It seems like the rising cost of living is determining how people spend and what they spend their hard-earned cash on. The war in Ukraine has also not helped the energy demands around the world.
Now it also seems that this is affecting the streaming business. Netflix announced that it could be making changes to its subscription model after a 'stock shock' earlier this week, playing against the backdrop of the news that the company had lost 200,000 subscribers since 2022 began. Quite frankly it's a lot to take in, considering the amount of investment in so many TV Series/Film projects across the globe.
One wonders how this will also affect other streamers like Amazon that's gradually building a base in South Africa for Africa and also Disney Streaming which has grown in leaps and bounds in such a short time. They launched in SA in May. I can't wait to see how that turns out - Exciting times!
Just like during the covid pandemic, people all over the world had no choice but to focus on their various screens for a much-needed escape. Today, as we near a post-pandemic era with prevalent economic upheavals coupled with dwindling fortunes & spending power for the average/middle-income earners across the globe, how do you think this will affect how people engage and consume content on streaming platforms? Will people just keep on cancelling and then renew when their fortunes change? or will it be a case of settling with what they can afford - the cheapest options?
It's Interesting to see what a Netflix subscription model offering with ads will look like after Reed mentioned in an interview that he was open to the idea after years of not wanting to go that route and opting for a simpler, straightforward subs model.