👁 Value Matters More Than Discounts for User Retention
A study by Ampere Analysis showed that nearly one-third of all new streaming service subscriptions in the U.S. are signed up between November and January.
However, long-term customer retention depends not on the size of the discount, but on the structure of the offer and its perceived value.
Black Friday is the main driver of holiday growth. In 2024, 8 out of the 10 largest streaming services offered discounts ranging from $20 to $108.
However, only three of these services were able to retain customers acquired between November 24 and December 2 better than during the rest of the year.
Promotions with higher overall value and durations longer than six months significantly improve subscriber retention.
57% of U.S. users cite cost as the primary reason for canceling a subscription.
To turn holiday acquisition into long-term retention, streaming services need to combine strong content, smart promotions, and consistently clear value.
