Paying Netflix $0.53/h, etc.

The average American spent $640 (or $53/month) across all digital subscription services in 2019, according to The New York Times. That’s growing at a 3% CAGR over the last few years. The biggest growth area was streaming TV services, which is growing at 14% CAGR.

What’s most impressive is that Netflix has increased prices many times in the last decade, on the order of ~10% each time, with little evidence of increased churn.

Doing some calculations examining the total amount of attention given to different forms of media, Kevin discovered that, on average, people surrender their attention for just $3/hour!

Meta makes $207 per year per user in the US and Canada, without charging them anything. That's more than many consumer subscription products (Netflix, Spotify, etc) make from their paid users.

According to an analysis earlier this year by Mint.com for the New York Times, each of us in the U.S. spent on average $640 on digital subscriptions in 2019, up from $598 in 2017.

Disney+ is significantly cheaper than Netflix ($6.99 versus $12.99).

Though “Breaking Points” makes some money from podcast and YouTube ads, the bulk of the revenue comes from a premium-subscription model. If you subscribe at a cost of ten dollars a month, or a hundred dollars for a full year, you gain access to an uncut version of each episode, free of ads, in both audio and video formats.