It’s no secret that streaming service users share their accounts with family members and friends.
What’s surprising is how long it took streaming services to do something about it.
In the forefront is Netflix, which suffered a triple whammy of a 200,000 loss in subscribers, a reported $50 billion loss in shareholder value, and the first to announce it is testing fees for additional account users.
Streaming service providers moving to charge for additional users is no surprise as the the streaming industry moves from infancy to teething with its associated pains. Providers are missing out on the revenue from the two children who moved off to college with the parent’s user account.
No doubt streaming providers will watch this evolution as a way to increase revenue, or adopt an “as many users” marketing approach to attract or keep subscribers.