Netflix's global subscriber base has reached an impressive milestone, surpassing 300 million paid subscribers worldwide in the fourth quarter of 2024. This marks a significant increase of nearly 20 million subscribers compared to the previous quarter, solidifying Netflix's position as a dominant force in the streaming industry. Adapting to customer losses Netflix's growth has not always been consistent. During the first half of 2022, the streaming giant lost over one million customers. In response to these losses, Netflix introduced an ad-supported tier in November of that same year. This strategic move has paid off, with the lower-cost plan attracting 70 million monthly active users globally by November 2024, demonstrating Netflix's ability to adapt to changing market conditions and consumer preferences. Global expansion Netflix continues to focus on international markets, with a forecast suggesting that the Asia Pacific region is expected to see the most substantial growth in the upcoming years, potentially reaching around 70.1 million subscribers by 2029. To correspond to the needs of the non-American target group, the company has heavily invested in international content in recent years, with Korean, Spanish, and Japanese being the most watched non-English content languages on the platform.

In 2024, Netflix revealed that it had 89.63 million paying streaming subscribers in the United States and Canada. North America had long been Netflix's biggest market, though subscriber numbers in the EMEA region surpassed that in the U.S. and Canada for the first time during 2022. The number of paid streaming memberships in Asia Pacific grew the most, by 13 percent compared with the previous year.

Netflix reported approximately 90 million subscribers across the U.S. and Canada in the fourth quarter of 2024, making North America its second-largest global market after Europe, Middle East, and Africa (EMEA). Netflix reports its first subscriber loss in decades After a decline in the number of paid Netflix subscribers worldwide during the first two quarters of 2022, the streaming giant seems to be back on track, adding over 30 million net subscribers in only one year. The United States and Canada experienced the most substantial combined subscriber loss, which is particularly noteworthy considering that Netflix generates the highest average monthly revenue per user (ARPU) in these countries. When asked about the main reasons for canceling their subscription, many former Netflix users listed the price as their main incentive for leaving. The service’s average monthly fee has increased significantly over the past few years, leading audiences to switch to more affordable (ad-supported) video streaming options or cut down on subscriptions altogether. Expanding global influence and content catalogs Netflix remains the leading subscription video-on-demand (SVOD) service worldwide, outperforming all other international streaming powerhouses and local providers by a significant margin. To maintain its global lead, Netflix allocates impressive sums toward marketing while also expanding its regional content. In 2021, for example, the Seattle-based company opened its first office in Stockholm to serve as a hub for the Nordics region. In addition to that, Netflix also produces more original content outside the U.S. to appeal to its diverse international user base.

A forecast projected that almost 60 percent of Netflix subscribers will be using the ad-supported tier worldwide by 2027, up from an estimated seven percent in 2023. After losing over 200,000 customers at the beginning of 2022, the subscription video-on-demand provider announced the launch of an ad-supported tier at the end of the year to offset more losses.

In the fourth quarter of 2024, Netflix could add over 18 million new subscribers worldwide. This marks a positive turnaround for the streaming service, following a decline in net subscriber additions during the first two quarters of 2022, which was attributed to factors such as rising subscription costs and increased competition from more affordable, ad-supported streaming options. Shifting subscriber trends and revenue streams The customer churn at the beginning of 2022 prompted Netflix to introduce an ad-supported tier later in the year. This strategy seems to have paid off, as a study in the U.S. revealed that the addition of a basic plan with ads led to a significant increase in new subscriptions, accounting for 30 percent of total Netflix sign-ups in September 2023. Furthermore, while the subscription revenue of the streaming giant is expected to decrease in the coming years, the advertising revenue is forecast to grow, indicating the rising value of hybrid business models in the streaming market. Netflix’s content strategy Netflix's strategic focus on original TV programs appears to resonate well with American audiences. According to a survey from the third quarter of 2023, the majority of U.S. Netflix users preferred watching own productions over other content, demonstrating that content plays a crucial role in retaining and attracting subscribers. Additionally, the company's effort to expand its global influence has been evident, with Netflix increasingly investing in regional content to maintain its position as the leading video streaming service worldwide.

