Sensor Tower：2023年流媒体应用报告

TheStateof

StreamingApps2023

AnAnalysisofTVStreamingAppMarketTrendsintheU.S.andEurope

Introduction

Theentertainmentindustryisundergoingatransformativeshift,withstreaming

platformstakingcenterstage.Astrategythathasgarneredsignificantattentionis

Netflix’scrackdownonpasswordsharing.Whilethismovehasbeenbroadlysuccessful

acrossNetflix’sglobalmarkets,includingtheU.S.,itencounteredchallengesinsome

countries.Forinstance,followingNetflix’spasswordcrackdown,freestreaming

platformsandpublicbroadcastershaveseenasignificantincreaseinactiveusersin

bothSpainandFrance.TheseshiftssuggestthatwhilestreaminggiantslikeNetflixare

becomingmoreandmoreinfluential,traditionalbroadcastingchannelsand

competingstreamingplatformsmaystillholdconsiderablesway.

Asthelandscapecontinuestoevolve,streamingplatformsareadaptingtheir

strategiestoenhanceprofitabilitywhilealsorefiningtheiroutreachmethodstotap

intodiverseagegroups.Somestreamingplatformsarefindingsuccessinacquiring

newaudiencesbyadjustingtheirdigitaladstrategies.Forinstance,platformslike

PlutoTVhavestrategicallyincreasedtheiradinvestmentsinplatformspopularwith

youngeraudiences,suchasTikTok,aimingtocapturethisvibrantmarketsegment.

Ontheotherhand,Disney+,withashiftinadvertisingfocus(alongsideotherstrategic

moves),haseffectivelydrawninamorematureaudience,recognizingthepotentialof

thisdemographic.

Buildingonthismomentumofstrategicshifts,Disney+facesitsownchallengesand

opportunities:WhileitstillstrugglestobethemostpreferredalternativeofbothNetflix

andAmazonPrimeVideousersacrossanumberofcountries,itsupcomingplanto

mergewithHuluintoasinglemobileappfortheU.S.marketcouldsignificantlyboost

engagementandpresentuntappedopportunitiesforadmonetizationnextyear.

Furthermore,theplatform'sevidentappealwithinthegamingcommunitysuggests

gamingcouldalsoemergeasasignificantopportunityforDisney+inthefuture.

2|©2023SensorTowerInc.-AllRightsReserved

Jun-2020

Oct-2020

Feb-2021

Jun-2021

Oct-2021

Feb-2022

Jun-2022

Oct-2022

Feb-2023

Jun-2023

Jun-2020

Oct-2020

Feb-2021

Jun-2021

Oct-2021

Feb-2022

Jun-2022

Oct-2022

Feb-2023

Jun-2023

Disney+

Netflix

MonthlyDownloadsofLeadingTVStreamingApps

U.S.vs.Europe

HBOMaxappphasedout;usersshiftedtonewMAXapp

6M

4M

2M

0

U.S.

Netflix

HBOMax

Peacock

6M

Europe

AmazonPrimeVideo

4M

2M

0

3|©2023SensorTowerInc.-AllRightsReserved

TheU.S.TVStreamingMarket

RemainsCrowded,WhileEuropeisDominatedbyFewerPlayers

TheU.S.televisionstreamingmarket,markedbyfiercecompetition,

standsinstarkcontrasttoEurope's,whichishometomanysmaller

playersandafewpan-Europeanheavyweights.Inrecentyears,theentryofnewU.S.streamingserviceslikeHBOMax,Peacock,andParamount+intoEuropehasrampedup.However,theylargelyremainniche,

possiblydueinparttoregulatoryhurdlesliketheEU's2021rule

requiring30percentofforeignTVstreamingcontenttobeEuropeaninorigin.Despitethisrequirement,theoldcontinent'sstreamingsceneisdominatedbyU.S.-basedservices:Netflix,Disney+,andAmazonPrimeVideoarethethreemostpopularplatformsacrossEurope,accountingfornearly95Mdownloadsin2022.

