Viewers Continue to Cut Back on Streaming Subscriptions

Budget-conscious TV viewers are reducing spending on streaming services, prioritizing quality content over quantity, according to TiVo’s “Q4 2024 Video Trends Report” released today by Xperi-owned TiVo. 

Consumers are streamlining their video subscriptions, emphasizing high-quality programming to maintain engagement, according to TVTechnology.

The report shows a nearly $20 year-over-year drop in entertainment spending in Q4 2024, with the average number of services used falling from 11.1 to 9.9. Monthly entertainment spending dipped below $160 for the first time since before 2021, down from a 2022 peak of $189.38. Of those who canceled a subscription video-on-demand (SVOD) service in the past six months, 17% cited insufficient use, and 16.9% pointed to price hikes. Despite stable viewing hours, consumers are using fewer services, indicating a shift toward value-driven choices.

Unlike previous years when ad-free SVODs were preferred, consumers now favor robust content libraries over ad-free experiences, with ad tolerance rising from 75.3% to 76.2% year-over-year. Viewers also seek greater personalization for a simplified, value-focused entertainment experience. Platforms delivering both value and relevance are likely to thrive in this evolving landscape.

“Consumers are cutting back on services while seeking quality content,” said Geir Skaaden, Xperi’s chief product and services officer. “Economic uncertainty is pushing the industry to provide engaging, relevant content to retain viewers.” Skaaden noted that, similar to pandemic-era trends, consumers may increasingly value cost-effective, home-based entertainment, putting pressure on the industry to deliver timely, high-value content.

Additional TiVo Video Trend Report highlights:

• In-car viewing is on the up and up: In-car entertainment viewing increased by 6.0% year-over-year as respondents reported using video to pass the time while waiting in the car and to keep children entertained. Of those who watch video in the car, 75.1% reported doing so at least a few times a month.
• Sharing is caring: Password-sharing has been a hot topic for users and service providers alike, the TiVo report found that 34.6% of respondents shared a SVOD password for at least one service.
• All at once vs. one at a time: About half of respondents shared that they preferred when streaming services release an entire season at once, compared to 19.0% who prefer a slower release cadence of an episode a week; the remainder did not have a preference.
• Personalized ads at all costs: With 41.6% of respondents sharing that they prefer personalized ads no matter the platform, advertisers face greater pressure to provide relevant content that drives meaningful engagement through both linear and CTV options—especially as consumers prioritize quality content.

Find more information from the latest Q4 2024 Video Trends Report here.