Netflix’s Massive Subscriber Growth Proves They Have No Competition In The Business Of Making Global Hits

Netflix’s Tiger King has been a huge U.S. hit during the coronavirus quarantine —25 days atop the Netflix Top 10 chart— but Netflix had two other truly global hits during the first three months of 2020 that outdrew Joe Exotic.

Mark Wahlberg and Winston Duke’s ex-con movie Spenser Confidential (85 million households), Spanish thriller series Money Heist (65 million) and true-crime docuseries Tiger King (64 million) were among the originals that Netflix highlighted Tuesday during its quarterly letter to shareholders. Netflix said it now has 183 million worldwide subscribers and added 16 million during the first quarter, which is more than double what the company forecast three months ago.

“Our ability to launch new brands and sustain brands over multiple seasons or multiple sequels and at a very high volume from all over the world has been unparalleled,” Ted Sarandos, Netflix’s chief content officer, said Tuesday during the company’s quarterly earnings interview. “And the idea that we can create brands out of thin air over and over again, sometimes multiple times in a week … is something that I’m super proud of.”

Spenser Confidential is a global hit because Mark Wahlberg is a global movie star, and Money Heist is a global hit because it’s a Spanish-language series that’s consistently found audiences in many other languages. Sarandos said that Money Heist, for example, has been a big hit in India. With two-thirds of Netflix’s subscribers and almost all of its growth now outside the United States, the streamer will increasingly rely on content that plays globally.

Global media companies need global hits. Netflix will spend $17 billion this year on original and licensed content — nearly $100 per subscriber — and needs its own blockbusters (1) to spread the production and marketing costs of $250 million blockbusters over as many paying customers as possible and (2) to drive awareness for franchise expansion.

Six months ago, I wrote:

Netflix doesn’t have a franchise on the level of Marvel, Pixar, DC Universe, Harry Potter, Fast and Furious, Game of Thrones, etc., with the arguable exception of Stranger Things. I’m bullish on Netflix globally because the company is years ahead of its competitors in many international markets. If franchises become the dominant weapon in the Streaming Wars, though, Netflix will be in serious trouble.

A few months later, the Michael Bay action film 6 Underground (83 million views) was a breakout hit, and The Witcher (76 million views) became Netflix’s biggest series launch ever. Another season of The Witcher is already in production, and 6 Underground could become Netflix’s Fast and Furious. Peter Berg and Mark Wahlberg have already made five films together, so a Spenser Confidential sequel (or sequels!) shouldn’t be a tough sell. (Does anyone have any good recipes for crow? Yes, I’ll be eating some.)

Netflix has plenty of big swings incoming, too, including Chris Hemsworth action movie Extraction this week, Ryan Murphy’s likely Emmy contender Hollywood next week, Damien Chazelle’s musical series The Eddy the week after, etc., and originals will break out that no one saw coming.

At the beginning of 2020, Netflix listed 10 originals in its content forecast for the first quarter, but none beyond Spenser Confidential merited a mention in Tuesday’s earnings letter. Season 2 of the big-budget Altered Carbon quietly came and went, and the second season of Sex Education made less noise than the first.

Even with the best viewing analytics in streaming, a Tiger King can still surprise.

Scott Porch writes about the TV business for Decider and is a contributing writer for The Daily Beast. You can follow him on Twitter @ScottPorch.