The average US streaming household, which subscribes to 5.6 services, could save $366 per year on average by switching from premium subscription tiers to ad-based tiers.
According to new research from Parks Associates, the top services, including Netflix, Prime Video, Hulu, Disney+, Max, Paramount+, Peacock, and Discovery+, offer or plan to offer an ad-based option that is, on average, $5.44 cheaper than their basic, ad-free service.
Jennifer Kent, VP, research, Parks Associates, said: “The move to ad-based services provides more options for consumers, especially as they are seeking a balance between costs and the desire for multiple content options.
“Not everyone’s favourite streaming service offers a cheaper ad-based service tier yet, and many subscribers will choose a mix of ad-based and premium options, depending on household preferences”.