A forecast projected that over 35 million of Netflix's subscribers will be using the ad-supported tier worldwide by 2027, up from an estimated 400,000 in 2022. The EMEA region is projected to surpass the number of ad-supported subscribers in the U.S. and Canada by 2026, amassing 9.4 million customers that year. After losing a substantial number of customers at the beginning of 2022, the streaming giant announced the launch of an ad-supported tier at the end of the year to offset more subscriber and income losses.

Forecasts made in late 2017 suggest that by 2023 the United States will have the highest number of Netflix subscribers in the world, with sources anticipating a total of 69.1 million subscribers in the country by this time. Given that the United States was the leading Netflix market worldwide in 2018 with over 64 percent of digital video viewers watching Netflix at least once per month, the predictions for 2023 could indeed come to fruition.

Following closely behind will be the United Kingdom with around 12 million subscribers, whereas Mexico, France and India are all expected to have fewer than six million Netflix subscribers by 2023.

Netflix’s global position

With a wealth of original content flooding onto the platform every month, Netflix has established itself not only as an industry leader when it comes to sourcing existing content for its subscribers to enjoy, but also in terms of its dedication to creating quality shows of its own. Some of the most successful shows in the market include Netflix originals, such as ‘Orange is the New Black’ and ‘Stranger Things’.

According to its company reports, Netflix’s worldwide subscribers in early 2019 amounted to over 155 million, more than triple the number recorded five years earlier. As well a subscriber increase, the company also announced further growth in its average monthly revenue per paying customer worldwide. Estimates foresee a growth in Netflix subscribers not only in North America and Western Europe, but also a surge in Netflix subscribers in Latin America over the coming years, as well as significant increases in developing markets.

In the fourth quarter of 2024, Netflix generated total revenue of over 10.2 billion U.S. dollars, up from about 8.8 billion dollars in the corresponding quarter of 2023. The company's annual revenue in 2024 amounted to around 39 billion U.S. dollars, continuing the impressive year-on-year growth Netflix has enjoyed over the last decade. Netflix’s global position Netflix’s revenue has been heavily impacted by its ever-growing global subscriber base. The leading Netflix market is Europe, Middle East, and Africa, surpassing the U.S. and Canada in terms of subscriber count. Netflix has also significantly increased its licensed and produced content assets since 2016. Despite concerns among investors that the company’s content spend was negatively affecting cash flow, Netflix’s plans to amortize its content assets long-term along with generating revenue from other sources such as licensing and merchandise should ensure the company’s future profitability. Netflix’s original content Netflix is also fortunate in that many of its original shows have been a hit with consumers across the globe. Shows such as “Orange is the New Black,” “Black Mirror,” and “House of Cards” won the hearts of subscribers long ago, but newer content such as English-language shows “Bridgerton,” “Wednesday,” and “Stranger Things,” as well as local TV shows such as “Squid Game” have also been favorably reviewed and proved popular among users.

In the digital age, every minute counts as billions of users engage with online platforms worldwide. The year 2024 saw an astounding 251.1 million emails sent, 138.9 million Reels played on Facebook and Instagram, and 5.9 million Google searches conducted every 60 seconds. Social media's continued dominance Social media platforms remain at the forefront of online interactions, with Facebook leading the pack at over three billion monthly active users. The broader Meta ecosystem, including Instagram and WhatsApp, further solidifies its position in the digital landscape. TikTok, a relative newcomer, has rapidly gained traction, generating 186 million downloads in the fourth quarter of 2024 alone. Evolving digital consumption patterns While traditional streaming services like Netflix continue to dominate, with 362,962 hours streamed every minute, the digital media landscape is experiencing shifts in user preferences. Netflix recorded over 300 million paid subscribers worldwide as of the fourth quarter of 2024.

As of September 2020, the total number of Netflix subscribers amounted to about 201 million, making it by far the most popular subscription video-on-demand service worldwide. Amazon Prime Video ranked second in the market, with 117 million users. Estimates from September 2023 predict that both competitors might be up for a close race for the top spot by 2029, while Disney+ has lost considerable ground to them, compared to estimates from October 2021.

Why is Disney+ growing so fast?

In 2018, The Walt Disney Company acquired 21st Century Fox, which also included the TV broadcaster Star India – the owner of India’s most popular streaming platform Hotstar. Two years later, the media conglomerate launched the rebranded Disney Plus Hotstar in India and Indonesia. By 2026, the conversion of the preexisting platform will be rolled out to numerous other Asian countries. However, the number of Disney Plus subscribers decreased in the company's first two fiscal quarters of 2023 as Disney+ Hotstar, in particular, lost subscribers.

