Is Netflix done?
Is the decline of Netflix inevitable?
What is going on at Netflix?
The news from Netflix is shocking and basically, the stock plunged by 25%. The streaming giant lost subscribers for the first time in a decade; 200,000 to be exact and Netflix says it’s on track to lose 2 million more.
This news went off like a nuclear bomb. Elon Musk says the woke brain virus has made Netflix “unwatchable,” but people still like it. I still like it but is that a factor that’s driving down their numbers? I actually tend to disagree with some that criticism from Elon Musk. When you think of companies that bow down to the political left, you think of Nike and Disney. Now with everything that’s going on in Florida, you don’t really think about Netflix but there is progressive programming on Netflix. Almost every single show on Netflix has one or a number of homosexual characters and there is a show about a man getting pregnant. The youngsters love it.
Should I buy Netflix stock?
However, but then you also have to think about Netflix and the Netflix CEO having Dave Chappelle’s back when there was a lot of pressure for Netflix to drop Dave Chappelle because of the criticism that his new special was anti-LGBTQ and they did not you kowtow to that pressure.
So I understand that that some of the programming might have contributed but I do think that there are other factors – non-political factors as to why they lost so many subscribers.
I think everyone knows some of the losses clearly comes from pulling out of Russia.
PRIMARILY, I think that since the pandemic Netflix has just had less original sharp programming; it used to be you could be something unique from Netflix almost every week and now they recycle a lot of old stuff. It’s the same writers over and over and Netflix refuses to read the new generation of writers. I think that’s a pretty huge factor, in my mind. It’s the writers, woke and out of touch and they have an axe to grind (propaganda). Most people don’t want to pay for the propaganda; they will however pay for entertainment.
Netflix also blames password sharing and intense competition; every studio under the sun has a streaming service so I believe those are big factors.
Netflix also spends a ridiculous amount of money; $17 billion last year. In the latest season of Stranger Things they spend $30 million per episode that is double the amount per episode then Game of Thrones and that show had expensive to feed/film Dragons. So, I think they really need to tighten the purse strings if they want to be a more profitable company as well so they may be spending in the wrong areas. For example, Catholic movies are all the rage since the success of Father Stu; however, the atheist crowd that runs Netflix absolutely refuse to read catholic writers.
Seinfeld was a great show from the 90s, but it is a streaming war and I’m sure people are looking for new unique material.
Netflix, everyone knows, was the pioneer to streaming, but the other corporation might only just now catching up. Perhaps that’s inevitable as the market distribution levels out to a normal level.
In addition to the above contributing issues, I also think that during the pandemic people were locked up; they had nothing else to do. The kids were going nuts, so maybe now that they have their social life back; they don’t need to subscribe.
Competition tends to work that way… some businesses win and some lose. We will have to watch and see. You’ve got Hulu, HBO Max, Amazon Prime, Apple, Disney and all these others. And most people can’t pay for everything. Frankly, if Netflix doesn’t begin to read and consider new material, and material that appeals to the “fly over” states.
Frankly, if I were Netflix, I’d program for one of two cities, Peoria IL or Wichita Falls TX. Go there and do the focus groups and screen some pilots there and go from there. When you program a streaming platform designed to attract New York City and Los Angeles, you are sure to lose.
Finally, I believe that you can also make a correlation between what’s going on with Netflix and inflation. Right now, and probably for two or three years, a lot of people will be looking at what they’re paying for and they’re saying they’re going to cut back on the number of streaming services that they are paying. Netflix’s unoriginal material is a problem for people, especially for people who can barely afford it. There just reaches a point where you can’t pay for 17 different things, and something’s got to go. As restaurants open up, some people might rather dine out rather than pay for a fluff streamer that just repackages the programs and movies everyone has already seen.
So it is fascinating what a huge story this turned into. Netflix is projecting they will lose another 2 million subscribers in the next year. This company used to be untouchable, but those days may be over.