Question

Brand Netflix-

1. State the marketing position, earnings.

2. Describe the personality of the brand ? why? (in one definition)

keep it short and simple bulletin points work with explaining your points.

Answer 1

Initially, Netflix started as a DVD subscription model and also introduced video streaming model simultaneously. By 2017 they were operating in 190 countries. There 73 million subscribers out of the 130 million are outside the US. In the second quarter of 2018, their live streaming revenue outside the US was higher than the domestic screening revenue. They posted their highest profit in 2018 which is $ 845 million. For the first quarter of 2019 Netflix reports earning for share $ 0.24 which is down from $ 0.41 of last year. The revenue is expected to grow 28% year on year.

Disruptive Technology: Live streaming:

• It started by building a disc subscription business, which now they discourage users to subscribe. This helped them to build a user base which has converted to live streaming content.
• In $ 9 the subscriber can access to entire Netflix streaming library. Netflix streaming is available on TV’s, smartphones, computers, video game consoles, and tablets.
• They offer content from around the world on a click of a button.
• The company has collaborated with artists, production houses and entertainment companies to get content and they pay royalties.
• The company has also started creating exclusive Netflix content. The movies, serials are specially produced for streaming on Netflix.
• They collaborate at regional levels to make a video on demand offerings.

Netflix has subscribers which contribute to 72% of the US live streaming and disc subscribing market. They are in the middle of the S curve in the product life cycle and will cover 36.5 million more subscribers in the USA before they hit the market saturation point.

The personality of Netflix:

Netflix is live streaming of a wide range of content in many languages across the world. Netflix is seen as a brand and most people refer to watching Netflix rather than saying which program they plan to watch.

The key reasons are as follows:

• It's easy to use and has a wide range of offerings
• They charge $ 7.99 for standard subscription live streaming, $ 1 more for live streaming on two HD TV, $ 11.99 for HD TV and four screens. Service comes with free one-month trial and cancellation online any time.
• They have a great user experience