Why Americans Are Canceling Their Netflix Subscriptions

Nearly half of American consumers have taken a harder look at their streaming services in the past year as household budgets have tightened.

According to Reviews.org’s 2026 Consumer Trust Survey, 49% of consumers canceled or downgraded their streaming subscriptions over the last 12 months.

As the cost for basic utilities rises, "nice-to-haves" like Netflix or other streaming subscriptions are often one of the first things people cut to save money. More households are actively auditing their monthly bills to prioritize the services they actually need.

Subscription fatigue and tighter household budgets are driving a rise in cancellations and downgrades. Our survey found nearly half of Americans have either walked away from a streaming service or moved to a more affordable tier within the last year.

While the "streaming wars" were once defined by which platform had the best content, the current landscape is increasingly defined by churn. For many, the decision to cancel a Netflix subscription is a natural response to rising essential costs.

The main culprit behind these cancellations is often found in the mailbox rather than on the TV screen. Our research shows 90% of respondents saw utility bills — electric, water, and gas — increase in the past year.

When basic living costs rise, households look for places to cut. Unlike a monthly bill for power or water, a streaming service is a flexible expense that is easy to trim from the budget.

Total cancellation is not the only strategy consumers are using to save money. Our survey found that 39% of consumers have downgraded their services due to cost increases, with a significant share moving to ad-supported streaming tiers.

While consumers still value access to content, they’ve hit a ceiling on what they’ll pay. Rather than losing access entirely, households are using apps for canceling unused streaming subscriptions or switching to lower-cost plans to keep their streaming habits intact.

Consumers are proving they are willing to sit through commercials if it means keeping their monthly entertainment costs manageable alongside rising utility demands.