Sustainable growth and loyalty take centre stage in stabilising streaming market

Global streaming growth has stabilised, signalling a mature market landscape pushing providers to innovate beyond subscriber acquisition alone. Simon-Kucher’s ‘Global Streaming Study’ has revealed a maturing industry where monetisation, personalisation, and interactivity define the next frontier.

Simon-Kucher’s latest study into the streaming market surveyed over 12,000 subscribers across around a dozen countries, including the UK and the US. According to the findings, there is now a rising demand for ad-tiers, bundles, and live content, as well as growing competition from social media.

Streaming stabilises

Churn is declining. Just 35% of global streamers plan to cancel a service in the next 12 months, down 2% from 2024.

At the same time, 88% of respondents say they’re streaming the same or more than last year, confirming continued engagement despite a cooling growth rate. But 42% feel they are spending too much money on streaming.

According to Simon-Kucher, the implication is that consumers aren’t leaving streaming – they’re more loyal, but also more selective. Many are increasing their streaming budgets and holding on to multiple subscriptions. To stay in the mix, platforms must focus on perceived value, offering affordable, flexible models that feel worth keeping.

Ad tiers double

Cost-conscious viewers are reshaping the streaming model. Ad-supported plans now make up 34% of Netflix and 31% of Disney+ subscriptions, nearly double last year’s share. 48% of users at risk of cancelling say they’d stay for a cheaper ad-supported plan.

This model also offers chances to bring in new customers. So far, Netflix leads in capturing new subscribers via ad-supported packages. 60% of those taking up the platform’s ad-supported packages are entirely new customers.

This suggests ad-tiers aren’t just a fallback; they’re a growth engine. Simon-Kucher contends that with the right targeting and transparency, they can boost acquisition and retention at the same time.

Live content surges

On-demand isn’t enough. 30% of streamers, especially younger viewers, say they want more live streaming – from live sports and concerts, to breaking news and cultural events.

Simon-Kucher argues that the appetite for live experiences is real. Platforms that invest in curated live content can increase stickiness without overextending their original content budgets.

Bundles go mainstream

Simplicity drives adoption. A 51% majority of global subscribers now opt for bundled streaming packages, especially through telecom providers.

This trend is especially strong in India, with 67% of subscribers picking up bundled streaming packages, and 62% in Spain. Meanwhile, Australians lag behind the pack at 34%.

Bundling is no longer only a churn defence. Simon-Kucher adds that it has become “a mainstream way consumers manage their streaming budgets”. This means partnerships with telcos and platforms offer providers an effective route to affordability and convenience, meeting consumer demand for simplicity and better value.

Streaming versus social

The race for attention has intensified. A 49% portion of under-40s view social media as a streaming substitute to streaming subscriptions. In fast-moving markets like India and Singapore, that share is even higher, at 72% and 56% respectively.

In this case, streaming providers aren’t just competing with other platforms – they’re competing with TikTok, Instagram, and YouTube. To win attention, Simon-Kucher recommends that content must be interactive, shareable, and create an appetite for more: bite size content on those platforms can spark interest and pull viewers back to full-length experiences.

Staying in power with value

Unpacking on the report’s main conclusion, Lisa Jaeger, partner at Simon-Kucher, said: “It’s not just about growth anymore, it’s about growth with staying power. To build real value, platforms need to monetise smarter: through ad innovation, bundled access, and content that keeps viewers coming back.”

“The market is shifting from volume to value,” Jaeger continued. “With ad-tiers making streaming more accessible, many viewers are willing to pay for several services. But to earn their time and loyalty, platforms will need to surface the most relevant, engaging content, powered by smarter recommendation engines and a sharper understanding of what people actually want to watch.”