• by Wayne Friedman , October 4, 2023

Average monthly spending on streaming apps  is rising -- now totaling $62 a month, according to a survey from LG Ad Solutions.

The smart TV advertising unit of the TV set manufacturer say this compares to an average $95 a month for linear TV bundles. 

Between March and June of this year, LG Ad Solutions surveyed more than 750 U.S. consumers to gain insight into CTV behaviors and perceptions.

Amid a maturing and perhaps softening of the U.S. streaming and CTV market, research also says nearly half of consumers -- 46% -- canceled a subscription because of economic concerns. 

Although it did not reveal how many of those consumers added streaming subscriptions during that period, LG said within the next few months, 32% of consumers will remove subscription CTV services, with 21% adding free ad-supported services. 

A possible coming of a recessionary economy could put more pressure on consumers -- all this comes as many streaming services have, or are, mulling subscription price increases. 

This week, Warner Bros. Discovery says its ad-free discovery+ will be raising its ad-free subscription to $8.99 a month from $6.99. 

In addition, Netflix reportedly will be raising its prices once the actors' strike ends.

Tony Marlow, chief marketing officer of LG Ad Solutions, says these moves might shift more viewers to more free ad-supported options, or low-cost subscription fee/advertising-supported plans, including one that Netflix started up last November. 

Research also says 75% of consumers use free streaming services with ads. Over 50% of these consumers say using these services helps to manage entertainment costs.

LG also says a huge number of consumers -- 43% -- of consumers spend less than $50 a month on streaming services.