Income Elasticity of Demand | Falling Disposable Incomes Are Making More People Cancel their Media Streaming Subscriptions

The increasing pressure of rising energy and food prices is cutting into disposable incomes, and it looks like demand for media streaming services is sensitive to these changes.

An interesting report here from the BBC detailing the findings of new market research into demand for media streaming in the UK.

The research from Kantar indicates that 1.7 million services were cancelled in the second quarter of 2022, with under-24s the most likely age group to cancel. That's a rise of 0.2 million on the 1.5 million subscriptions cancelled in the first quarter of 2022.

More than a third of cancellations were linked to people cutting back on streaming subscriptions to enable them to budget for higher food prices and energy bills.

What other items of household expenditure might also become increasingly sensitive to the "cost of living crisis"?