Published on March 3rd, 2019 | by Brad Gibson0
Netflix may be losing $192 million per month from piracy, study claims
As many as one in five people today are using someone else’s streaming video account from services like Netflix, Amazon Prime Video or Hulu, according to a new study from CordCutting.com. If the results are to be believed, it adds up to millions in losses for streaming providers.
The results reveal Netflix tends to be pirated for the longest period at 26 months, compared with 16 months for Amazon Prime Video or 11 for Hulu.
The study – identifying those not paying for the services as “moochers” – claims 48 percent of Netflix freeloaders often use login details of other family members instead of a friend, while another 14 percent use their sister or brother’s credentials.
Surveyed at $7.99 before the January 2019 price increase, the studies authors calculate pirates are saving $207.74 over a 26-month period using someone else’s account while Netflix is possibly losing an estimated $192 million in revenue every month or $2.3 billion every year.
The numbers estimate Amazon Prime Video is losing $45 million per month due to piracy with Hulu losing $40 million a month.
Not surprisingly, millennials accounted for much of the piracy, the study found. 18 percent of Netflix freeloaders were millennials compared to 20 percent of Hulu users. Baby boomers were more likely to borrow someone else’s account to access Amazon Prime Video.
According to the study, 59 percent said they would pay for Netflix, or around 14 million people, contributing at least $112 million in lost monthly revenue. 38 percent, or 2 million, said they would pay for Hulu with 28 percent, or 1 million people, saying they would pay for Prime Video.
Women – almost 74 percent – were more willing to pay the monthly payment than men (nearly 45 percent) and also happened to watch an average of 509 hours of Netflix every year, 50 more hours than men, the survey found.
The website surveyed 1,127 people. 51 percent of the participants were men, and 49 percent were women. The survey did not include questions regarding live streaming services.