It can’t always be sunshine, roses, and growth in the streaming market.
According to data provided to The Information by research firm Antenna, Netflix appears to be having issues retaining subscribers. The streaming giant reportedly lost 200,000 subscribers last quarter, and potentially close to two million this current period. This news arrives from a note to shareholders last month.
Now, additional research suggests that the number of long-standing subscribers canceling their subscriptions is trending upwards in the past years.
The data indicated that five percent of total cancelations at the start of 2022 are from users who’ve subscribed for more than three years. At the end of the first quarter of 2022, that number had risen to 13 percent.
When it comes to new subscribers, 60 percent account for cancellations in the first quarter. This is down from 64 percent in the fourth quarter of last year. Additionally, the first quarter saw overall cancellations climbing from 3.6 million people compared to around 2.5 million cancellations in the preceding five quarters.
Antenna stated that they had collected data from an anonymous panel of five million American’s who’d contributed their streaming subscriptions.
The data also suggests a connection between Netflix’s price increases and its overall loss of subscribers. While Netflix is losing subscribers, streaming overall seems to be gaining new users.
Additionally, the data also shows that Paramount+, Peacock and Disney+ were the most popular services for the first four months of 2022 among new subscribers. This is most likely due to the fact that Paramount+ and Peacock are two of the most affordable options.
Stay tuned for additional details as they become available.
Via The Mac Observer and The Information