The video-on-demand (VoD) industry recorded a robust start to 2025, with subscriber growth supported by bundled offerings, ad-supported models, and globally appealing content, according to Kantar’s Entertainment on Demand research.
Global leaders drive subscription growth
Netflix captured the highest share of new paying subscribers globally in Q1. Prime Video followed, maintaining growth in key markets such as Australia and Germany, each posting a 4% increase. Apple TV+ also built on prior momentum, growing notably in Germany (+14%) and Spain (+24%). The South Korean drama Squid Game was the most enjoyed series, with titles like Reacher, Landman, The Night Agent, and 1923 also performing strongly.
Netflix’s Q1 marked its best start to a year since before the pandemic, thanks to reduced churn, global content appeal, and innovation in areas like AI-personalised storytelling and live events. Specifically, 46% of new subscribers cited titles like Squid Game, WWE programming, and the final season of Cobra Kai as decisive purchase drivers, reinforcing content exclusivity as a key differentiator.
Squid Game Season 2 was one of the big draw cards for audiences on Netflix.
Sports-focused platform DAZN reported an 11% increase in global subscribers (its highest quarterly growth) fueled by under-34 audiences and the introduction of a personalised sports feature. Notably, football fans now represent half of DAZN’s user base. This group (among DAZN’s most loyal segments) engaged at significantly higher frequency, with weekly session rates outpacing other sports categories.
Disney+ achieved a record 47% share of new paid subscribers in France following changes to local distribution, while Apple TV+ saw notable gains in Germany (+14%) and Spain (+24%). Prime Video posted modest growth of 1%, avoiding the usual post-holiday dip, with stronger gains in Australia and Germany (both +4%).
Ad-supported tiers and bundling gain ground
The share of paid ad-supported streaming subscriptions rose 7% quarter-on-quarter. Value for money emerged as a key factor, with 28% of new subscribers citing it as their top reason, more than those opting for premium tiers. Meanwhile, free ad-supported platforms saw a slight decline, down 1% from Q4 2024.
Strategic integration is shaping consumer behaviour. Bundled offerings now account for 26% of the market, up from 22% in Q1 2024. Satisfaction among bundled users is high, with 41% reporting good value. These bundles are increasingly tied to broader ecosystems including gaming, retail, and financial services, which help reduce churn and deepen engagement.
Bundling offers for streaming services, like Hubbl, have become more popular year on year.
Across the board, consumers continue to demonstrate openness to ad-supported models, with 48% of VoD households willing to trade ads for lower prices. Kantar’s longitudinal panels, which sample tens of thousands of users across markets like the US, UK, France, Spain, Germany, and Australia, underpin the findings.
As platforms align with shifting audience expectations, those offering content-driven value, pricing flexibility, and integrated digital experiences are positioned for sustained growth through 2025.