IntheEuropeanUnion,Netflix,Disney+andAmazonPrimeVideoare

lockedinatightraceforconsumerattention.Althoughpopular,Netflixisn'tthetopchoiceineverycountry:inthefirsthalfof2023,amongtheEU'sfourlargestcountries—Germany,France,Italy,andSpain—itdidnotclaimthetopspotbydownloadsinanyofthem.AmazonPrimeVideo

wasthepreferredchoiceinFranceandItaly,whileDisney+wasfavoredinGermany.InSpain,HBOMax(nowMaxintheU.S.)tookthelead.Yet,NetflixheldthemostactiveusersinEurope,withtwiceasmanymonthlyactiveusers(MAUs)asitsclosestcompetitor,Disney+,andrankedfirstbyactiveusersinallEuropeancountriesexceptSweden.

Note:

TheHBOMaxappwasreplacedbyMaxintheU.S.inMay2023.ThischangeledtoasurgeinMaxappdownloads,exceeding13MinMay2023duetoHBOMax'suser

migration.Tomaintainconsistencyandaccuracy,Max'sdownloadfigureshavebeenexcludedfromthechartsinthisslide.

WeeklyTimeSpent

GooglePlay,U.S.andworldwide

110

100

90

U.S.

80

140

120

100

Worldwide.

80

4|©2023SensorTowerInc.-AllRightsReserved

TimeSpentonNetflixHas

RemainedStableAfter

PasswordCrackdown

Netflix'scrackdownonpasswordsharinghasproveneffectiveingainingnewsubscribers.Withitspaidsharinginitiative,launchedinMay2023

(earlierinsomemarkets)andnowactiveacrossmostofNetflix’sregions,itsawa5.9MincreaseinnewsubscribersinQ22023.Netflixhasreportedthatengagementhasremainedstrongacrossallsubscribertiers.DatafromSensorTowerconfirmsthatoverallengagementwithitsmobile

platformhasindeedremainedconsistentwithpreviousweeks,beforethepasswordsharingcrackdownwasimplemented.

IntheU.S.,weeklytimespenthasremainedstableatmorethan

90minutes,inlinewithpreviousperiods.Globally,timespentintheapphasalsoremainedsteady.SteadyuserengagementandanincreaseinactiveusersinseveralmarketssupporttheeffectivenessofNetflix'spaidsharingchanges.

WeeklyActiveUsersGrowthPostPasswordCrackdown

5weeksbeforevs5weeksafterNetflix’spasswordcrackdown,selectcountries

5%

2.3%

1.9%

1%

-0.6%

4.2%

4%

3.9%

3%

-0.2%

Philippines

Malaysia

Singapore

Israel

U.S.

Italy

U.K.

Germany

Scandinavia

-3.2%

France

Worldwide

2.5%

0%

-2.5%

-5%

5|©2023SensorTowerInc.-AllRightsReserved

NetflixHoldsFirmintheU.S.andAsia,butSomeEuropeansMayBeScoutingNewBingeTerritory

Supportingthedataontimespent,Netflix'sweeklyactiveusers(WAUs)havealsocontinuedtogrowacrosstheglobe.Notably,theU.S.,Netflix'slargestmarketbyweeklyactiveusersin2022,wasamongthetop

performersintermsofWAUgrowth,joinedbythePhilippines,MalaysiaandIsraelamongothers.Thisgrowthbolsterstheargumentthat

Netflix'srecentcrackdownonpasswordsharinghasnotnegativelyimpacteduserengagement.

However,inEurope,thereactiontoNetflix’slatestpolicyappears

morelukewarm.WiththeexceptionofItaly,growthinWAUshasbeenrelativelysubduedacrossmajorEuropeanmarkets,includingGermany,theU.K.,andtheScandinavianregion,withFranceshowingthemost

notabledownturn.Interestingly,inmostlargeEuropeancountries,thedipinNetflix'sweeklyactiveusershasn'tcorrespondedwitha

significantuptakeincompetingstreamingservices,suggestingthatusersdisengagingfromNetflixmaybebidingtheirtimebefore

committingtoanotherservice.InFrance,however,someofNetflix’susersmaybeexploringnewbinge-watchinghorizons,withsome

competingstreamingservicesseeingarecordgrowthinactiveusers.

