• Netflix is expected to report substantial gains in subscribers and revenues as its password-sharing crackdown pays off.
• Analysts believe the streamer will look to increase the prices of its non-ad-supported tiers in order to get more viewers on the ad tiers, which makes it more money per user.
• Netflix could be waiting for the ongoing writer and actor strike in Hollywood to end to announce new prices.

Despite the backlash against removing the ability to share account passwords in numerous regions, Netflix is believed to have gained around six million subscribers in the last quarter. The streaming powerhouse is now expected to take steps in line with increasing the prices of its subscriptions, and could reveal such information this week when it publishes its latest earnings reports, according to Reuters.

Last year Netflix began testing ways to combat account sharing and add non-paying viewers amid dips in profits and subscribers. It initially rolled out a limited crackdown on password sharing in a number of Latin American nations, including Argentina and El Salvador.

In May of this year, it launched paid sharing, complete with new tiers of subscriptions and pricing, in the UK and US, effectively eliminating password sharing in those regions.

Users have reacted negatively to the decision, and in some countries like Australia have departed the streamer in droves. However, in other regions it seems to be paying off for Netflix.

Now the company may be looking to raise the prices for its ad-free subscription plans in the coming months, with analysts believing that this may be a strategy to get more people on the ad-supported tier which brings in more revenue per user.

It seems Netflix is waiting on the end of the Hollywood actor and writer strike to announce any changes to prices. Last month the Writers Guild of America (WGA) said that it was looking at an “exceptional” tentative deal with the film studios, with “meaningful gains and protections for writers in every sector.”

It is possible that the strikes will end soon if the deal is agreed upon between the strikers and the studios. Netflix is believed to have continued making strong gains despite the strike thanks to international viewership outside of the US. Revenues are expected to have risen to $8.54 billion by analysts, which would mark the fastest growth the streamer has seen in just over a year and a half.

South African prices for Netflix subscriptions have been steady, but there has yet to be any launch of paid sharing locally. Instead, users seemingly have to get their own accounts instead of sharing passwords.

[Image – Photo by Venti Views on Unsplash]