Netflix’s attempt to boost subscriber numbers through a crackdown on password sharing has seemingly backfired, as recent figures reveal a three percent decline in its subscriber base in Australia.
According to research firm Telsyte’s annual industry survey, the number of Netflix subscribers dropped to 6.1 million over the past year, representing a loss of around 189,000 subscribers.
The initiative, introduced in May, prevented multiple users in different locations from sharing a single account. Instead, Netflix introduced a new payment plan option allowing users to add an “extra member” to standard or premium plans for an additional $7.99 per month.
However, the move triggered backlash on social media, with many customers expressing frustration and even threatening to cancel their accounts.
Despite this decline, Netflix remains the most popular streaming service in Australia. Other services, such as Paramount+ and Foxtel’s Binge, experienced growth in subscriber numbers, up 41 percent and 22 percent respectively over the past year.
Amazon Prime Video, Kayo Sports, Disney+, and Stan also reported subscriber increases ranging from one to two percent.
Several streaming platforms, including Stan and Disney+, have decided to eliminate free trials. This shift comes as streaming services have become pricier since their inception in Australia, with Netflix being among the first to raise its prices in November 2021.
Telsyte’s report revealed that the subscription streaming market in Australia reached a value of $2.7 billion in the year leading up to June 30, marking a 14 percent increase compared to the previous year.
Despite the challenges posed by shifting consumer preferences and pricing changes, the streaming market continues to exhibit growth.
