Netflix PPT - Digital

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Company Profile

Introduction to the Company


• Netflix is an American media-services provider and production
company.
• Headquartered in Los Galtos, California.
• Founded in 1997 by Reed Hastings and Marc Randolph in Scotts
Valley, California.
• Netflix is the original major streaming option for home television
audiences.
What Netflix Do?
• The company’s primary business is its subscription-based streaming
service.
• It offers online streaming of a library of films and television programs,
including those produced in-house.
• Netflix customers can stream an unlimited number of films,
documentaries and television programmes from a huge catalogue.
• The content are streamed over the internet, so customers do not
have to wait for DVDs or to be downloaded in full before watching.
• Also from 2011, they began commissioning and creating their own
“original programming”.
History
History
History
Core Products/Offerings
• The core product of Netflix is “Video on Demand” streaming service.
• It allows subscribers to stream TV series and films via Netflix website
on PCs or on Netflix software on variety of supported platforms,
including smartphones and tablets, digital media players, video game
consoles and smart TVs.
• Netflix launched player as the first device from Roku Inc. which is
primarily known for its streaming video players.
• In 2011, Netflix introduced a Netflix button for certain remote
controls, allowing users to instantly access Netflix on compatible
devices.
Core Products/Offerings
(Contd.)
• Netflix revealed a prototype of the device called “The Switch”, that
allows the user to turn of lights when connected to a smart home light
system.
• In 2016, Netflix created a new tool called “FAST” to determine the speed
of an internet connection.
• Netflix also has some subsidiaries like, Netflix Streaming Services, Inc. –
A subsidiary that license and streams all of Netflix's films and shows.
• Netflix Global, LLC – A Foreign Limited-Liability Company filed on August
3, 2016, that co-produces all foreign programming and films
• Netflix Studios – A film and television studio that co-produces any
original or foreign content
Brand Values
• Netflix’s core values comprise “judgment, communication, curiosity,
courage, passion, selflessness, innovation, inclusion, integrity, and impact.”
• These values are integral to the smooth running of Netflix’s operations as
they ensure all players remain focused on the major goals of the company.
• Netflix is critical in creating a working environment that not only leads to
the production of the most sought-after content but also one that has
attractive returns to the investors and the company.
• It stimulates this through values such as inclusivity, innovation, passion for
the content, curiosity to do take constructive risks, and informed judgment.
• It also considers communication and the nerve to do the impossible as
must-have skills for taking the company to the top.
News and Events
News
• Dec 2019 - Netflix joins hands with line friends to create original animated series.
• Dec 2019 - Revenge action film “Sweet Girl” adds cast.
• Dec 2019 - Netflix scripted thriller series “Clickbait" hooks its first cast members.
Events
• Dec 2019 - UBS Global TMT Conference.
• Oct 2019 - Netflix Third Quarter 2019 Earnings Interview
• Jun 2019 - Annual Meeting of Stockholders of Netflix, Inc.
• May 2019 - Personalization, Recommendation, and Search Workshop.
• Apr 2019 – Netflix partners with “Women's in Machine Learning”.
Where are they now?
• Netflix is the leader in consumer video streaming space.
• Netflix Ranked as No. 1 Fastest-Growing U.S. Brand in 2019.
• Brand value has been grown up by 105% in US.
• Netflix is currently the most popular subscription OTT service in the
U.S. with 158.8 million viewers this year and it's projected to grow to
177.5 million by 2023.
• It has the user churn rate of only 9% (lowest in the industry). 
• In USA, the user penetration rate is 64 %.
Market and Industry
Analysis
Market And Industry Analysis
• Netflix is a leading streaming video on demand (SVOD) company in
the world.
• Netflix is streaming in over 190 countries worldwide with 158 million
paid subscribers.
• Of these subscribers, 60.62 million are from the United States.
• As of third quarter of 2019, Netflix generated the total revenue of
over USD 5.2 Billion, when compared to USD 4 Billion in 2018.
• But it saw some decline in its DVD market section.
• In 2018, there were 2.73 million subscribers to Netflix DVD rentals in
US, a drop from 11.17 million in 2011.
Market And Industry Analysis
• The SVOD industry is growing year on year, and expected to grow at
approximately USD 82 Billion by 2023.
• Netflix is also expecting 17% compound annual growth rate (CAGR),
between 2017 and 2023.
• Netflix has wide variety of contents on its platform to entice the user.
• Netflix has the user churn rate of only 9%, lowest in the industry.
• It has also produced its own series, movies which has been very
popular.
• Popular among those are House of Cards, The Crown, Stranger Things.
Market And Industry Analysis
• The Netflix original content is accounted for 37% of Netflix stream in
October 2018.
• The internationalization strategy of the Netflix has also been
successful year on year.
• It has approximately 70 million user sin countries other than US.
• In USA, the user penetration rate is 64%, and internationally the user
penetration is in upward trend.
