Netflix has announced that it will be trialing a new feature to stop customers from sharing their passwords with people outside their households.
Password sharing is against the company’s Terms of Service, but it’s something many people do anyway. In fact, a recent survey found that 35% of millennials share their passwords for streaming platforms, as do just under 20% of Generation X and 13% of Baby Boomers.
However, the company now plans steps to stop this from happening to increase revenue from its current subscribers. The new system will allow users to share their accounts with multiple users if they switch to a different plan and pay the additional charges.
This will initially be trialed in Costa Rica, Peru, and Chile. Although Netflix hasn’t committed to expanding this globally yet, if successful, it could be rolled out in other countries soon.
Members on a Standard or Premium plan will be able to add sub-accounts for up to two “sub-members” they don’t live with. Each will have their own profile, login, password, and personalized recommendations, and it will cost $2.99 a month.
Alternatively, subscribers will be able to transfer profiles to a separate account without losing their recommendations, queue, and account settings.
In a blog post, Netflix said, “We’ve always made it easy for people who live together to share their Netflix account, with features like separate profiles and multiple streams in our Standard and Premium plans.
While these have been hugely popular, they have also created some confusion about when and how Netflix can be shared. As a result, accounts are being shared between households – impacting our ability to invest in great new TV and films for our members.
We recognize that people have many entertainment choices, so we want to ensure any new features are flexible and useful for members, whose subscriptions fund all our great TV and films.”