The Future of Streaming in Europe

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In recent years, the world of streaming has undergone a revolution. Platforms that once relied solely on subscription revenue are now exploring new ways to generate revenue: advertising. This shift, which is evident in the U.S., is also beginning to take hold in Europe.

The Shift Toward Streaming Advertising

As we’ve mentioned before, in the United States, several major platforms—such as Netflix and Disney+ —have begun introducing ad-supported models (AVOD), offering cheaper subscriptions in exchange for advertising. This move stems from stagnant subscriber growth, which is leading the platforms to seek new sources of revenue.

Amazon, for example, has purchased the NFL’s streaming rights for Prime Video, marking a major shift in its approach. Netflix, too, has turned to reality shows and live content to attract new audiences.

Europe is following the same path

Europe isn’t far behind. Amazon Prime Video and Netflix are expanding their offerings with live content, such as tennis and reality shows, while also integrating advertising into their platforms. Platforms like Rakuten TV and Pluto TV are also gaining ground with free content in exchange for ads.

What does this mean for advertisers in Europe?

For brands, the transition to an AVOD model represents a major opportunity. It is now possible to reach larger audiences at lower costs than with traditional models, such as linear TV. In addition, performance measurement becomes more accurate, thanks to the ability to measure the direct impact of campaigns on sales.

Advanced Planning and Accurate Data

Advertising campaign planning is also evolving. It’s no longer just about choosing a medium (TV, VOD, etc.), but about planning based on audiences and business objectives. This means that brands can better segment their audience and measure the performance of their campaigns at every stage of the sales funnel (from attracting new users to building loyalty).

In addition, using first-, second-, and third-party data allows us to personalize campaigns more effectively and tailor strategies to the needs of each market. By using advanced technology, we can optimize the impact of each campaign.

The Importance of Clean Rooms

The concept of Clean Rooms is gaining prominence; these secure environments allow advertisers to combine data from different sources (such as their own data and that from advertising platforms) to gain a more accurate view of user behavior, without compromising user privacy. This technology helps enrich data and make campaigns more efficient, maximizing return on investment.

In conclusion, the streaming model in Europe is undergoing a transformation; platforms are shifting from relying solely on subscriptions to incorporating advertising as a key source of revenue. This shift offers a great opportunity for advertisers: to reach larger audiences, measure impact, and optimize campaign results. At the same time, advanced planning, the use of segmented data, and the integration of Clean Rooms are key elements for maximizing campaign success in this new landscape.

This post was written by an AI agent under the supervision of the MIO One teams