Skip to content

OneSky Blog

GET STARTED FOR FREE

Netflix’s Localization Strategy: 5 Takeaways for Global Success

How Netflix’s Localization Strategy Built a Streaming Empire

From Tiger King to Squid Game, everyone has their favorite Netflix show. This streaming platform has
transformed entertainment over the past few years, delivering content to over 213 million people
around the world.

But how exactly did this startup from Scotts Valley, California become the dominant force in streaming?
Well, Netflix’s localization strategy played a major part.

Here is the story behind that rise, along with the key lessons you can take away for localizing your own
app.

How a DVD Rental Startup Became a Global Streaming Giant

Netflix was originally founded in 1997 by a computer scientist named Reed Hastings and a marketing
executive called Marc Rudolph.

Initially, the pair operated an online DVD-rental business. Customers would choose a disc to rent, pay
online, and receive the DVD via mail.

Three years after launch, Netflix changed from a per-rental pricing model to a monthly subscription with
no rental terms, loan fees, or additional cost for shipping.

The Transition to Streaming

Another turning point for Netflix was the introduction of streaming services in 2007. Within two years,
subscribers were streaming movies more than watching DVDs.

The move to online delivery also allowed Netflix to start operating in international markets. The
company began with Canada, before moving into Latin America and the Caribbean.
In the space of just three years, Netflix had set up in 130 countries around the world. In the time since,
the network has expanded to 190 countries. Today, two thirds of Netflix subscribers reside outside the
U.S. and Canada.

netflix global empire

This rapid international expansion fueled incredible growth at a business level. At the latest count,
Netflix was valued at $289.09 billion.

5 Key Takeaways From Netflix’s Localization Strategy

While most businesses can’t expect quite the same level of global success, the story of Netflix offers
some valuable insights for localization. Here are the key takeaways:

1) Don’t Localize for Everywhere at the Same Time

Netflix went from a U.S.-only service to operating in 190 countries within the space of just seven years.

You might imagine this process involved localizing in large batches. While there were clear “phases”, the
company actually launched new regions in a constant flow.

The gaps between the release of localized versions were small, mainly thanks to the phenomenal
amounts of cash being invested. However, the separation of locales allowed staff to focus.

This is an important principle of localization. Trying to adapt your product for one language and culture
is a big enough project for any business — even one the size of Netflix. Trying to juggle localization for
multiple locales at the same time rarely works well.

If you want to launch into several different countries in short order, try to complete Minimum Viable
Localization (MVL) for each locale before moving on to the next.

2) Customize Your Offer for Every Market

There are a few examples of companies that have taken the exact same offering to every part of the
world. But in truth, they are quite rare.

Netflix went in completely the opposite direction, providing a service that is highly tailored to each
regional market.

Rather than trying only to export U.S. shows to different cultures, the company purchased local content
and made original shows in new regions around the world.

Where English-language content has been included, Netflix often went to the trouble of translating and
adapting the title. This process is known as transcreation.

As one example: Spanish crime drama, La Casa de Papel, is known as Money Heist in the English-
speaking world. A more literal translation would be “The House of Paper.”

Customize Your Offer for Every Market

In addition, Netflix provides dubbing and subtitles in all major languages to help us enjoy foreign-made
video content. This is how Squid Game, which was shot entirely in Korean, became a worldwide smash
hit.

3) Deliver a Great Experience in Every Locale

As a company attempting localization for the first time, it’s always tempting to focus on the essentials —
the product name and the instruction manual, for example.

However, leaving out any part of your product from localization means that your customers who speak
other languages are going to get an inferior experience.

The folks at Netflix seem to have understood this perfectly.

As a company that spends millions of dollars on making original content, Netflix wants to make sure that
new shows reach a wide audience. That includes subscribers around the world.
Netflix managers realized that the only way they could attract customers to foreign-language content
was by making it really easy to find, and by marketing each show with carefully-crafted teasers.

Instead of relying on auto-translation to make content accessible, Netflix chose to localize by hand.
Professional linguists and localization experts adapted every detail to suit each specific region, and
designers used pseudo-localization to ensure that changing from one language to another would not
break the user interface.

As a consequence, a Netflix user in India will be just as satisfied as one in the UK or Germany — so they
will keep paying the subscription.

4) Create Products With Global Appeal

While Netflix pays great attention to localization and internationalization, the company also thinks in
global terms.

Series like Squid Game (South Korea), Lupin (France), La Casa de Papel (Spain), and Sacred Games (India)
were all commissioned with local audiences in mind. But Netflix executives realized that these shows
had equal potential to enthrall audiences around the world.

In other words, they were building products with both local and global markets in mind.

This strategy has paid dividends for Netflix over and over again, and massively increased the company’s
return on investment.

In addition, creating products with global markets in mind means Netflix spends less time and resources
on “retrofitting” localization.

If you would like to take your business into new markets, consider following this approach. Craft
products and services that are both well suited to your home market, and easy to adapt for other places.

5) Where Possible, Work With Locals and Experts

Great credit should be given to the decision-makers at Netflix who embraced localization as a key
business strategy.

They should also receive credit for recognizing that localization is not something that you can
successfully implement without the input of locals and experts.

Over the years, Netflix has hired dozens of localization professionals and managers in markets around
the world. At the same time, the company has built partnerships with other brands that have a strong
regional presence — KDDI in Japan, and Telefonica in Spain and Latin America being prime examples.

