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In a world where streaming giants continually redefine innovation, Netflix's strategic decision to stop regularly reporting subscriber numbers marks a bold shift. This move places a greater emphasis on financial metrics, revenue, and profit growth, positioning Netflix for potential expansions into advertising and video gaming. Mirroring the evolutionary steps of tech behemoths like Amazon and Apple, Netflix's focus on broader success measures signals a significant evolution from a pure-play streaming service to a multifaceted, tech-forward entity. However, this raises questions about data transparency and competition among streaming services. In the ever-evolving media landscape, this strategy not only showcases Netflix's readiness for future industry shifts but also challenges the established norms of entertainment and technology. For media and tech industry leaders, it serves as a clarion call to rethink what constitutes success in the digital age. As Netflix explores new sectors, adopts financial metrics, and evolves beyond traditional streaming, it underscores the importance of strategic planning and competitive positioning. What are your thoughts on the future of data transparency and competition in the streaming services sector? How do you think Netflix's strategy will reshape the competitive landscape and potentially signal future technological advancements in media? Share your insights and comments below. #Netflix #StreamingServices #MediaInnovation #TechTrends #DigitalStrategy #EntertainmentIndustry #VideoGaming #Advertising https://lnkd.in/dh7e9VQJ

This week I read an article for my Artist Representation class from the Hollywood Reporter regarding Netflix making a significant change in its reporting strategy by announcing it will no longer provide regular updates on its subscriber numbers. This decision comes amidst increased competition and a shifting landscape in the streaming industry. Instead, Netflix plans to focus more on revenue and operating profit as metrics to evaluate its performance. The company's move reflects a broader trend in the industry, with competitors like Disney+ and Amazon Prime Video also opting for similar approaches, emphasizing other metrics like engagement and customer satisfaction. This shift indicates a move towards a more holistic understanding of a streaming service's success beyond just subscriber numbers. The decision has sparked speculation about the motivations behind it, with some suggesting Netflix is attempting to divert attention from any potential subscriber losses. Critics argue that this change in reporting could make it harder for investors and analysts to accurately gauge the company's performance. However, others see it as a strategic move to shift focus towards long-term sustainability and profitability rather than short-term subscriber growth. Overall, Netflix's decision to stop providing regular subscriber updates is seen as a significant shift in how the company measures success and reflects the evolving nature of the streaming landscape. https://lnkd.in/eVqbBPtK Eva Casey Esquire Group Inc.

As an ex-Flixer I found this announcement the most interesting part of Netflix's latest earnings - starting in 2025 neither quarterly sub growth counts or ARPU (they call it 'ARM') will be publicly reported by the streamer, instead putting more focus on 'engagement'. While I understand the logic behind the decision, it also makes the need for a common set of performance metrics to be used across all streamers. With all the major streamers having followed Peacock's lead into offering ad-supported plans, I suspect that advertisers would like common metric categories as well. #streaming #peacock #netflix #earnings #advertising

In a letter to its shareholders a few weeks ago, Netflix made it clear that subscriber numbers are not the only metric that illustrate its growth. Its focus to develop this advertising revenue stream is another demonstration of the exciting opportunities that it can offer. Netflix's introduction of the advertising tier in 2022, made it ahead of the curve in regards to advertising on streaming platforms and its business moves continue to bring insight into the future of the advertising in this sphere. Mike Proulx, VP and research director at Forrester, spoke to The Current, 'There are only so many net-new subscribers [streamers] can chase, especially in a world now where there is so much competition and consumer choice....I think there is going to be a disengagement between revenue and subscriber numbers due to the growth of their ad-supported business.' Read more about the strategic developments in the Netflix advertising here: https://hubs.li/Q02xWcm60 #DigitalMarketing #Netflix #news

Netflix has announced a significant shift in its reporting strategy, opting to discontinue quarterly subscriber number disclosures, signaling a potential slowdown in its years-long streak of customer gains in the streaming wars.... Read More At:- https://lnkd.in/gUMcdb9y Netflix #Strategy #subscribers #Strategy #slowdown #customer #streamingwars #news #NewsUpdate #newsfeed #dailynews #IBWNews

