Ampere: “Streaming Switchers” Prefer Apple TV+, Paramount+

U.S. SVOD subscribers who cancel a streaming service and commit to a new one within two months are more likely to switch to Apple TV+ or Paramount+, according to Ampere Analysis.

Per Ampere, 11 percent of streaming switchers chose Apple TV+, with Paramount+ at a similar level and Netflix in third place, followed by Hulu and Prime Video. The data was recorded between Q1 2020 and Q1 2022.

For those exiting a Netflix subscription, Apple TV+ is the first choice, with Prime Video and Hulu as close seconds. Ampere observes that those leaving Netflix “have been less adventurous in trying new services than switchers from other streaming services.” Netflix customers have the lowest number of streaming services among those churning from the major platforms.

Disney+ subs are most likely to switch to Hulu, and vice versa. HBO Max customers are most likely to switch to Paramount+, with Paramount+ customers most likely to churn to Apple TV+ and vice versa.

Ampere estimates that about 30 percent of SVOD customers switch services in any given two-month period. For those who do churn, 56 percent choose not to resubscribe or switch to a new service within two months, while 14 percent return within the same period. This “boomerang” effect is most likely to occur among Netflix customers, with 23 percent returning within 60 days of canceling. That level is 15 percent for HBO Max and Paramount+, 11 percent for Disney+ and Hulu and 10 percent for Apple TV+.

Ben French, an analyst at Ampere and author of the report, noted, “This sub-group of churning streamers are particularly interesting because they represent customers who, rather than simply adding a new service on to their existing in-home bundle, are deliberately transferring spend from one to another. As such, it shows where each platform needs to look for its direct competition. Switchers are experimenting with different platform mixes within the home, moving spend to some of the newer and less penetrated services while maintaining a core base of services. It’s some of these newer, smaller services that the incumbent streamers most need to keep an eye on.”