Note:

NetflixinitiatedacrackdownonpasswordsharingearlierinQ12023inseveralmarkets,includingSpain,Canada,Portugal,andNewZealand.Thecountriesincludedinthechartontherightaresourcedfrompressreportsandrepresentasubsetoftheover100nationswhereNetflixhasreportedlyimplementeditspasswordsharingcrackdowninMay.

FranceTV

WeeklyActiveUsers(WAUs)forFranceTV

France

StartofNetflix's

PasswordCrackdown

250K

125K

0

January2023

March2023

May2023

July2023

WeeklyActiveUsers(WAUs)growthPostPasswordCrackdown

France,fiveweeksafterpasswordcrackdownvspreviousfiveweeksforselectTVstreamingapps

40%

32%

20%

6%

3%

1%

0%

-3%

-20%

FranceTVMYTF1MolotovARTENetflix

6|©2023SensorTowerInc.-AllRightsReserved

FrenchAreTurningtoNationalBroadcastersandFreeTV

Streaming…

Netflix'sweeklyactiveusers(WAUs)inFrancehaveexperiencedsomeofthesteepestdeclinesinEurope,withathreepercentdecreaseinthefiveweeksfollowingNetflix'scrackdownonpasswordsharing.

SensorTowerdatasuggeststhatFrenchNetflixusers,35percentofwhomreportedlyshareaNetflixaccountaccordingtoresearchfirmDigitali,mightbeexploringalternativestreamingservices.

FranceTV,thenationalpublictelevisionbroadcaster,hasseena

substantialincreaseinmobileweeklyactiveusersinrecentweeks,growingbyover30percent.WeeklyactiveuserssurgedintheweekleadinguptoNetflix’spasswordsharingcrackdown,anduserlevelshaveremainedhighcomparedtothefirstfewmonthsof2023.

Notably,sinceAugust2022,FranceTV,alongwithotherpublic

broadcasters,nolongerrequiresaTVlicensefee,significantlyincreasingitsaccessibilityandmakingitamoreappealingalternativetopaying

streamingservices.ThisstandsincontrasttomanyotherEuropeancountries,includingtheU.K.,Italy,andGermany,wherealicensefeeisstillinplace.InEurope,apublicTVlicensefeeisamandatorytaxtypicallyrequiredbyhouseholdsthatownequipmentcapableof

receivingtelevisionbroadcasts,orthatwatchliveTV.

Lendingcredibilitytotheshifttowardsalternativestreamingservices,Frenchviewershaveshownanincreasedinterestinotherfreeplatformstoo.TheseincludeMolotov.tv,whichoffersallthemajorFrench

networks,MYTF1,apopularFrenchcommercialtelevisionnetwork,

andARTE,apublicservicechanneldedicatedtoculturalprogramming.

WeeklyActiveUsers(WAUs),Netflix

Spain

6M

4M

2M

Crackdownon

passwordsharingbeganinSpain

Netflix

Febaruary2021February2022February2023

WeeklyActiveUsers(WAUs)growthPostPasswordCrackdown

Spain,fiveweeksafterpasswordcrackdownvspreviousfiveweeksforselectTVstreamingapps

6%

5%

2%

1.3%

1.2%

-9%

-0.9%

-2%

-10%

PlutoTVHBOMaxDisney+RTVEAmazonPrimeVideoNetflix

7|©2023SensorTowerInc.-AllRightsReserved

…AndinSpain,Netflix’sPaid

SharingHasLedtoaRecord

400KFewerUsers

AmongEuropeancountries,SpainhasseenthesharpeststingfromNetflix'spasswordsharingcrackdown,rolledoutearlierthanmostinFebruary2023.Inthespanofamonth,theappexperiencedalossofover370Kactiveusers.ThisdownturncoincidedwiththerolloutofNetflix'spaidsharingfeature,indicatingthatthenewpolicymaynothavebeenwarmlyreceivedbySpanishviewers.

DatafromDigitalirevealedthatSpainhadthemostNetflixpasswordsharing(47percent)amonglargeEuropeanmarkets.Thiscouldexplainthesteepuserdecline:Withnearlyhalfofsubscriberssharingaccounts,evenaminorpercentageofusersoptingnottocreatetheirown

accountsinresponsetothecrackdownmighthavecontributedtothesubstantialdropinusernumbers.

