Parks Associates June 25 announced that new data found a 30% drop in spending for streaming SVOD services, with the average U.S. internet household spending about $63 per month on streaming video services, down from $90 in 2021.
“Consumers are spending less … many are using [lower-cost] ad-based streaming alternatives to save on costs,” analyst Sarah Lee said in a statement.
Parks said that in the first quarter, 20% of U.S. internet households paid for nine or more services, versus 29% in Q3 2023. The overall average number of streaming video service subscriptions per household has dropped below five, and 32% of households that canceled a service in the past 12 months cited a need to cut household expenses as the reason.
“All categories of household services face challenges, as consumers reevaluate their spending and subscriptions,” analyst Elizabeth Parks said in a statement. “A focus on value and education, the user interface, and the customer experience is what will drive the next generation of services in the home.”
From the article, "Parks: Household Average SVOD Spending Drops from $90 to $64 Monthly" by Erik Gruenwedel
Not only are consumers saying video aggregators are simple to navigate across, but they also value having a single bill for all their apps. OTT bundling is a key source of revenue for pay TV and other...
The evolution of content distribution and the consistent growth of over-the-top (OTT) streaming generates industry predictions of the inevitable decline and fall of pay TV. As video ecosystems collide...
Like all streaming services, Disney+ saw strong growth during the pandemic but competitor Netflix reported losing subscribers last quarter. But Disney+ is cheaper than Netflix – an increasingly import...
According to analysis by research firm Parks Associates, password piracy and sharing cost streaming providers like Netflix, Hulu, and Disney Plus $9.1 billion in 2019 alone. Why aren’t these companies...
