Netflix delivered a beat on its top and bottom lines in its Q2 earnings report but shares fell on light third quarter revenue guidance. The streamer reported results that showcased the media giant’s position at the head of the streaming race as it added more global subscribers and saw its advertising business bloom. Propagate Content Chairman and Co-CEO and former NBCUniversal Co-Chairman Ben Silverman says Netflix still has plenty of opportunity for growth beyond just subscribers. "Netflix is going to be the most pure-play player in this space and only has upside in starting to monetize their content through commerce– outside of their consumer commerce and growing subscribers– but in building brands off the shows they own."
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Marketing and Growth Strategist, operating at intersection of Consumer, Creativity, Digital and Technology.
Netflix is dying! These were the favourite phrases of analysts exactly a year ago in 2023. Slowing growth, subscribers decline, reduced market cap, there seemed to be challenges galore. Cut to today, video streaming giant has added 9.3 million subscribers as per its Q1 2024 earnings call. Netflix revenues are up 15% year-over-year to $9.4 billion. Net income saw a remarkable rise of 79%, growing from $1.3 billion in Q1 2023 to $2.3 billion in Q1 2024. This fabulous turnaround has been on the back of its content and monetisation strategies paying off. Netflix continued investment in original content has yielded good results. It’s ad-monetisation is also yielding positive effects. As per reports ads memberships grew 65% Q1 2024 as compared to Q4 2023. #marketing #advertising #OTT #streaming #content
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The Times of London reports on our data about Netflix's recent earnings call: When analyzing key metrics such as subscribers, profitability, and audience demand, it’s clear that Netflix is pulling away from the competition and everyone else is fighting for second place. The #streaming giant has now grown its global market share of streaming original demand for two quarters in a row, a first in the modern streaming era (Q4 2019-present). Netflix’s originals share steadily shrunk over the past four years as competition increased, from 55.7% in Q1 2020 to 33.3% in Q3 2023, before bouncing back up to 33.9% as of Q1 2024. "Parrot Analytics said that if growth slowed this year, “Netflix can fall back on its renewed funnel of licensed titles from Warner Bros, Discovery, Paramount Global, Disney, NBCUniversal and beyond. As Netflix strengthens its hold on the global streaming market, it will still need new types of content to fill in the gaps of its most popular series, which are getting longer and longer.” Netflix beats subscriber forecasts by adding 9.3 m new customers https://hubs.ly/Q02vBnW50
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Head of OKR Coach | Guiding enterprises with the only certified, OKR-based, system for accelerated strategy execution..
Did you know that Netflix recently changed its North Star Metric? The streaming giant just shifted its focus from subscriber growth to watch time. Here's why it matters...↓ Netflix's co-CEO Greg Peters announced a major pivot in how they measure success ● Old metric: Subscriber growth ● New metric: Time spent watching content This shift reflects Netflix's growing emphasis on user engagement and experience quality. But is it the right move? Key implications: ✓ Aligns with strategy to offer high-quality content ✓ Supports new features like ad-supported plans ✓ May impact content strategy and innovation However, critics argue: ✱ Less transparent than subscriber numbers ✱ Could be influenced by external factors ✱ Might not fully capture user value The bottom line: Netflix is betting on engagement as the key to future growth. But will this new metric truly reflect the company's success in a competitive streaming landscape? What's your take? Is watch time a better indicator of success than subscriber count? ALWAYS MAKE PROGRESS ⤴ #okr #northstarmetric #plg #strategy
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F500 Brand Expert Ex J&J, Pfizer, Kellogg’s, Nestlé. I mentor CMOs, CEOs, & Entrepreneurs + train marketers so you can grow more profitable brands. Author of The Brand Igniter OS. Fractional CMO, Strategist, & Speaker.
It is not about subscribers. It is about revenue and advertising is a driver. It pays to know what business you are in. Netflix is an example of strategic marketing. Netflix is at a pivotal point where it needs to balance subscriber growth with revenue generation. The decision to shift focus from subscriber numbers to revenue might be a strategic move. So far it is doing very well against giant competitors. These are some thoughts inspired in me by this WSJ article 1. Performance beyond expectations. Netflix experienced significant growth in paid subscribers, exceeding analysts' expectations. Revenue for the quarter slightly surpassed Wall Street forecasts. 2. Shift in focus towards revenue growth and advertising. The company announced it would no longer report subscriber data and aims to emphasize revenue growth and advertising. 3. New challenges Netflix faces the challenge of sustaining growth, particularly in terms of finding new viewers and potentially raising prices. The company's focus on revenue growth and advertising will be crucial in navigating the competitive streaming landscape. What do you think? Is it time for streaming platforms to move on from depending on subscriptions and focus on ad revenue? #marketing #branding #management #mentoring
Netflix Dealt With the Freeloaders. Its Next Act Will Be Tougher.
