The number of UK households subscribing to at least one streaming service has continued to fall, as viewers take action to cut expenditure.
Kantar’s Entertainment on Demand report covering July to September 2022 reports 56% of households (16.18 million) still subscribe to at least one service, but this is down 234,000 compared to the previous three months. It follows a sharp fall between April and June.
Bad news for Netflix
Kantar found that Netflix accounted for just under one in four subscription video-on-demand churners in the latest quarter. 45% of these churners dropped out of the market altogether, no longer subscribing to any service.
Good news for Paramount+
The US streaming service launched in the UK during the summer and Kantar says it has already leapfrogged Discovery+ and Apple TV+. Kantar found 95% of Paramount+ subscribers already subscribed to other streaming services. It noted that many of Paramount’s subscribers originated via deal with Sky, which is giving Sky Cinema’s satellite, Glass and Stream customers automatic access to Paramount+.
Analysing the results, Dominic Sunnebo, Global Insight Director, Kantar, Worldpanel Division said:
“There are a number of dynamics at play in the market, such as the cost-of-living crisis and subsequent ‘cord-cutting’, as well as a degree of ‘content fatigue’, experienced by some VoD viewers, which has resulted in an overall drop in household SVoD penetration”