• Netflix, till now has performed well in shoring up the user number
and keep the cash flow constant.
Market And Industry Analysis
• Netflix spends a lot in($15 Billion in 2019) to get the licensed shows.
• But Netflix’s cashflow is in negative now because of the ballooning
content cost.
• Netflix has showed that it has the ability to change the industry and
become a leader in space.
• To achieve this, Netflix has been investing lot in the content on the
platform.
PESTEL Analysis of Netflix
Political
• In US markets, audiences shift away from traditional TV towards on-demand
streaming services like Netflix. However, with an increase in internet usage, US
telecom giants AT&T have gone to the Federal Communications Commission to
insist on stricter usage regulations. If passed through congress, internet prices
could rise which would threaten the business model of Netflix’s internet
streaming service (Romm, 2017).
• Controversial EU rulings will look to class streaming services like Netflix into the
same category as traditional television distributors. What this means is that
Netflix will have to abide under the rule that 30% of content on the platform
needs to be European. Furthermore, the company will be taxed the same 26%
levy as traditional media, forcing Netflix to potentially pass the costs onto
customers (Robinson and Murgia, 2017).
PESTEL Analysis of Netflix
Economic
• As of 2016, Netflix currently has over 100 million subscribers accessing their
service globally. One key factor is their competitive pricing against
traditional television services. In a current global recession where many
customers spending budgets are tight, services like Netflix are more
attractive than costly traditional media subscriptions (Bradshaw and Bond,
2017).
• A key issue that affects Netflix’s expansion is the issue of exchange rates.
The company aims its pricing around the US’s $10 fee, however, within
certain markets this can be as much as $19 due to exchange rates and VAT.
This moves Netflix into a luxury purchase for some customers and could
potentially affect attracting a whole ‘price-conscious’ segment (Pelts, 2016).
PESTEL Analysis of Netflix
Socio-Cultural
• In UK markets, younger viewers are watching a third less traditional television and
now turn to online streaming services for their entertainment (Bond, 2017).
• Social trends are showing that many customers are moving to watch video content
on their smartphones rather than traditional larger screens. In 2015 US viewers
watched 24 minutes on average on smartphones, in 2016 it grew to over 40
minutes. This trend shows a demand for content on the move to fit into customers
busy lives (Mintel, 2016).
• ‘Cord-Cutting’ in the US is the act of customers switching from traditional cable
media to online streaming services. In 2017, US Cable companies saw the steepest
loss with 2.4% on record switching. The trend of customers seeing the pricey cable
options as less appealing considering the variety of online viewing options
demonstrates the influence of services like Netflix (Bradshaw and Bond, 2017).
PESTEL Analysis of Netflix
Technological
• The 4K television market has seen a ten-year growth of 43% in the US, with the market
estimated to be worth $71.9 billion (digitaltveurope.net, 2017). To capitalize, Netflix
have put money into R&D to support 4K streaming efficiently (Mintel, 2016).
• The technological shift to 4K screen resolutions have created an issue for streaming
services. The amount of data required to stream is a huge strain on customers
broadband services. Within ‘Netflix Labs’, the company is aiming to create new patented
technology which will allow for better compression of their 4K signal. If created, this
innovation will give a huge competitive advantage to Netflix (Roettgers, 2017).
• Netflix’s R&D Labs have also developed new software codenamed “Hermes” which
automatically grades a translation of a Netflix show. This innovation will allow for faster
and higher quality translation efforts for Netflix to serve its programming to its 190
countries (Roettgers, 2017).
PESTEL Analysis of Netflix
Environmental
• For streaming services like Netflix, the access to data servers puts huge
pressure on the environment. In partnership with Greenpeace, tech
companies are beginning to look at solutions to lessen their carbon footprint.
At current usage rates, tech companies are being told by global governments
to pay part of an environmental bill worth upwards of $11 trillion by 2025
(Lewis, 2016).
• Netflix accounts for more than one-third of the internet traffic in North
America. With this, the company has been approached by numerous
campaign groups to push towards using renewable energy for its data centers.
Currently the company has been rated ‘D’ by an independent energy group
for their lack of commitment to offset its carbon footprint. (Darrow, 2017).
PESTEL Analysis of Netflix
Legal
• In 2016 Netflix suffered a costly PR misstep over a consumer lawsuit. At the start of
the year the company announced it would be raising subscription prices, however it
was not clear over how current users would be affected. As a result, Netflix was
issued a class-action lawsuit from customers who were angry, furthermore the
company received widespread media criticism for their confusing customer contracts
(Spangler, 2016).
• Also in 2016, to meet growing demands from televisions and film studios over
copyright access to content. Netflix introduced blocking workarounds for users who
access content from other countries. Many users accessed other Netflix countries via
