According to the latest insights from the Data & Marketing Association (DMA), 51% of consumers now subscribe to a TV/film streaming service, such as Netflix and Amazon Prime Video – a further 12% express an interest in using them.
The figures reveal a steady growth in ownership and interest in media subscriptions over recent years, with 63% of consumers now falling into this category – up 7% from 2017. Ownership of music streaming services (e.g. Spotify, Apple Music, etc.) has also increased to 40%, up from 36% in 2017.
“Subscriptions appeal most to consumers looking for convenience and consistency. Not only in terms of quality and value for money, but also time-saving benefits gained from brands offering relevant recommendations to their consumers,” says Tim Bond, Head of Insight at the DMA. “Amid a global pandemic, we are seeing subscriptions continue to show their importance, bringing customers what they want, right to their door. From grocery products to entertainment, subscriptions offer customers easy access to goods and services without having to leave their homes.”
Will subscriptions remain popular in the future?
More generally, the proportion of people owning two or more types of subscriptions has increased from 33% in 2017, to 44% – the strongest appeal coming from Millennials and Centennials.
Age appears to be key, with an average age of 57 years old for those that do not own any subscriptions, whereas those with multiple subscriptions have an average age of 32.
In addition, three-quarters of younger consumers currently have access to subscription services/platforms (75% of 16-24s; 74% of 25-34s).
Bond adds: “Subscriptions have opened the way to new models of ownership and the meanings consumers associate with that very concept. In other words, the subscription economy is disrupting consumers’ traditional notions of possession. People still feel like they own media content, despite the fact they only have access to it for as long as it’s on the platform they pay for.”