Netflix faces pressure as binge-watching model loses appeal

Netflix is experiencing a decline in viewer retention for its multi-season shows. A report from Bloomberg suggests that viewers are increasingly abandoning popular shows before their second season, indicating that Netflix’s signature binge-watching model—defined as the practice of watching multiple episodes of a television program in rapid succession—may be a dated relic. The company, which popularized this format when it dropped an entire season of House of Cards in February 2013, is losing daily viewing time to competitors. According to a 2025 report by Digital i, YouTube surpassed Netflix in average daily viewing for the first time, with users spending 99.1 minutes daily on YouTube compared to 93.4 minutes on Netflix.

The competitive landscape has shifted toward short-form video and microdrama apps, which offer short-form serialized video content typically consumed on mobile devices. Platforms like TikTok and YouTube are capturing significant daily attention, while dedicated microdrama apps are experiencing spending growth.

To illustrate the shifting attention, market data highlights the average daily time spent by U.S. adults and global users:

• Netflix (U.S. adults, 2024): An average of 62.1 minutes per day, according to eMarketer.
• TikTok (U.S. adults, 2024): An average of 58.4 minutes per day.
• TikTok (Globally, 2024): An average of 95 minutes per day.
• YouTube (2025): 99.1 minutes daily, compared to Netflix’s 93.4 minutes.

These market reports regarding viewing time use differing methodologies and should be taken with a grain of salt, but they highlight a clear directional trend.

Meanwhile, specialized microdrama apps are seeing consumer spending. According to data from the app intelligence firm Appfigures, the microdrama app ReelShort saw roughly $1.2 billion in gross consumer spending in 2025, representing a 119% growth from 2024. Another competitor, DramaBox, generated $276 million in gross consumer spending in 2025.

To counter these threats, Netflix has begun experimenting with its product. In April, the company introduced a product redesign featuring a feed reminiscent of TikTok to help users discover content. However, the company may need to pivot its broader release strategy to remain relevant. This could involve prioritizing single-season miniseries—television series that tell a story in a predetermined, limited number of episodes—or adopting weekly release schedules, which Netflix has successfully used for reality programming. While Netflix has also expanded into live content and podcasts, its podcasts are reportedly not being watched, suggesting that a deeper structural shift in how it packages and releases its core video content may be required.

Why it matters

Netflix’s defining binge-watching model is facing an existential threat from short-form video platforms like TikTok and YouTube, forcing the company to rethink its content strategy and release models.