- Streamers Push Advertising Amid U.S. Saturation
- New U.S. SVOD Subscribers by Percentage
- Global Trends: Local Services and Adaptation
- Discover What Global Streaming Platforms Pay to License Films and Shows
- The UK Market: Competition and the Rise of FAST
- New U.K. SVOD Subscribers by Percentage
- Tubi Launches in the U.K., Shaking Up the FAST Market
- FilmTake Away: Adapting to the Next Era of Streaming
As streaming markets mature globally, platforms face mounting challenges in sustaining growth. Near-universal household streaming penetration in key territories like the United States and the United Kingdom has shifted the focus from acquisition to retention and diversification. Whether through ad-supported tiers, partnerships, or content strategies, services are evolving to meet changing consumer demands and market conditions.
Streamers Push Advertising Amid U.S. Saturation
In the U.S., 95% of households now have at least one paid streaming subscription, with an average of 3.9 paid services per household. This near-universal adoption has slowed overall growth to just 0.1% quarter-over-quarter, forcing platforms to prioritize retention strategies. Key to this evolution has been the introduction and expansion of ad-supported tiers.
Netflix, for example, reported that nearly 60% of its new subscribers opted for its ad-supported tier in recent quarters, while churn rates remain near record lows. On the other hand, Prime Video introduced ads in Q1 2024 but faced significant backlash, losing 3% of its subscriber base. Subscribers reported high dissatisfaction with ad frequency, underscoring the delicate balance between revenue generation and viewer satisfaction.
Content remains crucial for engagement, but a shift in viewer preferences has become apparent. Long-running dramas have gained traction over original programming, signaling a preference for familiar, binge-able series. Only a few originals cracked the list of top-viewed titles in 2024.
New U.S. SVOD Subscribers by Percentage
Global Trends: Local Services and Adaptation
Globally, streaming platforms are experiencing varied growth trajectories. In Europe, local services like Movistar+ (Spain), Joyn Plus+ (Germany), and Kayo (Australia) saw significant growth in 2024. These platforms leverage tailored content strategies to capture market share, such as Movistar+’s sports coverage and Joyn Plus+’s reality TV offerings.
Ad-supported models are increasingly prevalent worldwide, but they are not without challenges. For instance, Disney+ has begun exploring “always-on” programming to increase daily engagement, addressing the 1 in 3 cancellations attributed to infrequent use.
Free ad-supported TV (FAST) services, which only recently gained traction, are already active in over 35% of households globally, driven by the growing appeal of scheduled, background-friendly programming at no cost.
Discover What Global Streaming Platforms Pay to License Films and Shows
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The UK Market: Competition and the Rise of FAST
In the United Kingdom, 19.6 million households now subscribe to at least one paid streaming service, representing a slight growth of 77,000 households in the third quarter of 2024. Disney+ continues to dominate new subscriptions, leveraging Emmy-winning titles alongside strategic partnerships with major brands. These collaborations, combined with promotional offers such as £1.99 for three months, have made Disney+ stand out in a competitive market.
Apple TV+ held its position as the third-fastest-growing platform, driven by the success of Slow Horses. Meanwhile, Prime Video maintained its subscriber base with popular titles like The Boys, which outperformed The Rings of Power in both engagement and new sign-ups. However, U.K. platforms must contend with increased competition in the FAST sector.
New U.K. SVOD Subscribers by Percentage
Tubi Launches in the U.K., Shaking Up the FAST Market
In July, Tubi officially debuted its free, ad-supported streaming service in the U.K., entering a competitive space alongside established players like Freevee, Pluto TV, and Samsung TV+. While the launch had little immediate effect on paid streaming services like Netflix or Disney+, early data reveals significant competition among free streaming platforms.
Since the launch, Tubi’s entry has impacted its closest competitors, with active viewer numbers declining for both Pluto TV and Freevee. Notably, 48% of Tubi viewers also use Pluto TV, and 35% overlap with Freevee. Though Tubi remains a smaller player in the market, its growth trajectory could further disrupt these services as it captures more screen time.
Meanwhile, subscription-based services continue to thrive in the U.K., driven by high-quality content and strong viewer engagement. Disney+, launched in the U.K. in March 2020, stands out for its effective promotional strategies and partnerships with prominent British brands, which have helped attract new subscribers. Industry accolades for its shows have further solidified its position in a competitive market showing signs of renewed growth.
FilmTake Away: Adapting to the Next Era of Streaming
As streaming markets saturate, platforms prioritize retention, diversification, and innovation. Ad-supported tiers and FAST services drive growth, while premium services in the U.K. and the U.S. rely on quality programming and strategic partnerships to stay competitive. Tubi’s U.K. debut underscores intensifying competition in the ad-supported space, while Disney+ exemplifies the power of strategic marketing. Success in this evolving landscape hinges on adapting to consumer demands and delivering value across markets.