Parks: Prime Video Has the Lowest Streamer Churn Rate

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Among almost 90 North American streaming video services, Prime Video has the lowest churn rate, at 8 percent, according to Parks Associates.

Parks’ Streaming Video Tracker analyzed churn data for 89 services, of which 85 are SVOD. Prime Video has the lowest churn rate at 8 percent. Topping the ranking with the highest churn is discovery+, at almost 43 percent.

“Churn is part of the standard business model, but companies are working hard to minimize it and keep consumers engaged longer,” said Eric Sorensen, director of the Streaming Video Tracker at Parks Associates. “Amazon Prime Video has held the lowest churn rate for the last two years because it is included with Prime; however, Netflix continues to creep closer and reduce churn by adding more tiers of service and syndicated content.”

Bundling strategies are helping platforms minimize churn, the report found. “Streaming services are navigating a mature market where retention and referrals, as well as partnerships and brand loyalty are critical,” Sorensen said.