After all, it looks like Netflix may be able to weather the streaming storm.
As reported by Deadline, new research from UK data firm Omdia suggests that Netflix will remain the world's most popular streaming service until at least 2026. Disney Plus will continue to grow at a faster rate, the company predicts, but it won't outshine its biggest competitor as soon as previously thought (other analysts had forecast Disney Plus rising by 2024).
Netflix lost 200.000 subscribers between January and March of this year, a figure that is expected to exceed two million by the end of June. But, according to Omdia, the streamer will benefit from a small reversal of fortune to boast around 260 million subscribers versus Disney Plus' 240 million in 2026.
The new investigation will be a welcome respite for Netflix amid customer frustrations over its unpopular price hikes, declining content quality and creative cancel culture.
Omdia's findings don't predict a drastic change in the company's trajectory; suggest Netflix's subscriber base will only grow by around 40 million over the next four years, but the data nonetheless points to a long time to completion.
For clarity, Netflix and Disney Plus recorded, as of March 2022, total subscribers of 221,6 million and 137,7 million, respectively.
Omdia also predicts that, by 2026, HBO Max and Prime Video will serve around 150 million subscribers, with Peacock and Paramount Plus the next two most popular streaming services on the block.
Don't sleep on repeat subscribers
In addition to pinpointing trends specific to individual streaming services, Omdia's findings also shed light on an often-underreported measure of industry-wide health: repeat subscribers.
According to the company, 45% more streaming services were canceled in the UK over the last 12 months, but renewals were up 84%. It's unclear if the same trend has taken hold globally, but, as Deadline reports, the data shows that higher churn doesn't necessarily mean subscriptions are wiped out entirely.
In fact, the number of subscriptions to video-on-demand services rose by 11% in the UK last year, suggesting that the rising cost of living is not having as big an impact on streaming habits as many. they initially thought.
In a presentation announcing the results, Omdia CEO Maria Rua Aguete said: “In terms of managing rising costs, consumers prefer to reduce expenses other than their own home entertainment. In fact, as a survey reveals, cutting other expenses allowed them to sign up for additional services. »
Perhaps, then, the new subscriptions will turn around Netflix's negative subscriber curve in the coming months, if the streamer can prove that it's worth coming back.