Netflix Q3 Results in Loss of 810,00 Subscribers, Not as Bad as Expected
At this point everyone knows all the different ways that Netflix has stumbled recently. Between price hikes and the ill-conceived Qwikster launch and cancellation, there was no doubt that Netflix was going to lose some subscribers. The only question was how many. At one point Netflix had warned investors that they could lose about one million subscribers as a result of the price increase and some had even thrown out numbers as high as 3 million. Kind of makes the 810,000 lost subscribers that Reed Hastings announced in Netflix’s Q3 results seem like good news. Now the question is whether Netflix can follow up on its guidance to stem the flow and start reversing the churn trend in Q4.
The problem for Netflix isn’t so much the quarter that it just posted but rather the guidance the company has provided for the future. Netflix said it would dramatically increase its costs in order to shore up the services through content acquisitions and by expanding into new markets, such as Latin America. As a result, its next quarter guidance is lower than was previously expected.
The price increases never
The price increases never bothered me. I am willing to pay more for no commercials. I did not, however, like the idea for Qwikster. Additional hassle. Would probably have dumped the DVD subscription had they gone through with that.
I am interested in any legal streaming service without commercials.
I’d be interested in seeing
I’d be interested in seeing how many people stayed but only kept one service (streaming or mailed discs). I’m bet they lost almost as much potential revenue from those people as from the ones that just quit altogether. I personally decided to dump the streaming and just go back to all discs after the whole price hike fiasco.