Hulu, Netflix and other streamers are turning to bundles, discounts and ad-supported plans as customer defections rise
https://www.wsj.com/business/media/americans-are-canceling-more-of-their-streaming-services-fb9284c8
- About one-quarter of U.S. subscribers to major streaming services—a group that includes Apple TV+, Discovery+, Disney+, Hulu, Max, Netflix, Paramount+, Peacock and Starz—have canceled at least three of them over the past two years, according to November data from subscription-analytics provider Antenna. Two years ago, that number stood at 15%, a sign that streaming users are becoming increasingly fickle.
- Among the U.S. customers who joined Disney+ for the first time in November or converted from a trial, nearly 60% opted for the ad-supported tier. That figure was bolstered by Black Friday promotion and is up from 25% in December 2022, when the ad tier was launched.
- More than one-third of new U.S. Netflix customers in November opted for the ad tier, compared with 11% a year earlier, when the ad-supported version was introduced. Streamers say ad-supported plans are a win-win for them and price-sensitive customers, bringing in revenue from monthly subscriptions as well as ad sales.