For Netflix, a Poorer Consumer Isn’t Necessarily Bad
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For Netflix Inc., a mild deterioration in the consumer economy is a potential blessing in disguise. To start with, the less money people have, the more likely they are to stay home, where movie-streaming became such a popular form of entertainment during the pandemic.Then there's the impact on competitors who have been striving to make inroads into Netflix's lead. Having plowed big money into streaming services in recent years, the likes of Walt Disney Co. and Paramount Global are now making cuts in the area, deterred by the tougher conditions. Streaming viewership “should pick up nicely” as people stop going out if the economy slips into a recession later this year, said Matthew Maley, chief market strategist at Miller Tabak Co. LLC. And Netflix should “definitely be a beneficia...