Netflix’s crackdown on password sharing has resulted in an increase in daily sign-ups and cancellations, with an average of 100,000 new subscribers per day.
Netflix’s new crackdown on password sharing has resulted in a huge increase in daily sign-ups. Since telling US members of its decision to limit password sharing on May 23, according to market research company Antenna, Netflix has had its four busiest user growth days.
Antenna data showed that on May 26 and May 27, Netflix added about 100,000 new subscribers per day. The number of sign-ups each day on average over this time period was 73,000, an increase of 102% from the 60-day average.
Although there was an increase in new subscriptions as a result of the crackdown on password sharing, Netflix also saw an increase in cancellations. The ratio of registrations to cancellations, according to the study, has gone up by 25.6% from May 23 compared to the prior 60 days.
Last month, Netflix started cracking down on password sharing by charging an additional $7.99 per month for any user outside of the primary household. According to the streaming juggernaut, an account is meant to be used by a single family, and all members may access Netflix on different devices and places by using tools like Transfer Profile and Manage Access and Devices.
According to reports, US customers who choose the Netflix Premium subscription with 4K streaming are able to add up to two more people for a fee of $7.99 each. Each new member of Netflix costs an additional £4.99 per month in the UK. However, there isn’t yet a way to add more users to the Basic or Standard plans, which cost $9.99 and $6.99 per month, respectively.
Prior to the US crackdown, Netflix ran a paid password-sharing experiment earlier this year in Canada, New Zealand, Portugal, and Spain.
