The leader of streaming, which has taken strong measures after its historical perspective of the first half, now has 223 million accounts in the world.
Le Monde with ap and AFP
The figure is beyond the expectations of Netflix. After taking a historic decline in the first half of the year, the streaming leader had promised a rebound by tabling on a million additional subscribers worldwide. In the end, some 2.4 million new customers joined the platform in the third quarter.
In all, according to its statement of results published Tuesday, October 18, Netflix now has 223 million paying subscribers, therefore breaking its late 2021 record (221.8 million), fruit of two years of ultra- favorable to online entertainment services. Its title jumped approximately 14 % in electronic exchanges after the end of the New York Stock Exchange.
“Thank God, we have finished with the declining quarters,” exclaimed the Netflix CO-PDG, Reed Hastings, during a videoconferencing on Tuesday. “We came back to positivity.”
The company had accused the blow in early 2022 by seeing its number of subscribers drop by almost 1.2 million over six months. The new figure allows Netflix to resume – at least temporarily – the place of larger video streaming service in the world. Disney had overshadowed it in August by announcing that its service had 221 million subscribers, a number that will be updated on November 8 when it is published in its summer results.
“After a difficult first semester, we think we are on the way to growth again accelerated. The recipe is to please our members,” assured the Californian group.
4.5 million additional subscribers planned with the new subscription
Netflix will launch in November, in the United States and on eleven other markets, a new cheaper monthly subscription, but with advertising, in order to attract new consumers and garner additional income. The new offer will cost $ 6.99 a month in the United States (5.99 euros in France for the “essential” price with ad) and will include announcements of 15 to 30 seconds, broadcast at the start and in the middle of the programs. This corresponds to less than half of the price of the package without advertising interruption of $ 15.50.
The Californian group assured last week that advertisers – which range from car and luxury brands to tour operators – were there. “We have almost sold our whole inventory for the launch,” said Jeremi Gorman, the director of advertising, during a press conference.
Netflix provides that this new subscription will bring it 4.5 million additional subscriptions during the last quarter, and now bet on more than 227.5 million subscribers in total by the end of the year.
The platform has also welcomed that its users spend more time on its service than those of its competitors. “In the United States, the Netflix accounts represent 7.6 % of the time spent watching television,” notes the press release, quoting figures from the Nielsen design firm.
“All planets S ‘ Align “
Its financial results have also exceeded expectations, in particular its net profit of $ 1.4 billion (sum equivalent in euros) for the period from June to September, instead of the 966 million expected by analysts. Its turnover emerged at $ 7.9 billion. “All the planets align for us,” said Reed Hastings.
In the spring, after the announcement of his first loss of subscribers in ten years, the veteran of the sector had taken various measures to reverse the trend. In addition to the decision to add an advertising offer, Netflix had also indicated that it would tighten the screw on the side of the sharing of identifiers and passwords, which allow many people to access the contents of the platform without Pay.
As a first step in this sense, the company presented a new tool on Monday so that users can transfer their profile (with their preferences and their history) when they open their own account.