'Stranger Things' Breaks Viewing Record With 64 Million Views

Brenda Watkins
October 17, 2019

The Rs 199 mobile subscription plan in the Indian market is Netflix's fourth Indian plan, in addition to the existing basic, standard and premium plans which are priced between Rs 499 and Rs 799.

Shares in the company have fallen 22 per cent since that report in mid-July.

The timing of Netflix's latest shows probably helped subscriber growth, said Third Bridge's Scott Kessler, who cited the new season of "Stranger Things" as a potential driver. For 2019, Netflix expects it will add 26.7 million subscribers (compared with the 28.6 million it added in 2018). Overall, it added 6.8 million paid subscribers during the quarter to take its total paid subscriber base to 158.3 million.

Netflix said that it will continue to expand its non-English language original offerings because they help the company increase penetration in worldwide markets. "A caveat is that competition hasn't hit yet". He thinks the company could lose about 24 million subscribers, or about 15% of its customers, during the next 18 months. Analysts had expected a forecast of 9.4 million. Of course, not all original content appeals to all subscribers, and there is one complaint we see all the time.

Those companies are due to launch streaming products in November.

CEO Reed Hastings downplayed the widely reported threat that new streaming services pose, saying that none of the new services like Disney+ and HBO Max represent a "big change" in the competitive landscape.

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That said, the electric XC40 is about 500 kg heavier than the standard model but can sprint from 0-100 kmph in 4.9 seconds. This would be provided on a refund basis, but it's not clear whether the offer would be applicable to every market.

"The launch of these new services will be noisy", Netflix advised in its third-quarter letter to shareholders.

"We have been moving increasingly to original content both because of the anticipated pullback of second run content from some studios and because our original content is working in the form of member viewing and engagement", Netflix said. "Retention has not yet fully returned on a sustained basis to pre-price-change levels, which has led to slower USA membership growth", it said. Apple TV+ will debut at $5 per month. The company says the increased revenue will be invested to "strengthen [its] value proposition".

The Los Gatos company said it had 158.3 million global subscribers in the third quarter, up almost 7 million from the same period a year ago but below analyst projections of 162.4 million subscribers. That topped Wall Street's concensus target of $1.04. It's worth noting that global revenue has overtaken USA revenue over the past year; both stood at 1.9 billion in Q3 2018, and now worldwide revenue is $2.7 billion, and U.S. revenue is $2.4 billion.

Netflix is expected to spend about $16 billion in content this year, a number that is expected to grow to $35 billion in 2025, according to Pivotal Research.

The debt that Netflix has amassed has sparked concern among some investors. In the meantime, Netflix will continue to tap the high-yield market as needed, it said.

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