Saudi Press

Saudi Arabia and the world
Thursday, Mar 28, 2024

Have we had enough of Netflix?

Have we had enough of Netflix?

Trying to watch some of Netflix's more recent series all the way through, says Paul Weiner, feels a bit like cramming frankfurters down your throat in a hotdog eating contest.

Readers outside the US may not share the American enthusiasm for competitive hotdog swallowing. But maybe they can relate to the feeling.

We've all spent the last few years, the last two especially, binge-watching, indiscriminately, too mesmerised to click the off-button.

Are we maybe just a little bit sick of it?

That's the fear seizing executives in Netflix's boardroom right now. That Mr Weiner, a 28-year-old artist from Denver, Colorado, who loved the streaming service at first, especially for watching old favourites like Star Trek and The Office, typifies a new mood. That after years of skyrocketing subscriber growth, people will switch off, not just their television sets, but their direct debits too.

Mr Weiner is one of the hundreds of thousands who have already cancelled, prompting a moment of high drama for the company this week as its share price plummeted and confidence in its future wobbled.

People have begun to ask whether Netflix's star, as the world's largest streaming service, is beginning to fade.

Paul Weiner has cancelled his Netflix subscription as he was not a fan of its original shows


"Netflix lost some of my favourite shows," says Mr Weiner. "And I never know which show will disappear next."

He thinks there's more clickbait than there was - enticing teaser clips that don't live up to expectations - and some poor writing.

"There are better streaming deals than Netflix right now," he says.

Netflix was the first to introduce households to TV-on-tap in 2007, entering popular culture with its avalanche of output, and even spawning the phrase "Netflix and chill" as a euphemism for staying in to have sex. But since then many other streaming services have followed Netflix's lead, including HBO, Disney, Apple and Amazon, making it an increasingly crowded market.

"What made Netflix so popular initially was not necessarily its original programming, but the shows it licensed from other production companies, like Friends, giving viewers one convenient place to watch everything they love," says entertainment journalist Tufayel Ahmed.

"With companies now taking their shows off the service and putting them on their own streaming platforms, Netflix faces the problem of having to fill the gap."

They've done that, launching some hugely successful original output, from the lurid regency romp Bridgerton to the brutal Squid Game, high school comedy Sex Education to the touching drama Afterlife. Sixteen million people signed up in three months at the start of 2020 as coronavirus spread the world and discussing the dubious morality of Tiger King or the historical accuracy of The Crown was a way to switch off from the horror show of the news.

But with so many rivals, "all of which are pouring hundreds of millions of dollars into competing with Netflix", says Mr Ahmed, it was almost inevitable the company would eventually lose some ground.


Mark Mulligan, media analyst at MIDiA Research agrees, pointing to a trend for "savvy switchers" to skip between services.

"Everyone had more time and cash during the pandemic which meant the market was artificially buoyant," he says.

But now he thinks: "The economy for people's attention has peaked and the amount of spare time people have has run out".

Tiger King provided a shared distraction in the early days of the Covid-19 pandemic


There is also a cost of living crisis to contend with, right around the world. And Netflix, rather than lowering prices has raised them, a move that should help shore up the balance sheet, but has proved unpopular with subscribers, who are themselves feeling the pinch, like 38-year-old Natalie Walters from Catford in South-East London.

She hasn't cancelled, but she's switched from the premium service, which in the UK costs £15.99 a month, to the standard version at £10.99.

"It becomes about choosing what you keep and what you have to cut down or get rid of altogether," she says.

Natalie Walters said the recent increase in Netflix subscription price was "unreasonable"


And 55-year-old Peter Biggins, a coordinator from Norwich has done the same.

"I've been with them from the beginning. They have some good shows, but they're not the only player in the market now," he says.

And he's not a fan of the other plan Netflix is reported to be contemplating: cracking down on customers who share passwords with other households.

"If Netflix is going to go after people who have a subscription, they're going to annoy them," Mr Biggins predicts. And it may not have the outcome they're hoping for.

Aram Asai Munoz, a law student in Santiago, Chile, has shared a Netflix account with his parents and sister, who live in separate households, for several years.

Since he first signed up - eager to tune in to crime drama Better Call Saul - the monthly cost of the service has roughly doubled, he says.

Many of his friends have already cancelled over the price hikes and quality of content and he says he might well do the same if the firm does clamp down on password sharing - after all Netflix is a "frivolity" compared to the other bills that need paying, he says.

"Netflix somehow expects that by forbidding password sharing people will become direct new customers, but economic reality dictates the opposite: they will simply walk away from the service," he says.


