Netflix Drops their Most Comprehensive Viewer Data Yet
Netflix revealed in a memo that they would be publishing two "What We Watch: The Netflix Engagement Report" annually, measuring playback times, premiere dates, and global releases for titles surpassing 50,000 watched hours. This transparency is in line with the October-approved Writers Guild of America contract, which obligated streaming services like Netflix and Disney+ to increase show viewing data disclosure .
The report, spanning January to June 2023, identified the most-watched videos for Netflix users:
- Night Agent, Season 1 (812.1 billion hours)
- Ginny & Georgia, Season 2 (665.1 billion hours)
- Glory, Season 1 (662.8 billion hours)
- Wednesday, Season 1 (507.7 billion hours)
- Queen Charlotte: Bridgerton Story (503 million hours)
Netflix Co-CEO Ted Sarandos confirmed that playback hours are the most effective method to measure viewer engagement. He shared that transparent streaming data helped compete with other platforms .
Initially, Netflix's early business strategy didn't prioritize transparency to avoid providing competitors a roadmap . However, Ted Sarandos acknowledged the need for a "learning space": "We were building a new business and needed room to learn."
Looking beyond, 60% of January-June Netflix titles appeared on the "Weekly Top 10 List", which started publication in November 2021 . According to Netflix, this move strengthens viewer insights and allows users to gain a deeper understanding of preferred genres and content.
The Netflix Engagement Report reveals user retention for hit series like "Ginny & Georgia," "You" and "Outer Banks" . However, it also highlights new shows such as "Night Agent," "The Diplomat," "Beef," "Glory," "Alpha Male," and "FUBAR" that successfully attracted audiences.
Variety in content also influences viewer preferences. Netflix VP of global strategy and finance, Lauren Smith, reported that members watched six genres on average per month, with their most popular titles stemming from more than a dozen genres.
In the context of data transparency, it is essential to note that the Writers Guild of America (WGA) contract does not explicitly require Netflix to disclose detailed viewing data . However, it includes provisions for data sharing with the WGA, which can gradually lead to industry-wide improvements in transparency.
Footnotes
[1] The Writers Guild of America Agreement requires companies to disclose aggregated viewing data for self-produced high-budget streaming programs to the WGA, whose confidentiality agreement covers the information.
[2] Research has shown limitations in data transparency across streaming services, such as Netflix. Despite some improvements, Netflix maintains control over what data is shared and how it is presented.
[3] Ted Sarandos admitted that Netflix's early business strategy did not prioritize transparency to avoid potentially providing competitors with a roadmap.
[4] The introduction of the "Weekly Top 10 List" in November 2021 is a significant development for Netflix and the broader industry, as it provides viewers with insights into the viewing habits of their target audience and content preferences.
[5] The WGA contract does not directly demand Netflix to increase transparency about streaming times. However, the agreement and its data-sharing provisions could indirectly influence a more transparent industry over time.
