In recent days, the Netflix share has fallen by 40 percent at times. In the article, we report on the reasons for the declining popularity of the streaming portal and how the American company wants to counteract this.
Declining users and reasons
Presenting its quarterly results, Netflix had to admit a decline in the number of subscribers for the first time in the last ten years. The customer base has shrunk from January to March this year by 200,000, as the video service announced after market close on Tuesday evening in the United States. Netflix had last reported a decline in October 2011. The share also fell sharply. This means that the long upward trend of the streaming giant has now finally been broken. A detailed analysis of Netflix’s situation can be found on https://www.bbc.com/. One reason for the massive loss of customers are the sanctions against Russia. On the one hand, Netflix points to the fact that they stopped their streaming offer in Russia as a result of the war on Ukraine. This alone resulted in the loss of around 700,000 subscriptions. Account declines could even rise to 2 million by the end of the current quarter. Other reasons for the lack of interest in the streaming service are also likely to be inflation and increased subscription prices, as well as more attractive offers from competing services such as Amazon Prime and Disney Plus, so that fewer customers took out a subscription or cancelled their current account. Those who still have their accounts and are interested in streaming tips can find them on our website https://www.geekgirlauthority.com/.
Sell the share?
The Netflix crash has a prominent victim: Bill Ackman bought three million shares in January. The opportunity for a longer-term commitment seemed favorable. Now he has sold the stake again – at a big loss which amounted to around $400 million, as variety.com reports. The Netflix stock continues to fall. Since the streaming company might be facing a major restructuring, investor confidence is damaged. However, the stock market will always remain speculative and is not for people who need certainty. Those who have a gambler’s mentality can cope with it much better. One can acquire such a mentality also through online gaming. For some, this is also significantly more rewarding than stock trades. Through cashback promotions, VIP programs and bonus offers, there are not only chances of a high profit, but also still financial benefits and the security of getting back some of one’s money. However, the choice for the right online gambling hall is not easy. Comparison portals can help to get an informed overview of potential reputable providers. The portals are free of charge and can be reached with just one click. This way, even casino newbies can quickly find the best casinos for all their needs, for example online casino games at https://www.casinoreviews.net.nz/ for an overview.
Netflix CEO Reed Hastings had rejected an ad-financed subscription model for the streaming service for quite some time. However, after the latest figures and due to the falling value of the share, he apparently retracted this statement and no longer categorically rules out advertising at Netflix. Information on pricing and availability is not yet given. He said it makes a lot of sense to allow users who are ad-tolerant and would like to pay less to do so. Disney Plus already has such a discounted subscription in its repertoire of offerings which has already paid off. A large amount of money is also currently slipping through Netflix’s fingers, as password sharing is still happening on a massive scale in Germany. 100 million households alone are said to have passed on their passwords to others. Netflix now wants to take action against this and proceed like other streaming services. In South America, it is already the case that customers who pass on their password have to pay $2.99 more. This makes it more attractive to keep one’s password to oneself, thus forcing others to get their own account, from which Netflix would earn considerably. Such a measure could exist in all countries in future times. According to Hastings, there has been no priority on measures against account sharing in this regard so far, as the number of subscribers nevertheless rose steeply. With the end of these positive values, however, there is now a need to prevent such things.