Skip to main content

Netflix subscriptions jump as ‘Stranger Things’ drives popularity

netflix subscriptions jump as stranger things drives popularity season 2 005
Detailed in Netflix’s third quarter earnings, the streaming video company significantly beat expectations by more than one million subscribers. Originally forecasting an increase of two million international subscribers and 300,000 based in the U.S., Netflix reported a rise of 3.2 million new international subscribers as well as 370,000 additional subscribers located in the United States.

This leap surprised investors as expectations were previously conservative due to the 25 percent price hike that kicked in for current subscribers during the third quarter of 2016. In a letter to shareholders, Netflix CEO Reed Hastings attributed growth to the company’s growing library of original content such as Stranger Things, Luke Cage and The Getdown as well as the second season of Narcos. 

Likely good news for subscribers, Hastings indicated that the company would not be “cracking down” on subscribers sharing passwords. In addition, there’s currently no discussion within the company related to additional price hikes. On the subject of a rumored offline viewing feature, Hastings mentioned that the company was looking into the possibility, but didn’t offer any details on a future launch date.

The earnings report indicated that “self-producing” original content is less expensive than licensing content from studios and networks. It’s likely that the library of licensed content on Netflix will continue to shrink while more original, exclusive shows are released on the streaming service.

The report also promoted the upcoming American-British drama series called The Crown debuting on November 4, calling it a mixture of Mad Men, House of Cards and Downton Abbey. Netflix is expected to increase the total hours of original streaming content from 600 hours in 2016 to more than 1,000 hours in 2017, specifically due to an investment of $6 billion in original programming.

After the news broke about the increased subscription rates, the stock price of Netflix shot up 20 percent from roughly $100 a share to $120 a share in after-hours trading. For the fourth quarter of 2016, Netflix is forecasting an increase of 1.45 million subscribers in the United States and 3.75 million new international subscribers. In total, Netflix now has more than 86 million streaming members.

Editors' Recommendations

Mike Flacy
By day, I'm the content and social media manager for High-Def Digest, Steve's Digicams and The CheckOut on Ben's Bargains…
10 most popular Netflix TV shows of all time
Regé-Jean Page and Phoebe Dynevor in a scene from Bridgerton.

In 2012, Netflix offered its first exclusive content with the Norwegian crime series Lilyhammer starring The Sopranos' Steven Van Zandt. One year later, House of Cards became the first television series produced by Netflix. In the 10 years since House of Cards, Netflix has produced over 1,500 original series globally.

In the beginning, House of Cards was the streamer's premier television series. However, the trajectory of Netflix changed with the release of Stranger Things in 2016. With four seasons over seven years, Stranger Things is now one of the most recognizable television properties in the world. In 2022 alone, Netflix had a string of hits that included as Wednesday, Inventing Anna, and the return of Bridgerton. In the history of the service, what are the most popular shows of all time?

Read more
Stranger Things season 5: Everything we know so far
Eleven, Will, Mike, and Jonathan standing and staring in a still from Stranger Things Season 4.

If you're like us, you're on the edge of your seat, waiting with bated breath to hear some juicy news about Stranger Things season 5. Understandably, season 5, the finale of Netflix's Stranger Things, is now one of the most highly anticipated television events in history. Since Vecna succeeded in tearing open a massive gate to the Upside Down, audiences now expect the heroes of Hawkins to engage in an epic final battle against the evil psychic and his army of monsters.

At this point, details regarding the season to end all seasons have been scarce, and the world likely won't get to see the show's last episodes for quite a while. In the meantime, here's everything that has been revealed and should be expected from Stranger Things 5.
Stranger Things season 5 release date

Read more
Every Stranger Things monster, ranked
Spider Monster in Stranger Things

Over the course of its time on the air, Stranger Things has delivered fans a lineup of pretty excellent creatures. Some of those creatures have proven to be more menacing than others, but all of them have posed a threat of one kind or another to the residents of Hawkins.

Now, with the full knowledge of who Vecna really is, we know that all of these creatures are extensions of him in one form or another. Even so, that doesn't make any of them less threatening in their own right. With all that in mind, we've ranked the many monsters of Stranger Things from best to worst.
7. Demodogs

Read more