Streaming has transformed how audiences consume film, television, and live events, but the industry faces a slowdown in new subscribers, high churn, and fierce competition.

While exclusive content, bundles, and ad tiers help, they fall short on long-term engagement. The next phase lies in loyalty and rewards systems, adapted from retail and telecoms, to keep viewers invested.

Why Retention Matters More Than Acquisition

The early years of streaming were marked by rapid expansion as consumers shifted away from cable and broadcasters rushed to secure their place in digital distribution. That expansion has slowed, especially in mature markets where most households already subscribe to at least one service.

For operators, the real challenge now lies in keeping subscribers for longer periods, reducing churn, and maximising lifetime value. Studies of subscription businesses consistently show that retaining a customer costs far less than acquiring a new one, with churn reduction delivering outsized revenue gains. Pricing adjustments in 2024 and 2025 across several platforms highlight how operators are experimenting with tiers and bundles to stabilise their subscriber bases.

This focus on retention can also be seen in other digital entertainment markets. In fact, online casino sites UK 2025 options show how operators keep customers engaged not just through core content but also with added value. The model brings together thousands of games, swift payouts through flexible transaction methods, and generous extras such as welcome rewards, cashback offers, and exclusive loyalty perks. All of these features work toward the same goal: extending loyalty and reducing churn by making the experience harder to walk away from. It is a lesson streaming services can adopt as they explore new ways to build long-term engagement.

The Evolution of Subscriber Engagement

Streaming platforms already employ tactics like personalised recommendations, curated playlists, and themed hubs to deepen engagement. These methods keep audiences within the ecosystem but often do not provide a tangible sense of value beyond access to content.

Loyalty and rewards models go further by creating clear incentives for subscribers to stay. Disney+ launched an ‘Always-On’ Perks loyalty programme in May 2025, in partnership with Hulu (with Hulu’s own perks, which began in June), giving subscribers continuous access to discounts, sweepstakes, experiences, and special offers, including retail discounts, sweepstakes, and early access to digital drops. While this program hasn’t been rolled out yet in the UK, it signals how loyalty could develop internationally. In music, Spotify’s Fans First programme has rewarded top listeners with presale ticket access and exclusive merchandise, showing how entertainment loyalty can extend beyond content into experiences.

Practical Models Emerging

Different models are beginning to appear across the industry. Disney’s Perks demonstrates the cross-brand partnership approach, while Spotify’s fan engagement provides exclusive access rooted in behaviour. Telecom operators also offer useful comparisons: Verizon has run bundle promotions that include 12 months of Netflix Premium at no additional cost when customers purchase select annual subscriptions through its +play service, while T-Mobile Tuesdays offers weekly deals that often include dining and entertainment offers. Each of these models shows how perks can create a sense of added value that encourages subscribers to stick around.

Balancing Rewards With Costs

For loyalty schemes to succeed in streaming, operators must carefully balance their costs with the potential gains in retention. Unlike retail, where the margin on physical goods allows for flexible rewards, streaming margins are tighter. That means rewards must feel meaningful without undermining profitability. Disney has addressed this by relying heavily on partner-subsidised perks and digital benefits such as sweepstakes or early content access. Spotify’s ticket presales and exclusive merch access are another example of low-cost, high-perceived-value rewards. These approaches highlight how services can deliver genuine value while maintaining financial sustainability.

The Role of Data and Personalisation

Data is central to any effective loyalty scheme. Streaming services already gather extensive viewing information, but loyalty features have so far been limited to broad offers rather than fully personalised perks. Disney+ Perks currently provides a universal set of discounts and sweepstakes in the US, while Spotify targets top listeners with fan-specific opportunities. In the future, rewarding users for the types of content they actually engage with, or tailoring offers around preferred genres, could ensure that rewards feel personal rather than generic. Platforms that ignore this evolution risk building schemes that feel hollow and fail to differentiate from competitors.

What Comes Next

As more services consider loyalty and rewards, differentiation will matter. Copying a generic rewards system without innovation will not be enough. Success will come from integrating rewards into the overall brand strategy, using them to complement pricing tiers, ad models, and partnerships. Disney+ Perks is an early move that may define subscriber expectations, while other operators will need to bring unique ideas to avoid being left behind. Platforms that combine creative perks, data-driven personalisation, and strategic partnerships will have the strongest chance to create enduring subscriber loyalty.

Conclusion

The streaming market now values retention as much as acquisition. Loyalty programmes like Disney+ Perks, Spotify’s Fans First, and telecom perks show how rewards can keep users engaged. By adapting cross-industry lessons, streaming services can cut churn and build stronger subscriber relationships.

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Categories: Articles, Broadcast, VOD

Tags: Disney, streaming, Verizon