Streaming and subscription services have become a major monthly expense for many Americans. According to new Bango research, nearly a quarter (23%) of U.S. subscribers spend more than $100 monthly, up to over $1,200 per year on digital services. However, a shift is underway: instead of paying for standalone subscriptions, consumers are increasingly turning to bundled packages for savings, convenience, and flexibility.
“Our research reveals a major shift in the multi-billion dollar subscription industry. For the first time, America is moving beyond the ‘subscription economy’ and into a ‘bundle economy’ — where platforms aren’t competing in isolation but teaming up to offer more value to subscribers,” said Paul Larbey, CEO at Bango.
Convenience meets cost savings
The average American now pays for 5.4 subscriptions, two of which typically come in a bundle deal. These packages are usually offered through cell phone carriers (55%) or retailers like Walmart+ and Amazon Prime (34%), making it easier for consumers to manage multiple services in one place.
For many, bundling is a strategic way to cut costs. As many as 44% of subscribers now receive a service they used to pay for as part of a bundle, which jumps to 55% among younger users (18-24 years old). However, it’s not just about price—many consumers prefer bundles for their simplicity. In addition, 41% of subscribers find managing multiple subscriptions frustrating, while 62% would rather use a bundle than sign up for separate services.
The demand for an all-in-one subscription management solution is on the rise. Nearly two-thirds (63%) of subscribers want a single app to track and control all their subscriptions. This trend has led to the rise of services like Verizon +play, which consolidate streaming, gaming, and other digital subscriptions into one place.
What are Americans subscribing to?
While video streaming remains the most popular category (75% of subscribers pay for it), other subscriptions are gaining traction. 62% of consumers pay for a retail subscription, while 22% have a gaming subscription.
Emerging technologies are also making their mark. One in 10 subscribers (9%) now pays for an AI service like ChatGPT, a sign that AI-powered tools are becoming necessary.