Netflix powers on as members buy more than 2BN hours of content

Editor ©RapidTVNews | 05-01-2012

Even before the UK and Ireland comes on-stream, global expansion in addition to increases in its base viewing has led to more than two billion hours of TV shows and movies streaming from Netflix in the fourth quarter of 2011.
With the over the top (OTT) service boasting around just over 20 million streaming members globally, meaning that each user streamed around 33 hours per month showing the advantage of offering compelling long-form content.
Analysing the data and putting Netflix’s market position into a very clear context, leading US media analyst Richard Greenfield of BTIG calculated that Netflix now ranks as the 15th most watched network in the US, boasting more hours of viewing in October 2011 than FX, HGTV and History and had more than twice the viewer hours of CNN, Discovery, MSNBC and BET. Furthermore, Greenfield said that the data implies that Netflix would be the second larges tnetwork in homes that subscribe to its services, beaten only by CBS, and would be the largest non-broadcast network.

Throughout 2011 Netflix not only added to its portfolio of TV shows and films in the US—signing agreements with multiple content providers, and announcing the creation of a Netflix original series—but also expanded to Canada and Latin America.
"We were thrilled to deliver more than two billion hours of TV shows and movies across 45 countries in the fourth quarter," enthused Netflix Co-Founder and CEO Reed Hastings clearly delighted to be the bearer of good news. "Netflix delights members by giving them choice, convenience and control over the entertainment they love."
What makes the figures even more impressive is that this all comes less than six months after the disastrous move by Netflix in July 2011 to separate streaming video and DVD-by-mail services and to raise basic tariffs by up to 60% in some cases. Two months later, Hastings CEO was forced to issue an apology admitting that that he owed “everyone an explanation”, conceding that the company’s actions “lacked respect and humility” in the way it announced the changes. And the ramifications of this blunder was shown in the recent Holiday E-Retail Satisfaction Index by customer experience analytics firm ForeSee which showed that Netflix’s popularity was falling sharply.