Leading VOD markets According to estimates, over-the-top TV revenue reached over 150 billion U.S. dollars in 2022, with subscription video-on-demand revenue accounting for the majority of that figure. However, ad-supported video-on-demand is forecast to grow the most, with revenue more than doubling between 2022 and 2028.

In the third quarter of 2024, nearly one in four Netflix users in Europe, Middle East, and Africa (EMEA) chose the platform's ad-supported streaming tier, making this region the provider's largest market. In contrast, 15 percent of Netflix users in Latin America opted for the ad-supported option in the same period.

According to Cognitive Market Research, the global streaming service market size will be USD 107581.5 million in 2024. It will expand at a compound annual growth rate (CAGR) of 22.50% from 2024 to 2031.

North America held the major market share for more than 40% of the global revenue with a market size of USD 43032.60 million in 2024 and will grow at a compound annual growth rate (CAGR) of 20.7% from 2024 to 2031.
Europe accounted for a market share of over 30% of the global revenue with a market size of USD 32274.45 million.
Asia Pacific held a market share of around 23% of the global revenue with a market size of USD 24743.75 million in 2024 and will grow at a compound annual growth rate (CAGR) of 24.5% from 2024 to 2031.
Latin America had a market share of more than 5% of the global revenue with a market size of USD 5379.08 million in 2024 and will grow at a compound annual growth rate (CAGR) of 21.9% from 2024 to 2031.
Middle East and Africa had a market share of around 2% of the global revenue and was estimated at a market size of USD 2151.63 million in 2024 and will grow at a compound annual growth rate (CAGR) of 22.2% from 2024 to 2031.
The music streaming is the fastest growing segment of the streaming service industry

Market Dynamics of Streaming Service Market

Key Drivers for Streaming Service Market

Increasing demand for on-demand content to drive market growth

The increasing demand for on-demand content is a primary driver of growth in the streaming service market. As consumers become accustomed to the flexibility of accessing their favorite shows and movies at their convenience, traditional viewing habits are shifting. This trend is particularly prominent among younger demographics, who prefer streaming over scheduled programming. The proliferation of binge-watching culture has further fueled this demand, leading platforms to invest heavily in vast libraries of on-demand content. Consequently, services that offer extensive content libraries and innovative features, such as personalized recommendations and user-friendly interfaces, are more likely to attract and retain subscribers. This consumer preference for on-demand content will continue to propel the growth of the streaming service market as more players enter the space and competition intensifies.

Rising internet penetration and connectivity to boost market growth

Rising internet penetration and connectivity are significantly boosting the streaming service market. As broadband access becomes more widespread, particularly in developing regions, a growing number of consumers can enjoy high-quality streaming experiences. Enhanced internet infrastructure, including the rollout of 5G technology, is facilitating faster and more reliable connections, enabling users to stream content seamlessly without buffering issues. This increased accessibility allows streaming services to reach new audiences, expanding their subscriber base. Additionally, the integration of streaming platforms into smart TVs, gaming consoles, and mobile devices has made it easier for consumers to access content anytime, anywhere. This trend toward greater connectivity is expected to drive market growth further, as more people embrace streaming as their primary source of entertainment.

Restraint Factor for the Streaming Service Market

High competition in the market to limit market growth

High competition in the streaming service market poses a significant restraint to growth. With numerous platforms vying for consumer attention, it becomes increasingly challenging for individual services to differentiate themselves. The presence of established players like Netflix and Amazon Prime Video, alongside emerging platforms, leads to a saturated market where customer loyalty is hard to maintain. This intense competition often results in price wars and increased marketing expenditures, straining the profitability of streaming services. Additionally, as consumers become overwhelmed by the sheer number of options, they may experience subscription fatigue, leading to cancellations or switching between platforms. Consequently, streaming services must continually innovate and invest in original content and user experience enhancements to stay relevant and attract new subscribers in this highly competitive landscape.

Impact of Covid-19 on the Streaming Service Market

The COVID-19 pandemic had a profound negative impact on the streaming servic...

Netflix's lower-cost ad-supported plan reached 70 million monthly active users globally in November 2024, marking an increase of 57 million monthly active users compared to the beginning of the year. Netflix introduced an ad-supported tier in November 2022 in response to subscriber losses during the first half of 2022.

