Brits now spend almost £700 on subscriptions every year

Mobile phones, News

Despite high cost of living concerns, UK subscribers are now spending £696 on subscription apps and services every year — that’s on top of standard bills such as TV, phone, and internet.

1 in 8 are paying more than £100 a month for their subscriptions, amounting to £1,200 per year. That’s according to a newly released European Subscription Wars report from Bango, which surveyed over 1,000 UK subscribers on their habits and attitudes towards streaming services and subscriptions.

Recent price hikes across the industry, including from the likes of Netflix and Disney+, are impacting subscribers — with almost half (45%) having recently cancelled a subscription due to price increases. Despite this, appetite for subscriptions remains high, with 60% of Brits saying they’d sign up to more subscriptions if they could afford it. This is despite already having 3+ subscriptions on average — more than Italy, France or Spain.

Britain responds to ‘ad tiering’

The Bango report also highlights the impact of ad-funded content in the UK. Earlier this year, Amazon Prime Video asked Brits to pay an extra £2.99 a month to remain ad-free, a move followed by Netflix earlier this month. According to the Bango data, 31% of UK subscribers have chosen to save money by downgrading to an ad-supported tier. In contrast, 23% have upgraded their subscription to avoid the ads.

But streaming and subscription providers should proceed with caution. Over a quarter (28%) of UK subscribers have ditched a subscription service entirely because ads were introduced. ‘Premium ad tiers’ are not welcome in the UK, with three-quarters (75%) saying that paid-for subscriptions should “never” display ads.

‘Super Bundling’ and Subscription Hubs

Faced with a growing number of subscriptions, the Bango report also suggests that UK subscribers are crying out for an all-in-one subscription platform. Over half (55%) would like all of their subscription services to be accessible within a single ‘content hub’, and the same percentage would like one app to manage all of their services and accounts via one monthly bill.

Commenting on these findings, Paul Larbey, CEO of Bango said:

“The UK consumer’s appetite for subscriptions now adds-up to a material chunk of monthly household spending. But with so many options — and so many bills to pay — people need better ways to manage their subscriptions.

“It’s no surprise, with the expanding choice in subscriptions, that Bango research highlights the move towards ‘Super Bundling’ and all-in-one content hubs.”

To find out more UK subscriber trends, download Bango’s full European Subscription Wars: Super Bundling Awakens report here.

Chris Price
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