Mexico. After a cooling off period following the pandemic boom, the Mexican subscription video-on-demand (SVOD) market has resumed a marked dynamism.
At the end of 2024, subscriptions reached 14.3 million, which represents an annual increase of 6.3%, a rebound that is due to a strategic combination: exclusive and highly relevant content, plans with and without advertising, discounts on subscriptions with longer contracting periods, and the growing bundling with telecommunications operators and other digital platforms and services.
Today, 62.1% of Internet users or 62.2 million people consume audiovisual content online, which expands the growth potential of this market.
However, the competition does not only come from other subscription platforms, but also from free models with advertising and the vast flow of content on social networks.
Netflix: Leader with Diminishing Weight. While Netflix maintains the lead with a market share of 49.9% as of the fourth quarter of 2024, this figure reflects a drop of 2.2 percentage points (pp) compared to the second quarter. Despite having tried to diversify its offer with live sporting events, these efforts have been sporadic and without a sustained strategy to retain new segments.
The continued erosion of its dominance is not due to a decline in the quality of its productions, but to an increasingly competitive environment that it has not been able to decipher, much less overcome. Platforms such as Disney+, Max and ViX Premium have perfected their value proposition, adjusting prices, alliances and content to the preferences and pockets of the audience in Mexico.
Other platforms on the rise. Precisely, among the main winning contenders in the market is Max (now HBO Max, again!) which closed the year with 12.0% share, growing 1.5 percentage points (pp), consolidating its position as a platform for premium series and theatrical releases.
Disney+ achieved a modest but significant increase of 0.4 pp, to reach 17.0% due to its multi-franchise strength and affordable rates, through bundling.
In a successful strategic move, ViX Premium capitalized on its exclusive broadcast of Liga MX matches to reach 7.3% share, a gain of 1.3 pp.
This case confirms that local and sports content is key to boosting subscriptions in Mexico.
Variety of Players and Market Fragmentation. Amazon Prime Video (8.7%) maintains a stable leveraged presence in its integration with the Amazon ecosystem, but lacks significant content differentiation, a gap that it could begin to fill in 2025 with premieres adapted to the local market.
Paramount+ (2.0%) and Claro Video (1.1%) continue to struggle to strengthen their relevance against competitors with greater investment and catalog.
These data confirm a growing fragmentation of the SVOD market in Mexico. The diversification of plans – including alternatives with advertising – and strategic alliances are redefining this business model.
Prospective: Hybrid and More Competitive Offer. Looking ahead to 2025 and beyond, the Mexican streaming market will continue to expand, but under a more fragmented and sophisticated scheme.
Platforms that manage to combine three factors – innovation in content, flexible monetization models and loyalty strategies – will be the ones that position themselves at the top of audiences' preference.
Hybrid models (subscription + advertising) will undoubtedly allow you to gain ground in the game, especially among users who are more sensitive to price. Sports and local content will continue to be a significant differentiator, while integration with other digital and telecommunications services will become a decisive factor in increasing reach.
The lesson is clear, at least for the time being: relevant content, competitive pricing, and cross-platform accessibility are essential elements to conquer and retain subscribers in this market.
Analysis written by Ernesto Piedras of The Competitive Intelligence Unit, The CIU.
