• by Wayne Friedman , February 12, 2025

Netflix continues to give its subscribers a great deal in terms of the subscription fees they pay against hours of content they watch, according to MoffettNathanson Research.

MoffettNathanson estimates Netflix generated less revenue per hour of content viewed by subscribers than other other major SVOD platforms -- which in turn means a great deal for those customers.

In the fourth quarter, Netflix pulled on average 34 cents of subscriber fees for an hour of content viewed by its subscribers -- - lower than all other competitors. By way of comparison, Disney+ took in 40 cents of revenue per hour viewed from consumers.

For WBD (Max and HBO linear) and Paramount+ it is even worse -- 76 cents and 68 cents, respectively. Only Peacock is near Netflix levels -- at 35 cents.

The reason Netflix does so well? It is the dominant streaming leader when it comes to content viewed by its customers.

In 2024, Netflix streamed 568.4 hours viewed of content per average U.S. subscriber. Way down the list in second place was Hulu, at 374 hours, followed by Disney+, (218.1), Peacock (216.9), WBD (169.6) and Paramount+ (142.0).

Netflix’s advantages are that its bigger subscriber and viewership base is where it can spread revenue, says Robert Fishman, media analyst at MoffettNathanson Research.

“That is also key to understanding Netflix’s success and why its competitors have and will continue to struggle to catch up: Netflix delivers great value.”

Legacy streamers -- with veteran advertising revenue/sales operations, can help to bolster overall revenue. In turn, they can keep down subscription fees for consumers for the amount content per hour they view.

Peacock gets the biggest piece of revenue from advertising for its content viewed --- at 27 cents. That is nearly half of the streamer’s revenue, and why Peacock -- at 35 cents -- comes close to Netflix at 34 cents per viewing hour in revenue coming from subscription fees.

Paramount+ and Hulu (on demand) are at 15 cents and 14 cents respectively when it comes to advertising revenue per hour viewed. WBD (Max, HBO) is at 9 cents and Disney, 4 cents. Netflix is at 3 cents.