Stranger Things

Lions Gate Entertainment

Is Netflix reaching saturation? After a sharp fall in subscriber numbers between April and June, it is a question analysts are asking.

Tom Harrington, senior analyst at Enders Analysis, says: "It is difficult to say whether it is a blip in the US or is actually reflective of the appetite to spend more or the ability to get people to spend more for their products."

He says: "It does look like the market in the US has sort of matured and is somewhere near saturation. But you look at 2018, they had more subscribers in that year than any of the previous five years so this is a little bit of a surprise."

Mr Harrington tells the Today programme that the fall could just be down to an "unimpressive original slate" of content.

He says: "They have a very good slate coming up in the quarter that we're currently in - the return of Stranger Things, Money Heist, Orange is the New Black."

It means Netflix could get back on track but Mr Harrington says: "There are still questions that have to be asked."