Netflix continues to lose subscribers, with the most recent report from the platform assuring that the service lost 970,000 subscribers in the second quarter of 2022. Although these figures may seem disastrous, in fact, they are lower than anticipated. At the beginning of the year, he had already made the prediction of losing 2 million more subscribers. In fact, Netflix ended up with $1.441 billion in profit.
With the loss of subscribers, Netflix seems optimistic about the next quarter. The company anticipates that in the coming months it will recover and add a new million subscribers.
This forecast is perhaps the greatest sign of confidence that Netflix has in its new plan to increase its users: reduce the number of households that share passwords. For the service, this is one of the main sources of potential subscribers: people who are already using Netflix (and even paying, by sharing the account), but who are not considered subscribers.
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It is a strategy, however, that does not come without its risks. Netflix seems to be convinced at least that its current subscribers are not going to cancel the service, but the current offer of platforms opens the window to this risk.
The “positive” results of Netflix do not leave the platform out of risk. The main reason why it managed to recover is because its forecasts for this quarter were quite negative and because the company had reported a significant loss of subscribers for the first time. But the next few months are critical because they will determine whether his plan and the latest changes can accelerate his growth. If so, a first sign that we would see would be the implementation of its password policy in more countries, with the United States being the most important market.
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