German spending on digital subscriptions rises as competition for attention intensifies
German households are spending increasingly more on digital subscriptions, according to a study by management and technology consultancy BearingPoint, as competition for consumer attention intensifies.
The average expenditure per household rose over the past year from €55 to €62 per month. In fact, nearly one in five German households (19%) now spends more than €100 on digital subscriptions, compared to 15% the previous year.
According to the report, this small but financially powerful group of users is significantly driving growth in the digital subscriptions market, which spans products such as TV, music, apps, and more.
The trend among German consumers stands out when compared to neighbouring countries. While spending is rising in Germany, it has recently declined in France, where BearingPoint’s study found that households spend an average of €41 per month on digital offerings.
The rise of social media subscriptions
Social media has become a major topic in Germany. Already, 28% of Germans pay for content from influencers or content creators. For example, Meta introduced paid, ad-free versions of Facebook and Instagram in Europe in 2023, while YouTube offers a similar model. However, the strongest growth was recorded by Twitch, where paid subscriptions increased from 5% to 8%.
It is also notable that 71% of respondents in Germany would be willing to share personal data for AI applications if it improved paid digital offerings. This places Germany ahead of the United Kingdom (69%) and France (52%).
Greater transparency regarding data usage further increases acceptance. In fact, 29% of Germans would even consent to the use of personal data without prior notification. The proportion willing to do so in France and the United Kingdom is significantly lower.
Acceptance of ad-supported models
Advertising-funded models are also gaining acceptance. Across all segments, about half of subscribers are willing to accept advertisements. Advertising is mentioned less frequently than in the previous year as a reason for cancellation at Spotify, Netflix, Amazon Prime Video, and Disney+, but only if ads lead to a reduction in subscription prices.
The number of subscriptions per household has remained stable, averaging 2.3. At the same time, usage of popular services is rising rapidly. Spotify leads the field, with almost all subscribers listening several times a week, and around half doing so daily. HD+ is also used consistently, while YouTube Premium is rapidly catching up in terms of daily usage.
Digital news losing ground
While streaming and gaming services are growing, the digital news segment is losing traction. According to the study, respondents cite rising prices and a lack of quality as the primary reasons for cancellation.
Only 14% of German households still have a paid online news subscription. This compares to more than half who have a TV subscription (often included in an internet bundle), a figure that has increased by 41% since last year.
For the study, BearingPoint surveyed around 7,500 respondents across Germany, France, and the United Kingdom, including approximately 2,500 individuals in German households with at least one paid digital subscription. The data collected covered usage patterns and willingness to pay.
Commenting on the report, Thomas Heiss, partner at BearingPoint, said: “Paid digital subscriptions have long been an integral part of everyday life for many German households. At the same time, usage patterns, willingness to pay, and user expectations are changing noticeably. Our report shows that while the market is mature, it is by no means stagnant.”
