The password crackdown is boosting Netflix with more than 5 million new customers signed up this summer
More than five million people signed up to Netflix last summer as a crackdown on password sharing and a slew of hit shows boosted sales.
The US streaming giant said its subscriber base rose by 5.1 million to 283 million in the three months to September 30.
The increase came as it cashed in on initiatives to curb account sharing by forcing viewers to pay to watch the shows instead of using a borrowed password.
Hit: More than 5 million people signed up to Netflix this summer to watch popular series, including The Perfect Couple with Liev Schreiber and Nicole Kidman (pictured)
The number of paying customers was slightly higher than the 282 million analysts had predicted.
But the increase was slower compared to the same quarter last year, when 8.8 million new users signed up.
While Netflix thrived during Covid, when many people were confined to their homes, analysts wondered in retrospect whether it could maintain this momentum.
But sales grew 15 percent to £7.6 billion compared to the same period last year, exceeding Wall Street experts’ expectations.
Many have also signed up to watch Netflix shows, including Emily in Paris, starring Lily Collins, The Perfect Couple, starring Nicole Kidman, and the controversial global sensation Baby Reindeer.
Last night was one of the last times Netflix updated shareholders on its subscriber count, as it plans to focus on other metrics like revenue next year.
Last week the company posted its highest ever turnover in Britain after a crackdown on password sharing boosted sales.
Revenue reached £1.7 billion last year, up 8 percent from 2022, according to reports from British subsidiary Netflix Services UK.
Profits in Britain rose by almost 80 percent to £61 million.
The US group put this down to a “larger membership base” and said the number of paid subscribers grew by 7 percent.
Last year, Netflix started charging an extra £4.99 per month to add someone from another household to an account.
Previously, users could share passwords. Despite increases, more subscribers signed up. Netflix’s global network reached 270 million in April.
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