The year 2024 has brought significant changes in the platform market. marking a moment of . Between price increases, service consolidations and experimenting with new business models, the industry has faced challenges as it tries to adapt to an increasingly selective audience.
In Brazil and other markets, the year was characterized by increasing fragmentation, as consumers struggled with multiple subscriptions and the difficulty of justifying additional costs. Meanwhile, platforms like , and the presented as a new platform that replaced HBO Max and Discovery+, it has renewed its offering to cope with financial and market pressure.
Consolidation in the streaming industry and its consequences
One of the major changes in 2024 has been the advancement of service integration. The launch of in Latin America and the Caribbean (after the service launches in the United States in 2023), by unifying the HBO Max and Discovery+ catalogs, reflects the pressure to consolidate offerings in a saturated market. Arthur Igreja pointed out that this unification reduces the number of options available and increases costs for consumers.
In Brazil this consolidation has also been seen with the integration of catalogs on other platforms, such as which has begun to include Hulu content in its global offering, bringing diverse content and strengthening its position in the competitive market.
The move seeks to balance the rising costs of manufacturing and maintaining platforms, but also raises concerns about decreasing market variety. For consumers, the consequences could include rate increases and less choice, forcing them to reconsider which services are worth keeping.
Fragmentation and increased costs
Amid global inflationary pressure, the streaming industry has also seen widespread increases in subscription prices. In Brazil, platforms like AND readjusted their prices, while has launched new premium plans to balance costs.
People want entertainment, but financial access is increasingly difficult. This reality has led many consumers to choose to cancel subscriptions and choose only the platforms they deem essential. “People will consume less and less streaming, opting for one or the other, choosing favourites. There are already a lot of people canceling,” said Amanda Brandão, a film and television content creator.
THE for example, it stopped offering the basic plan without ads in several markets, including Brazil. In exchange, the company launched cheaper plans with ads. This change has led subscribers who don’t want the new reality of ads to migrate to more expensive plans or cancel their subscriptions. On the other hand, it reinforces the plan with advertising, making Netflix more attractive to advertisers.
Arthur Igreja reinforced the idea by saying that consumers face a fragmented market, where they have to choose between multiple subscriptions. This reflects the saturation of the sector and the difficulty of justifying price increases to a public that already feels the inflated costs. This scenario has also contributed to increasing pressure on platforms, which seek to differentiate themselves in an increasingly competitive market.
Plans with ads: a paradoxical solution?
Another highlight of the year was the growing adoption of plans with advertising not only by marking a turning point in the business model of streaming platforms. THE for example, it announced that it will include ad breaks in its plans starting from 2025, while other platforms, such as introduced similar models to attract more price-sensitive consumers.
Arthur Igreja assessed this strategy as paradoxical: “Planning models with advertising are paradoxical. Streaming, which has emerged as an alternative to traditional TV, now adopts practices such as commercials and live events, creating a new consumption dynamic.” This movement also seeks to diversify sources of revenue, but it could alienate consumers who have turned to streaming specifically to avoid advertising interruptions.
In Brazil these models are still being adopted, but are already attracting criticism from consumers, who see advertising as an obstacle to the conventional television experience.
Netflix’s leadership in streaming and attempts at diversification
Even with changes in the market, the maintained its leadership position in 2024. Arthur Igreja noted that despite restrictions on password sharing, “the number of users has increased,” proving that the strategy has paid off in terms of retention and increased revenue .
Arthur Igreja underlined the platform’s ability to reinvent itself, trying to explore the market of games and experiences in the offline world. “Netflix is increasingly moving towards a Disney strategy. Many licensed products, the link with brands has existed for a long time, however the brands that appear within the productions have become increasingly explicit”.
Furthermore, the has begun to explore the live sports broadcast market, a trend that stands out in the industry. The company has carried out its first experiments with sporting events in 2024, such as broadcasts of tennis tournaments, and recently carried out a major global broadcast of two NFL games. This strategy aims to attract new audiences and compete directly with platforms such as Prime Video, which already have an established presence in this segment.
Meanwhile, other platforms have faced major challenges. Arthur Igreja pointed out that “Apple has difficulty attracting audiences outside of its niches. Amazon has used Prime as a complete package, but streaming itself is just one touchpoint.” This shows that, for many platforms, the challenge goes beyond content: it’s about creating an ecosystem that justifies the cost of the subscription.
Live events and sports: the new bet
Another trend in 2024 was the focus on live events and sports as a way to attract new consumers and retain existing ones. Arthur Igreja underlined that “the attention to live events, such as sports, is an excellent bet for retaining consumers, especially because these events provide natural breaks for advertising, something more attractive than commercials in series or film.”
In Brazil, the has distinguished itself with the expansion of exclusive broadcasts of Copa do Brasil and Campeonato Brasileiro matches, strengthening its presence in the sports market. This strategy seeks to reproduce the collective experience that is often associated with sports broadcasts and which still finds few parallels in other forms of entertainment. For platforms like Prime Video, which already invests in exclusive broadcasts, this is an opportunity to differentiate itself even further.
The entrance to in this aforementioned segment reinforces this trend, pointing to a future where sporting events will be a strategic differentiator in cross-platform disputes.
The future of streaming in a saturated market
Looking ahead to 2025 and beyond, the streaming market appears headed for greater consolidation, with fewer platforms vying for consumers’ attention. Amanda Brandão summed up the situation by saying that “this business model was already a bit dated,” reflecting many consumers’ dissatisfaction with fragmentation and rising costs.
For Arthur Igreja, exclusive and original content and improving the user experience are fundamental. “Both points are fundamental. Today the focus is more on original content, on exclusivity, a barrier that I believe has already been largely broken down.” Additionally, diversifying revenue streams and focusing on collective, immersive experiences can help redefine the future of the industry.
The post Netflix, Prime Video and more: How 2024 has reshaped the streaming market appeared first on Olhar Digital.
Source: Olhar Digital
Rose James is a Gossipify movie and series reviewer known for her in-depth analysis and unique perspective on the latest releases. With a background in film studies, she provides engaging and informative reviews, and keeps readers up to date with industry trends and emerging talents.
