“Ad-Supported Streaming Trends in 2025: What to Expect”

Key Trends in Ad-Supported Streaming in 2025

The streaming entertainment industry has been quite the roller coaster ride in the first half of 2025. Advertisers and media companies faced uncertainty due to U.S. political instability, which impacted the Upfront and NewFront ad sales season. As a result, a shift in focus is emerging towards automated buying and delivery in the second half of the year.

Media companies now have to decide whether to focus on direct premium sales or embrace technology for automated CTV media buying. These decisions will shape the future of how buyers and sellers interact in the streaming industry.

Ad-supported streaming has become the norm in 2025, preferred by two-thirds of adults over other streaming models due to rising subscription costs and subscription fatigue. Major platforms like Netflix, Disney+, and Amazon Prime Video have expanded their ad-supported options, appealing to cost-conscious consumers and advertisers looking for broader reach.

CTV, or Connected TV, is leading the charge in viewership and advertising growth, with ad spending projected to exceed $25 billion in the U.S. by 2025. Advertisers are drawn to CTV’s engagement rates and targeting capabilities, making it a crucial part of modern media strategies.

However, challenges like tariffs and economic uncertainty may impact the growth of ad-supported streaming in the second half of the year. Media companies need to plan strategically and adapt to potential market fluctuations to navigate these challenges.

Looking ahead to the rest of the year, media companies are gearing up for the Q4 holiday season, a make-or-break period for many. Brands and advertisers are expected to increase their ad spend to reach precise audiences while maintaining control over pricing and targeting.

Media companies are at a turning point in their TV business, needing to unify digital and linear processes to meet advertiser demands for automation and premium placement. Embracing technology upgrades like programmatic capabilities and dynamic ad insertion will be crucial for success in 2025.

In conclusion, media companies have an opportunity to modernize their ad sales strategies by focusing on innovation, agility, and data-driven decision-making. By embracing the shift towards automated buying and investing in advanced technology, media companies can stay competitive and profitable in the ever-evolving world of streaming entertainment.