Netflix's decision to introduce curbs on password sharing in India is aimed at building revenue growth, as mentioned by media experts. This move involves sending emails to subscribers who share their accounts outside of a single household, requesting them to transfer their profile to a fresh subscription. This strategy may increase revenue for Netflix, but it could also lead to a decline in subscriber numbers.In addition to the password-sharing restrictions, Netflix is set to premiere "Khufiya," a thriller directed by Vishal Bhardwaj, on 5 October. The film stars Tabu, Ali Fazal, Wamiqa Gabbi, and others, and it is based on Amar Bhushan's espionage novel "Escape to Nowhere."
Netflix's revenue in the April to June quarter showed a 3% year-on-year growth, driven by a 6% increase in average paid membership. However, the average revenue per member (ARM) declined by 3% year-on-year due to various factors, including limited price increases over the past year, the rollout of paid sharing, and membership growth in lower ARM countries.
This move by Netflix reflects its efforts to balance revenue growth and subscriber retention in the Indian market. The success of these measures will likely depend on how well they are received by subscribers and how effectively they are implemented.
