Netflix’s agenda of investing more on content production this year is bearing fruits. Last year, it estimated its budget for the coming year to be in the neighborhood of $8 billion for the creation of films and TV series.
The streaming juggernaut noted that some of those investments on content are already yielding positive outcomes.
Netflix’s subscriber base gained an estimated seven million new customers on the third quarter of this year. Over 137 million subscribers worldwide are now using the streaming service.
These numerical figures are nearly two million more than Netflix had anticipated. Chairman and CEO Reed Hastings admitted that the streaming service had “under-forecasted memberships” when it informed Wall Street in the summer that it just expected five million additional customers.
The streaming service provider feels that it is a victor following beating its own customer numbers expectations.
Netflix has been struggling from the huge technology sell-off last week and criticisms from shareholders after the dull earnings in July.
During the previous quarter, the streaming service’s stock price nosedived after it notified the public that it gained only a million fewer subscribers.
Nevertheless, this share price of the over-the-top firm auspiciously increased to roughly 14 percent.
Another 9.4 million customers are expected to subscribe to Netflix during the fourth quarter of this year.
Since 2017, Netflix has been aggressively marketing itself to gain international subscribers. Almost six million of the streaming giant’s new consumers are sourced from outside the United States which has been what analysts had expected.
Moreover, David Wells, Netflix’s chief financial officer, noted in an assembly last February that the streaming service provider would have an approximately 80 foreign-language content produced for this year.
Hence, besides the welcome news of further increasing its customer base, the streaming service is shelling out substantial amount of funds to make international content.
Six original romantic comedies were released this summer. Netflix said that over 80 million subscriber accounts viewed at least one of these contents.
“To All the Boys I’ve Loved Before” was among those films which are considered as one of the streaming service’s most-watched original movies.
In addition, India’s “Sacred Games” and Germany’s “Dark” have earned praises from film experts.
Wells informed that Netflix had looked forward to have greater than 700 shows that are accessible to customers by the end of 2018.
With these considerable financial investments of Netflix on unique and compelling content as well as its being a huge global brand, it is no wonder that it continues to attract more customers worldwide.