Americans are increasingly canceling streaming services and other subscriptions as the rising cost of essential goods like groceries and gas strains household budgets. This trend, often referred to as "subscription fatigue," sees consumers re-evaluating their expenses and cutting services they deem non-essential or underutilized.
A report from Deloitte indicates that over half of consumers, 52%, have canceled at least one subscription in the past six months. This rate is particularly high among younger demographics, with Millennials and Gen Z canceling at a greater frequency than other age groups, according to data from subscription management platform Recurly.
Joe Rohrlich, CEO of Recurly, stated that the primary reason for cancellations in 2025 was that consumers felt they were not using a product or service enough to justify the ongoing cost. The average monthly spending on subscriptions has risen to $111, or $1,332 annually, a 23% increase from the previous year's average of $90 per month. Consumers are reportedly wasting an average of $21 per month, or $252 annually, on unused subscriptions.
Recurly's research also highlights that consumers are becoming more strategic with their spending. Brands offering flexibility, such as a "pause before cancel" option, are more likely to retain customers. Companies with this feature have observed a 337% increase in pauses and a 75% return rate within months. This wave of cancellations typically peaks between October and January, coinciding with the holiday season.
Beyond cost savings, consumers are experiencing fatigue from constant solicitations to download apps and sign up for services across various platforms, from entertainment and dating apps to food delivery and loyalty programs. There is also a noticeable shift towards niche subscriptions that align with specific consumer needs, with some willing to pay premium prices for specialized services. AI-powered tools and specific health-related apps are cited as examples of such premium offerings.
Analysis of anonymized member data from Monarch, a financial tracking app, identified fitness and gym subscriptions as the category with the highest cancellation rate in 2026, at approximately 11%. This includes gym memberships and digital fitness services. Streaming and entertainment subscriptions followed, with a cancellation rate of about 9%, affecting services like Netflix, Hulu, and Spotify.
Financial experts also point to high-fee credit cards and duplicate subscriptions as significant areas of financial waste. Some premium credit cards carry annual fees of up to $895, which financial planner Rachel Lawrence suggests are often not worth the benefits for many consumers. She also noted that consumers frequently pay for services like Disney+ and Hulu out-of-pocket, even when their credit card benefits would cover these costs.
Lawrence advises consumers to create a list of their core values and align their subscription choices accordingly, cutting those that do not resonate. She likens this approach to dieting, suggesting that making room for enjoyable spending by reducing less important fixed expenses is key to maintaining a budget. Avoiding excessive restriction is crucial to prevent consumers from abandoning their financial plans altogether.