Baby Boomers Could Be The Answer To Netflix Subscription Problems – Here’s Why
When Netflix announced that it had lost 200,000 subscribers year-over-year, it was the first time the streaming service had seen a drop in subscriber numbers in a decade, Forbes reported.
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While Netflix sees revenue streams as making up for the loss, one area stands out: viewers who use someone outside their household’s username and password to watch Netflix.
According to a recent survey by Morning Consult, 10% of adults admit to using the Netflix password of someone outside their home. That translates to around 28 million people, according to Morning Consult estimates. In a letter to shareholders, Netflix also estimated that around 30 million households in the United States and Canada are using the service from someone else’s account.
The biggest culprits? Baby boomers.
The survey found that 16% of baby boomers said they don’t subscribe to Netflix, but use someone else’s password. Meanwhile, 9% of Millennials and GenXers, combined, admitted the same, while only 7% of GenZs said they did.
More than half (52%) of respondents said they would consider subscribing to the service if they could no longer use a friend’s password. About a third of all adults (both subscribers and non-subscribers) said they would pay higher subscription fees to legally share their password with more people outside their home.
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Within these two groups lies a potential solution to Netflix’s revenue woes: cracking down on password sharing and, simultaneously, finding a way to convert those viewers into paying subscribers.
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