms is crucial as they broaden their anime selections.

Interestingly, among major streaming platforms, only Crunchyroll and Hidive maintain a predominantly male audience. By integrating anime into their platforms, services such as Netflix, Hulu, and Prime Video aim to attract this demographic that they currently lack. Netflix’s foray into the anime realm is exemplified by popular exclusives like Dandadan and Ranma 1/2. Despite falling behind Netflix, Crunchyroll continues to hold a significant lead over third-placed Hulu.

The explosion of anime’s global popularity in recent years, illustrated by its record-breaking revenue in 2023, underscores the genre’s position as a staple of entertainment. With North America nearing parity with Asia in terms of revenue from anime streaming and merchandise, the ongoing enthusiasm from platforms like Netflix is set to further enhance these figures in the coming years. As 2024 unfolds with promising releases, it is likely that the anime industry’s financial success will continue to rise.

Source: Parrot Analytics

Source & Images