Netflix surprisingly reported that it lost 200,000 subscribers during the first quarter of this year, after more than a decade of growth that rocked Hollywood. Faced with this, the company explained what were the reasons that led to this fall. Here we tell you all about the decline of the digital platform.
Immediately after the company announced its first reduction in the number of clients on Tuesday, its shares fell 28% in electronic trading.
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The loss of 200,000 subscribers fell far short of Netflix’s forecast for the start of 2022, which expected to add 2.5 million customers worldwide.
What were the causes of the loss of Netflix subscribers?
According to Netflix management, there were several factors that contributed to this great loss:
The company linked its stagnation to the emergence of new competitors, such as Disney and Applebut also recalled that the suspension of his service in Russia resulted in the loss of 700,000 subscribers from that country.
He added that inflation and the stoppage of filming due to the impact of the coronavirus are other reasons.
In addition, Netflix admitted that the possibility it offers its users to share an account between several households is significantly reducing its growth.
According to their internal data, Of the nearly 222 million active paid accounts on Netflix, more than 100 million are shared between more than one person or family.
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How many subscribers does Netflix have in the world?
According to the Efe agency, currently, Netflix has 221.64 million subscribers to its streaming service worldwidebut as competition increases, your ability to attract new customers is diminishing, as in 2021 it registered the lowest growth of the last three years.
Thus, in the forecasts for the next quarter it has lowered its expectations and anticipates the loss of more than 2 million subscribers.
Netflix in Peru
Last month, Netflix announced that it would start charging an extra fee to users who lend their accounts to people who do not live in the same house.
Although users have already been notified about this measure through emails for a few weeks, it came into force as of April 16.
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And it is that the company started this plan with a pilot in three Latin American countries: Peru, Chile and Costa Rica. Currently, the platform has already implemented an option that allows users to register extra members to their memberships so that they can also use the service for an additional cost.
In our country, the amount to be paid will be S/ 7.90 and will entail some conditions such as an account and password of its own for the additional user, unlimited access to the content of the platform as if it were any other subscriber, the possibility of watching Netflix on any device (although only on one at a time) and the creation of your own profile, limited to one per extra member.
