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More Than 50% of Streaming Subscribers Are Opting for Ad-Supported Plans

New data from Parks Associates highlights the successes streamers have had in moving viewers to ad plans.

Streaming audiences are more and more willing to accept ads, according to data from parks associates.

Streaming providers have accomplished something that all businesses wish they could do at will: change customer attitudes. Streamers have affected a big change in feelings regarding ads; there was a time when streaming customers thought ads were a thing of the past, and it was unthinkable that services would start forcing customers to watch commercials with their on-demand content. Now, a new survey from Parks Associates shows that customers are increasingly accepting of ads, as well as the reason behind their willingness to accept commercials.

Key Details:

  • On average, 57% of customers of Max, Netflix, Disney+, Discovery+, Prime Video, Paramount+, Hulu, and Peacock are ad-supported customers.
  • Viewers increasingly see ad-supported plans as a good way to give a streamer an initial try.
  • The survey also shows the increased efficacy of bundled streaming products.

Parks’ data shows that the willingness to accept ad-supported streaming is rising for not just one, but all of the biggest streaming services in the United States. Parks surveyed customers of discovery+, Disney+, Hulu, Max, Netflix, Paramount+, Peacock and Prime Video, and found that on average 57% of their user bases were customers of ad-supported plans.

The data from Parks is supported by a survey from Antenna published in May, which found that 56% of gross new streaming subscriptions were for ad plans. Peacock led the way, as 79% of new subscribers were for its ad tier. Conversely, Max had the lowest rate of new customers signing up for its ad plan at 38%.

The survey from Parks also details the reasons viewers gave for their decision to opt for ad-supported streaming. The most frequent answer given to Parks from respondents was that it was their first time trying the streamer in question, suggesting that the ability to try a new service at a reasonable price was more important than the ability to watch ad-free.

The survey also shows that viewers are responding to bundled products, and are perfectly willing to accept ads if it means getting better value. This year has been a big one for the introduction of new streaming bundles, with the Disney+, Hulu and Max bundle and the StreamSaver bundle both hitting the market.

The least common response heard by Parks as to why viewers were accepting ad plans was that they were formerly sharing a password from a paid subscriber. That suggests that, while streamers might be seeing less unpaid sharing thanks to the increased rollout of password-sharing restrictions, they aren’t necessarily seeing a corresponding uptick in new paid subscribers.

Customers have plenty of reason to grumble at the tactics of streamers lately. A move toward making streaming a more profitable business has led to higher prices across nearly every service, leading to an evolution in customer feelings toward ads. This new survey from Parks demonstrates that shift, and shows that viewers are more willing than ever to accept commercials in order to save money or try something new.

Peacock

Peacock is a subscription video streaming service from NBCUniversal that includes original shows, blockbuster movies, and classic television series. Peacock is home to “Yellowstone,” and “The Office,” as well as original hits like “Poker Face” and “Bel-Air.” You can also watch live sports including NFL, MLB, WWE, Olympics, Premier League, NASCAR, French Open, College Football and Basketball, and PGA Tour. Premium Plus subscribers can stream their local NBC feed in all 210 markets.

Peacock includes news, entertainment, sports, late-night, and reality from various NBCU properties including NBC, Bravo, and E!.

Peacock also includes the entire library of Bravo shows and has exclusives like “Below Deck: Down Under.” They also include live and on-demand access to Hallmark channels.

The company has acquired the rights to many classic shows like “Parks and Recreation,” and the entire Dick Wolf library including “Law & Order” and “Chicago Fire.”

The service also features blockbusters and critically-acclaimed films from Universal Pictures, Focus Features, DreamWorks Animation, Illumination and content acquired from Hollywood’s biggest studios.


David covers the biggest news stories, live events, premieres, and informational pieces for The Streamable. Before joining TS, he wrote extensively for Screen Rant and has years of experience writing about the entertainment and streaming industries. He's a Broncos fan, streams on his Toshiba Fire TV, and his favorites include "Andor," "Rings of Power," and "Star Trek: Strange New Worlds."

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