technological workarounds. However, for Netflix to meet copyright law standards with
content providers, the company had to put blockers in place. As a result, this will
affect a small segment of users and its demand for the product due to the limited
access some Netflix countries have (Greenberg, 2016).
SWOT Analysis of Netflix
Strengths
• Exponential Growth – In the past ten years, Netflix has become an influential
brand for online streaming content not only in the US but across the world.
• Global Customer Base – Netflix is serving over 190 countries across the world,
having a global customer base. There are over 137 million subscribers of
Netflix, and it gives the company a strong bargaining power with the studios for
securing exclusive content.
• Originality – Another one of its strength is that Netflix has been producing
original content over the years with the highest quality. Some of its original
shows like Stranger things, Narcos, Mindhunter, and Orange is the new black
became so popular that its subscriber count kept increasing over the quarters
SWOT Analysis of Netflix
Strengths
• Adaptability – Netflix adapted to various technologies instantly by
providing streaming on all internet-connected devices like personal
computers, iPads, mobile devices, and televisions. Due to this, their
business grew immensely over the years.
• Competitive Pricing – The pricing strategy of Netflix has given it leverage
over its competitors. The plans that Netflix has designed are affordable and
offer great value. Subscribers can watch unlimited movies, either on DVD
or streaming for an affordable price of $8.99 a month. It is less expensive
than cable movies or going to the cinema and also offers a wider selection.
For a higher price, subscribers can even get premium plans.
SWOT Analysis of Netflix
Weaknesses
• Growing Operational Costs – The original content produced by Netflix
gives it a competitive advantage, but the cost of supporting this content
keeps growing. The projected spending (June 2018) on original
programming by the Economist for this year was 12-13 billion USD. The
amount has exceeded from the last year’s spending.
• Limited Copyrights – Netflix does not own most of its original
programming, and this affects the company negatively. The rights taken
from other studios expire after few years, and that content starts
appearing on other sites.
SWOT Analysis of Netflix
Weaknesses
• Increasing Debt – Netflix is serving its diversified content in many countries
around the world which requires huge amounts of money. Netflix keeps adding to
its long-term debt to fund new content, and as of September 30, 2018, it
reported $ 34 billion in long-term debt. The increase in debt every year is the sign
of a significant weakness.
• Lack of Green Energy – Netflix has still not utilized renewable energy and hasn’t
created a business model to promote environmental sustainability. Contrary to
this, tech companies like Amazon, Google, Apple, and Facebook have already
started using renewable energy to help sustain the environment. The four tech
giants have committed to using 100% renewable energy for their businesses. The
lack of green energy utilization has a negative impact on the brand image of
Netflix.
SWOT Analysis of Netflix
Opportunities
• Expand Customer Base – With such a huge current subscriber base, Netflix
can tap into many other countries and expand its services and subscribers.
They can start to target the countries where it is currently not available.
Recently, Netflix expanded its operations and added a few more countries
on its operation list. However, it is still unavailable in China, Crimea, North
Korea, and Syria.
• Refresh Content library – It can expand its content licensing by increasing
the contracts with various movie distributors. Additionally, Netflix should
refresh its content library as it is now producing its original content.
SWOT Analysis of Netflix
Opportunities
• Alliances – It can also partner up with various telecom providers and offer
bundle packages in different countries. Alliances and partnerships can
prove to be beneficial for Netflix. In the past, Netflix partnered with
Channel 4. It can form more solid partnerships with local broadcasters.
• Niche Marketing – Producing region-specific content in their local
languages is also another big opportunity for Netflix. Niche marketing has
been proven beneficial for Netflix. For example, it started an original TV
series ‘Sacred Games’ in India, and Spanish series (La casa de paper
(Money Heist), which are massive hits.
SWOT Analysis of Netflix
Threats
• Competitive Pressure – Netflix is not the only one which provides digital
streaming around the world. Its competitor base keeps increasing every year.
HBO, Amazon, Hulu, AT&T, and YouTube are competing continuously with
Netflix by giving repeated access to new and original content to its subscribers.
• Government Regulations – Strict governmental rules and regulations regarding
service providers like Netflix in many countries can be a big threat for them. For
example, Netflix expansion to China will be unlikely because of its restriction on
foreign content.
• Piracy – Digital piracy is still at its peak as thousands of people around the
world find ways of downloading media content because of high monthly costs
which they cannot afford. It is another big threat that Netflix faces.
Geographic Profile
Geographic Profile
• Netflix members with a streaming only plan can watch TV shows and movies
instantly in over 190 countries.

