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Average Streaming Service Spend Drops To $64 A Month (Down From $73 In 2023)

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Average spending on streaming services has dropped down to $64 a month, according to the latest findings from Parks Associates. While this is only a decrease of $9 when compared to the $73 average spend noted in 2023, it is significantly lower than the $90 average spend reported in 2021.

Based on the data, average spend has dropped by around 30% since 2021. When considering how many services have increased in price since then, and in some cases, multiple times, the decline in streaming subscriptions may actually be higher than the decline in average spend might suggest.

In explaining the drop, Parks Associates points to how consumers are now turning to ad-based alternatives more often. Whether it is ad-supported plans helping to lower the cost of paid streaming services, or free ad-supported streaming services in general, any increase in the use of ad-based services is likely to result in a lower average spend.

Consumers are spending less, but rather than go without, many are using ad-based alternatives to save on costs,” said Sarah Lee, Research Analyst, Parks Associates. “A service needs to provide unique and ongoing value if it is to charge a premium.”

On the topic of free versus paid, Parks Associates suggests that the number of people paying for multiple subscriptions is showing signs of decline as well. For example, the report found that only 20% of U.S. internet households report paying for nine or more services in Q1 2024, and this compares to 29% in Q3 2023.

While nine or more is at the top end of the subscription spectrum, the report found the average number of streaming service subscriptions has dropped below five per household. The report also found that 32% of homes that have cancelled a service in the past twelve months cited the cost as a reason.

The last takeaway matches a number of recent surveys and reports that have pointed to consumers increasingly losing interest in having multiple subscriptions, often finding paid subscriptions to no longer be worth the money.

John Finn

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