wsj.com
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Netflix announced it will stop sharing subscriber data starting in 2025. The streaming giant will instead emphasize engagement metrics like viewing time and session duration. Netflix told shareholders, “In our early days, when we had little revenue or profit, membership growth was a strong indicator of our future potential...but now we’re generating very substantial profit and free cash flow. We are also developing new revenue streams like advertising and our extra member feature, so memberships are just one component of our growth.” On one hand, by ceasing to report subscriber numbers, Netflix might reduce the transparency that investors and industry analysts rely on to gauge the company's health and growth. Subscriber metrics have been a straightforward, quantifiable measure that provides clear insights into the platform’s reach and market penetration. On the other, with its pivot towards an ad-supported tier, Netflix might be taking a smart play out of the advertiser handbook. Engagement metrics are a huge indicator of a satisfied viewer, reflecting their genuine interest in content. What do you think? Is this the right call? #Netflix #AdvertisingOnNetflix
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All Eyes on Netflix Today: Can It Maintain Its Streaming Crown? Netflix ($NFLX) is set to report its Q4 earnings after the bell, sparking a frenzy of anticipation. Analysts see subscriber growth of ~9 million, but can Netflix keep pace in a crowded streaming arena? Q4 Expectations: Analysts project Netflix to report $8.72B in revenue and $2.22 EPS. With around 247.2 million paid subscribers globally as of Q3 2023, the company's strategic moves, including cracking down on password sharing, position it well for future growth. Profitability is also in focus, with a predicted 20% operating margin for the year. However, average revenue per member (ARM) might stay muted before rebounding, thanks to the ad tier and price hikes. New initiatives like the ad tier are under the microscope: 23 million+ monthly active users are promising, but revenue and subscriber conversion remain key questions. This is a pivotal moment for Netflix. Will it deliver a blockbuster or face a cliffhanger? Tune in after the bell to find out! For a comprehensive analysis, dive into the full article!: https://lnkd.in/dGyVcWDk Consider the risks before you trade or invest. #Netflix #Earnings #Streaming #Investing 🎬🍿 #StockMarket #EarningsSeason
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The unstoppable success of Netflix in the streaming and entertainment industry is truly remarkable. Despite powerful competitors, Netflix continues to stand out with over 270 million paid subscribers and a reported revenue of over $9.4 billion in the first quarter of 2024 as per Statista. These numbers are undeniably impressive, showcasing Netflix's dominance in the market with no signs of slowing down. What makes Netflix so successful? In essence, Netflix’s success lies in the brand’s ability to evolve rapidly. Here are the top 8 points contributing to Netflix's success: - Innovative Business Model - Investment in Original Content - Data-Driven Approach - Global Expansion - User Experience and Technology - Strategic Partnerships and Marketing - Adaptability and Innovation - Leadership and Vision Netflix's continuous growth and success are a testament to its strategic approach and vision in the ever-evolving media landscape. #success #strategy #media #movies #netflix
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Brand Manager Prime Video | Sec. Gen. Glamazon EMEA | Qualified Lawyer | Nova Talent City Leader | University Lecturer
Netflix's Inflection Point: Navigating Growth Challenges Amidst Shifting Streaming Dynamics Netflix, once the unchallenged leader in streaming, now confronts a pivotal moment as it grapples with a saturation point in subscriber growth. In 2023, a comprehensive analysis by Bloomberg, based on data from What's On Netflix, unveiled a worrisome trend - a notable 16% decline in the release of original programs compared to the previous year. This decline, amounting to approximately 130 fewer shows, challenges Netflix's historical strategy of saturating its platform with content. This adds to studio partners such as Disney, Warner or Paramount removing their content to not cannibalize their own streaming services. The final quarter of 2023 witnessed the lightest slate of new releases in five years, signifying a departure from its content-spree approach. Three years later, it has still not reached its share price peak of 2021. Key Takeaways: • Strategic Pivot: Recognizing the unsustainability of its content strategy, Netflix is strategically shifting from a quantity-focused model to prioritizing high-quality content. • Financial Realignment: Responding to the competitive landscape, Netflix slashed content spending from a peak of $4.8 billion in late 2021 to $3.2 billion in the most recent quarter, signaling a more prudent financial approach. • Competitive Landscape: In the face of heightened competition from industry heavyweights like Disney, Paramount, HBO, and Peacock, Netflix's recalibration underscores its commitment to securing a prominent position in the dynamic streaming industry. This strategic adjustment is vital for the company's ongoing success. #Netflix #StreamingIndustry #ContentStrategy #CostCutting #ContentCrisis
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SVP-Head of Video Activation/VaynerMedia | ex-Omnicom, Publicis, Madhive, Aetna | Managing Director | EVP | Founder | Digital Media | Data | CTV-OTT-TV | CPG | Pharma | Strategy Consulting | Sales | Programmatic | AdTech
✅🖥️ WSJ (7/19): “The streaming company added 8.05MM subs in Q2, compared with 5.89MM net new subs during the same period a year earlier. It expects new customer additions to be lower in the current quarter than the same period last year, when it began limiting password sharing in earnest. Revenue rose nearly 17% year over year to $9.56B in the second quarter, beating the company’s projections. Netflix raised its revenue growth forecast for 2024 to 14% to 15%, up from 13% to 15%. The strong performance is a sign that Netflix’s efforts to change its plan pricing and lineup, limit password sharing and expand the advertising tier of its service are bearing fruit. Netflix continues to lead the pack in streaming as entertainment companies such as Disney and WBD try to balance a decline in revenue and viewership of their traditional TV businesses while investing more in their streaming platforms. It ended the second quarter with 277.65MM customers globally. Netflix on Thursday said it would begin phasing out its lowest-cost, ad-free $11.99 a month basic plan in the U.S. and France. The company made similar moves in Canada and the U.K earlier this year. More than 45% of all sign-ups in countries in which the ad tier is available come from that plan, the company said.In May, the ad-supported plan had 40MM global MAUs, up from 5MM a year ago.” ⬇️ #streamingtv #ctv #ott #avod #svod #upfronts https://lnkd.in/e9su2saE
Netflix Keeps Streaming Crown With Continued Subscriber, Revenue Growth
wsj.com
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Netflix on Thursday unexpectedly announced that it will stop reporting subscriber numbers each quarter, a decision seen as a sign that years of customer gains in the streaming wars are coming to an end.... Read More At:- https://lnkd.in/gYXYExTA Netflix #Announced #SUBSCRIBERS #customer #streaming #Netflix2024 #news #newsfeed #NewsUpdate #dailynews #IBWNews
Netflix ends subscriber tally reporting
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