Figure: Geographical presence of Netflix worldwide in 2019 (Source: Netflix.com)

• Netflix is not yet available in China, though the company continues to explore
options for providing the service.
• It also is not available in Crimea, North Korea, or Syria due to U.S.
government restrictions on American companies.
Geographic Profile
• In 2019, Netflix reported that it has over 158 million paid subscribers
worldwide.

Figure: Number of paid Netflix subscribers worldwide (Source: Statista.com)

• North America is the company's biggest market with 67.1 million


subscribers, followed by Europe, the Middle East, and Africa with over
47 million.
Geographic Profile
• The content that is available to stream may vary by location, and will
change from time to time.
• Netflix also has significant user penetration in several countries.
• USA is in the top with the user penetration of 64.5%, followed by
Norway(62.4%) and Canada(56.3%).
• 23 languages are currently supported by Netflix.
Social Media Accounts
• Social media has fueled the popularity of the online streaming
company. 
• Currently Netflix have 75 social media profiles (Unmetric.com, 2019).

Figure: Total social media accounts of Netflix (Source: Unmetric.com)

• The brand has an active presence on social channels like Facebook,


Twitter, Pinterest, YouTube, and Instagram.
Audience Profile
Target Market
• The target market for Netflix includes males and females between the
ages of 17-60 and households with income levels of USD 30,000 and
up (Wessel, 2019).
• Netflix also appeals to different racial/ethnic groups with an
assortment of foreign and international films (Wessel, 2019).
• In terms of psychographics, Netflix targets 3 basic groups: people who
are too busy to go out and shop for movies, people who are frequent
renters and movie buffs, and people who want to get the most value
for their money (Wessel, 2019).
Target Market
• According to Chicago market research firm (Lab 42), 84% use Netflix,
46% use Amazon Prime, and 28% use Hulu (Ewing, 2019).
• 30% of Netflix subscribers are between the ages of 18-24, 31.13% are
25-34, 17.23% are 35-44, 10.79% are 45-54 and 10.81% are 55+
(Simmilarweb.com).
• The majority are single (58%) and 78% live in urban or suburban areas
(Ewing, 2019).
• Most streamers (65%) stream on their smartphone, with most 66%)
owning Android phones (Ewing, 2019).
Target Market
Heavy versus medium and light users
• 59% stream a few times a week (heavy users), 21% stream a few
times a month (medium users), while 9% stream a few times a year
(light users). The rest do not stream at all. 
• Based on this data, we will categorize heavy users as those who
binge-watch and stream a few times a week.
Men v/s women
• 54% of its current viewers are Female, while 46% are Male
(Similarweb.com,2019).
• Women are more likely to binge-watch on a weekly basis than men.
(Remington, 2018)
Target Market
Younger v/s older users
• 26% of young viewers ages 18-29 binge-watch shows every day, while
34% binge-watch several times a week. Compared to 11% and 27% of
ages 45-54 respectively. 
• Young viewers, 18-29, are more likely to stay up all night to binge-
watch a show, and even cancel social plans for this same reason.
• These young viewers are less loyal to Live-TV than older viewers
(Sabin, 2018).
User Personas
User Personas
User Personas
User Personas
Review of Online
Presence
Review of Online Presence
• The birth of Netflix in 1997 may not have caused much of an
entertainment impact at that time, but fast forward 20 years, it has
created some impact in the SVOD market.
• Netflix has changed the way we watch movies and TV shows and
created some big impact along the way.
• The success of Netflix has attracted many investors in spite of some
tough competition from its rivals.
• Despite this, Netflix has managed to come out of this as a dominant
force, helped, in part, by it’s excellent social media presence.
Review of Online Presence
• From posting updates on upcoming movies and shows to engage it’s
subscribers and followers with witty comebacks, it has managed very
well in managing it’s social media presence as it does with its
streaming content.
• This section will provide the complete report of the Netflix’s social
media presence with respect to it’s competitors.
• This will also provide the insight of social media strategy that is used
by Netflix, in order to maintain it’s brand and market.
Overview of it’s Website and
Functionality
• Netflix officially launched the new UI design for its streaming website
in 2015, which had new layouts that made the browsing experience
more enjoyable to it’s users.
• Netflix got rid of it’s most disliked carousel browsing, dropping the
slow-moving side scrolling in favor for a click-based browsing system
that speeds up the experience and makes it less frustrating to explore.
• Instead watching titles crawl on by, clicking the arrow will refresh the
entire row.
Overview of it’s Website and
Functionality
• With the old design, clicking on a Netflix title caused the episode to
immediately start loading while it displayed some summary
information.
• And, if you wanted to explore the title further or select a specific
episode you needed to hover your mouse over the title without
clicking — which was usually hit or miss.
• With the new design, clicking on a title won't immediately cause your
movie or TV show to start playing — instead you'll be given the option
to read about the show.
Overview of it’s Website and
Functionality
• If you click the arrow, the title will now expand to let you explore
other episodes in the series, read a plot overview, check out related
titles, and view information on the cast.

