Love isn’t the only thing that’s blind on Netflix. The streaming giant, which touted a blockbuster 9.3 million subscriber gain in its first-quarter earnings report on Thursday, also said it would stop publishing quarterly membership numbers starting in 2025.
“During our early years, when we had little sales or profits, membership growth was a strong indicator of our company’s future potential,” the letter to shareholders said. “It creates flow.” “We are also developing new revenue streams such as advertising and additional membership features, so membership is just one element of our growth.”
Netflix also announced that another metric will be removed from the report in 2025. ARM, or average revenue per membership, is defined as “streaming revenue divided by the average number of streaming paid memberships divided by the number of months in the period,” according to the letter. .
Co-CEO Greg Peters said on the earnings call that the company’s priorities have shifted from membership growth to revenue and profits. “We think this is a better approach that reflects evolution.”
Netflix, which has enjoyed steady subscriber growth for years, lost 200,000 subscribers By the beginning of 2022, and by July of that year, it was lost. almost 1 million more. In response to the accompanying sharp decline in stock prices, streamers have been forced to buy cheaper, Ad-supported plan By the end of 2022, it had gained approximately 9 million subscribers compared to the previous year.
In 2023, subscriber growth increased quarterly.In the same year, Netflix Password sharing and price increase For some customers, an additional 13.1 million people will be added by the end of the year. According to the latest earnings report, the streamer recorded an additional 9.3 million viewers in her first quarter of 2024.
“We focus on engagement because we believe it is the single best indicator of member satisfaction with our services,” said co-CEO Ted.・Mr. Sarandos spoke on a conference call. “Happy members watch more videos, stay longer, and tell their friends, all of which increases engagement, revenue, and profits. This is our North Star.”
Streamers are also expanding into live sports broadcasting and have acquired the rights to start broadcasting. wwe raw Social media stars broadcast exclusively in 2025 Jake Paul and Mike Tyson boxing match In July.
Deadline reported earlier this month that a small number of job cuts are expected as the company reorganizes its film division.
