Consumers cut back on streaming services with personalization preferences on the rise

Consumers are reducing the number of video services they use and cutting entertainment spending, according to TiVo’s Q4 2024 “Video Trends Report.”

The report, which surveyed 4,490 adults across the United States and Canada, found that average monthly entertainment spending dropped nearly $20 year-over-year, falling below $160 for the first time since 2021. Consumers reported using an average of 9.9 video services, down from 11.1 the previous year.

Among those who canceled a SVOD service in the last six months, 17.0% cited low usage and 16.9% cited price increases as the primary reasons for cancellation. Despite fewer services, daily video consumption hours remained steady, indicating a consumer shift toward valuing high-quality content over quantity.

Ad tolerance among consumers rose slightly from 75.3% to 76.2% year-over-year, with respondents expressing a preference for more personalized experiences. TiVo reported that consumers are now more willing to accept advertisements if it means accessing richer content libraries.

Sports content availability was a major concern for respondents. The report found that 58.0% of viewers were unable to access certain sporting events through their subscribed services, with 49.0% expressing frustration when games were not available. This trend suggests an opportunity for service providers who can consolidate access to live sports content.

Pay TV services showed signs of stabilization, with the percentage of users planning to cut the cord declining by 2.0% year-over-year. TiVo attributed this trend in part to consumers’ desire for unrestricted access to popular entertainment, especially live sports.

Additional findings from the report include a 6.0% year-over-year increase in in-car video consumption, and that 34.6% of respondents reported sharing a subscription video service password. Preferences regarding content release strategies varied, with about half of the respondents favoring full-season releases over weekly episodes.

TiVo’s survey highlights shifting consumer priorities in a competitive entertainment landscape, as viewers seek personalized, accessible, and high-quality content amid economic uncertainty.

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