Netflix Account Sharing Feature Gets A Thumbs Up From Company CEO; Brand Targets Global Expansion
During the 2016 Consumer Electronics Show, company CEO Reed Hastings announced that Netflix account sharing is a "positive thing" and has given the practice a thumbs up.
The announcement plays a crucial part in the overall success of Netflix. However it was somewhat dwarfed by the company's global expansion plans.
Prior to green lighting the Netflix account sharing practice, HBO is already tolerating this via its HBO GO feature that allows users to share passwords. Now, it appears that Netflix has finally understood the essence of the practice and as they decided to adopt it as well.
In the world of online streaming, account sharing is typically situated in a shaded area. Users are somewhat divided regarding this. Some users are even afraid that by sharing their account information with other people, they are breaking the law.
However, some operators of online streaming services like HBO and most recently Netflix, saw the practice of account sharing as a "terrific marketing vehicle" and a perfect way of reaching a much wider user base.
Online streaming services operators claim that through account sharing, users are expanding the brand's scope thereby reaching other users who normally have no access into their product.
"We love people sharing Netflix whether they're two people on a couch or 10 people on a couch. That's a positive thing, not a negative thing," Hastings said in a statement acquired by Tech Crunch.
He added that nonpaying users who happened to get their hands into a Netflix account owned by a friend or a family member, ends up becoming a subscriber. Relying on this is somehow an indirect form of product advertisement and is what urged Netflix to support account sharing.
Hastings also announced during the 2016 CES about the company's international expansion plans.
According to Reuters, Netflix is expanding to 130 countries before the end of January. Netflix is also targeting the massive Chinese market which it hopes to enter within the year.
