Consumers are more likely to keep a streaming subscription when they are able to pair it with other services through a bundle, according to a new survey released by Hub Entertainment Research.
The survey was based on responses from around 1,600 Americans between the ages of 16 and 74 years old. During the survey, 42 percent of Americans said they were more likely to keep subscribing to a streaming bundle compared to individual apps on their own, while 44 percent said they were no more or less likely to continue a bundle versus an individual streaming app. Only 14 percent said they were less likely to continue subscribing to a bundle over an individual app.
The average streamer now spends an average of $83 per month on their TV services, Hub reported. The dollar amount comes close to what other companies have reported over the past two years.
With streaming prices increasing, bundles are seen as an attractive way to purchase access to two or more streaming apps for less money. Most media companies typically price their bundle below the individual retail costs of each service offered. For instance, Disney charges $11 per month to bundle the ad-free plans of Disney Plus and Hulu together; each service on their own costs $10 per month, which works out to a savings of nearly half the retail cost.
Some companies are also pursuing bundles with their peers. Tapping Disney as an example again, the company announced a bundle last year that pairs its two entertainment services with HBO Max, allowing streamers to access that service with Disney Plus and Hulu for $17 per month. HBO Max costs $10 per month with ads, so the savings is nearly half of what each service would cost on its own.
On Monday, Disney and Fox Corporation announced plans to offer the forthcoming streaming app Fox One with ESPN Unlimited as a bundle deal. Fox One and ESPN Unlimited launch later this month for $20 per month and $30 per month respectively; the bundle, which launches in October, will cost $40 per month. The Desk first reported in June that Disney and Fox were discussing a sports-focused streaming bundle.
The Hub survey released this month closely aligns with one the company put out in May, which found streamers were attracted to bundles as a way to save costs and were more likely to stick around when they were able to pay for multiple services at a single, low price point.
