Back on April 19, with Netflix defrocked of more than half of its market capitalization, seemingly all of the unorthodox business models it had defended for years amid success came under renewed scrutiny.
Staunchly held resistance to integrating an ad-supported service tier, of course, gave way. So did Netflix upper management's long-held willful dismissal of password sharing.
Also read: Netflix Stock Booms as Streaming Company Beats Forecasts on Subscribers and Revenue in Q3
Their customer growth, stock price and confidence restored on Tuesday, however, Team Netflix made it clear that its binge-minded, all-at-once model for releasing seasons of episodic television survived all the second-guessing and is here to stay.
"We think our bingeable release model helps drive substantial engagement, especially for newer titles," Netflix said in its Q3 letter to shareholders.
Netflix even included a Google Trends graphic, showing how the model helped spike engagement for Monster: The Jeffrey Dahmer Story, relative to Amazon's Rings of Power and HBO House of the Dragon.
"It’s hard to imagine, for example, how a Korean title like Squid Game would have become a mega hit globally without the momentum that came from people being able to binge it," Netflix's Q3 letter added. "We believe the ability for our members to immerse themselves in a story from start to finish increases their enjoyment but also their likelihood to tell their friends, which then means more people watch, join and stay with Netflix."
