According to Fortune Business Insights, the video streaming market is now valued at over $670 billion. Additionally, there are approximately 1.8 billion subscriptions to video streaming services and 34% of all TV usage is dedicated to streaming. The industry enjoyed a significant boom during the COVID-19 Pandemic, and many companies hoped subscriptions would continue to grow at the same rate. In many cases though, streaming services are now losing subscribers.
Now there are so many streaming services available to consumers that some of the ambitious hopes companies placed in streaming services are being dashed. Many consumers are unsubscribing from multiple platforms due to rising costs and cutbacks on family sharing. Outside economic factors have also forced many Americans to cut back on subscriptions within their budgets. As a result, some of the major streaming services are scaling back their content. Here are 5 streaming services that are scaling back because of subscriber loss.
1. Starz
According to Forbes, Starz lost the most amount of subscribers among streaming services, losing a total of 840,884 paid subscribers from December 2023 to May 2024. As a result, the company canceled many of its original programming like Heels and Run The World. Starz also separated from its parent company Lionsgate. However, Starz claims that it is one of the only profitable streaming services and that membership numbers fluctuate due to outside factors. Ultimately though, the loss of subscribers has had a negative impact on the service.
2. Apple TV
While Apple TV is known for producing some of the best content, the platform is still losing subscribers. After spending $20 billion on shows and movies since it launched, Apple TV still lost 528,285 paid subscribers from December 2023 to May 2024. According to a Bloomberg report, Apple is planning to cut back on its massive TV spending, leaving consumers with less content.
3. Disney+
While Disney+ and Hulu were profitable in 2023, Disney has said that the production company is scaling back on its movie production and focusing on quality. The streaming service Disney+ lost 294,956 paid subscribers from December 2023 to May 2024. Disney+ costs $9.99 per month for the Basic plan, and $15.99 per month or $159.99 per year for the ad-free Premium plan. These steep costs may be making subscribers think twice.
4. Hulu
In the same period of December 2023 to May 2024, Hulu lost 504,426 paid subscribers. As of last February, Hulu cracked down on password sharing which may account for some of the loss of subscribers. Some users on Reddit have voiced frustrations about excessive ads and the platform’s limited movie selection.
5. Netflix
In 2023, Netflix price hikes and a crackdown on sharing accounts led to many subscribers canceling the streaming service. A recent study by TransUnion found that Millennials are especially intolerant of rising rates, with 53% saying they’ve given up a service after a price jump. Many consumers aren’t a fan of Netflix’s ad-supported tier for $6.99 as opposed to the ad-free tier which is $15.49 a month.
The Race for Subscribers
Ultimately, retaining subscribers is a challenging task for streaming services. Many streaming platforms churn and burn subscribers after sign-up promotions end, or prices increase. As platforms lose subscribers, they typically cut back on content. Customers then drop the service due to lack of content creating a vicious cycle.
Which streaming services do you subscribe to? Are there any subscriptions you have cut this year? Let us know in the comments.
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Teri Monroe started her career in communications working for local government and nonprofits. Today, she is a freelance finance and lifestyle writer and small business owner. In her spare time, she loves golfing with her husband, taking her dog Milo on long walks, and playing pickleball with friends.
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