Netflix is ​​losing viewers for the first time in one of its strongest markets: is lack of account sharing to blame?

Netflix is ​​giving up for the first time in one of its strongest markets.

Nobody would have thought that Netflix’s account sharing ban would stay with us for so long. While there was initially an increase in viewers and Netflix saw its policy as a success, subscription numbers in one of its strongest markets are shrinking for the first time ever.

As ABC reports, viewership in Australia fell 3 percent in July 2023 – a first since the streaming service launched there in 2015. According to a study, over 6 million of the 25 million inhabitants use Netflix.

Australia is an example of how things could work in the rest of the world and therefore here too.

Not just account sharing ban as a reason

The first thing that comes to mind is the account sharing ban that has shaken up the streaming market. Now even the competition is flirting with it.

ABC asked TV writer Cameron Williams and he gave a different answer.

Is there perhaps an oversupply? The fact that there are more and more streaming offers does not benefit Netflix, even if the provider remains the market leader in Australia.

The author sees another reason: People are increasingly watching series again week after week. Not all content is made available in one fell swoop anymore.

From a purely mathematical perspective, the binge model probably wasn’t worth it in the long run.

However, if a series appears week after week, it is more long-lasting and has the chance to generate more viewers over time.

Further circumstances for the loss of viewers

Williams identified another factor. There is hardly any brand loyalty when it comes to streaming. Viewers now go where the offer better suits their needs.

Money also plays a role. If the offer is cheaper somewhere or if there is nothing on Netflix that justifies a subscription, viewers will switch.

Netflix remains the market leader in Australia, but the top spot is hotly contested. Whether entering the gaming market will provide new traction remains to be seen.

Netflix is ​​losing viewers in one of its largest markets: Australia. The reasons for this could be varied and are not limited to the account sharing ban. This is a direction for other markets worldwide. Do you think that Netflix will generally give up its pole position? Do you also jump back and forth between providers?