By 2026, around 86 million Europeans are forecast to have a Netflix subscription. In 2020 this figure stood at just below 60 million Netflix subscribers in Europe. As of the first quarter of 2021, Netflix had almost 210 million paying subscribers worldwide.

History of Netflix Netflix was founded in the United States in 1997, offering media through online streams or through a DVD-by-mail service. Now, the service is available across more than 190 countries globally and boasts revenues of almost 25 billion U.S. dollars. As of the first quarter of 2020, its leading markets included the U.S., Brazil, and the UK, although it is popular across many European countries.

Video-on-Demand Despite some European countries having access to as many as around 600 legal options for Video-on-Demand services, in terms of use there are two clear front runners. As of 2020, Netflix held a market share of almost 40 percent of the Subscription Video-on-Demand services in the EU, while Amazon came second with about a third of the market.

Despite the United States being Netflix’s leading market in terms of subscriber numbers, Australia and the United Kingdom had higher penetration rates. In 2022, 65 percent of Australian and 57 percent of UK households used the subscription video-on-demand service.

Spotlight on Netflix in the U.S.

The United States is not only the place where Netflix got its start as a DVD rental service in 1997, but the country also remains Netflix’s largest market now that the company has evolved into the most popular SVOD platform worldwide. According to the company’s latest filings, the number of Netflix subscribers in the U.S. and Canada stood at 73.4 million in the third quarter of 2022, after Europe, the Middle East, and Africa combined.

Netflix is losing subscribers

Netflix lost an estimated 300 thousand subscribers globally during the first two quarters of 2022. The number of Netflix subscribers dropped from 221.84 million to 220.7 million in the first half of 2022, marking the first dip in over a decade. One of the reasons for this rapid subscriber loss could undoubtedly be the streamer’s monthly fees, which have been increasing over the past few years. Netflix already announced to add a cheaper ad-supported subscription option in November 2022, but only time will tell if this move will be enough to combat the current trend.

In 2024, the total revenue of the video streaming platform Netflix amounted to approximately 39 billion U.S. dollars, having grown from 5.5 billion U.S. dollars a decade ago. The American media company's net income in 2023 stood at 8.7 billion U.S. dollars, with a total of 14,000 employees working at the company worldwide. The fiscal year end of the company is December 31. Netflix annual revenue – additional information Netflix has been very successful in the last few years. The company not only leads the subscription streaming market in the U.S., but is effectively expanding its service outside North America. Along with gaining numerous subscribers worldwide, Netflix has managed to produce and distribute high-profile original shows, such as "House of Cards" and "Orange is the New Black," challenging traditional TV networks like HBO and CBS. In 2023, Netflix’s original programs received 103 Emmy Awards nominations, around double the number of nominations received seven years previously. These are just a few indicators of Netflix’s success, which can be measured in a number of ways. Firstly, as seen in the statistic, Netflix’s annual revenue has consistently increased over the years, reaching the highest figure to date in 2023 – 33.7 billion U.S. dollars. This figure is around 10 times higher than Netflix’s annual revenue a decade ago. Netflix's originals The time that consumers dedicate to watching Netflix content is another way of indicating success. One of Netflix’s strategies has been to release TV series in bulk, so consumers are able to binge watch their favorite shows. Indeed, Netflix accounts for the highest share of most in-demand originals among global video streaming services. As a result, Netflix's streaming content obligations have increased from 1.3 billion U.S. dollars in 2010 to over 20 billion U.S. dollars in 2023.