Incontrast,competitorslikethefreeTVstreamingplatformPluto,

HBOMax,Disney+,andSpain'spublicbroadcasterRTVEhaveall

gainedactiveusersintheweeksfollowingNetflix'spasswordsharing

crackdown.HBOMax,whichsawatwopercentincreaseinengagement,investedarecordamountofdollarsondigitaladsinthemonthleadingtoNetflix’spasswordcrackdown.Concurrently,Disney+offered

discountedyearlysubscriptionstoenticenewuserstosubscribe.AndPluto,withatouchofirony,launchedanadcampaignemphasizingthatitsviewerscouldwatchfilmswithouttheneedtoborrowanaccount

-aveiledcriticismattheverypracticeNetflixwastryingtocurb.

3.2%

2%

3.7%

3.4%

3%

10.7%10.6%

8%

7.3%

5.2%

4.7%

3.4%

3.3%

2.8%

2.3%

2.9%

Hulu

Netflix

Tubi

Pluto

Peacock

Disney

Paramount

PowerUserPercentageforSelectStreamingApps-H12022vsH12023

GooglePlayusersopeningtheappmorethan15dayspermonth,U.S.

11%

5.5%

0%

AmazonPrime

H12022

H12023

8|©2023SensorTowerInc.-AllRightsReserved

NetflixDominatesinUser

EngagementasSmallerand

FreeTVStreamersRise…

InthecompetitivelandscapeofTVstreamingapps,NetflixcontinuestoholditsgroundastheplatformwiththemostengageduserbaseintheU.S.Thestory,however,isquitedifferentforotherheavyweightssuchasAmazonPrimeVideoandDisney+.Despitetheirextensive

contentlibraries,theirshareofpowerusers-thosewhoopentheappmorethan15dayspermonth-trailssignificantlybehindNetflix.

Moreworryingly,theirengagementlevelshavestalledyear-over-year.ThistrendmighthaveservedasacatalystforDisney+'srecent

experimentationswithitsreleasestrategy,whichwillseeMarvel’s

show‘Echo’beingreleasedentirelyatonce,markingafirstinMCUhistory.Moreover,Disney+'splannedmergerwithHuluhasthe

potentialtosubstantiallytransformtheuserengagementlandscape.Bycombiningthetwoplatformsintoaunifiedmobileapplication,theycouldleverageHulu'srobustengagementlevels.Thismerger

mayprovideDisney+theboostitneedstocompetemoreeffectivelyinthestreaminglandscape.

Whilethestreaminggiantsbattleforuserengagement,there

hasbeenanunexpectedtrendinthedirectionoftheirsmaller

competitors:FreestreamingplatformslikeTubiandPlutoTVhavesurgedinpopularityinthefirsthalfof2023,boostingtheirpowerusersby50and26percentrespectively.Thissuggeststhattheseplatformsaresuccessfullycultivatingadedicateduserbase.As

householdstightentheirbeltsduetothecostoflivingcrisis,theseplatforms-offeringfreecontent-maycontinuetobeattractive

optionsforconsumersseekingaffordableentertainment.

Netflix,Disney+andAmazonPrimeVideoAverageUsers’LikelihoodtoUseOtherApps

Q12023,SelectAndroidappsintheU.S.,Likelihoodofusingappwithina30dayperiod

AmazonShoppingisamongtheappsmost

likelytobeusedbyusersofleadingTVstreamingapps.

20%

16%

12%

8%

4%

0%

Note:OtherTVstreamingappshavebeenexcluded

9|©2023SensorTowerInc.-AllRightsReserved

RiseofLow-CostAlternativesMayReshapeFreeTVStreamingAcquisitionStrategy

DatafromSensorTower'sAppOverlaprevealsthatusersoffree

TVstreamingserviceslikeTubiandPlutoTVarenotsignificantly

engagingwithotherfreeplatforms,insteadshowingapreference

forpaidoptionssuchasNetflixandAmazonPrimeVideo.Thistrendunderscoresapotentialexistentialthreattothesefreeservices,

particularlyaslarger,establishedpaidTVstreamingplatformsrolloutlow-cost,ad-supportedtierswithrobustcontentlibraries.

