In a recent communication to shareholders, Netflix emphasized its decision to address account sharing among households. The company views this practice as a concern that hampers their ability to invest in enhancing the Netflix experience for paying members and hindering overall business growth. As a result, sharing passwords with friends and family will no longer be allowed to ensure a fair and sustainable revenue model.
The company has introduced a paid sharing feature in more than 100 countries, which collectively contribute to over 80% of their revenue. Unfortunately, Kenya is excluded from this feature due to recent price cuts in the country. Consequently, individuals who have been sharing Netflix accounts will now need to transfer their existing profiles to new or individual accounts.
The company emphasized its commitment to consistently producing compelling shows and movies that capture viewers’ attention. They are also dedicated to enhancing monetization, improving the gaming experience, and investing in service improvements for their members.
Reportedly, the company’s primary focus will be on engagement, as it is closely tied to customer satisfaction and retention. For Netflix members, the variety and quality of content are crucial, leading to investments across various genres, cultures, and languages. In June, the company launched Netflix Top 10, a feature that offers weekly engagement data on the most popular shows and movies across 93 countries. While the company still provides information on the total hours viewed, they have now implemented a new ranking system based on the number of views, calculated as the total hours viewed divided by the runtime of each title