As economic anxieties go up, Netflix looks like a good deal in a crowded streaming market.
During his call for results Thursday, the streamer said he had not seen any major change in emerging economic locking – and that he does not adjust to his forecasts.
The CO-PDG, Greg Peters, said that the retention of subscribers was stable, that consumers have not changed considerably towards less expensive plans and that the price increases unveiled in January had been deployed as expected. He added that the cheaper and advertising plan – from $ 7.99 – would only add to his resilience.
“Historically, in more difficult economies, the value of home entertainment is really important for households consumer public, and Netflix is an enormous value in absolute terms – and certainly in competitive terms,” added the management co -chief.
A recent report of UBS analysts gives credits to Sarandos comments on the value of Netflix.
In fact, analysts found that in terms of cost per hour of audience, Netflix is cheaper than its peers.
Netflix is cheaper than its peers in terms of cost per hour seen. UBS
Subscribers without advertising pay 39 cents per hour to distribute Netflix, according to UBS. And subscribers supported by advertising pay only 18 cents per hour, which makes service cheaper than traditional television.
Netflix is also a better deal on the front supported by advertising, by UBS. UBS
UBS wrote that the low ratio is driven by the quantity of people who look at Netflix. A sign of a strong commitment? The visualization of hours on the 10 best lists of Netflix increased 5% in annual shift in the first quarter, driven by titles like “Squid Game” and “The Night Agent”, according to the report.
Netflix refused to comment.
The streaming giant crushed its profits Thursday – the first time it did without disclosing subscribers – reaffirming why it has negotiated as a “recession resistant” action. Actions increased by almost 10% at the start of the year.
Beyond Netflix, streaming has generally been considered a recession resistant sector. A financial influencer recently interviewed by Business Insider advised consumers to use their streaming services instead of going out as a budget hack. Other areas of entertainment can get less well, although live music is well positioned.
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