With June marking the highest rate of inflation in 41 years, Americans are finding ways to save. For many households, that is coming in the form of cutting back on streaming services.
Stacker cited data from the Bureau of Labor Statistics to look at the growth in spending on streaming since 2013 and considered how the pandemic, recent inflation, and continuous addition of new streaming services have impacted viewers.
Most streaming services provide exclusive programming at a monthly rate. For viewers with multiple subscriptions, costs can quickly add up. A 2021 survey conducted by Mohu, an HDTV antenna provider, found that 2 in 5 Americans (44%) planned to cancel at least one of their TV streaming subscriptions in the near future. The main reasons consumers gave for canceling? Rising costs and the lack of content.
The run of streaming services unequivocally changed how millions of Americans watch TV. Gone are the days of scheduled programming, when viewers had to wait until a specific time and day for a favorite show to come on. We’re deep into the era of instant gratification, where we can binge-watch entire series at a clip. In 2021, U.S. research firm Nielsen found while traditional TV viewers are still plentiful, streaming habits are gaining quickly.
But as subscription costs rise along with inflation and streaming options expand, streaming service cancellations are climbing. Netflix hemorrhaged 200,000 subscribers between January and March 2022, and is expected to lose another 2 million by the end of July.