I'm pleased to present the 332nd edition of the VideoNuze podcast with my weekly partner Colin Dixon of nScreenMedia.
Earlier this week Netflix released its Q2 ’16 results, showing abysmal subscriber growth both domestically and internationally. Netflix largely blamed the downturns on rate increases that kicked in for longer-term subscribers and the media coverage of them.
In today’s podcast, Colin and I dig into what we believe is happening. As we both wrote earlier this week (here and here), competition and market saturation are playing a big role, resulting in much more fragile subscriber retention. Meanwhile Netflix may have miscalculated just how big the international opportunity really is, especially in newer markets. In particular, we’re both mystified how Netflix could have launched in 130 countries in January, and yet seen international subscriber additions decline by 36% year-over-year.
Overall, it’s an incredibly murky picture and the next few quarters will be pivotal in understanding how much growth still lies ahead for Netflix.
Listen now to learn more!
Click here to listen to the podcast (24 minutes, 20 seconds)