New Report Reveals Consumers Are Subscribing to Few Streaming Services and Spending Less

The streaming wars have created numerous new platforms that aim to provide customers with the content that they prefer to watch during their downtime. Netflix sparked this trend, prompting several major corporations including Disney, Amazon and others to follow suit. The abundance of options might indicate that the industry is going through a period of tremendous growth, but in spite of the fact that this is the case, the numbers just don’t seem to support that.

According to a survey of over 4,500 Americans conducted by TiVo in the second quarter of 2023, consumers are using fewer streaming services. Back in the fourth quarter of 2022, consumers were subscribed to around 11.6 streaming services on average. By Q2 2023, this proportion had declined to 10.9, indicating that consumers are less willing to subscribe to a wide range of streaming platforms than might have been the case otherwise.

With all of that having been said and now out of the way, it is important to note that the average amount of money that consumers are spending on their streaming platforms of choice is also experiencing a bit of a downward trajectory. In the last quarter of 2022, customers were spending around $189 a month on their streaming services. This has now plummeted by nearly $20 to reach $170 per month per customer.

The data might be concerning because of the fact that this is the sort of thing that could potentially end up indicating that consumers are getting saturated with too many platforms that don’t offer them all that much value. One thing that bears mentioning is that viewing time is up by 4% for video on demand services, which seems to suggest that consumers are watching more content.

However, they are clearly spending less on it, and they are also reducing the number of platforms that they remain subscribed to with all things having been considered and taken into account. This poses a risk to the industry, and it might make it so that some new platforms will not be able to make it much farther.

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