With the sudden rise of new streaming services, there has also been an expected, yet still shocking revelation; which will stay and which will go?
Subscription streaming services were initially created to counter cable TV because when you buy those packages, you end up paying for channels you don’t want. Although, nowadays streaming services have evolved into the same thing.
Netflix, a popular streaming service, has had to cancel or take off many of its shows due to them being unprofitable.
Disney, one of its main competitors, now has a streaming service (Disney +). They keep their original franchises and shows ( e.g Marvel) under their name, not allowing other services to profit from their work.
Disney, being a veteran of showbiz, naturally became quickly adept at learning their audience. Netflix however has run into some major issues with their service.
The problem with Netflix is that they keep pouring most of their profits back into making new shows. This means they don’t have enough money saved up when business becomes slow.
When inflation hit the company, they had to raise their monthly subscriptions which made millions of customers furious with them. This caused many of them to boycott the business, in turn causing them to lose a lot of profit.
On the other hand, Disney + had fared quite well when it hit, as they had ample financial backing.
Currently, Netflix is walking on a tightrope in hopes of ensuring its customers don’t cancel subscriptions. What do you think about it? Do you think their decisions will help them in the future or not?
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