Netflix Implements Extra Charges for Account Sharing Outside Household in EU
Addressing revenue shortfalls due to account sharing, Netflix has chosen to levy an added charge of 3.99 euros monthly for subscribers sharing their accounts with those outside their household.
From this week onward, EU subscribers will receive emails communicating this policy change. Netflix has previously expressed its intent to limit account sharing, highlighting that Netflix accounts should be solely used by the account owner and those residing in the same domicile. Sharing an account with individuals living in different locations remains possible; however, it now attracts an extra fee of 3.99 euros monthly for each additional user.
Netflix disclosed earlier this year that approximately 100 million of its total 220 million subscribers from the previous year shared their accounts outside of their household. Had these users subscribed individually, the streaming platform could have generated a potential monthly revenue boost of around half a billion euros.
Subscribers identified as sharing their accounts without the additional payment will receive notifications about payment alternatives, encouraging them to seek different arrangements. According to Netflix's website, it employs multiple mechanisms like IP addresses, device registrations, and account activity to ascertain household membership.
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Senior Member
Posts: 167
Joined: 2019-09-18
To be fair, we don't really know if Netflix was viable long term with the old and good strategy.
There are 2 possible scenarios:
1. They couldn't not actually run this long term so they wanted to get the users first, then implement worse contracts and lose a % of their users but start making a profit on the ones that stayed.
2. They wanted more money and got too greedy. Probably someone who knew they could get a bigger bonus this year and were quitting next year anyway if they made those changes.
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Joined: 2008-07-16
https://twitter.com/primevideouk/status/1661760395659321346
Burrrrrrn.
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Joined: 2014-07-21
https://twitter.com/primevideouk/status/1661760395659321346
Burrrrrrn.
Dude you have to share the whole picture here, not just Amazon's... but also Netflix's response:
18656
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Joined: 2020-08-03
I saw "extra charges" and my brain read the first word as Nvidia not Netflix automatically.
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Posts: 551
Joined: 2015-04-02
I wish you guys were right but unfortunately when they did the same thing in Canada their profits went up. I am one of the ones who canceled the account, I will just find other means of watching the things i like.