Report: U.S. Consumer Spending on OTT Services Drops 25 Percent

Parks Associates’ latest research shows a 25 percent drop in consumer spending for streaming video services in the U.S. to $69 per month.

U.S. internet households report spending $69 per month on OTT services in Q3 2022, down from $90 in 1Q 2021, though the market remains saturated with 87 percent of U.S. internet households having at least one streaming service.

Additionally, 45 percent of U.S. internet households now have five or more OTT services, and their streaming activities influence spending on other services—60 percent of households that recently upgraded their broadband service report streaming as the reason for the upgrade.

“Consumers are trying new services—they’re hopping in and out based on the season for sports, fresh content offerings, and the deals and bundles offered,” said Elizabeth Parks, president and CMO at Parks Associates. “Currently we see 32 million U.S. internet households hopping around with various services, and retention and churn will continue to challenge the industry.”