A survey by The Information has revealed that streaming platform Netflix is rapidly dropping in popularity, as many of its long-time viewers are cancelling their subscriptions.
The platform’s troubles seem to be without end, as it already revealed in its quarterly financial report that it was down by 200,000 subs. However, things are getting even worse, with the report showing that 13 percent of all cancellations in the current year are from people who have been with Netflix for the last three years.
And if you think that 13 percent is a small number, think again. Already in the quarter there have been 3,6 million cancellations of Netflix subscription services. The previous highest number recorded during a quarter was at 2,5 million.
There are several reasons behind people’s sudden decision to walk away from the platform. First and foremost would be its sharp increase in price, as its premium services, which began at around $12 back in 2013 have soared to almost $23 today, making it a noticeable expense to be coming out of a person’s wallet each month.
If that wasn’t enough, Netflix has made a number of announcements recently that could potentially be alienating even its most hardcore fanatics.
Initially, the company executives stated that they’ll be cracking down on shared accounts, arguably one of the platform’s most attractive features, as they believe that the people who view their content using someone else’s password could serve as a whole new market for them.
Also, they have shared their intentions to open up the platform for marketers, offering new, more economical options for those who chose their ad-based subscription service. This decision, as necessary as it was by the platform’s executives, doesn’t seem to have gone down very well with its audience.
Finally, the quality of content on the platform has arguably dropped throughout the years. With their financial woes forcing them to cancel a number of upcoming shows that had caught the eye of viewers and many others stuck in development limbo, it’s easy to see how paying audiences could decide to turn away from Netflix, choosing to put their money on other streaming providers.
The competition is fierce in the market no matter where you look and even in Australia, the options for viewers right now are countless. Stan, Binge, Foxtel, Apple TV and Amazon Prime are all vying for the viewer’s attention (and money) while Disney+ is also becoming a strong competitor in the local environment.
Netflix is attempting to mediate the situation, by creating options such as the addition of sub-accounts (a feature which is being tested in certain areas of Central and Latin America) and the livestreaming of comedy shows, but things don’t seem to be changing anytime soon for the streaming giant.
