Netflix Password-Sharing No More | Netflix Gains More Subscribers Than Ever
Strangely enough, Netflix has witnessed a significant increase in new daily sign-ups just days after announcing its crackdown on password sharing.
In Short
- Netflix has finally been successful in getting new subscribers on board
- Netflix garnered over 100,000 daily sign-ups on both May 26 and May 27.
- Netflix recently announced a new policy that requires users who share their account with people outside their household to pay an extra $7.99 per month.
Netflix has finally been successful in getting new subscribers on board. Its strategy to crack down on password sharing has been working in the company’s favor. Strangely enough, Netflix has witnessed a significant increase in new daily sign-ups just days after announcing its crackdown on password sharing. As per market research firm Antenna, when Netflix notified subscribers in the US about its plans to curb password sharing, the company witnessed its four largest days of user acquisition.
As per reports, Netflix garnered over 100,000 daily sign-ups on both May 26 and May 27. ”Based on the most current data available, Netflix saw nearly 100,000 daily sign-ups on both May 26 and May 27,” the report mentioned. The number of new daily sign-ups for Netflix has skyrocketed, showing a significant increase compared to the previous 60-day average. On average, 73,000 people signed up each day during this period, which is an impressive 102 percent surge in new subscribers, the report mentions.
Netflix recently announced a new policy that requires users who share their account with people outside their household to pay an extra $7.99 per month. Additionally, the number of extra members that customers can add to their account now depends on the service tier they have subscribed to.
The cost of sharing an account with an additional person is $2 less per month compared to the basic subscription, but $1 more than the ad-supported plan that Netflix introduced last year. This move by Netflix aims to generate more revenue and cater to customers who are conscious of their budget.
Since the crackdown on password sharing was put into effect on May 23, Netflix’s stock has seen a rise of approximately 13 percent. This indicates a positive response from investors regarding the company’s efforts to ensure fair usage of its service.
Market research firm Antenna gathers data from third-party sources, with users’ consent, such as online purchase receipts, bills, and banking records. However, this data does not include subscriptions obtained through bundled services. When asked for a comment, a Netflix spokesperson declined to provide any further information.
Netflix’s recent actions regarding password sharing reflect its commitment to maintaining a sustainable business model while providing quality content to its subscribers. By implementing these changes, the company aims to strike a balance between accommodating multiple users and protecting their revenue streams.
