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That loss of customers refers to people who left Netflix after being part of the platform for more than three years.
The research company Antenna highlights that in the first quarter of 2022 3.6 million cancellations were recorded.
The alarms went off since this number is worrying for the directors of the platform.
Streaming services continue to lose customers due to the great competition that currently exists, such as the case of Netflix, which according to The Information, in the last two years there has been a significant increase in the number of long-time subscribers who have decided to unsubscribe and lose brand loyalty.
According to data from Statista, video services have taken over the entertainment market in Latin America, so it is estimated that in 2020, for the first time in history, the number of subscribers to video services via streaming would have surpassed pay TV subscribers.
Likewise, the statistics platform details that since its arrival in Latin America in 2011, Netflix has been one of the most used streaming video platforms by Latino viewers.
Netflix loses loyalty of its oldest customers
The information was released by The Information, which highlighted that in the last two years there has been an increase significant in the number of longtime subscribers who have decided to unsubscribe.
According to the information shared, this loss of clients refers to people who left Netflix after being part of the platform for more than three years.
Likewise, the research company Antenna highlights that the 3.6 million cancellations registered in the first quarter of 2022 on the 13th came from clients belonging to this sector.
Given this data, the alarms went off since this number is worrying because it highlights a trend that has been recorded since the first quarter of 2020 on the streaming platform, where at that time, users with more than three years of use of Netflix accounted for just 5 percent of cancellations.
While in the first quarter of 2021 they already accounted for 10 percent of canceled accounts.
2022 losses were significant high
Cancellations for the first quarter of 2022 were significantly higher than those previously reported by the Netflix platform, where it is only necessary to remember that from the fourth quarter of 2020 to the same period of 2021, the average number of subscriptions completed was 2.5 million each, according to information from Netflix.
Many specialists point out that users move away from Netflix due to the high prices of the platform and the strong economic crisis that is being suffered throughout the world.
Price increases coupled with the emergence of a growing number of competitors with cheaper subscriptions and more interesting content on offer were key in this story.
“Consumers vote with their wallets every month and there are now more eligible candidates on the ballot,” said Brendan Brady of Antenna Company.
Netflix is already working on various plans to reverse the loss of users, so it confirmed that it will launch a cheaper subscription, but with ads to compensate for the price drop.
In social networks they have witnessed several debates from the users of the streaming platforms that compare the content of Netflix, HBO Max or even Disney Plus.
Today there is a huge ecosystem of streaming apps that continues to grow, which is why consumers are already feeling overwhelmed. According to data from a new study conducted by the American audience measurement company, Nielsen, who highlights a new potential problem for the viewer: the number of existing streaming platforms and their “exclusive” content.
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