Netflix loses more long-term subscribers: Things have been going downhill for Netflix. The streaming giant had reported that it had lost over 2 lakh subscribers in the last quarter and two million subscribers in the current period. Netflix shared the figures in a note to shareholders. Now research has found that the long-term subscribers who have been on the platform for more than three years are now leaving the service.
Netflix loses more long-term subscribers
As per the data shared by research firm Antenna to The Information, Netflix subscribers who used the app for more than three years accounted for just 5 per cent of total cancellations at the start of 2022. However, the numbers rose to 13 per cent in the first quarter of 2022.
“Newbie subscribers, meantime, accounted for only 60% of cancellations in the quarter, down from 64% in the fourth quarter. Also, in the first quarter, overall cancellations rose to 3.6 million people, compared with around 2.5 million in each of the preceding five quarters. Antenna says it draws its data from a panel of 5 million Americans who anonymously contribute their streaming subscriptions,” the report read. The research firm cited price increases as the reason behind the exodus of Netflix subscribers. Lack of interesting content could also be one of the factors why Netflix’ subscriber base is witnessing a downfall .
Another reason why Netflix could be losing subscribers is its dependence on original content. The report states that the entertainment companies like “NBCUniversal and Disney, have pulled their shows off Netflix and put them on their own services. Netflix has had to rely more on its originals, which have been hit or miss“.
However, Netflix aims to attract more subscribers by introducing ad-based subscription plans. A New York Times report stated that Netflix’s ad-supported subscription plans will arrive sooner than they were originally planned to. The report stated that the company executives were informed via an email that Netflix is now aiming to roll out its ad-supported plan in the last three months of 2022. The crackdown on password sharing is also expected to begin around the same time.
