Netflix Cracks Down On Password Sharing
The public lashed out when details of Netflix’s plan to crack down on password sharing were revealed. The company did a trial run in Peru, Costa Rica, and Chile and it was spotted on the company’s FAQ page.
The Leaked Details On Netflix’s New Password Sharing Rules
- $2.99 per month covers up to two people that are not living within the home of the subscriber.
- All members using the Netflix account must be connected to the primary Wi-Fi network at least once every 31 days.
The date of this happening has shifted all over the place to the first part of 2023, the end of March, the end of April, etcetera. We’re all bracing for the change and wondering what the aftermath will look like due to Netflix’s change of heart.
Love Was Sharing A Password
On March 10, 2017, Netflix tweeted that love is sharing a password. This was when Netflix’s primary competition was Hulu so they didn’t have much to worry about.
Many other studios decided to jump into the streaming services game when they started seeing the massive success of not only Netflix but YouTube due to how creators were becoming rising stars.
Disney+, Paramount, HBO Max, and Prime Video to name a few became competitors in the streaming wars.
Then in the year 2022, two big announcements had come out. Netflix had lost subscribers and Disney+ dethroned Netflix and became the King of Streaming.
The Reason For The Netflix Password Sharing Crackdown
Here’s the thing… It all comes down to numbers. Their goals, their revenue, and how they stack against the competition.
In their minds, they believe that shutting off password sharing will drive those that view their through a friend/family’s account currently, into subscribing to Netflix on their own.
There are way too many issues with this upcoming policy change.
- Families & Friends — Netflix allows up to 5 profiles per account. Not everyone in the family lives in the same home or city. So, they believe that the out-of-state college student that’s still using the family Netflix account will pay an additional fee?
- Netflix’s Streaming Hours — They love to boast about their streaming hours. Yet, they fail to understand that those streaming hours come from those that are sharing a password to view their content. What will happen if they enforce this policy? How quickly will those numbers dip? What will they do then?
Netflix is panicking and instead of thinking about introducing new content or alternate ways to generate revenue, they decided that charging for password sharing was the easiest way to go. They fail to understand that Disney+’s numbers are due to them combining 3 streaming services (Disney+, ESPN+, and Hulu) and take into account that many Verizon Wireless customers have Disney+ included for free.
Yes, at the end of the day, Disney+ still has more subscribers but they had to have 3 platforms plus promotions to make it happen.
Netflix needs to just think outside of the box instead of hitting the customers back just to win a battle with its competitor. If they would mellow out they will take in the feedback that Disney plus has received which is we are over superhero shows.
In addition, the content on Netflix has been underwhelming compared to what they used to push out in their earlier years. To be quite frank Netflix’s catalog isn’t strong enough for them to bully people into a subscription.
What Streaming Services Are You Using?
If Netflix does end password sharing will you be staying with them? If not, what streaming platform will you be using? Are there any platforms you would recommend over Netflix?
I myself have been watching a lot of Wife Swap on Hulu, but I am also thinking about adding Crunchy Roll to my subscription list since I watch a lot of the anime shows on Netflix.
But, I would love to hear your thoughts! Leave a comment below or feel free to send us a message on Instagram or Twitter.
