Today, the video streaming market is extremely competitive. Services must deploy considerable resources to retain their customers and attract new ones. On this last point, Netflix seems to be losing momentum.
At the beginning of video streaming, the competition was not so tough. Netflix reigned supreme, or almost. In the last two years, however, with the proliferation of new services, such as those of Amazon, Apple, Disney, HBO and others, it is not surprising that the number of subscriptions to Netflix is in decline.
Netflix slumps on new subscribers
According to the second-quarter results released by the platform, Netflix managed to attract “only” 2.7 million new subscribers over this period. That is a figure well below the initial forecast of the company, 5 million. In other words, Netflix will have to settle for half of the new predicted subscribers.
Blame the multiplication of streaming services
As mentioned above, this is not very surprising when we know the list of all the services that are coming or going to happen. Disney will probably be the biggest threat, with its well-stocked licensing catalog, such as Marvel and Star Wars, in addition to all Disney content. Plus, Disney controls Hulu. The competition will be very delicate against this newcomer.
On the other hand, faced with this proliferation of services and with each one of them trying to obtain exclusivities, an increase in piracy has already been noted. Since users do not want to pay subscriptions to many services, and they prefer to illegally download content instead.