One in three U.S. subscribers cut household costs to keep streaming
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A new report from digital platform company Bango reveals that 34% of U.S. streaming subscribers are cutting back on other household expenses to maintain access to their streaming services.
The “Streaming Squeeze” report analyzes how inflation and rising subscription prices are affecting consumer behavior.
According to the findings, 63% of U.S. streamers say they cannot afford all the services they want, and 55% report that their monthly streaming costs are higher than preferred.
The study shows that viewers are adapting by rotating subscriptions, using ad-supported tiers, or bundling services to reduce costs while staying connected to the platforms they value most.
Despite a general preference against advertising — 69% say paid subscriptions should be ad-free — a significant majority (60%) say they would accept more ads if it meant a larger discount. The report found that ad tiers are contributing to market growth in both directions: 42% of users have downgraded to lower-cost ad-supported plans, while 39% have upgraded to avoid ads.
Age appears to be a factor in tier selection. Among Gen Z users, 47% started a subscription when an ad-supported option became available, compared with 25% of Baby Boomers.
Netflix leads as the top “forever subscription,” cited by 60% of respondents, followed by Prime Video at 31% and Hulu at 24%. The report notes that Netflix’s appeal spans age groups, while Prime Video is more popular among older users and Disney+ more so among younger ones.
Bundling is another strategy gaining traction.
About 68% of subscribers reported using bundles or indirect subscriptions, often provided through telecom providers or platforms such as Amazon Prime. Among those who save money through bundling, the average reported monthly saving is $16.32. The practice is especially common among Gen Z, 32% of whom reported switching to bundled subscriptions in the past six months.
Paul Larbey, CEO of Bango, said the findings point to an enduring demand for streaming, even as consumers adapt their spending habits.
“Subscribers refuse to give up on streaming — they just keep spending,” Larbey said. “They’ll cut back elsewhere, tolerate ads if the deal’s right, and move up or down tiers when new options land.”
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tags
Bango, Paul Larbey
categories
Featured, Market Research Reports & Industry Analysis, Streaming