With paid video streaming subscriptions in the Middle East and North Africa surpassing 27 million, and the market on track to exceed $1.5 billion by the end of 2025, digital subscriptions have expanded from entertainment platforms to social media apps, AI services, and online gaming, becoming a fixed item in the budgets of many households and individuals.

Some studies in Saudi Arabia indicate that average household spending on digital subscriptions is about 450 riyals per month, equivalent to 2.9% of average monthly income, while global studies estimate subscription spending between 3% and 6% of household income.

Page 2 (1)

Competition enhances consumer selectivity

Economic expert Muhammad Al-Anqari told Al-Iqtisadiya that the shift towards paid subscription models reflects a change in the nature of digital services, which have become part of daily life, expecting consumers to become more selective in choosing platforms that offer the best value for money.

He added that competition among platforms gives consumers wider choices and more competitive prices, while subscriptions have become one of the most important sources of recurring revenue for companies with the growth of the creative economy and increased investment in content production.

He also pointed out that subscriptions could become a financial burden when they exceed the actual needs of the household, stressing the importance of reviewing them periodically and linking them to income level to avoid spending on services with limited use.

Data from Omdia, specializing in research and consulting in the technology, media, and telecommunications sector, indicates that there are more than 13.4 million paid video streaming subscribers in the region, led by Shahid, YouTube Premium, Netflix, and Starzplay.

Transparency and Auto-Renewal

For his part, economic expert Ahmed Al-Shehri said that the accelerated shift of most digital services to the subscription model may push companies to adopt more flexible models such as pay-per-use, coinciding with regulatory authorities in several countries tightening transparency and consumer protection requirements.

He also added that the accumulation of small subscriptions could become financial waste due to auto-renewal or difficulty tracking monthly payments, noting that companies that provide clear and easy procedures for managing and canceling subscriptions will be best able to retain their customers.

He affirmed that the lack of transparency in digital subscriptions is a global phenomenon whose severity varies according to the strength of regulatory systems and the level of consumer protection in each country.

Tech

How do consumers manage their subscriptions?

In a survey conducted by Al-Iqtisadiya, Mishal Hamoud (30 years old) said he spends about 200 riyals per month on 4 monthly services and two annual subscriptions, noting that he now regularly reviews his subscriptions after discovering services he wasn't using.

Ahmed Abdullah (37) said he allocates about 100 riyals per month for subscriptions, and finds AI services the most worthwhile due to their connection to productivity, while he prefers to share some subscriptions to reduce costs.

Masha'il Ibrahim (33) explained that she spends about 120 riyals per month on 3 entertainment subscriptions, and sees no need to subscribe to paid social media platform services.

When participants were asked about the possibility of subscription prices rising by 20%, they confirmed they would continue subscribing to services they rely on essentially, while reassessing less-used services and searching for cheaper alternatives.

Economy based on recurring revenue

Al-Shehri expects the subscription economy to continue growing in the coming years, with preference for companies that offer clear value to users and more transparent and flexible policies, achieving a balance between revenue stability and consumer rights protection.

Giant platforms with hundreds of millions of subscribers

Famous platforms have millions of subscribers, as Netflix's global subscribers in 2025, according to company data, exceeded about 300 million globally, while estimates indicate Disney+ subscribers approaching 284 million, and Amazon Prime has about 200 million subscribers.

On the technical side, Google One has surpassed 100 million subscribers, according to Google data, which says that YouTube Premium has also exceeded 100 million subscribers, while Microsoft 365 for consumers has 75 million subscribers.