• by Wayne Friedman , Staff Writer, July 26, 2024

Perhaps modern TV and video consumers don’t mind adding and paying somewhat more for streaming platforms -- even when free stuff is also included, and even with the new addition of streaming “bundles.”

Bundling on the surface appears to save consumers more money. But distributors and movie studio-based streaming platforms might see the market differently.

On Thursday, Walt Disney and Warner Bros. Discovery disclosed the price for their previously announced bundle of streaming services -- Disney+, Hulu, and Max -- for $17 a month (for those ad-supported versions) and a pricier $30 (for ad-free options).

Potential consumers will not be using this exclusively. It will add to their collection of TV-video platforms and services.

Three premium streamers just isn't enough.

And consumers are likely to still have some type of legacy-TV network-based pay TV packages, or lower-cost entertainment-only virtual pay TV bundles from Sling TV, or Philo or other providers.  

This is all to say that the average TV consumer may be looking at least $60 to $70 a month in total fees -- comparable to (or more than) what they were paying before the streaming revolution started circa 2019.

One interesting finding, in relation to overall monthly TV-video consumer pricing, comes from Hub Entertainment Research. 

It notes that more than 70% FAST (Free Ad-Supported Streaming TV) users still subscribe to three or more streaming services.

Interestingly, those who use a digital antenna are more likely to subscribe to three or more outside the big five of Netflix, Hulu, Max, Disney+ and Amazon Prime Video. 

The question might be why they would add to this and use FAST in the first place -- channels that are mostly library, older, and not exactly the "premium" original content that is featured on new, glitzy streamers.

It could be because the average TV consumers -- who might want to claim to be cord-cutters/cord-shavers, or those who regularly opt out and opt back into streaming platforms --  are uncertain about how much is enough. 

Subscribers must feel they need to make sure they are "covered" with the most complete collection of networks, streamers and everything else in between -- hoping not just to replace their legacy pay TV bundles, but to improve and expand on what they had beforehand.

And they might not have a specific dollar-to-dollar monthly "budget" -- especially those who are inclined to use free services.

“It would be easy to stereotype free viewers as people who don't care about TV or cannot or will not spend to receive it,” say the Hub Entertainment Research authors. 

“But the evidence shows the opposite — the free viewers clearly value TV content, and seek it out whenever and wherever they can. And they have plenty of paid subscriptions.”

And spend a not-so-insignificant amount of money to do it.