Netflix recently announced a new feature aimed at users impacted by their recent password-sharing crackdown. Beginning in early 2023, Netflix will allow members to transfer their personalized recommendations, viewing history easily, My List, saved games, and other settings to a new account.
This comes after Netflix began rolling out measures to limit password sharing between households. The streaming giant started by allowing account holders to add “sub accounts” for up to two people outside their household at a lower monthly price.
However, many legitimate account holders, like college students and travelers, were unexpectedly locked out of their accounts. Netflix received backlash over confusion about which devices were allowed to use an account.
To smooth things over with these users, Netflix has introduced “Profile Transfer.” This feature lets you seamlessly move your profile and preferences to a brand-new account.
Here’s how it works:
- You’ll receive an email to transfer your profile if you can no longer access your shared Netflix account.
- Click the link and follow the prompts to set up a new paid membership.
- Netflix will transfer your profile settings, viewing history, My List, and personalized recommendations to the new account.
- You’ll then have your own Netflix membership where you left off!
Profile Transfer takes some of the frustration away for those unhappy about losing access to a shared login. While you’ll now have to pay for your own subscription, you won’t completely lose your watch history and preferences.
This move shows Netflix is trying to empathize with customers affected by the password-sharing crackdown. It provides an affordable path to stay with Netflix.
Netflix’s Revnune in Q2 after Password Sharing Crackdown
Netflix’s second-quarter earnings announcement has a lot of people on the edge of their seats. After years of letting password sharing slide, the streaming giant is finally cracking down in hopes of boosting revenue.
Back in May, Netflix started nudging U.S. customers to pay up if someone outside their household was using their account. Either add them as an “extra member” for $8 more bucks a month, or they’d risk getting locked out.
This password-sharing crackdown, or “paid sharing” as Netflix calls it, seems to be paying off so far. In June alone, they scored over 3.5 million new sign-ups in the U.S. – their biggest month of new subscriptions ever!
Now Wall Street experts are upping their predictions for Netflix’s Q2 earnings. The average estimate is around $8.3 billion in revenue – a 4% jump from last year. Earnings per share are expected to hit $2.85.
Analysts from UBS and Wedbush see paid sharing as a game changer for Netflix’s future revenue growth. The extra member fees add almost pure profit since it costs Netflix zilch to add accounts.
Deutsche Bank thinks paid sharing could deliver nearly $1 billion for Netflix this year, triple to $3.4 billion in 2024, and rise to $4.5 billion by 2025. Not too shabby.
Despite some early grumblings, Netflix’s password crackdown seems poised to pay off big time. Q2 earnings could show investors the streaming giant still has some tricks up its sleeve. But only time will tell if users get fed up and bounce to rivals like Disney+, HBO Max, or Prime Video.