Netflix is facing fresh questions about viewer interest as it prepares to report its third-quarter results on October 20. Investors want to know how the company plans to keep people watching as competition grows. Co-CEO Ted Sarandos has said Netflix is not growing as fast as he would like. According to reports, analysts expect revenue to rise 11.8% to USD 12.87 billion. If that forecast holds, it would mark the slowest third-quarter growth in three years.
The challenge has gone beyond paid streaming services. Recent stats show that YouTube has attracted nearly twice as much viewing time as Netflix among US viewers. The most-watched content comes from short videos created by online creators. Research firm Apptopia reported that US customer churn rose 16.6% year on year in the third quarter. Downloads across the US and Canada fell 20%. Netflix has also cut around 6% of its workforce and changed its content leadership.
Generally, popular shows and Netflix Originals bring people to the platform. However, people leave the platform once the show ends. Live sports and major events may give them a reason to return more often. Fans may tune in for each match or follow an event over several days. These regular visits could help Netflix attract new subscribers and give advertisers access to large audiences.
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Can Live Sports Bring Growth Without Raising Costs?
Live sports can be more lucrative but they are risky. Sports rights are expensive and sometimes cost millions. People subscribe just to watch one event. Netflix has to make enough from new subscriptions and ads to cover these costs. It has already purchased the rights to broadcast the FIFA World Cup 2030 in Spain and Andorra and has shown its interest in live sports.
Netflix now needs to turn viewer interest into a lasting habit. Live events may help, but strong films and shows still matter. Its growth will depend on giving people reasons to return and keeping the cost of attracting them under control.