Netflix is moving beyond subscriber numbers. In its first quarter earnings results released on Thursday, Netflix announced that it will stop reporting quarterly membership numbers in 2025 because subscribers are “just one component” of its growth. The change comes after a quarter where it added 9.3 million subscribers, growing to more than 270 million members globally. Subscriber count meant everything in the early days of streaming. It allows investors, studios, and everyone else to gauge just how well a streaming service is doing compared to the competition, and Netflix has leaned on its lead in that area. But now, Netflix says it is flipping this idea on its head because it has multiple sources of revenue that don’t hinge solely on monthly memberships. Its letter to shareholders highlights “new” revenue streams, including advertising through its ad-supported plan and paid sharing. “As we’ve evolved our pricing and plans from a single to multiple tiers with different price points depending on the country, each incremental paid membership has a very different business impact,” Netflix writes in its letter to shareholders. The streamer also won’t report average revenue per member on a quarterly basis. Instead, Netflix says it will provide a breakdown of revenue by region each quarter, and it will reveal “major subscriber milestones” when it hits them. “Success in streaming starts with engagement,” Netflix writes. “When people watch more, they stick around longer (retention), recommend Netflix more often (acquisition) and place a higher value on our service.” In other words, streaming is just getting more like cable. Instead of placing value in the people who sign up for its service, Netflix is betting that they’ll stay subscribed and maybe even pay to add an extra member. (Disclosure: Vox Media Studios produced Full Swing, and The Verge recently produced a series with Netflix.) Source link By Nakisisa George

Netflix reported its third-quarter earnings Thursday, adding 5 million subscribers as its status as subscription streaming TV’s dominant platform remains unchallenged. The company now has 282.7 million global subscribers. Netflix will stop reporting subscriber numbers and average revenue per member beginning in the first quarter of 2025, a time frame that is quickly approaching. Netflix reported revenue of $9.83 billion and operating income of $2.91 billion, both up substantially from a year earlier, and each beating Wall Street expectations. Netflix’s operating margin was 30 percent, compared to 22 percent a year ago.

When your metrics change… (Netflix) Growth 2.0 After spurring all of Hollywood to compete for streaming subscribers, Netflix is ending the race. ▪️ The streamer will no longer provide updated subscriber numbers during its quarterly earnings reports — it’ll only share them when they hit “certain major milestones,” per co-CEO Greg Peters. ▪️ Instead, it’ll focus on the metrics that Wall Street now cares most about, like revenue, operating income, and overall engagement on the platform. ▪️ Part of that reason is because the simple math of number of subscribers to revenue no longer makes sense — Netflix has multiple paid tiers, a growing ad tier, and may even change prices per market. #netflix #subscribers #streaming #media #tiers #tv https://lnkd.in/eHKceU9b

"Netflix's era of growth is upon us" "10-year original library strategy leaves competitors in the dust" Netflix has announced its Q2 earnings, and with over 8 million new subscribers, it looks like it's unstoppable. With Paramount Global's sale, Warner's layoffs, and Disney's content cuts, the news from its competitors is rather depressing. Netflix's strength is clearly in its content. The recently announced Emmy nominations show Netflix in 107 categories, close to the all-time high of 120. Korean content, including "Queen of Tears," also helped drive new subscriber acquisition. In the Asia-Pacific region, Netflix gained over 2.8 million unique subscribers. The power of Netflix has now translated into absolute power to set the price of the "streaming economy." This streamer is on the march to conquer smart TVs. https://lnkd.in/gYDeQk78

A recent EMARKETER article published a report on Netflix's revenue. This year, Netflix made a big change - and limited sharing of an account's password outside a household. From an ideal perspective where users are watching only Netflix and don't have other OTT platforms, it makes absolute sense. It also makes sense if Netflix has much much better content than the competition. But, the slowing of subscriber gains goes beyond this 'business logic' - Netflix did record a growth in subscribers in the first quarter, but a slowed growth since. Yes, it's ad-supported tier and live sports is driving growth - the question is, "Will it be enough?" "Can the OTT giant grow inspite of degrowing subscriber gains?" It might be time to crunch some numbers - Has the overall viewer hours increased? Is Sleep still the 'biggest competition to Netflix'? emarketer article: https://lnkd.in/gb77ruRp Medium article: https://lnkd.in/guTaEx-c