Netflix: The Toughest Year Ever

Netflix: The Toughest Year Ever

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the 2022 was a very difficult year for Netflix, the toughest ever with the first drop in subscribers in the company’s history (later recovered) and with the share price halving at the end of the year. These are the currently unofficial data that will be shared tomorrow at the meeting with investors and on which Netflix will have to depend (Re)start in 2023 face a long series of challenges. How will all of this affect the user?

Netflix: 2022 dates

THE subscriber data and on Netflix, earnings for the first three quarters of 2022 are official, while those for the fourth quarter won’t be released until tomorrow either. The renowned online journal IT Home anticipates them and allows us an initial and quick assessment.

Added Netflix 2.4 million subscribers in the third quarter of 2022 (specific number) and has announced that it will add more 4.5 million in the fourth quarter. If this is achieved, the number of subscribers would reach a record high 230.25 million and it would mean Netflix continued to grow overall in 2022 as well.

But there would still be little to celebrate as those 4.5 million more users would represent it the weakest growth since 2014 to date and would be significantly fewer than new customers in 2021. So at the end of the day, 2022 profits will fall for the first time in seven years.

It is clear that in the 2020-21 biennium, subscriber growth for Netflix (but also for all other streaming platforms) was heavily influenced by the Pandemic and draw consequences curfewwhich they forced hundreds of millions of people around the world to be locked at home for months.

But even these numbers cannot be overlooked Netflix is ​​no longer alone in the market of streaming and every single new subscriber today has to snag it from Prime Video, Disney+, Paramount+ etc etc…

Netflix: Predictions for 2023

According to IT Home, Wall Street has the most credible forecasts 14 million new Netflix subscribers in 2023, a character that’s still good but unexciting compared to before. Most important, however, will be the revenue Netflix can generate from each subscriber.

According to analysts, this number will grow this year mainly thanks to theIncrease in subscription prices and the introduction of commercials into the new plan base with advertising.

Netflix: What will change in 2023

Netflix He clearly stated that he wanted to start making profits again as soon as possible. Various measures are implemented for this purpose, which have a direct effect on the subscribers. there firstis clearly the price increase in some markets, which could include Italy.

there second Measure is the close fight against share password which Netflix says is taking away nearly a third of the company’s potential subscribers. From the first tests, also carried out in Italy, it is already known that Netflix would block access if it suspected abusive use of a password by asking for a code to be sent to the subscriber’s smartphone.

ll third party The way Netflix hopes to make more money in 2023 is through the new plan base with advertising, a cheaper subscription than the basic subscription but with around 4-5 minutes of advertising for each hour of broadcasting. According to the platform, this subscription will attract millions of new users, but there is always a risk that they are in fact Basic plan users who switch to the Basic plan with ads.

Finallyanother trend that Netflix is ​​heavily focused on is the mobile gaming: About fifty video games are now available in the Games section of the Netflix app.