Thisintroducesasignificantchallengeforfreeservices:Theymust

retaintheirexistinguserswhilecompetingmorevigorouslytoattractusersfrompaidplatforms.Howcanthesefreeservicesdrawintheseusers?TheanswermaylieinunderstandingandleveragingtheusagehabitsofusersofpaidTVstreamingplatformsandonwhichother

appstheyarespendingtimeon.

Asshowninthefigureontheright,datafromQ12023revealsthatusersofNetflix,Disney+,andAmazonPrimeVideointheU.S.are

morelikelytoengagewithappslikeAmazonShopping,Spotify,andPinterest.Thisinsightunderscoresthepotentialforanadvertisingstrategyforfreestreamingplatforms:AcalculatedmoveforPlutoTVandTubicouldinvolvestrategicallyplacingdigitaladsonthese

popularapps,whichcouldserveasacatalysttosteertheseuserstowardstheirfreeofferings.

Paramount+

Peacock

Disney+

Hulu

Netflix

Tubi

PlutoTV

AmazonPrimeVideo

GrowthofUsersOver45YearsOldforSelectTVStreamingApps

AppStoreusers,Q22023vsQ22022U.S.

40%

23%22%

20%

15%

2%

1%

0%

-6%

-9%

-13%

-20%

-40%

10|©2023SensorTowerInc.-AllRightsReserved

DespiteitsEngagementDominance,NetflixStrugglestoGrowthe45+,High-Value,UserBase

Netflix'scontenthasstruckachordwiththetastesandpreferencesofthe18-24agegroupintheU.S.,establishingitsdominanceamongthisdemographic.Over22percentofNetflix'sadultusersintheU.S.fallintothisagebracket,markingthehighestproportionamonglargeTVstreamingservices.

Yet,thisshiftswhenitcomestotheover-45demographic.

AlthoughNetflix'sshareofusersover45alignswithotherTV

streamingplatforms,itsyear-on-yeargrowthrateinthiscohorttrailsbehindseveralcompetitors,includingDisney+andParamount+.

Giventheongoingcostoflivingcrisis,thistrendmayhavenotable

revenueimplications.Whileyoungeraudiencesmaybehighly

engaged,theirspendingandwillingnesstospendisoftenreduced

incomparisontoolderdemographics.TheslowergrowthrateamongNetflix’sover-45userscouldmeantheplatformisoverlookinga

lucrative,andpotentiallymorereliable,revenuestream.

Nonetheless,Netflix'sintroductionofalower-cost,ad-supportedsubscriptioncouldbeagamechanger.Thisnewtiermightnot

boostthegrowthrateamongtheover-45s,but,evenifolderusersremainasmallershareoftotalusers,advertisingrevenuedrivenbyalargeroverallsubscriberbasecouldoffsetthis.

$9M

$6M

$3M

$2M

$26M

$15M

Disney+NominalAdSpendbySelectChannels

Q22023,U.S.

$30M

$20M

$10M

$0

FacebookInstagramSnapchatTikTok

Disney+AbsoluteAdSpendGrowthbySelectChannels

Q22023vsQ22022,U.S.

$8M

$3M

$2M

$7M

$7M

$5M

$5M

$3M

$0

$3M

FacebookInstagramSnapchatTikTok

11|©2023SensorTowerInc.-AllRightsReserved

Disney+LeveragedAd

StrategytoShiftTowards

MatureAudiences…

Disney+enteredthestreamingmarketwithastrongfocuson

family-friendlycontent,capitalizingonthewealthofbeloved

brandsinitsportfoliosuchasDisney,Pixar,Marvel,andStarWars.Theplatformhassincebroadeneditscontentofferingstoincludemorematurethemes,particularlyfollowingtheintroductionoftheStarlabel-acontenthubforawiderrangeofmovies,TVshows,

andoriginalproductionsfromstudioslikethe20thCenturyStudios,20thTelevisionandFX.ThismovesignificantlyincreasedDisney+’sappealtoolderdemographics.

AlthoughDisney+beganwithanemphasisonfamily-friendlycontent,recentdataindicatessignificantgrowthinitsuserbaseaged45andover.Thissurgeisnotmerelyabyproductofbroadappeal,butratheraconsequenceofstrategicdecisionsDisney+hasmadetosupportitsgrowth.Notably,Disney+'sdigitaladvertisingstrategyhaspivoted

towardschannelsthatresonatemorewithanolderuserbase.