The global digital content subscription market is experiencing robust growth, driven by increasing internet penetration, the proliferation of smart devices, and a rising preference for on-demand entertainment and educational resources. The market, estimated at $500 billion in 2025, is projected to exhibit a Compound Annual Growth Rate (CAGR) of 15% from 2025 to 2033, reaching a substantial market value. This significant expansion is fueled by several key factors. The rise of streaming services offering diverse content, including music, movies, TV shows, and e-books, has significantly broadened the market appeal. Furthermore, the increasing affordability and accessibility of high-speed internet, coupled with the convenience of subscription-based models, contribute to market expansion. The market segmentation reveals a strong preference for monthly subscriptions, suggesting a consumer preference for flexible and manageable financial commitments. Key players, including Netflix, Amazon Prime Video, Spotify, and others, are constantly innovating with new content and features to maintain a competitive edge. Geographic analysis indicates strong growth across North America and Europe, driven by high internet penetration and disposable incomes; however, Asia-Pacific shows significant potential for future growth due to its rapidly expanding digital consumer base. The market faces certain challenges. Price sensitivity, especially in emerging markets, and increasing competition among providers necessitate continuous innovation and strategic differentiation to maintain market share. Concerns about data privacy and security also play a role in consumer decisions. Despite these challenges, the long-term outlook remains positive, driven by technological advancements such as improved streaming quality, virtual reality applications, and the integration of artificial intelligence in content personalization. The ongoing expansion of digital content offerings, coupled with innovative pricing strategies and bundled services, will likely drive further market growth. The diverse range of subscription types (music, e-books, streaming, etc.) caters to varied consumer preferences, further solidifying the market's long-term prospects.

Introduction

Amazon Prime Video Statistics: Global entertainment preferences have now shifted toward legacies that allow more immediate access to the movie or TV show of choice. Professionals, such as theatrical constructors, marketers, and consultants, are speeding up their service and energising their work, two trends that had languished during the years of insistent restriction.

Amazon Prime ranks next to Netflix in the ranking of the world's most widely used streaming sites. With the two services featuring similar characteristics, Prime Video shines above the rest due to reasonable pricing. This analysis yields insights on Amazon Prime Video statistics, its most important features, and comparisons with other SVOD.

Netflix is currently facing the challenge of retaining subscribers worldwide, with data from the second quarter of 2023 revealing that Germany and Spain experienced the highest churn rates at nine percent. Australia followed closely, while France had a relatively low cancellation rate at just two percent. Impact of the new business model The subscription video-on-demand (SVOD) market has experienced a significant increase in the past decade, driven by major players, like Netflix, Amazon Prime Video, and Disney+. However, the anticipated slowdown in revenue growth, coupled with the increasing popularity of ad-supported content and subscription cycling, underscores the evolving dynamics of consumer preferences within the streaming industry. Netflix's introduction of a basic plan served with commercials in late 2022 had a significant impact on subscriber behavior in the U.S., with the ad-supported tier accounting for 30 percent of sign-ups in September 2023. Growth despite challenges Netflix's global position remains strong. With over 269 million paid subscribers worldwide, the company's revenue continues to grow, reaching nearly 9.4 billion U.S. dollars in the first quarter of 2024. While challenges persist, such as the increasing popularity of other streaming services and the impact of price increases on subscriber numbers, Netflix's plan to generate revenue from sources, like licensing, ads, and merchandise, positions the company for future profitability.

The global streaming movies app market is experiencing robust growth, driven by increasing smartphone penetration, affordable data plans, and the rising popularity of on-demand video content. The market size in 2025 is estimated at $75 billion, exhibiting a Compound Annual Growth Rate (CAGR) of 15% from 2025 to 2033. This significant expansion is fueled by several key trends, including the proliferation of subscription-based video-on-demand (SVOD) services, the increasing adoption of smart TVs, and the growing demand for high-quality streaming experiences. Furthermore, the market is segmented by operating system (Android and iOS) and application type (personal and family), with Android holding a larger market share due to its global prevalence. Major players like Netflix, Disney+, Amazon Prime Video, and Hulu dominate the landscape, constantly innovating with original content and personalized recommendations to maintain a competitive edge. However, the market also faces restraints such as increasing competition, content licensing costs, and concerns regarding data privacy and security. Regional variations are prominent, with North America and Europe currently holding the largest market shares, but rapid growth is expected in Asia-Pacific regions due to increasing internet and smartphone penetration. The competitive landscape is fiercely contested, with both established players and new entrants vying for market share. The success of streaming platforms hinges on factors such as content quality, user experience, pricing strategies, and effective marketing. To maintain growth, companies are focusing on personalized content recommendations, improved user interfaces, and the integration of advanced technologies such as Artificial Intelligence (AI) for content curation and customer service. The ongoing expansion of 5G networks will further contribute to market growth by enabling higher-quality streaming at faster speeds. The future of the streaming movies app market will likely see increased consolidation, strategic partnerships, and the emergence of innovative features that enhance the overall viewing experience for users. The forecast period of 2025-2033 projects continued strong growth, driven by the factors mentioned above, and anticipates a significant increase in market value by 2033.