With a reinforced policy against account sharing and investments in live sports, the platform is multiplying strategies to retain and attract new users.
Netflix reached a historic milestone in 2024 by reaching 301.6 million subscribers, while increasing its prices in several countries. This strategy, combining growth and adjustment of revenues, demonstrates the ambitions of the streaming giant in a sector in full transformation.
Diverse content and live sport
Netflix impressed the market by recording 19 million new subscriptions in the fourth quarter of 2024, reaching a total of 301.6 million users worldwide. These results enabled the company to generate quarterly revenue of $10.2 billion, up 16%, and net profit of $1.9 billion. These performances exceeded market expectations, leading to a 14% increase in the stock after the close of Wall Street.
According to Greg Peters, co-CEO of Netflix, this success is based on the entire service and not on specific content. “It’s the entire service that is behind the increase we saw this quarter,” he said during a conference with analysts, quoted by Nice Matin.
To attract new subscribers, the platform has strengthened its live programming, particularly with sporting events. During the holiday season, Netflix broadcast two NFL games and a boxing match between Jake Paul and Mike Tyson, events that attracted massive audiences. According to Mike Proulx, research director at Forrester, “the Jake Paul vs. Mike Tyson fight was the most-watched sporting event streamed.”
Tariff increases to support growth and innovation
Along with this impressive growth, Netflix has adjusted its prices in the United States and other markets. The Standard plan increased from $15.50 to $18 per month, while the subscription with advertising, introduced at the end of 2022, increased from $7 to $8. Greg Peters defended this decision by saying: “This starting price seems really accessible to us, when we think of all the entertainment that it represents,” reports RFI.
-These increases reflect a desire to focus efforts on revenue rather than subscriber numbers. Indeed, Netflix announced that it would no longer publish quarterly subscriber figures from 2025, preferring to focus on engagement indicators such as time spent on the platform.
Advertising and sports partnerships
Netflix is also banking on ad-supported subscriptions, which accounted for 55% of new signups in countries where they are available in the fourth quarter of 2024. Advertising revenue doubled from the previous year, a trend Netflix hopes to maintain in 2025. “We doubled our advertising revenue year over year in 2024, and we plan to double it again this year,” said Greg Peters.
To strengthen its advertising appeal, Netflix is therefore investing in live sporting events. In January 2024, the company signed a ten-year contract with WWE for $5 billion and obtained exclusive rights to the FIFA Women’s World Cup. These strategic choices aim to attract advertisers and meet growing viewer demand for live content.
Ross Benes, analyst at Emarketer, notes that these initiatives reflect a paradigm shift for Netflix: advertising and direct, “which were until recently frowned upon by the company, are now among its priorities”.
