Four big questions re: Roku
1) How many accounts does Roku have?
2) How does Roku make money?
3) How much money does Roku make from each subscriber?
4) How much time do Roku accounts spend streaming?
Big question #1: How many accounts does Roku have?
Roku active accounts (YoY growth):
1) 2016 – 13.4M
2) 2017 – 19.3M (↑ 44%)
3) 2018 – 27.1M (↑ 40%)
4) 2019 – 36.9M (↑ 36%)
5) 2020 – 51.2M (↑ 39%)
6) 2021 – 60.1M (↑ 17%)
7) 2022 – 70.0M (↑ 16%)
Big question #2: How does Roku make money?
Roku advertising revenue (YoY growth):
1) 2018 – $389M (↑ 78%)
2) 2019 – $721M (↑ 88%)
3) 2020 – $1.3B (↑ 73%)
4) 2021 – $2.3B (↑ 82%)
5) 2022 – $2.7B (↑ 20%)
Big question #3: How much money does Roku make from each subscriber?
Roku advertising revenue per account (YoY growth):
1) 2018 – $16.76 (↑ 22%)
2) 2019 – $22.51 (↑ 34%)
3) 2020 – $28.30 (↑ 26%)
4) 2021 – $40.67 (↑ 44%)
5) 2022 – $41.68 (↑ 2%)
Big question #4: How much time do Roku accounts spend streaming?
Roku total streaming hours (YoY growth):
1) 2016 – 5.2B
2) 2017 – 14.8B (↑ 185%)
3) 2018 – 23.7B (↑ 60%)
4) 2019 – 37.7B (↑ 59%)
5) 2020 – 58.7B (↑ 56%)
6) 2021 – 73.2B (↑ 25%)
7) 2022 – 87.4B (↑ 19%)
Roku advertising revenue per streaming hour (YoY growth):
1) 2016 – $0.020
2) 2017 – $0.015 (↓ 25%)
3) 2018 – $0.016 (↑ 8%)
4) 2019 – $0.019 (↑ 17%)
5) 2020 – $0.021 (↑ 11%)
6) 2021 – $0.031 (↑ 46%)
7) 2022 – $0.031 (↑ 0%)
Why this matters: Roku’s revenue per streaming hour was flat YoY. This is a key metric that reflects their ability to drive increases in yield (higher CPMs) through measurement/targeting.
Interesting: Roku is working on click-to-order ads with DoorDash.
