Netflix Password Sharing Crackdown is playing wonders for the company as it has increased the number of US subscribers. The company has taken this decision last month (May 2023), which has eventually added rapid growth in the success rate.
To those who are unaware, Netflix is not allowing its users to share passwords with people living in different locations. Users must have a primary place and one who is not residing in the same area won’t be able to use the account.
The company even started taking help from IP addresses to restrict multi-household usage. Although, you can pay an extra amount of $7.99 per month for allowing an additional member to use a standard or Premium Netflix account in another location.
According to the shared data, after putting a halt on the Netflix password-sharing process in the US, the company saw a hype of 102% in the average daily signups. From the 60-day, the signups reached 73K per day and held 100,000 signups regularly.
On the other hand, the company finds a raise in subscription cancelation. Due to the policy change in the service, many users left Netflix. However, that didn’t affect the gain in subscribers and proved that the Netflix password sharing crackdown is a good initiative.
The subscription analytic firm – Antenna said that the ratio of signups to cancels since May 23 is up to 25.6% compared to the prior 60-day period. Meanwhile, the firm mentioned that they were having an idea that the policy change will result in good revenue growth and a member base.