netflix-revenues

Netflix Revenues Analysis

Netflix Key Financial Stats20212020Change
Streaming revenues$29.51 Billion$24.75 Billion19.22%
DVD revenues$182 Million$239 Million-23.83%
Total revenues$29.7 Billion$25 Billion18.81%
Global Streaming Memberships:
Paid net membership additions18.2 Million Members36.6 Million Members-50.29%
Paid memberships at the end of the period221.8 Million Members203.6 Million Members8.93%
Average paying memberships210.7 Million Paying Members189 Million Paying Members11.48%
Average monthly revenue per paying membership$11.67$10.916.97%
Operating income$6.2 Billion$4.58 Billion35.10%
RevenuesOperating Income
2015$6.78B$0.3B
2016$8.8B$0.3B
2017$11.7B$0.8B
2018$15.8B$1.6B
2019$20.15B$2.6B
2020$25B$4.6B
2021$29.7B$6.2B

Read Next: Netflix Business Model

More on Netflix Business Model

Netflix Business Model

netflix-business-model
Netflix is a subscription-based business model making money with three simple plans: basic, standard, and premium, giving access to stream series, movies, and shows. Leveraging on a streaming platform, Netflix generated over $29.6 billion in 2021, with an operating income of over $6 billion and a net income of over $5 billion. 

Binge-Watching

binge-watching
Binge-watching is the practice of watching TV series all at once. In a speech at the Edinburgh Television Festival in 2013, Kevin Spacey said: “If they want to binge then we should let them binge.” This new content format would be popularized by Netflix, launching its TV series all at once.

Coopetition

coopetition
Coopetition describes a recently modern phenomenon where organizations both compete and cooperate, which is also known as cooperative competition. A recent example is how the Netflix streaming platform has been among the major customers of Amazon AWS cloud infrastructure, while Amazon Prime has been among the competitors of the Netflix Prime content platform.

Platform Expansion Theory

netflix-market-expansion
netflix-net-profits-vs-total-assets

Netflix SWOT Analysis

netflix-swot-analysis
Netflix is among the most popular streaming platforms, with a subscription-based business model. The brand, platform, and content are strengths. The volatility of content licensing and production are weaknesses. The streaming market is a potential blue ocean. The inability to attract and retain premium members and its fixed long-term costs threaten its business model.

Is Netflix Profitable

is-netflix-profitable
Netflix is a profitable company whose net profits were $5.1 billion in 2021. Growing from $2.7 billion in 2020. The company runs a negative cash flow business model, which anticipates content development and licensing costs through the platform. Those costs get amortized over the years as subscribers stick to the platform.

Read Also: Netflix Business Model, Netflix Content Strategy, Netflix SWOT Analysis, Coopetition, Is Netflix Profitable.

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