Of all the smart moves made by Netflix, this is perhaps the most important. It has allowed the streaming
service to penetrate regional markets at an incredible speed, leading to 33% year-on-year growth in
international markets during 2019-20.

netflix international growth

Building Your Own Localization Strategy

The ongoing success story of Netflix shows how localization can transform a one-market brand into a
multinational giant. If you are planning to build your own localization strategy, studying the methods of
this streaming platform is a worthwhile use of your time.

That said, not every business has the same resources or requirements as Netflix. This year, the company
is expected to invest $500 million in Korean content alone. You can expect that millions will be poured
into localization, as well.

In spite of this, Netflix still mainly relies on external services to handle localization.

Why? Because working with a LSP (language service provider) gives you access to native speakers,
professional translators, localization experts, and even local testers, without the need to start an
international hiring spree.

In addition, such partnerships become more and more efficient over time. This is partly because
translators become familiar with your business, and partly thanks to time-saving technology like
translation memory.
Reach a Global Audience With OneSky

If you would like to team up with an experienced localization team, OneSky is a great option.

Our team includes over 1,000 professional translators, covering over 50 languages. We have extensive
experience of localizing content in websites, apps, software, and games, having worked with brands like
Microsoft, Sony, and Airbnb.

On the tech side, our platform plugs into your development workflow directly. This means you can
extract, update, and import content with zero effort. OneSky is also a full-featured translation
management system, with translation memory and other great tools.

Want to give it a try? Sign up free to take a test drive, or download our free ebook to learn more about
localization.

Mark Myerson

With a background in tech journalism, Mark has written about everything from flying cars to augmented
reality. Nowadays, he focuses on creating captivating content for businesses in the tech space. When
he's not at his desk, you can usually find him serving aces on the beach volleyball court.

Mark Myerson

Popular Post

Bring it to the world: Atlassian0

Posted on May 20, 2011

Bring it to the world: Atlassian

This is part of our series “Bring it to the world” which profiles websites and apps that offer localized
versions to reach happy users from many parts of the world. Q&A with Nicholas Muldoon...

WRITTEN BY - AMANDA WONG

0
Posted on February 26, 2013

How to get better translations for your mobile apps

Researches have shown that apps in most countries are dominated by apps that offer local language
support (see our previous blog post on the impact of mobile app localization for more stats). So the
first...

WRITTEN BY - AMANDA WONG

Feature Update: Collaborators can now download translations0

Posted on May 2, 2013

Feature Update: Collaborators can now download translations

In the past, only admins would have the rights to download their translations from their projects. But
with our recent update, admins can also control whether their collaborators can have the permission to
download the translations as...

WRITTEN BY - AMANDA WONG

LEAVE A REPLY

Comment *

Name *

Email *

Website

Save my name, email, and website in this browser for the next time I comment.

Industry

Mobile Apps

Featured from mobile apps

App Store Optimization Tips for Localized iOS and Android Apps

Posted on December 28, 2022

Establish authority on the Google Play store with our Android app localization services

Get instant access to our robust app translation management system and 1000+ professional
localization experts. Localize your Android app to 70 countries to increase its global reach, user base,
and revenue opportunities. Sign Up...

Written by

Mandy Fong

Websites

Featured from Websites

Posted on February 24, 2023

Website Localization Services: Key Benefits for Businesses

What is website localization? The Internet has changed the way businesses operate. It erased
boundaries between countries and enabled enterprises to cater to the needs of people regardless of
where they are in the...

Written by

Mandy Fong

Games

Featured from Games

game localization mistakes

Posted on December 9, 2022

Localize your video games to a global audience with our video game translation service

OneSky provides instant access to 1,000+ professional translators, the localization management
platform, and on-device testing that will help you quickly translate your video game into any of your
target languages. No matter if your...

Written by

Mandy Fong
Country Reports

Featured from Country Reports

The Essential Guide to the Indonesia Mobile Game Market

Posted on December 15, 2021

The Essential Guide to the Indonesia Mobile Game Market

Find out why you should enter the Indonesia mobile game market, what the market looks like right now,
and tips to localize your game successfully.

Written by

Gracia Monica

Translation and Localization

Featured from Translation and Localization

Differences between Localization and Internationalization graphic

Posted on March 30, 2023

Internationalization and Localization: Choosing the Best Solution for Your Business

What is Internationalization? Internationalization can be compared to the wheels that make the concept
of globalization “move” along the road to expansion—keeping all services and products aligned with the
end goal of mass distribution...

Written by

Mandy Fong

Feature Updates

Featured from Feature Updates

Posted on November 13, 2017

OneSky’s Translation Management Platform now supports the iOS 11 App Store
Since iOS 11 was launched in September with a refreshed app store, we have been working hard to
make sure that the OneSky platform can support all the relevant changes. We are excited to...

Written by

Candy Li

Search for:

Search …

EXPLORE MORE

App Localization

Apple Localization

Case Studies

Developer News

Game Localization

Global Management

Localization 101

Localization Development

Product News

Uncategorized

Unicorns

Web Localization

Where to go

SOCIAL PROFILES

Twitter

Facebook

Linkedin

Feed
Mail

RESOURCES

Localization Resources

to get you started

MORE INSIGHTS

ABOUT

Careers

Customers

Pricing

SOLUTIONS

Our Translators

Our Platform

Why OneSky?

Integrations

For Mobile

For Games

FAQs

RESOURCES

Blog

How-To Guides

Localization Academy

Help Center

Localization Grader

API

FROM OUR BLOG

5 Key Questions To Prepare For Localization...

How We’re Preparing For GDPR...

2017 Localization Trends & Predictions For 20...

Read More

GET IN TOUCH

hello@oneskyapp.com

SUBSCRIBE TO OUR

LOCALIZATION NEWSLETTER

Enter your email