TheplatformincreasedadspendingonplatformssuchasFacebook,Instagram,,and-whichareknowntodrawamorematureaudience.Thisshiftstandsincontrasttoadecreasein

adspendingonplatformslikeTikTokwhichismorepopularamong

youngerusers.

Disney+’sadstrategyandtheconsiderablegrowthinthe45+userbasesuggeststheplatformmightbetryingtoreachcustomerswithmoredisposableincome,animportantfactorinatimeofhigh

inflation.

66%

43%

26%

166%

wherePlutoTV’sdigitaladinvestmentsthemostinQ22023YoY.

grew

PlutoTVAdSpendGrowthbySelectChannels

Q22023vsQ22022,U.S.

200%

100%

0%

HuluandTikTokareamongthechannels

Hulu

TikTok

Facebook

Instagram

NetflixUsers’LikelihoodtoUseOtherApps

Q12023,Likelihoodofusingappwithina30dayperiod

TikTokisthefifthmostlikelyapptobeused

15%

byusersofNetflix.

10%

5%

0%

12|©2023SensorTowerInc.-AllRightsReserved

…WhilePlutoisHarnessingHulu,YouTube,&TikToktoReach

YoungstersandMinorities

WhilesomeTVstreamingplatformssuchasDisney+havesuccessfullydrawnanolderaudiencebyincreasinginvestmentsinadchannels

suchasFacebookandInstagram,PlutoTVhasblazedadifferenttrail:Ithasraiseditsadinvestmentsinplatformsthataremorepopular

withyoungeraudiences.PlutoTV'sinvestmentinTikTokads,for

instance,surgedby66percentyear-over-yearinQ22023.Alongsidethis,PlutoTVhasalsoenhanceditsadspendonplatformslikeHulu.It’sworthnotingthatasofQ22023,Huluheldoneofthehighest

shareofmobileusersbetween25and44amongallmajorTV

streamingplatformsintheU.S.

ThisadstrategycouldbeinterpretedasPlutoTV’sreactionto

competitionfromotherplatformslikeNetflixandDisney+thatnowofferlower-cost,ad-supportedsubscriptions,therebypotentially

attractingyoungerusers,butalsoasatacticalplaytolureusersfromNetflixafteritscrackdownonpasswordsharing.

Intriguingly,PlutoTV'sincreasedinvestmentinTikToktakesonanewlightwhenconsideringthatTikTokisamongthetopfiveappswhereNetflixusersintheU.S.aremostlikelytospendtimeon.ThissuggeststhatPlutoTVmaybeleveragingTikTok'spopularityamongNetflix

userstodrawaportionofthisaudiencetoitsownplatform.

Furthermore,lookingatcross-appusagedatafromNetflix,thereareseveralotherappsandplatforms,includingAmazonShoppingandSpotify,whereNetflixusersaresignificantlymorelikelytobeactive(seechartontheright).TheseplatformscouldpresentadditionalopportunitiesforPlutoTVtoreachandengagemoreNetflixusers.

UserRetentionforSelectStreamingApps

Selecttopstreamingapps,GooglePlay,worldwideinQ22023

RetainedUsers

NewUsers

ResurrectedUsers

%

79

%

3

19%

71%

8%

21%

71%

7%

23%

69%

8%

24%

65%

7%

27%

0%20%40%60%80%100%

Note:Resurrectedusersareuserswhowereinactiveinthepreviousmonthbuthaveresumedusingtheappinthefollowingmonth.

13|©2023SensorTowerInc.-AllRightsReserved

NetflixExcelsinRetainingUsers,FacesNewUserAcquisition

Challenges

Amongthetopstreamingapps,Netflixdemonstratesanexceptional

abilitytoretainusers,boastingthehighestretentionrateof79percent.

ThisfigureunderscoresNetflix'ssuccessinkeepingexistingusersengagedandsatisfiedwithitsdiversecontentofferings.However,Netflix

encounterschallengesinattractingnewuserswhencomparedtoits

competitors.WhileHBOMax(Max),AmazonPrimeVideo,Hulu,and

Disney+allachievenewuserratesofatleast7percent,Netflixfallsbehindwithanewuserrateofonly3percent.ThelowernewuserrateforNetflixmaybeattributabletomarketsaturationandaccountsharing.