While unpopular with customers, the new strategy of raising prices and clamping down on password sharing could give the company some headroom, says Julian Aquilina, senior TV analyst at the media research firm Enders Analysis, alongside a plan to offer a cheaper service supported by advertising.

But the impact will be limited. A survey of US Netflix users found only 11% used a shared log in. Some 85% were paid subscribers and the rest were on free trials, Kagan Consumer Insights found.

That doesn't mean Netflix is about to lose too much ground, though, Mr Aquilina says.

"It is not like it is going to fade away anytime soon. It is a great product, people like using it," he says.

"The question is, how many more people it will reach in the future. Maybe it won't be as much as people expected - it seems those expectations are being reset."

Newsletter

Related Articles

Saudi Press
0:00
0:00
Close
Reports in Gaza: 5 dead from the impact of aid packages dropped by the USA
Apple warns against drying iPhones with rice
China Criticizes US for Vetoing UN Ceasefire Resolution in Gaza
In a recent High Court hearing, the U.S. argued that Julian Assange endangered lives by releasing classified information.
The U.S. vetoed a U.N. Security Council resolution calling for a temporary ceasefire in Gaza, instead proposing its own six-week ceasefire plan contingent upon the release of all hostages held by Hamas
Prince William Urges End to Gaza Conflict
Saudi Arabia ranks first in UN index for e-government services in MENA
Israel has gone ‘beyond self-defence’ in Gaza, says Labour’s Streeting
EU Calls for Immediate Ceasefire in Gaza Conflict
Israel Records 20% Drop In GDP, War In Gaza Is The Reason
Saudi Arabia's FDI Inflows Grow with New International Standards
Venture Capitals Power Up Across MENA Region
Saudi Arabia Introduces Terms for 30-Year Income Tax Exemption for Multinational Companies
Saudi FM: Establishing Palestinian state is only pathway for Mideast stability
Russian opposition leader Alexey Navalny has died at the Arctic prison colony
Elon Musk's Starlink Gets License For Israel, Parts Of Gaza
Influencers Exploit X Platform for Profit Amidst Israel-Gaza Conflict
PM Modi Announces Opening Of New CBSE Office In Dubai
International Criminal Court's Chief "Deeply Concerned" By Rafah Bombing
January Funding for MENA Startups Totals $86.5 Million
Saudi Arabia accelerates digital economy growth through Nvidia partnership
Indian female military officers commend Saudi Arabia's progress and women's empowerment
Israel unveils tunnels underneath Gaza City headquarters of UN agency for Palestinian refugees
Israel deploys new military AI in Gaza war
Egypt threatens to suspend key peace treaty if Israel pushes into Gaza border town, officials say
Israel Utilizes AI Military Technology in Gaza Conflict
Saudi Arabia Warns Of A "Humanitarian Catastrophe" If Israel Moves On Rafah
China Warns Iran to Halt Houthi Attacks or Damage Trade Ties
US University To Shut Qatar Campus Due To "Heightened Mideast Instability"
Iran-backed hackers interrupt UAE TV streaming services with deepfake news
Facebook and Instagram Ban Iran's Supreme Leader
Finnish Airline, Finnair, is voluntarily weighing passengers to better estimate flight cargo weight
U.S. Secretary of State Blinken: The Israelis underwent dehumanization on 7.10, this does not give them the right to do this to others.
Defense Technology Showcase Held in Riyadh
Saudi Arabia’s non-oil exports rise 2.5% to $6bn in November 2023: GASTAT
UK Bans Misleading "Zero Emissions" Claims for Electric Cars
Gaza's Teen Inventor Sparks Light in Displacement
Netanyahu Rejects Ceasefire Proposal, Insists On Total Victory Over Hamas
Guterres appoints independent UNRWA review panel
Private Sector Employment Hits Record High with Over 11 Million Employees in January
Rolls-Royce Executive Encourages Saudi Women to Tap into Their Inner 'Superhero' for Success in Defense Industry
Saudi Arabia launches National Academy of Vehicles and Cars
Saudi Tourism Minister Reveals Plan for 250,000 New Hotel Rooms by 2030
SAR to more than double eastern network passenger capacity with new trains deal
Saudi Arabia Enhances National Defense with New Partnerships
Saudi Aramco Maintains Arab Light Crude Pricing to Asia for March
NEOM Establishes New York Office to Support Investors
Saudi Wealth Fund Draws in Over $25 Billion Worth of Investments in Three Years, Al-Rumayyan Reveals
ZATCA Cautions Against Scammer Schemes
INTRA Defense Technologies inaugurates drone factory in Riyadh
×