Survey: Almost 90% of Gen Z Viewers Watch Video on Phones Weekly; Are Mobile Streaming Plans Coming to US?
Data released by Hub Research is providing insight into how Gen Zers watch video, and what kind they’re most likely to stream.
Gen Z may be the most connected generation ever to live on the planet Earth. With the myriad of social media options available and the ubiquitous nature of smartphones, it seems you can find just about any type of video you want on your phone nowadays, and new data from Hub Research is showing just how much Gen Z in particular is taking advantage of that connectivity.
- Hub’s data shows that 88% of Gen Zers use their phone to stream video weekly, more than 30 points higher than respondents 35+.
- Gaming and non-premium video are the most-used categories of entertainment for Gen Z audiences.
- Despite what may seem like an opportunity to pursue this age group, customers shouldn’t expect a huge growth in the offering of mobile-only streaming plans.
What is Gen Z Watching?
Hub’s numbers show that Gen Z viewers are much more likely to stream video on their phones than older viewers. Of respondents to Hub’s survey between the ages of 13-24, 88% reported they used their mobile phone to stream at least once per week, versus just 55% of respondents age 35+. Gen Zers were least likely to use a set-top box from a cable provider to watch TV, whereas those age 35+ used it at the same rate as they did their mobile device. Both age groups used smart TVs at least once per week at a rate of 63% or higher.
This clearly indicates a strong preference for streaming on mobile devices for Gen Z audiences. Phones are convenient and handy, and they put a world of entertainment at your fingertips wherever you are, so long as you have an internet connection. Every top streaming service has a mobile app, and Netflix is trying every method it knows to get more customers using its mobile games.
In theory, those games should be a big draw to young subscribers. Hub’s data also shows that gaming is what Gen Z users do the most with their screen time; 23% of time spent with screens is devoted to gaming among those aged 13-24. Non-premium video from sources like TikTok, Instagram, and YouTube is the next most-used category and takes up 19% of Gen Zers’ time with screens.
As the data shows, Gen Zers are less likely to spend their screen time watching TV or movies than respondents aged 35 and up. This could suggest to some that streaming services have the opportunity to pursue a largely untapped market by meeting Gen Z customers where they are: on their phones. But will that lead to an uptick in the offering of mobile-only streaming plans?
Why American Subscribers Can’t Expect Mobile-Only Streaming Plans to Become the Norm
Despite the increased usage of mobile phones by younger viewers, American consumers shouldn’t expect to see a huge rush by streaming providers to get mobile-only plans to market. Such plans are common in countries like India, where streamers like Netflix and Disney+ offer mobile-only streaming plans for a fraction of what they cost in the United States; Netflix’s mobile-only plan in India costs the equivalent of $2.39 per month.
The main difference in these markets is income level, which is precisely why American streaming audiences can’t expect to see mobile-only plans proliferate domestically. According to the Times of India, the average household income in that country was the equivalent of $4,331 in 2023. That explains why Netflix and other streamers have such low-cost options available there, as customers simply cannot afford a subscription that takes a higher proportion of their monthly income.
In the U.S., customers can afford to pay more. Streamers are just now figuring out how to boost average revenue per user (ARPU) domestically, both through the introduction of ad-supported tiers and higher prices for ad-free plans. A mobile-only plan would likely mean a significant step back in ARPU, as it would necessarily be available for a lower price than streaming plans that subscribers could watch on their TV or computer.
Mobile-exclusive streaming plans are not at all likely to proliferate domestically the way ad plans have done in the past year, despite how much more often Gen Z audiences are watching video on their phones. Streaming audiences in the U.S. can afford to pay more for their streaming plans than viewers in other territories can, and the brutal economic truth is streaming providers need them to pay more if they want to continue inching toward profitability.
Disney+
Disney+ is a video streaming service with over 13,000 series and films from Disney, Pixar, Marvel, Star Wars, National Geographic, The Muppets, and more. It is available in 61 countries and 21 languages. It is notable for its popular original series like “The Mandalorian,” “Ms. Marvel,” “Loki,” “Obi-Wan Kenobi,” and “Andor.”