Insiders have revealed the fascinating secrets to Netflix‘s success – including just how closely subscribers’ viewing habits are tracked.
The California-based streamer can track every single show and movie ever watched by every subscriber. They know if you’ve finished watching it – and even whether you watched it on a TV, computer, or phone.
Servers also track the way people scroll around the service before deciding what to watch, and whether your choice came as a result of looking for one thing, then stumbling across another.
Netflix uses an algorithm – mathematical formula – which crunches this data to decide what suggestions to serve up to its users.
Its ability to use data has helped it in retaining subscribers with original content, adding a further 5.9 million subscribers in their latest quarter as profits rose.
The company credited a crackdown on password sharing for the increase and said that it had the top streaming series for all but one of the first 25 weeks of the year.
One expert has said that the amount of data compiled on users includes detailed accounts of what people watch, how long for and from what device
This image released by Netflix shows a scene from the popular Korean series named ‘Squid Game’
Netflix is a private company and keeps the vast majority of the data it collects under close guard, as it’s entitled to.
A new California law offers a look into their data gathering and how they manipulate it to their advantage.
The California Consumer Privacy Act requires companies to provide customers, on request, the data they have on them.
Brennan Schaffner, a computer-science Ph.D. student at the University of Chicago, told the Wall Street Journal the data reveals a level of granularity.
He says that the data includes: ‘Detailed accounts of every piece of content you’ve engaged with since you created your account.’
That can help decide which shows get renewed or canceled, although Netflix insists this isn’t solely decided on the basis of numbers, with critical reviews and prestige also likely to factor in.
Netflix’s head of content Bela Bajaria said in June that ‘algorithms don’t decide what we make’.
Bajaria added: ‘There’s not an algorithm that would probably say, you know what’s a great idea? A period show about a woman playing chess.’
She had been referring to the award-winning series ‘The Queens’ Gambit, which was released to acclaim.
Olivia Deane, a senior analyst at Ampere, a company that gathers data on media and entertainment, told the WSJ that shows typically only run for three seasons.
Deane suggests that titles that go beyond their third season have limited utility in terms of attracting new and retaining existing ones.
Despite this, the streaming service does retain some long running series including ‘Big Mouth’ which has been renewed through to season eight.
Scripted titles represented two thirds of the shows Netflix decided to renew, suggesting that the company has found that they return their investment in terms of attracting and retaining subscribers.
Anya Taylor-Joy, pictured here as character Beth Harmon, in the popular series ‘The Queen’s Gambit’
Actor Charlie Cox, pictured here, said he was ‘saddened’ after the Daredevil series he starred in was dropped by the company
Despite this, the streaming service does retain some long running series including ‘Big Mouth’ which has been renewed through to season eight.
Scripted titles represented two thirds of the shows Netflix decided to renew, suggesting that the company has found that they return their investment in terms of attracting and retaining subscribers.
An example of a show that was cut loose after three seasons was the popular superhero series ‘Daredevil’.
A fourth season had been pitched by TV writer Erik Oleson in November 2018 but the company decided to cancel the series after three seasons.
Actor Charlie Cox who portrayed the titular character in the series said he was ‘saddened’ by the abrupt decision.
Popular show Stranger Things has been renewed for a fifth, and is considered one of Netflix’s flagship series
L to R: David Harbour as Jim Hopper and Millie Bobby Brown as Eleven in Stranger Things
Cox told Entertainment Weekly: ‘A lot of us really expected to keep going, and I certainly did.
‘The truth is, I felt like we had a lot of stories to tell, and although I understand [the cancellation], I’m very saddened by that.
After dropping the series, Disney+ announced a series titled ‘Daredevil: Born Again’ that is scheduled to premiere in early 2024,
Outside of this, Deane also told the WSJ that a prime example of their strategy is the ever popular ‘Stranger Things’ series.
The show has only run for four seasons, with a fifth on the way, and is the type of scripted programming that Netflix can bank success on.
