Take a moment to think about all the subscription services you pay for. How much do Watch Passenger 69 XXXyou think it adds up to each month? Probably a lot more than you realize.
A June 2018 study of 2,500 Americans, conducted by consulting firm Waterstone Management Group, revealed a major gap in perception and reality when it comes to subscription services spending.
Original image has been replaced. Credit: Mashable The firm asked participants to estimate how much they spend on subscription services each month, giving them just 10 seconds to answer. Then, they asked participants to think about it a little longer, giving them another 30 seconds to come up with a second estimate.
Finally, Waterstone Management Group helped participants tally how much they actually spend on tech subscriptions. That includes everything from home Wi-Fi and mobile phone service to video and music streaming, cloud storage, gaming services, fees associated with home security systems, dating apps, pet and fashion subscription boxes, meal services, etc.
Original image has been replaced. Credit: Mashable Respondents initially estimated they spend $79.74 per month, on average, on subscription services. On the second try, the average estimate went up to $111.61 per month. In both cases, those estimates were way off.
In reality, participants spend an average of $237.33 per month on those subscription services, Waterstone Management Group found. The vast majority of respondents – 84 percent – underestimated what they spend each month. Ten percent overestimated, and just 6 percent got it exactly right.
"Clearly, most Americans are unaware of how much they spend on subscription services," Waterstone Management Group wrote in a blog post. "When pressed for a quick answer, they dramatically underestimate the amount. This is a boon for companies operating subscription models… and a bust for advocates of conscientious budgeting!"
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