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Americans Spend How Much on Streaming Each Month?
By Movieguide® Contributor
Everyone knows that streaming plays a huge part in Americans’ day-to-day lives, but a new survey just dropped some shocking facts about media use.
The survey, conducted by Forbes and research company OnePoll, tapped 1,000 Americans who “engage in media streaming for more than one hour on average per day.”
The results were surprising.
On average, “Americans are dedicating a substantial three hours and nine minutes each day to streaming digital media.”
Forbes explained that “this engagement translates to over 21 hours per week — equivalent to the commitment of a part-time job. This significant investment of time underscores the central role that streaming services play in entertainment and information consumption for the average American.”
Another shocking discovery is how many Americans subscribe to streaming services. If you were to guess, you’d maybe assume that 70 to 80 percent of U.S. households subscribe to a streamer.
In reality, “an overwhelming 99% of U.S. households now subscribe to at least one or more streaming services, with Netflix, Amazon Prime Video and Apple TV+ topping the charts.” Netflix, unsurprisingly, was found to be the most subscribed to service.
On average, Americans spend $46 per month on streaming. This adds up quickly, depending on whether you opt for subscribing to streamers’ ad-free or ad-supported tiers.
For example, Netflix with ads is just $6.99 per month. Without, though, subscriptions can range from $15.49 to $22.99 or more, depending on if you add extra users. Throw a few other subscriptions in there, and you reach $46 per month.
However, it’s also no surprise that in this climate of inflation, “45% have canceled a streaming subscription within the last year because costs were too high.”
Movieguide® previously reported on this issue:
A new study from the information company TransUnion found that millennials are particularly intolerant of rising prices, with 53% saying they have given up a subscription in the past due to a price hike.
Among Gen Z, “30% of them cancel[ed] more than one service in the last six months and another 30% [told] researchers they had canceled one service.
In regard to canceling services, Forbes found that Disney+ seems to be the first service most users choose to cut ties with. “Among various platforms, Disney+ appears to be the most vulnerable to customer attrition due to price hikes. According to the survey, 44% of streaming users indicated that Disney+ would be the first service they would drop if subscription prices increased.”
This has already happened. When the streamer upped costs last fall, Disney+ lost 1.3 million core subscribers. It’s planning to hike prices again this fall, so it remains to be seen whether that will drive more users away.
Despite price hikes, the streaming industry is doing very well. So well, in fact, that other non-entertainment companies are trying to get in on it (looking at you, Chick-fil-A). Forbes reported that the industry is currently valued at $544 billion.
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