Americans Are Canceling Streaming Subscriptions

By: Anneken Tappe · January 03, 2024 · Reading Time: 2 minutes

Cutting Back

Streaming providers are finding it harder to keep their customers.

The idea of ditching cable bundles for select streaming subscriptions has turned into maintaining streaming bundles that feel eerily close to the cable bundles of yesteryear.

Households can no longer rely on one Netflix (NFLX) subscription to stream all their favorite shows. Content is increasingly spread out across the platforms, and with prices going up, consumers are becoming more strategic about the services they want. As a result, subscription cancellations are on the rise.

Data Don’t Lie

Roughly 25% of Americans who subscribe to these premium streaming services opted to cancel at least three of them within the past two years, according to subscription analytics firm Antenna. Just two years ago, that number sat at 15%.

But, while subscribers may be getting pickier, the data suggest this is all part of a predictable consumption cycle, as viewers look to optimize according to their buying power. A quarter of those who cancel services typically resubscribe within four months, while a third do so within seven months.

Feeling the Pressure

Streaming providers are feeling mounting pressure to improve profitability and retain customers who are trying to save a few months worth of fees between their favorite shows dropping new seasons.

Low-cost ad-supported subscription tiers, discounts, free trials, and bundling subscriptions with rival companies are all aimed at retaining customers. Time will tell if that’s enough.

Looking for more stories like this? Check out On the Money — SoFi’s one-stop-shop for news, trends, and tips!

Check it out

Please understand that this information provided is general in nature and shouldn’t be construed as a recommendation or solicitation of any products offered by SoFi’s affiliates and subsidiaries. In addition, this information is by no means meant to provide investment or financial advice, nor is it intended to serve as the basis for any investment decision or recommendation to buy or sell any asset. Keep in mind that investing involves risk, and past performance of an asset never guarantees future results or returns. It’s important for investors to consider their specific financial needs, goals, and risk profile before making an investment decision.
No brands or products mentioned are affiliated with SoFi, nor do they endorse or sponsor this content.
Communication of SoFi Wealth LLC an SEC Registered Investment Advisor
SoFi isn’t recommending and is not affiliated with the brands or companies displayed. Brands displayed neither endorse or sponsor this article. Third party trademarks and service marks referenced are property of their respective owners.

TLS 1.2 Encrypted
Equal Housing Lender