Netflix gets 4.4 million new subscribers, plans to expand into video games and merchandising

In the third quarter of 2021, Netflix gets 4.4 million new subscribers, surpassing the target of the company that it had set. The streaming giant had set a target of gaining 3.5 million new paid subscribers but it added almost 1 more million subscribers. According to The Hollywood Reporter, the OTT player now has 214 million paid subscribers, including the new subscribers. 

The largest contributor to Netflix's growth has been the Asia-Pacific region, accounting for more than half or 2.2 million subscribers. 1.8 million subscribers for the quarter were contributed by Europe, the Middle East and Africa. Netflix added around 3 lakh new subscribers from Latin America and 70,000 new paid subscribers from the US/Canada, making up for the loss of around 400,000 subscribers in the last quarter. 

The company had managed to add 1.5 million subscribers more in the second quarter. However, in the first quarter, it had failed to meet its expectations of 6 million new subscribers. It could only add 4 million subscribers, falling short by 2 million. For the last quarter, the company is now projecting a net add of 8.5 million subscribers. The most popular show on the streaming giant so far has been Squid Game which was released at the end of the third quarter. 

The OTT player has also witnessed revenue growth in its third quarter. Its revenue hit $7.5 billion, a 16% y-o-y growth. It also reported a slight increase from Q2’s revenue growth of $7.3 billion. Netflix isn't limiting itself to just shows and films anymore. It has partnered with Walmart to offer merchandise including clothes, toys and other goods related to the popular shows on Netflix. The platform had also acquired rights to all Roald Dahl stories and plans to create a “unique universe” based on the author’s popular stories like Charlie and the Chocolate Factory, Matilda, The BFG and Fantastic Mr. Fox. 

It also plans to expand into video games and has acquired the indie game developer Night School Studio. According to the platform, Netflix co-CEO Reed Hastings had said the streamer is hoping to eventually surpass Disney in creating a “spectacular all-around experience” for users.