“Account sharing was banned”… Netflix US new subscribers surge

102% higher than the daily average for the previous two months
Stock price also recorded a 52-week high

On the 23rd of last month, a global online streaming company (OTT) Netflix, which implemented measures to restrict account sharing in the United States, achieved a rapid increase in the number of new subscribers as intended.

According to data released by streaming industry analyst company Antenna on the 9th (local time), the number of new subscribers per day for four days since the 23rd of last month, when Netflix announced its policy to ban account sharing, recorded a record high in four and a half years when the data was analyzed. did. The average number of subscribers per day for four days from the 24th to the 27th of last month was 73,000, a 102% increase from the daily average for the previous 60 days. The crackdown on account sharing means that the number of new subscribers has doubled. In particular, the number of subscribers on the 26th and 27th of last month reached nearly 100,000 each.

Regarding this, Antenna explained, “This is a greater increase than when the number of streaming viewers increased as a lockdown policy was implemented in the United States in March and April 2020 to restrict going out due to the spread of Corona 19.” .

Initially, the industry expected that not a few people would stop subscribing if Netflix account sharing became impossible, but after the 23rd of last month, the ratio of new subscriptions to cancellations increased by only 25.6% compared to the previous 60 days.

As this news spread, Netflix’s stock price on the US stock market recorded $425.90 during the day and recorded a 52-week high. This is a 159% increase in about a year compared to the stock price falling to $ 164.28 in June of last year, and more than 40% higher than the stock price at the beginning of this year. In particular, since the 23rd of last month (based on the closing price of $355.99) when the ban on account sharing was announced, the stock price has risen 20% in 12 trading days.

Netflix announced on the 23rd of last month that it would limit account sharing with other household members so that its subscription account can only be used within one household in the United States. If you want to add someone who isn’t a member of your household to your existing account, you’ll have to pay more than $7.99 a month. As a result of previous account-sharing bans in some Latin American countries, Netflix said, “Subscriber numbers fell in the short term, but over time subscriber numbers rose again.” will,” he said.

Netflix has announced several times that it will gradually block account sharing, saying that it is having difficulty improving profitability as subscribers share accounts around the world and there are more free viewers.