Netflix Bounces Back With 2.4 Million Subscribers In Q3 2022
Rising from series of poor performances in the last few months, Netflix subscriber’s base increased by 2.4million globally, of which 1.4 million are new users in the Asia Pacific Region in the third quarter of 2022.
This was revealed by the streaming service platform in their quarterly shareholder’s letter, after the company launched a new cheaper plan, with ads to expand its consumer base.
In the shareholder’s letter, the streaming platform announced that they have exceeded their forecast for subscribers in Q3 of 2022 which was the first gain in Netflix since the end of 2021.
Netflix reports that they had a 4.5% increase with 2.4 million subscribers added in the quarter giving them over 223 million subscribers.
According to the streamer, the company listed some shows which made it possible to achieve their success in the quarter was bolstered by a handful of specific programming that premiered including feature films The Gray Man and Purple Hearts, and TV shows Monster: The Jeffrey Dahmer Story, Extraordinary Attorney Woo, and Stranger Things season four.
Moreover, some of the shows that were specifically shouted out for being influential toward Netflix subscriber growth have made a major impact on viewership on the streaming service.
The two films they spotlighted, The Gray Man and Purple Hearts, made their way onto the All-Time Top 10 Movies on Netflix.
The Gray Man is currently the #4 title, watching over 253,870,000 hours in its first 28 days, while Purple Hearts was watched over 228, 690, 000 hours and resulted at #7 on the same list. Stranger Things 4 jumped to the #1 position on the All-Time Top 10 English-language TV shows on the streamer with over 1.35 billion hours viewed, DAHMER: Monster: The Jeffrey Dahmer Story also moved up to #2 sitting at over 824, 150, 000 hours.
Also, in a previous report, Netflix will roll out their subscription tier with ads this November which will come with a smaller price point and may not immediately result in huge subscriber gains.
In their shareholder’s letter, Netflix writes: “While we’re very optimistic about our new advertising business, we don’t expect a material contribution in Q4’22 as we’re launching our Basic with Ads plan intra-quarter and anticipate growing our membership in that plan gradually over time. We aim to give our prospective new members more choices – not switch members off their current plans. Members who don’t want to change will remain on their current plan, without ads, at the current price.”
The Netflix tier with ads will launch next month with a $6.99 per month price point in the United States, $3 cheaper than the basic plan on Netflix. The streamer confirmed that the Ads plan will include “5 minutes of advertising per hour” plus “frequency capping and strong privacy protections.”