Prime Video is a strong contender in the Latin American (LATAM) streaming market, but it still trails Netflix due to several key factors, according to BB Media analysts.
# 1 Brand Recognition and Longevity
Netflix entered the LATAM market earlier, establishing itself as the first choice for streaming. Its long-standing presence has given it significant brand recognition and trust among users. This “first-mover advantage” is difficult for competitors like Prime Video to overcome.
# 2 Content Library Depth and Localization
Netflix has a larger, more diversified content library, including a significant investment in local content tailored to LATAM audiences. Productions like La Casa de Papel (Money Heist) and Who Killed Sara? have captivated local viewers.
While Prime Video’s originals are appreciated, the total volume and cultural alignment of its content with LATAM audiences are less comprehensive than Netflix’s offering.
# 3 Platform Features and Accessibility
Netflix leads in user-friendly features like flexible downloading options and a streamlined interface. Its downloads policy — allowing flexibility based on subscription tiers and accommodating multiple devices — makes it more accessible for families or shared accounts.
Prime Video’s device download restrictions and less intuitive interface create friction for users compared to Netflix’s smoother experience.
# 4 Algorithm and Recommendations
Netflix’s sophisticated recommendation engine consistently delivers highly personalized content suggestions, keeping users engaged longer. Prime Video’s algorithms, though improving, are less adept at predicting user preferences.
# 5 Marketing and User Perception
Netflix has a consistent marketing presence in LATAM, creating buzz around new shows and movies through aggressive campaigns. Its reputation as a trendsetter in streaming gives it an edge.
Prime Video, while recognized for affordability and unique offerings, lacks the same cultural footprint or viral appeal in the region.
# 6 Price vs. Value Perception
Although Prime Video is more affordable and offers flexible plans, Netflix users perceive the higher cost as justified by its expansive content library, consistent updates, and superior user experience.
# 7 Competitor Benchmarks
Other competitors like Disney+ and HBO Max are also capturing market share with niche offerings. While Prime Video excels in pricing and flexibility, it faces intense competition from platforms with exclusive franchises or critically acclaimed originals.
Opportunities for Prime Video:
To close the gap with Netflix in LATAM, Prime Video could:
Invest more in localized original content to resonate with LATAM audiences.
Improve the download experience by removing device restrictions and expanding features for offline viewing.
Enhance the recommendation algorithm to better cater to regional tastes.
Bolster marketing efforts with campaigns that emphasize unique features and content.
Netflix’s lead in LATAM stems from a combination of legacy, local relevance, and superior technology. However, with targeted improvements, Prime Video can strengthen its foothold and potentially gain ground in the region.
Baburajan Kizhakedath
