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The only thing stronger than Netflix’s password crackdown results are its new prices.
Announcing its third-quarter earnings in a letter to shareholders today, Netflix said it added nearly 9 million subscribers (8.76 million, to be exact), bringing its total to more than 247 million global paid streaming memberships.
The streaming giant also noted that its ad-supported tier continues to grow, with memberships up almost 70% quarter-over-quarter. Additionally, on average, 30% of all sign-ups in countries with ad-supported tiers go towards the plan.
The results come amid Netflix’s ongoing password crackdown, with paid sharing rolling out in more than 100 countries, including the U.S., as of the second quarter.
And with paid sharing leading to fewer cancellations than expected, Netflix is once again raising prices, with new pricing hitting the U.S., the U.K. and France today.
For the U.S., the ads plan ($6.99) and Standard plan ($15.49) remain the same, while Basic will come in at $11.99 and Premium will be $22.99. Netflix’s Basic plan previously came in at $9.99, while its Premium plan was $19.99.
Meanwhile, paid sharing remains the same, with an account holder adding a member outside of the home for an additional $7.99 a month, or the user can opt to transfer their profile to a new account.
Subscribers are tiering up
Netflix closed its first-ever TV upfront in August, announcing it had doubled its monthly active ad tier users globally to more than 10 million at the time.
Despite the positive results, the company recently made a big change behind the scenes, with Adweek exclusively learning that ad sales president Jeremi Gorman was exiting and Amy Reinhard, who led the streamer’s studio operations, was taking the helm.
In an earnings video on Wednesday evening, Greg Peters, Netflix’s co-CEO, further explained the leadership change, acknowledging that Gorman had built the ads business “essentially from zero,” but that now is the optimal time for Reinhard to lead the way, considering the exec’s experience with the company’s global studio, financial strategy and business development.
“You think about that assemblage of skills, and you think about the existing ads leadership team that we have that has got a rich history in ads in general and connected TV—especially someone like [Peter Naylor, vp of worldwide ad sales], who started selling connected TV at Hulu—that’s a strong team to take our ads business to the next level,” Peters said.
