South Korean OTT service provider Watcha has achieved a significant financial milestone by reaching its break-even point in the third quarter of 2024, following explosive growth in its transactional video-on-demand and webtoon sales.
Watcha, the South Korean content recommendation and over-the-top (OTT) service provider, has reported a significant milestone by reaching its break-even point in the third quarter of 2024. This marks a noteworthy achievement in the company’s financial journey, having earlier secured monthly break-even status in June of the same year. With a strategic focus on profitability, Watcha has introduced innovative business models that have contributed to this financial success.
The company’s initiatives to offer transactional video-on-demand (TVOD) and pay-per-view (PPV) webtoons have seen remarkable growth. TVOD sales surged by 302%, and PPV webtoon sales increased by an extraordinary 1522% compared to the third quarter of the previous year. These offerings allow users to purchase individual video content and access an expanded library of webtoons, which has grown by 300% in terms of available works.
Watcha’s success is also attributed to its efforts in enhancing marketing and operational efficiency. The company has concentrated its resources on fostering customer engagement through budget-conscious marketing strategies and diverse customer events. September witnessed the introduction of “Shatcha,” a short drama platform featuring a diverse array of content from multiple countries, including Korea, China, the USA, and Japan. This expansion aims to further reinforce Watcha’s content lineup.
Since venturing into overseas markets as South Korea’s first domestic OTT service in 2018, Watcha has been steadily building its global presence. The company continues to broaden its reach by expanding its Korean content offerings for international audiences. This strategic expansion underscores Watcha’s commitment to growing its footprint on a global scale.
A representative from Watcha commented on the company’s financial turnaround, stating, “Despite the intensifying competition in the content market and the limitations of capital operation, our operating profit has turned positive.” The representative further emphasized Watcha’s dedication to seeking new growth engines to solidify its status as a sustainable entity within the content industry.
Watcha’s origin dates back to 2010 as a content recommendation platform, subsequently transitioning to offering OTT services in 2016. Its evolution has been supported by an extensive repository of over 720 million content evaluation data points. Last year, the company achieved its highest annual revenue, amassing 73.4 billion won, demonstrating its resilient growth trajectory.
Source: Noah Wire Services
- https://www.thepickool.com/watcha-reports-first-quarterly-break-even-tvod-revenue-up-302/ – Corroborates Watcha’s achievement of its first quarterly break-even and the significant growth in TVOD and PPV webtoon sales.
- https://en.topdaily.kr/articles/3191 – Supports the information about Watcha reaching its break-even point for the first time in a quarter and the growth in webtoon sales.
- https://www.thepickool.com/watcha-reports-first-quarterly-break-even-tvod-revenue-up-302/ – Provides details on the introduction of ‘Shatcha,’ a short drama platform, and its impact on Watcha’s content lineup.
- https://en.topdaily.kr/articles/3191 – Confirms Watcha’s strategic focus on profitability and the introduction of new business models.
- https://www.thepickool.com/watcha-reports-first-quarterly-break-even-tvod-revenue-up-302/ – Highlights the growth in TVOD sales and PPV webtoon sales, as well as the expansion of the webtoon library.
- https://en.topdaily.kr/articles/3191 – Supports the information about Watcha’s efforts in enhancing marketing and operational efficiency.
- https://www.thepickool.com/watcha-reports-first-quarterly-break-even-tvod-revenue-up-302/ – Details Watcha’s expansion into overseas markets and its commitment to growing its global presence.
- https://en.topdaily.kr/articles/3191 – Quotes a representative from Watcha on the company’s financial turnaround and its dedication to seeking new growth engines.
- https://www.thepickool.com/watcha-reports-first-quarterly-break-even-tvod-revenue-up-302/ – Provides background information on Watcha’s origin and its evolution from a content recommendation platform to an OTT service provider.
- https://en.topdaily.kr/articles/3191 – Supports the information about Watcha achieving its highest annual revenue last year and its resilient growth trajectory.
Register for Editor’s picks
Stay ahead of the curve with our Editor's picks newsletter – your weekly insight into the trends, challenges, and innovations driving the future of digital media.
