Netflix struggles with viewer drop-off after first seasons

Netflix faces a growing problem: most of its series lose viewers after the first season, contrary to the traditional serial model where audiences grow over time. On Disney+, HBO Max, and Apple TV, successful series like Ted Lasso, The White Lotus, and The Last of Us often increase viewership season by season, while even declines are modest—House of the Dragon lost only 8% between its second and third seasons on HBO Max. On Netflix, however, second-season drops are severe: One Piece lost 30%, Beef 58%, The Four Seasons 63%, and Good Girls' Guide to Murder 80%. Exceptions like Bridgerton and Stranger Things exist, but the overall trend is downward. Since August 2025, Netflix's stock has lost over 40% of its value as investors worry about churn. The company's model has historically focused on attracting new subscribers with fresh content, but now subscriber growth has slowed (partly due to password-sharing crackdowns) and engagement metrics are stagnating. In response, Netflix is diversifying into reality TV, live sports, and podcasts, and reconsidering its all-at-once binge release model—a hallmark since House of Cards—in favor of weekly episodes to prolong engagement. TechCrunch argues Netflix's real competitors are now YouTube and TikTok, which have much higher user engagement. Netflix's app is increasingly resembling a scrollable feed, turning the excess of new content and low retention into a strength for rapid, ephemeral consumption.