Just how fragmented is the streaming landscape? A recent Attain survey looked at the ways respondents subscribe to multiple streaming services simultaneously: 56% of respondents subscribe to Netflix, 41% to Hulu, 39% to Amazon Prime TV, and 36% to Disney+.
As streaming platforms proliferate and subscription costs rise, consumer behavior is evolving in response to an increasingly fragmented content ecosystem. This shift presents both challenges and opportunities for advertisers navigating the complex connected TV (CTV) landscape.
The pendulum has swung back toward bundled offerings as viewers seek cost efficiencies amid subscription fautique. Attain's survey data reveals significant demographic patterns driving this trend, with age groups 25 - 54 showing higher-than-average engagement across all streaming services, while older viewers (55 - 64 and 65+) continue to over-index for traditional Live Cable TV.
The generational divide creates opportunities for strategic bundling, as demonstrated by the success of recent package offerings.
"The shift back towards consumer preference to bundles has been well-documented over the past couple of years," says Kevin Cahn, Associate Vice President and Head of Media COEs at Kepler Group. "Disney and Warner Brothers Discovery have a Disney Plus, Hulu and Max Bundle that seems to have garnered several million new subscribers and helped them keep a vast majority of those subscribers."
As Attain's data shows, Netflix and Prime Video dominate as both primary services and destinations for switchers, while second-tier platforms like Peacock TV (24% subscription rate) and HBO Max (26%) capture a significantly smaller percentage of migrating viewers.
According to Attain's churn analysis, these platforms gain just 6-13% of subscribers leaving top-tier services, suggesting that bundles combining premium and mid-tier offerings could provide compelling value propositions.
Cahn attributes this trend to broader economic factors: "I don't necessarily see a reason that would change given the macroeconomic environment and a lot of what we see in quarterly earnings statements outside of streaming from retailers and airlines and different businesses that are all noting consumers looking for cost effectiveness."
As premium streaming services implement price increases and crack down on password sharing, churn rates are increasing, particularly among younger demographics. This has accelerated the growth of free ad-supported streaming TV (FAST) platforms as viable alternatives.
“With price hikes on premium platforms and companies cracking down on account sharing, users—especially in younger demos—are ditching subscriptions and favoring platforms like Tubi, Pluto TV, and Roku Channel, pushing more advertisers to shift budgets to FAST channels,” says Madelaine Robinson, group director of media and analytics at independent agency Duncan Channon.
Nielsen data confirms this shift, with streaming continuing to increase its share at the expense of linear TV. While binge-watching remains popular, viewing patterns are evolving as platforms experiment with content release strategies.
"Premium platforms are experimenting with hybrid release models (e.g., weekly episodic drops) to sustain engagement and subscriptions over longer periods," notes Robinson. "In contrast, FAST platforms are curating use-cases for TV bingers (e.g., true crime channels and reality TV marathons)."
Industry observers expect further consolidation as streaming platforms compete for share in an increasingly crowded market. This consolidation could take multiple forms, from merged consumer-facing apps to tech infrastructure integration.
"I do expect we will see more consolidation in time, both in the consumer-facing consolidation of apps with potentially some of the smaller partners being absorbed by larger, more established streamers, and I think there will be additional tech consolidation," Cahn predicts.
Robinson sees potential benefits for advertisers in this trend. "Companies like Warner Bros. Discovery, Disney, and Paramount are exploring bundling options or strategic partnerships to streamline offerings, but we don't expect the implications for advertisers to be anything but positive. Being able to reach more users through one inventory source helps to manage pricing, targeting, reach and frequency."
As the TV landscape fragments further, advertisers face growing challenges in accurately measuring campaign effectiveness across platforms. Rather than converging on a single standard, the industry appears to be embracing multiple measurement currencies. "I do think we will exist in a multicurrency world as we move forward," says Cahn. "There are multiple credible currencies out there, and I think we look at the currency discussion as one aspect of the broader conversation."
This shift has pushed brands and agencies to rethink their measurement strategies, ensuring that campaign impact is evaluated holistically rather than in silos. Elise Stieferman, VP of Marketing and Business Strategy at Coegi, emphasizes the need for holistic measurement approaches. “To assess the real impact of connected TV, brands should take an incrementality-driven approach—understanding the lift generated by CTV within the full media mix. Pairing this with media mix modeling or similar methodologies helps marketers make informed investment decisions that optimize effectiveness across all channels rather than isolating CTV as a standalone tactic.”
At the same time, many in the industry believe that measurement must ultimately tie back to real business outcomes. Dan Kurtter, Senior Vice President of Strategy and Product at Attain, emphasizes the need for consistency across all channels. "In a fragmented landscape, measurement needs to drive a consistent outcome, agnostic of channel. At Attain, we believe that should be down to the actual verified sale, measured by incremental return on ad spend. Other metrics can help tell a story, but are derivatives of how the ad led to a sale."
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