Simply unsubscribing pays off for streaming services in the long run. Indeed, freedom of choice is welcomed by viewers, according to research by Antenna . Some view opting out of subscriptions as better controlling their spending to try different platforms. However, the current survey shows that almost a third of all subscribers are returning to their originally cancelled subscription.
If we look at new subscriber additions over the past year, namely for Apple TV, Disney+ and Netflix, we calculate a figure of 26.5 million users, down two million year-on-year. Antenna's research reveals that the majority of these new subscribers are actually re-subscribers, a full 32%.
Audience behaviour is even better captured by a closer look. A full quarter of users re-subscribed to the original service within three months of cancelling their subscription. 34% returned within six months and 45% within 12 months.
This behaviour is not surprising given the cyclical nature of content on streaming services. Even the largest streaming service operators experience viewer churn, particularly when the show they subscribed to watch finishes its current season. Which is one reason why Netflix, for example, is gradually focusing on adding live streaming, which acts as a big draw and, crucially, keeps subscriptions active.
If the average churn of viewers away from streaming subscriptions is 5%, then after adjusting for those who re-subscribe within 90 days, we get to a figure of 2.8%.
Source: mediaguru.cz