After three long years, Netflix subscribers finally got new episodes of Stranger Things in 2022, but this release was a bit different. Rather than getting the entire season in one massive block, the streaming service staggered the release for the show’s fourth season. The first seven episodes were released on May 27, 2022. The final two episodes came out on July 1, 2022.
Fans had been waiting for the new season since July 2019; a long wait extended by the pandemic. But the show is also massively popular. Its release is an event for Netflix, and season 4 volume 1 got a lot of play in its first four weeks.
So why did we get the show in two batches? For the same reason companies make any decision: money.
Most likely, this will have a positive result for Netflix in the near future, but it might be a shortsighted decision in the long run.
What’s Going On With Netflix?
It’s not exactly a secret that Netflix’s upward acceleration has slowed down. For the first time in a decade, the company reported a decline in subscribers: 200,000 in the first quarter of 2022. As viewers unsubscribe, the company feels the burden of declining interest. Netflix has seen multiple layoffs, and issues continued in June 2022 when 300 people were let go.
According to a spokesperson, revenue growth has slowed. So if the company wants to turn the tide, it’ll need to find ways to retain subscribers and attract new ones.
But there are still plenty of people tuning in. No company wants any type of decline, but with nearly 75 million people paying in the first quarter of 2022, Netflix is far from irrelevant.
What Does This Have to Do With Stranger Things?
To say Stranger Things is big for Netflix is a bit of an understatement. Pre-pandemic, season 3 was the service’s most popular show, with tens of millions of viewers. But there was a hiatus between seasons 3 and 4, and that was only widened by the pandemic.
Still, filming for the show was done in September 2021. This would have given plenty of time for the whole season to be edited and ready for a May 27, 2022 release, and it was. But Netflix wants to keep you hooked.
Notice how there’s just over a month between season 4 volumes 1 and 2. If you want to see the whole thing, you’re going to need to subscribe for at least two months. Not only will viewing the show require more money, but it also impacts multiple quarters. The July 1, 2022 date is a strategic move. It means viewers start watching in the second quarter of 2022 and finish the season in the third.
Of course, you could just wait until July to start watching the season, that way you’d only need to pay for one month’s subscription. This is true, and nobody is going to stop you, but they can spoil your plans. In this scenario, Netflix loves spoilers. More people talking about the show means more people are interested, and the urgency to start watching becomes greater.
What Does This Mean for Netflix?
Many people will see this move and credit it as a business decision, and it is. Like all moves, it’s also indicative of future directions. From a retention standpoint, it’s quite smart because it makes money and impacts multiple quarters. But this is not going to save viewers from future changes; it’s likely just the start.
The biggest implication: Netflix needs to combat slowed revenue growth. This was clear at the start of 2022 when the price of subscriptions rose a dollar or two, depending on your plan. But that isn’t exactly new, subscribers have seen prices jump multiple times over the past decade. But now, the standard plan is $15.50 in the US, nearly twice its original cost of $8.
So what’s next? Ads.
While prices haven’t been released, the company has confirmed an ad-tier is in the works, likely by the end of 2022. This might make subscriptions more affordable, at least in the beginning, but it’s a clear shift in direction for a company that once swore against ads.
We’re also likely to see more staggered releases akin to Stranger Things. While new series are less likely to feel the impacts, because Netflix wants to get you hooked, subsequent releases will be used as part of a strategy. It’s uncommon now, but Stranger Things isn’t alone. Ozark’s final season was split in two.
The End of Netflix?
At the moment, Netflix is still a juggernaut, and Americans will be streaming for years. But frustrated Stranger Thingsfans have reason to be upset. The release day binge is part of the service’s appeal. Now it’s being taken away.
At the beginning of 2022, customers started paying more. Now the long-awaited fourth installment of a series has been split to gamify the service. Like many services in America, customers are forced to absorb the burden of shrinking profits. We pay more to receive less.
And there’s no indication that this won’t become a trend. Ads will be popping up soon, and the company will continue to try to rebound from its decrease in subscribers. But you have to wonder why viewers clicked unsubscribe in the first place. As they watch titles leave the platform, seasons get split, and ads get introduced, they probably feel justified in their decision.
Still, you can leave at any time. It’s frustrating to watch Stranger Things become part of a corporate strategy, but season 4 volume 1 was massively successful. Perhaps viewers are annoyed, but this isn’t the straw that will break the camel’s back. They waited for the end of the season, guaranteeing they’ll pay two months of fees, but it’s not so bad. At least Netflix gave us Zoey 101 to fill the void.
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