GISKAA, a leading online deals and coupons platform, today released a new survey report indicating a worldwide decline in subscription-based services. From entertainment streaming to software-as-a-service (SaaS) tools, consumers and businesses alike are trimming subscriptions in response to economic strains and evolving digital habits. The findings reveal surging “subscription fatigue” among consumers and a pullback in spending on recurring services, driven by factors such as high inflation, record credit card debt, and market saturation. 

Global streaming services, which boomed during the pandemic, are now seeing growth plateau. Over 60% of streaming consumers report feeling overwhelmed by the number of subscriptions, and one-third of streaming subscribers in 2023 canceled at least one video service – up from one-quarter in 2020. This trend is echoed in other sectors: subscription churn rates have tripled over the past four years, as customers increasingly cancel or pause subscriptions once their immediate needs are met. 

Meanwhile, economic pressures are forcing cutbacks. Americans’ credit card debt hit a record $1.14 trillion in August 2023 , contributing to a wave of subscription cancellations and even disputed charges. “Anytime there is high inflation, there is an impact on discretionary spending,” notes Michael Mallon of Accertify, emphasizing that “most subscriptions out there, in reality, are discretionary”. Households facing higher costs are prioritizing essentials and shedding non-essential subscriptions like extra streaming plans, meal kits, and subscription boxes. Key findings from the

Survey and industry data include:

• Streaming Slowdown: The growth of streaming subscriptions has stalled. Net new subscriber additions for major video platforms have nearly halved since 2021, and the average number of streaming services per consumer fell by 14% globally in 2023. In the U.S., virtually all households subscribe to at least one streaming service, but many are consolidating their plans. One-third of U.S. streaming customers canceled a service in 2023 (versus 25% in 2020) citing high prices and having “too many subscriptions” as top reasons
• Rising Cancellations & Fatigue: Consumers are increasingly quick to cancel once-cherished subscriptions. Surveys show two out of five people who canceled a streaming service did so to save money, and 26% canceled because they had “too many” subscriptions. This subscription fatigue extends beyond media – for example, fitness apps, music services, and subscription boxes have all reported higher churn. In 2023, subscription businesses saw all-time high churn rates as users reevaluated recurring expenses.
• Economic Strains: Inflation and debt are squeezing subscription spending. Global “streamflation” – streaming price hikes – averaged nearly 25% in 2023, even as incomes lagged. Faced with cost-of-living pressures, over half of consumers have reduced or plan to reduce streaming spend due to rising prices. In the U.S., record credit card balances and tighter budgets have led many to cut discretionary subscriptions. U.S. consumers’ overall streaming budgets dropped ~10% year-on-year, and willingness to pay per subscription fell ~30%. Notably, 62% of consumers say they would cancel an existing service or cut other expenses if adding a new streaming subscription, highlighting a zero-sum game for providers.
• SaaS Subscription Pullback: Businesses are also scrutinizing software subscriptions. For the first time in over a decade, companies reduced the number of SaaS applications in use – from an average of 130 apps in 2022 to 112 in 2023 (a 14% drop). GISKAA survey of IT professionals confirms a “year of consolidation” in corporate tech stacks, as firms eliminate under-used software to cut costs. SaaS revenue growth slowed significantly in 2023, and many B2B software providers saw revenue growth rates fall to the lowest levels since the pandemic, with enterprise clients downsizing seat licenses. Rising interest rates and budget cuts led to slower SaaS growth and record-high churn in cloud software subscriptions last year.
• Impact of Generative AI: In the era of AI, some organizations are reallocating budgets from traditional SaaS to new AI initiatives. “If IT groups are putting big spend into generative AI and there’s a fixed IT budget, then they’ve got to pull from something – sometimes it’s SaaS licensing,” says Patrick Moorhead, chief analyst at Moor Insights & Strategy. This shift, along with tech workforce reductions, means fewer software seats to sell. Despite these headwinds, experts note this slump is a market “normalization” after pandemic hypergrowth, and they expect subscription software to rebound as AI-powered features drive future value.

Not all subscription services are struggling, however. The report finds that unique, high-value offerings continue to attract subscribers even in a tight economy. Notably, generative AI services are bucking the trend. OpenAI’s ChatGPT, launched in late 2022, saw explosive uptake: ChatGPT reached 100 million users within 2 months of launch, becoming the fastest-growing app ever. Its premium tier, ChatGPT Plus, amassed around 10 million paying subscribers by early 2025, with millions more using free plans. This shows consumers will still pay for compelling new services that offer distinct value or capabilities. “In the midst of subscription fatigue, people are selectively subscribing to tools that genuinely enhance their work or life – and AI is a prime example,” the report notes. 

GISKAA executives say the findings are a wake-up call for the subscription economy. “Consumers and businesses are clearly rethinking their subscriptions. What we’re seeing is a correction – a move toward value. “During the pandemic, subscription services proliferated from every corner – streaming, meal kits, software – leading to an overload. Now, with wallets tightening, people are demanding more bang for their buck or cutting loose the subscriptions they don’t need.” 

Sharma advises subscription providers to adapt swiftly. “Retention is the new growth. To thrive, subscription services must focus on customer value and flexibility,” he added. “Whether it’s by offering customizable plans, pausing options, better pricing, or exclusive content, companies need to fight harder to earn loyalty. Those that provide clear, essential value – or bundle services smartly – are still growing. Others risk being canceled.” 

The GISKAA survey suggests a few bright spots. Consumers are flocking to discounted bundles and ad-supported plans to save money, and many are turning to coupon sites like GISKAA for promo codes before committing to subscriptions. The average U.S. consumer still pays for about 12 different subscriptions per month, so opportunities remain for well-positioned services. But with 85% of subscribers admitting they often pay for at least one service they don’t use each month, it’s clear that providers can no longer rely on complacency. Upcoming regulations – like “click-to-cancel” laws making it easier to quit subscriptions – may further empower users to cut unwanted plans.

GISKAA (www.giskaa.com) is a global platform for discovering verified coupons, promo codes, and deals across a wide range of online products and services. Founded in 2014, GISKAA curates the latest discounts for e-commerce, software subscriptions, streaming services, and more, helping millions of consumers worldwide save on their purchases. By leveraging data insights on consumer shopping and subscription trends, GISKAA enables smarter spending decisions in the digital economy.