Dive into how this cultural phenomenon is revolutionizing the entertainment industry
The release of Squid Game Season 2 marked a pivotal moment in Netflix’s business evolution, influencing various facets of its operations. As one of the most successful shows in Netflix’s history, Squid Game has become a cultural phenomenon, solidifying the company’s leadership in the streaming industry. The sequel has further strengthened Netflix’s position while reshaping its business strategies.
1. Massive Subscriber Growth
The debut of Squid Game Season 2 in December 2024 broke viewership records, attracting millions of new subscribers worldwide. Within its premiere week, the series amassed over 68 million views, becoming one of Netflix’s most-watched releases. This surge in interest translated into a record 18.9 million new subscribers for Netflix during the fourth quarter of 2024, pushing its global subscriber base to approximately 300 million.
The ability of Squid Game 2 to attract viewers from diverse regions underscores the show’s universal appeal. This massive influx of subscribers highlights the importance of globally resonant content and demonstrates how strategically timed releases of high-profile shows can significantly boost the platform’s growth.
2. Revenue Growth Through Strategic Pricing
The overwhelming success of Squid Game Season 2 created a prime opportunity for Netflix to adjust its subscription pricing. The company implemented price hikes across its tiers, including its ad-supported and premium plans. Despite these increases, subscriber retention remained strong, showcasing Netflix’s ability to leverage exclusive content as a value proposition.
The ad-supported plan saw an increase to $7.99, while the premium ad-free plan rose to $24.99. Subscribers accepted these changes due to the compelling lineup of exclusive series, including Squid Game. This pricing strategy not only boosted Netflix’s revenue but also showcased the importance of delivering high-quality content to justify premium pricing.
3. Diversification into Live Events
Alongside the release of Squid Game Season 2, Netflix expanded its offerings by venturing into live event programming. High-profile live streams, such as boxing matches and NFL games, complemented its existing on-demand content. For example, the Jake Paul vs. Mike Tyson boxing match streamed on the platform attracted over 60 million households globally, generating significant interest.
This diversification allowed Netflix to cater to a broader audience, combining traditional streaming with real-time entertainment. Live events also encouraged more frequent platform engagement, ensuring that subscribers remained active and invested in Netflix’s growing content library. The move demonstrated how Netflix capitalized on its infrastructure to provide diverse experiences beyond scripted series.
4. Shift in Performance Metrics
In 2025, Netflix began shifting its focus from subscriber numbers to financial performance metrics such as revenue and profitability. The unprecedented success of Squid Game Season 2, coupled with its diversified content strategy, supported this transition. With increasing revenue driven by price adjustments, live events, and global hits like Squid Game, Netflix demonstrated its ability to grow sustainably without over-relying on subscriber growth alone.
This strategic shift highlights the maturation of Netflix’s business model, where financial health and content quality take precedence over sheer volume. The approach aligns with the company’s long-term goal of remaining profitable while maintaining its position as a global entertainment leader.
5. Greater Investment in International Content
The success of Squid Game, a South Korean production, reinforced Netflix’s commitment to international content. Recognizing the global demand for diverse storytelling, the company announced a significant $2.5 billion investment in South Korean productions. This decision aims to expand the availability of high-quality international content on the platform, building on the success of titles like Money Heist, Dark, and Squid Game.
This investment strategy not only diversifies Netflix’s content portfolio but also strengthens its competitive edge in international markets. By tapping into local talent and cultural narratives, Netflix ensures that its platform resonates with audiences worldwide. This approach is particularly effective in driving subscriber growth in untapped markets.
6. Franchise Development and Gaming Expansion
Building on the popularity of Squid Game, Netflix launched various spin-offs and tie-in products to expand the franchise. One of the most notable ventures was the release of Squid Game: Unleashed, a multiplayer mobile game that became the top-ranked action game in multiple countries. The game allowed fans to immerse themselves further in the Squid Game universe, creating an additional revenue stream for Netflix.
The integration of gaming into Netflix’s ecosystem represents a major step in diversifying its offerings. By combining gaming with its core streaming service, Netflix creates a unique value proposition that appeals to both gamers and viewers. The move also demonstrates the company’s commitment to innovation and its ability to leverage its intellectual property for maximum impact.
7. Enhanced Brand Equity Through Cultural Impact
Squid Game transcends its status as a television series to become a global cultural phenomenon. Its themes of survival, morality, and socio-economic inequality resonate universally, making it a topic of conversation across social media, news outlets, and academic discussions. This cultural relevance enhances Netflix’s brand equity, positioning the company as a creator of meaningful and impactful content.
The release of Squid Game Season 2 amplified this cultural impact, generating significant buzz and strengthening Netflix’s reputation as a platform for groundbreaking storytelling. By fostering cultural relevance, Netflix ensures long-term loyalty from subscribers who value high-quality and thought-provoking content.
8. Boosting Subscriber Engagement
The release of Squid Game Season 2 was accompanied by a range of promotional activities designed to increase engagement. From immersive fan experiences to exclusive behind-the-scenes content, Netflix used the series to deepen subscriber involvement. Interactive campaigns and real-world events based on Squid Game themes attracted massive participation, further solidifying the show’s place in pop culture.
By keeping fans engaged through multiple touchpoints, Netflix maximized the impact of the series beyond the initial release. This approach not only retains existing subscribers but also attracts new users through word-of-mouth and social media buzz.
9. Lessons in Content Strategy
The strategic planning behind Squid Game Season 2 offers valuable insights into content strategy. Netflix timed the release during the holiday season, ensuring maximum visibility and engagement. The series’ global appeal was carefully amplified through multi-language dubbing, subtitles, and targeted marketing campaigns. This meticulous planning reflects Netflix’s expertise in launching high-profile content that drives viewership and revenue.
The success of Squid Game also demonstrates the importance of originality and risk-taking in content creation. By investing in unique narratives and international productions, Netflix continues to set itself apart from competitors in the streaming space.
Squid Game Season 2 represents more than just a successful sequel—it symbolizes a transformative moment for Netflix’s business model. From driving record-breaking subscriber growth to expanding into live events, gaming, and international content, the series has redefined the company’s strategies. By leveraging its cultural impact and investing in innovative ventures, Netflix has positioned itself as a leader in the ever-evolving entertainment industry. These changes ensure Netflix’s continued success in an increasingly competitive market, setting the stage for further innovation and growth.