Netflix'srecentcrackdownonpasswordsharinghasyieldedamodestpositiveimpactonoverallnewdownloads.Acomparisonofthefour

weeksbeforeandafterthecrackdownrevealsafivepercentincreaseinoveralldownloadsforNetflix.Moreover,fromMay2023toJune2023,Netflix'snewuserrateexperiencedaslightrisefrom3percentto3.3

percent.Whilethecrackdownmayhavecontributedtoaminorboostinnewuseracquisition,itsoverallimpactremainsrelativelymodest.

ImpactofPasswordSharingCrackdownonNetflixDownloads

Worldwide

+5%

128M13.4M

.

4weeksbeforecrackdown

onpasswordsharing

4weeksafercrackdownonpasswordsharing

12M

6M

0M

ChangeinChurnRatesforSelectStreamingAppsRelativetoMay2020

GooglePlay,May2020baseline,Worldwide

50%

Netflix

25%

AmazonPrime

Video

0%

Disney+

-25%

-50%

14|©2023SensorTowerInc.-AllRightsReserved

Disney+’sChurnRateHasBeen

FallingAmidIncreasein45+Users

Disney+'sreductioninuserchurnsince2020-auniquetrendamongmajorTVstreamingapps-signalsitssuccessinretainingitsuser

base.Thiscouldpotentiallybeattributedtoitsexpandedcontent

offeringsthatcatertoawiderangeofviewerinterests.Theplatform'sstrategicfocusonthe45+demographic,agroupthatisoften

perceivedasbeingmorebrandloyal,mighthavealsoplayedaroleinthisachievement.Conversely,Netflix,whilestillmaintainingthelowestoverallchurnrateamongleadingTVstreamingplatforms(seechartbelow),hasexperiencedanupwardtrendinchurnsince2020,withanotableincreaseoverthepastyear.

ChurnRatesforSelectStreamingApps

Q22023,GooglePlay,worldwide

30.8%

30.8%

AmazonPrimeVideo

Disney+

Netflix

22.1%

40%

20%

0%

AmazonPrimeVideoandNetflixUsers’LikelihoodofUsingOtherStreamingAppsDuringtheSameMonth

Q12023,worldwide.GooglePlay

Whichisthealternativestreamingapp

Netflix’susersaremostlikelytouse?

50%

25%

0%

AmazonPrimeVideoemergesasthemost

likelychoiceforNetflixusersacrossseveral

markets

USUKGermanyFranceItalyCanada

50%

25%

0%

Whichisthealternativestreamingapp

AmazonPrimeVideo’susersaremostlikelytouse?

NetflixisthemostpopularappforAmazon

PrimeVideoUsersacrossanumberofcountries

USUKGermanyFranceItalyCanada

15|©2023SensorTowerInc.-AllRightsReserved

Disney+StrugglesasTop

AlternativeforNetflixand

AmazonPrimeVideoUsers

Lookingatthecross-appusageofNetflixusers,AmazonPrimeVideoemergesastheTVstreamingplatformtheyaremostlikelytouseintandemwithNetflix.ThispatternisconsistentacrossseveralWesterncountries,includingtheU.S.andtheU.K.

Interestingly,thistrendisalsomirroredamongAmazonPrimeVideousers,whoshowanotableoverlapwithNetflix,indicatingitastheirpreferredsupplementarystreamingservice.Netflixusers'cross-useofAmazonPrimeVideoislesspronouncedthanthereversescenario.ThiscouldbeinterpretedasasignofhigherloyaltyamongNetflix

users,possiblyduetoNetflix'sbroadanddiversecontentofferingsthatkeepitsusersengagedandreducetheirinclinationtoseek

contentonotherstreamingplatforms.

Inarevealingtwist,Disney+doesnotemergeasthetopalternativechoiceamongusersofNetflixorAmazonPrimeVideoacrossthesecountries.ThisunderlinesDisney+'suniquepositioninthestreamingmarket.Eventhoughitissuccessfulinitsownright,itdoesnot

appeartobethego-tos