US streaming giant Netflix recently released its Q3 2019 earnings report, which shows an increase in revenue. The subscriber count grew, as well, but not hitting its initial targets. The company gained 6.77 million subscribers in the past three months, falling short of its 7 million goal.
In the domestic market, the company added a total of 520,000 streaming customers, shy of its prediction of 800,000. Netflix US numbers growth still falls short after the company recorded a fall in subscriber count in Q2 2019 for the first time in eight years.
The company has previously justified the slump down due to its recent price hikes. Justifying the move, the streaming giants said, “With more revenue, we’ll continue to invest to improve our service to further strengthen our value proposition.”
The company recorded a profit of $665m in Q3, up 65% compared to a similar time last year. Revenue rose by 31 percent to $5.24 billion, but slightly less than the anticipated $5.25 billion.
Notably, the company said its original series Stranger Things emerged as its most-watched season to date, with 64 million views on in the first four weeks of release.
In the next six months, the streaming market is expected to welcome a parade of market players. Part of the new entries in the market include Disney+, Apple TV+, HBO Max, and Peacock. The latest entries are expected to be a close rival to Netflix with the streaming market about to get dirty with the so-called “streaming wars.”
Netflix is confident about its position in the market, citing its service has been competing for the likes of Hulu, YouTube, Amazon, and even linear TV for the past decade. In short, competition is not an issue here. The company says the whole streaming market is as per now still small compared to linear TV.
The company bets on its variety, diversity, and quality of new original series and TV shows as a key point to drive growth.
Moving forward Netflix targets to add 7.6 million streaming members in Q4 2019.