蘑菇AV

Our forecast indicates that by 2024, Netflix will boast 180 million viewers, far outpacing its closest rivals, including Amazon Prime Video, Hulu, and Disney+, which are expected to have over 100 million viewers each.

Advertising opportunities: Prime subscriber growth bodes well for Amazon鈥檚 ad business, especially following the rollout of the company鈥檚 ad-supported Prime Video tier. Amazon could generate anywhere between $1.3 billion to $3.3 billion in revenues from Prime Video ads this year, according to various estimates.

While the league鈥檚 embrace of streaming aligns with industry trends toward digital media, it鈥檚 natural to expect some resistance from linear TV audiences that don鈥檛 have access to Prime Video. Our take: The NBA's recent announcement of its deals marks a new era for the league's broadcast and streaming landscape.

The CTV ad market is still adjusting to having Netflix and Disney+ in the space, but if other major providers like Amazon Prime Video and Apple TV+ launch ad tiers, buyers may get another dose of whiplash鈥攅specially if those major players come to market with inflated rates. On the flip side, incumbents including Warner Bros.

The news: Amazon is set to make its upfront week debut on May 14, presenting its extensive streaming portfolio, including Prime Video, Prime Video Sports, Twitch, Amazon Freevee, and Amazon Music, to ad buyers.

Prime Video advertising took off quickly. Amazon introduced advertising into Prime Video in January and defaulted viewers into advertising plans. Four-fifths of US Prime Video viewers will be ad-supported this year. Subscription streamers with the most ad-supported viewers heavily subsidize their ad tier.

The competitive landscape: As of August 2024, YouTube accounted for 10.6% of all streaming on connected TV devices, surpassing Netflix (7.9%) and Prime Video (3.1%), according to Nielsen data. YouTube has held the top spot on Nielsen's Gauge report for 16 consecutive months.

Netflix and Disney rolled out ad-supported tiers in their streaming services in late 2022, and Amazon Prime Video joined the party in Q3 2023 when it announced it would launch an ad tier in early 2024. This means that, in a span of 18 months, three major streaming services that were previously ad free will have plenty of inventory to satisfy pent-up demand from advertisers.

Behind the curve: Despite being launched in late 2022, Netflix鈥檚 ad-supported tier has struggled to compete with newer competitors, namely Amazon Prime Video. Prime Video launched its ad-supported tier this year and is already set to become a major competitor in the subscription, ad-supported video race.

Amazon kicked off the year with the launch of advertising on Prime Video, converting 80% of its about 163 million US viewers into ad-supported streaming consumers. Amazon鈥檚 market shakeup is attracting spending, but competitors like Netflix are also drawing increased interest, securing much stronger upfront commitments than in years past. Ad-supported streaming spending was up 20% in H1 2024.

Expanding ad placements, including on Prime Video, has significant potential, he said. 鈥淎nd, all of the information that they get from serving ads to consumers through Prime Video essentially gets appended to their customer record, which will then help them more with the retail media side of their business. So, it's a virtuous cycle.鈥�.

Wayfair, Amazon鈥檚 October sales events delivered outsize results: The home furnishings retailer鈥檚 sales were up nearly 46% compared with the prior 4-week average, while Amazon鈥檚 sale drove a 26% lift.

Why it matters: Streaming subscriptions are quickly becoming a must-have for delivery memberships as they try to attract customers and differentiate themselves from competitors: Instacart has Peacock, Walmart has Paramount+, and Amazon, of course, has its own Prime Video service.

There鈥檚 plenty of runway ahead thanks to Amazon鈥檚 introduction of ads on Prime Video shows and movies. It also began offering advertisers Sponsored TV, a self-service option that enables brands to create campaigns that can appear on over 30 streaming services, including Amazon Freevee and Twitch.

This year, Amazon Prime Video will amass 157.3 million US viewers, just over 13 million shy of Netflix鈥檚 170.6 million. By contrast, Apple TV+ has just over 42 million. 鈥淧rime Video has been around for a while, and is also bundled with a subscription service that is incredibly famous,鈥� said Goldman.

Amazon鈥檚 addition of ads to Prime Video could add up to $5 billion in annual revenues, with around $3 billion from video ads and $1.8 billion from Prime subscribers paying extra to avoid ads, per Bank of America analysis.

Most crucially, Amazon Prime Video reported it will introduce ads in 2024, Walmart and NBCU announced a partnership, Roku inked a deal with Best Buy, and Kroger linked up with Disney. CTV ad spending will be nearly twice what we expected for 2025.

Each year brings new premium content offerings鈥攊ncluding Prime Video shows, NFL Thursday Night Football, and Freevee鈥攚hich help keep Amazon shoppers engaged within its ecosystem, responding to advertising, and buying more products. Prime Day delivers a jolt for Amazon鈥檚 advertising business every year.

A rundown of the top trends and takeaways for advertisers from public policy- and privacy-related conferences held in early April.

The introduction of ads into Prime Video will cement Amazon as one of the largest digital video ad sellers. As CTV advertising diversifies, Amazon Prime Video is pushing ads. Amazon will see $3.13 billion in CTV ad revenues in 2024, according to our forecast.

Amazon is transitioning Prime Video customers to an ad-supported tier by default on January 29, giving it a sizable audience from the start. Prime Video has a head start, benefiting from its experience with ads on Fire TV, Freevee, and on-demand sports, Benes said, unlike Netflix and Disney+, which were both new to introducing ads into their streaming services.

Over the last year, as costs for ad-free streaming subscriptions have increased, industry heavyweights like Netflix, Amazon Prime Video, and Disney+, have introduced ad-supported tiers. This offers a lower price point for those who may not otherwise be able to afford ad-free subscriptions, which deepens the pool of audiences advertisers can target.

The news: The NBA has finalized new partnerships with NBC and Amazon Prime Video, marking significant changes in its broadcasting landscape. These deals, valued at $76 billion, will see the NBA Finals continue on ABC/ESPN for the next 11 seasons. TNT Sports, a current NBA broadcast partner owned by Warner Bros. Discovery, may still contest these agreements, according to CEO David Zaslav.