蘑菇AV

Our take: As ad-free streaming services grow, Rembrand's AI-powered approach to product placement could provide brands a scalable way to reach ad-resistant audiences.

2025 is a crucial year for Netflix鈥檚 future: The streaming leader鈥檚 first sports rights deal begins in days, teeing up future opportunities.

The average US adult will spend more than 8 hours per day on digital media this year, with about half of that time spent on mobile devices and more than a quarter on CTV.鈥�

That figure represents 80.0% of the total Prime Video audience of 163.0 million in 2024 and will put Prime Video well ahead of Hulu as the largest ad-supported subscription OTT (sub OTT) video service in the US. To view the full forecast, click here. Ads on Prime Video will boost the power of Amazon in retail media CTV advertising.

Our take: Apple's blend of traditional marketing tactics with its tech-forward approach represents a calculated move in the premium streaming wars. As with its recent move to make Apple TV+ available on Prime Video, the platform is innovating around the edges.

The immense popularity of paid and ad-supported streaming services, like Netflix and YouTube, has accelerated cord-cutting trends and contributed to revenue losses for traditional media providers.

As the TV and streaming landscape becomes increasingly fragmented, the terms used to describe different ways to watch are multiplying. We鈥檝e already broken down the difference between connected TV (CTV) and OTT. With subscription video-on-demand (SVOD) platforms becoming ad-supported SVODs, and ad-supported video on demand (AVOD) platforms building out free ad-supported TV (FAST) platforms, it鈥檚 difficult to keep track of what cord-cutters are actually watching. Here鈥檚 a breakdown.

Streaming gains will more than make up for linear TV losses鈥攁t least for the time being. Upfront digital video ad spending will tack on an additional $5.06 billion this year. The influx in digital upfront spending stems from Amazon Prime Video鈥檚 new ad tier and more live sports coming to streaming services. Nielsen will remain the primary currency.

The company鈥檚 May Upfronts represented a turning point in streaming ads' maturation process. Its streaming success encouraged the tech giant to raise ad loads in 2025. Advertising on Amazon became more expensive, though RoAS remained strong. It also rolled out multiple shoppable video ad formats.

Why it matters: The streaming giant's sports strategy extends beyond immediate viewership. The NFL deal represents a broader push into live sports. The company鈥檚 WWE streaming rights begin in 2025, and a successful NFL stream could position Netflix to win rights when they go up for grabs again next year. Future rights include the Women's World Cup in 2027 and 2031.

Connected TV (CTV) is revolutionizing television advertising by combining engaging content with targeted, data-driven strategies. With 75% of the US population watching OTT video, according to 蘑菇AV, advertisers have a golden opportunity to reach their ideal audiences.

Major streaming platforms are actively competing for women's sports content rights. Traditional broadcasters are dedicating more prime slots to women's sports coverage. Our take: The doubling of women's sports viewership represents more than just audience growth鈥攊t鈥檚 a noteworthy shift in the sports media landscape.

Consumers are increasingly comfortable with ads on streaming platforms. Just 13% disapproved of the format in 2023, down from 36% in 2022, according to Disqo. Attitudes have shifted as ads have become more common on platforms like Amazon Prime Video and Netflix. 74.8% of US OTT video service users will watch ad-supported video-on-demand (AVOD) in 2025, per our October 2024 forecast.

More subscription video streaming services are pushing advertising. At the same time, free ad-supported streamers are gaining viewers. These developments provide advertisers with more options to find audiences.

On today's podcast episode, we discuss what was behind the streaming giants staggering subscriber growth, how Prime Video's new ad-tier will affect Netflix, and how a deal with the WWE changes its sports strategy. "In Other News," we talk about an important milestone for ad-supported video streaming. Tune in to the discussion with our analyst Daniel Konstantinovic.