U.S. Streaming Spending Rises by 22 Percent

A new report from the cloud video platform Grabyo has found that U.S. video customers increased monthly spending on online streaming services by over $1 billion, an upswing of more than 22 percent, since lockdown began in the country in March.

Grabyo’s At Home Video Trends: US 2020 report surveyed over 2,000 U.S. consumers on their video consumption and purchasing habits, following a previous survey of 2,000 consumers in January.

The report found that 89 percent of U.S. consumers currently pay for video services, with one-third of these video customers subscribing to at least one new streaming service since March 2020. The findings of the report suggest an increase of over $1 billion monthly consumer spend on streaming.

The spike in streaming revenues is poised to continue as well, with 85 percent of streaming customers reporting that they are planning to keep the same number of video subscriptions once social isolation measures are lifted in the U.S.

Overall, online streaming services now have 72 percent market penetration in the U.S., according to the report, a 13 percent increase from January 2020. Pay-TV currently has 56 percent market penetration.

“While the US was already in front of the curve for streaming adoption, the COVID-19 pandemic has further accelerated this trend,” said Gareth Capon, CEO at Grabyo. “With most of the US population staying at home, consumers have had the chance to watch more TV, trial new streaming subscriptions and discover which services offer the most value. Our findings show that online streaming has come out on top across all consumer segments and these changes in the market are here to stay.”