Netflix Gets Big Subscriber Boost

Share this article:
Online DVD rental company Netflix Inc. ended the 2003 fourth quarter with 1.48 million subscribers, up 74 percent from the year-ago period and 15 percent higher than the 2003 third quarter.


The Los Gatos, CA, firm also ended the year as one of the most successful online companies on the Nasdaq. As of Friday, its share crossed $56, up fivefold since January 2003.


For fourth-quarter 2003, Netflix reported that 95 percent of subscribers paid a monthly fee that varied by the plan selected. The rest were trial subscribers. Paying subscribers accounted for 93 percent of Netflix customers at the end of fourth-quarter 2002 and 96 percent in third-quarter 2003.


Household penetration increased as well.


In the San Francisco Bay area, 5.9 percent of households were Netflix customers at the end of the fourth quarter, up from 3.8 percent in the year-ago period and 5.4 percent in third-quarter 2003.


Penetration in the other markets served nationwide rose to 1.3 percent, from 0.73 percent at the end of fourth-quarter 2002 and 1.1 percent from third-quarter 2003.


The growth of DVD players may contribute to Netflix's soaring growth. Market researcher NPD Group estimates that 63 percent of U.S. households owned a standalone DVD player at the end of November.


Share this article:
You must be a registered member of Direct Marketing News to post a comment.
close

Next Article in Digital Marketing

Follow us on Twitter @dmnews

Latest Jobs:

Featured Listings

More in Digital Marketing

IAB Tech Lab to Set Global Digital Marketing Standards

IAB Tech Lab to Set Global Digital Marketing ...

In looking to solve complex tech issues, the association opens up full membership to agencies and solutions providers.

Integration Meets Innovation in Planters' Digital Campaign

Integration Meets Innovation in Planters' Digital Campaign

The snacks brand found a healthy way to navigate today's world of digital marketing saturation.

USA Today Decides to Play Games for Real

USA Today Decides to Play Games for Real

It partners with game-maker Arkadium to add 60 new digital games to its site, offering advertisers more segmented breakdowns of players.