A new analysis suggests that Netflix could be its own worst enemy, driving viewers away with its insatiable desire to launch new shows.
The American streaming giant announced earlier this month that it was hemorrhaging viewers – losing up to 200,000 subscribers since the start of the year – sending its stock down 35%, with two million additional subscribers expected to depart by June.
The Australian reports that Netflix’s tendency to cancel shows with a strong fan base has impacted viewer confidence, forcing them to switch off.
Subscriber Exodus: New Analysis Suggests Netflix May Be Its Worst Enemy, Driving Viewers Out With Its Insatiable Desire To Launch New Shows
More than half of Netflix original shows launched in 2018 never made it to a second season, leaving fans dry.
Shows like the sci-fi series The OA, canceled in 2019 after two seasons but slated for five, were axed before they could capitalize on their small but loyal following.
Instead of building strong franchises, Netflix tends to cancel shows too soon and replace them with similar programs, according to Cory Barker, the publisher of a book on the company.
Focused: The Australian reports that Netflix’s tendency to cancel shows with a strong fan base has impacted viewer confidence, forcing them to switch off. (Pictured: The Babysitters Club)
Barker, an assistant professor of communications at Bradley University in Illinois, said Netflix tries to be something for everyone — and that’s a mistake.
“That means there’s a lot of identical content in a huge library,” he told The Australian.
“It makes you think, ‘There’s a lot of stuff here, but is there something I desperately want to watch?'”
Cancelled: More than half of Netflix original shows launched in 2018 never made it to a second season, leaving fans dry. Recently canceled shows include popular titles like The Baby-Sitters Club and crime series Bloodline, starring Ben Mendelsohn (pictured)
Recently canceled shows include popular titles like The Baby-Sitters Club and crime series Bloodline, starring Ben Mendelsohn.
Meanwhile, reports indicate that Netflix is taking cost-cutting measures, including canceling previously ordered projects.
This includes Bright’s sequel, starring Will Smith.
Cost-cutting: Netflix reportedly took cost-cutting measures, including canceling projects that had already been ordered. This includes Bright’s sequel, starring Will Smith
One of Netflix’s first feature films, Bright drew 11 million viewers within three days of its launch on the service in 2017.
Now, the platform has canned a sequel that was supposed to be produced in 2022.
Reportedly, the move may be linked to Smith’s altercation with Chris Rock at the Oscars when he slapped the comedian on stage for making a joke about his wife Jada Pinkett Smith.
Political movement: Another factor that may have contributed to Netflix’s slowdown could be the company’s decision to pull out of Russia recently to support Ukraine, which cost them 700,000 subscribers. (Pictured: A scene from Squid Game, one of Netflix’s biggest hits)
Another factor that may have contributed to Netflix’s slowdown could be the company’s recent decision to pull out of Russia to support Ukraine, which cost them 700,000 subscribers.
Netflix’s dominance as the top streamer is under threat since big brands have entered the space, creating more intense competition.
Disney+, Paramount+ and HBO Max have all entered the ring since 2019, while Stan has become a market leader in Australia.
Crowded market: Netflix’s dominance as the top streamer is under threat since big brands entered the space, creating intense competition. (Photo: a scene from Bridgerton)
The company has also been forced to borrow $16 billion over a decade to cover its productions and business costs, and is now proposing to introduce advertising.
Meanwhile, Netflix is trying to find a way to stop password sharing.
According to research, around 10 million households use someone else’s account.