The first quarter of 2025 marked a pivotal moment for the video-on-demand (VoD) industry, with growth driven by strategic bundling, expanding ad-supported models, and content that continues to captivate global audiences.
From January to March, streaming consumption revealed several key trends:
- Squid Game led as the most enjoyed show, followed by Reacher, Landman, The Night Agent, and 1923.
- DAZN sports-focused platform saw a record-breaking 11% growth in subscribers, reflecting a strong start to the year.
- The most new paying subscribers were captured by Netflix, followed by Prime Video, Paramount+, Apple TV+ and Disney+.
- In France, Disney+ reached a record 47% share of new paid subscribers after separating from a local distribution partner.
- Prime Video avoided its typical post-holiday dip with 1% growth, particularly strong in Australia and Germany (both +4%).
- Paid ad-supported streaming subscriptions grew 7% quarter-on-quarter, with 28% of new subscribers citing “value for money” as their main motivation—surpassing the number who chose premium plans.
- Adoption of free ad-supported platforms (e.g. Pluto TV, Tubi, Samsung TV Plus) dipped slightly, down 1% from the previous quarter.
- Apple TV+ saw continued growth, particularly in Germany (+14%) and Spain (+24%).
Consumers remain increasingly open to advertising in exchange for lower prices. Nearly half (48%) of VoD households now accept this trade-off, showing consistent acceptance over the past year.
A strong start for global leaders
Netflix streaming giant maintained its upward momentum from 2024, delivering its strongest first quarter performance since before the pandemic. In a market overflowing with choice, this platform stood out by reducing subscriber churn and continuing to grow its user base.
Nearly half of new subscribers joined primarily due to specific content offerings—hit series like Squid Game, WWE programming, and the final season of Cobra Kai. While exclusive content continues to be a major draw, reduced churn reflects deeper engagement and long-term value. The platform’s widespread reach—present in two-thirds of VoD households—is supported by a strategic focus on global content diversity and innovations in interactive and AI-personalised storytelling.
Expansions into live events, gaming, and a well-received ad-supported tier have opened new revenue streams without undercutting the premium subscriber base. This multifaceted approach is helping the platform thrive amid intensifying competition.
Sports streaming surges with strategic focus
In the sports segment, DAZN posted one of its best quarter to date with an 11% rise in global subscribers. Its appeal continues to grow among under-34s, who are increasingly reached through digital and out-of-home campaigns. The launch of a personalised sports feature deepened engagement, with football fans now accounting for half of the user base—among the most loyal and engaged groups.
As the line blurs between media and entertainment ecosystems, the platform is evolving beyond a broadcaster into a fully integrated hub for fans. A major acquisition in Australia reinforced its global ambitions, strengthening its local presence and enabling further expansion through event sublicensing.
While user satisfaction is high regarding content range and accessibility, feedback points to opportunities to enhance commentary quality, introduce richer interactive features, and improve the advertising experience during live events. Viewers show strong interest in ads related to electronics, fashion, healthcare, and finance—indicating room for more targeted partnerships.
Bundling and ecosystem integration reshape the industry
The streaming landscape is transitioning from standalone platforms to integrated digital ecosystems. Ad-supported tiers, flexible pricing, and bundled access are reshaping how consumers experience entertainment.
Bundled subscriptions now represent 26% of the VoD market—up from 22% in early 2024 and 20% the year before. This consistent growth highlights shifting expectations, as users increasingly value streaming services that integrate with retail, loyalty programs, gaming, and even financial services.
Satisfaction among households using bundled services is high: 41% report being pleased with the value they receive. This model not only supports subscriber growth but also reduces churn, embedding streaming deeper into consumers’ daily digital routines.
Looking ahead
As VoD platforms adapt to evolving consumer behaviours, those offering compelling content, flexible pricing, and integration across digital touchpoints are best positioned for sustained growth. The first quarter of 2025 sets the tone for a year where innovation, value, and engagement define success.
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