Unlocking the next generation of streaming customer growth
The state of US streaming
The US streaming industry has matured into one of the most competitive entertainment markets in the world. After more than a decade of rapid subscriber acquisition, growth has slowed. Households already hold nearly four subscriptions on average, and many consumers are hitting the limits of what they’re willing to manage and open their wallets for. For providers, that might look like a ceiling. But the story doesn’t end there.
Our 2025 Annual Streaming Study shows that the market is still dynamic, just in new ways. Audiences are expanding their monthly budgets, experimenting with ad-supported tiers, and showing a willingness to pay for differentiated content and features. At the same time, younger viewers are rewriting the rules by blending short-form video and social engagement into their entertainment mix.
This evolution creates a new growth agenda for platforms. Our research identifies five pillars of US streaming growth opportunities in 2025:
- Growth will come from retention and upsell
- Ad-supported tiers and bundles are now table stakes
- Subscribers want flexibility with plans
- Gaming is a niche but potentially lucrative add-on
- Younger viewers want short-form content and social features
Growth is shifting from quantity of subscribers to quality of monetization. The platforms that succeed will be those that refine pricing, invest in high-value add-ons, and strengthen retention.
Download our 2025 US Results to Global Streaming Study for the full data insights and recommendations. Click here to download.
Retention and upsell are the engines of growth in the streaming industry
Households in the US now hold an average of 3.8 streaming subscriptions. With that level of penetration, the real opportunity is no longer about adding more subscriptions.
With subscriptions already widespread, success depends on how effectively platforms retain their audiences and encourage them to spend more within the services they use.
Provider solution: Focus on value-based pricing and upsell strategies. Premium tiers, exclusive content, and personalized add-ons can unlock higher ARPU while reinforcing retention.
Ad-supported tiers and bundles are now table stakes
Ad-supported tiers have proven their value and are now a core part of how streaming platforms attract new audiences and reduce churn. Bundles are showing the same strength, quickly becoming a preferred way for subscribers to access multiple services. Together, these models have moved from optional add-ons to essential levers of growth.
Provider solution: Treat ad-supported and bundled offers as essential parts of pricing architecture. Dynamic pricing, bundle optimization, and sensitivity testing can strengthen these foundations while opening pathways to upsell.
Plan flexibility shapes willingness to pay
Relying on long-term contracts won’t keep US subscribers from switching. When asked to commit to an annual plan, most expect a steep discount, nearly half off the monthly price. That kind of trade-off shows just how strongly viewers value freedom of choice. For many households, flexibility in how they subscribe has become just as important as the content they’re paying for.
Provider solution: Price strategies should balance flexibility with incentives. Segmenting customers by willingness to pay and discount sensitivity allows platforms to design contract options that feel fair while still protecting margin.
Gaming is a niche with lucrative potential
Gaming has been niche for older generations, but in younger generations is a significant competitor to streaming for screen time. Offering the right level of access to gaming content to all subscribers could become a powerful lever for retention, while for a subset of the gaming audience, there is an opportunity to offer an add-on and diversify revenue streams. For the right audience, access to gaming content is something they are willing to pay extra for, making it a powerful lever for platforms that want to diversify and strengthen retention.
Provider solution: “Talk more about gaming: show value baked into core subscription but also introduce more value as an add-on. Phased monetization strategies, micro-bundles, and elasticity testing can capture value without alienating the broader base.
Younger viewers want short-form content and social features
For younger audiences, streaming is no longer defined by long-form shows and movies. Their attention is increasingly shaped by short-form clips and the social platforms that deliver them. To capture this audience, streaming providers need to think beyond traditional programming and create experiences that feel more interactive and connected. That includes sharing moments with friends, co-viewing in real time, and discovering content in formats designed for quick engagement.
What this means for providers: Innovate beyond traditional streaming. Price interactive and social features thoughtfully, test short-form bundles, and integrate product and pricing strategy to meet younger viewers on their terms.
What’s next for streaming providers?
The US streaming market continues to change. Subscriber growth may have slowed, but the opportunities to strengthen revenue and expand engagement remain strong. The next chapter will be defined by how effectively platforms focus on retention, upsell, innovative monetization models, and evolving viewer expectations.
Our 2025 US Results to the Global Streaming Study offer data insights and actionable strategies to help guide those decisions. But every provider faces unique challenges, whether it’s optimizing pricing architecture, designing bundles, or unlocking new revenue streams from younger audiences.
If you’d like to discuss tailored solutions for your business, our experts are here to help. Together, we can turn nuanced customer preferences into growth opportunities.
[Download the full 2025 US Results to the Global Streaming Study and connect with us to explore how these insights can be applied to your specific needs.]