Figure: Netflix new website UI


Website Performance
• Netflix.com website has been ranked 19th in the traffic rank of sites
when compared worldwide, in USA, it is ranked 17th.
• Total number of visits for this visits worldwide between Sep 2019 –
Nov 2019 is 6.164 Billion.
• Average monthly visitors to this website is around 2.054 Billion.
• Monthly unique visitors to this website is 191.6 Million.
• Average visit duration of a user is around 10 minute 33 seconds.
• Bounce rate of the website is 41%.
Website Performance
• USA is been the top country sending high traffic to the website,
followed by Brazil, United Kingdom, Canada and France respectively.
• Distribution of the search traffic of the website is 99.94% and 0.06%
for Organic and Paid respectively.
• Around 89.15% of incoming traffic is coming to the website through
direct marketing channel, with 7.59% from Organic search and 2.26%
from Social marketing channels.
• Social traffic to the Netflix website has been generated quite
enormously, with 70.44% coming from YouTube, followed by 17.74%
and 3.28% from WhatsApp.
Mobile Application
• Netflix also have a dedicated mobile application, where users can
watch the whole thing anywhere.
• This lets the users to watch their favorite TV shows or movies on a
smartphone or tablet.
• Android, Apple and Windows mobile users all can access the mobile
app.
• There is no extra charge for this mobile app, as long as you already
subscribed to Netflix.
Mobile Application
• Netflix also have a dedicated mobile application, where users can
watch the whole thing anywhere.
• This lets the users to watch their favorite TV shows or movies on a
smartphone or tablet.
• Android, Apple and Windows mobile users all can access the mobile
app.
• There is no extra charge for this mobile app, as long as you already
subscribed to Netflix.
Mobile Application Performance
• Netflix mobile application gas also done really good job in the market
on attracting it’s users.
• It has average monthly downloads of 6.2M and 320.9K respectively in
Google Play Store and in Apple App Store.
• The all time rating for this app is 4.5 in Google Play Store and 3.5 in
Apple App Store.
• The Last version of the app is available from Dec 8, 2019 in Play Store
and Dec 15, 2019 in App Store.
• The Overall ranking of mobile app in US market is #21 and #22
respectively for Play store and App store.
Mobile Application Performance
• Total number of downloads of the Netflix mobile app in US on
November 2019 is around 5.9M and 295.8K respectively for Play Store
and App Store.
• Daily active users of Netflix mobile app in US is around 4.27M.
• Average daily time spent by the user in US is around 1 hour 47
minutes.
• Daily number of sessions of active user in US is 2.87.
Search Trend
• As per Google Trends, in US for past 12 months the interest over time
of Netflix has been decreased gradually, but it is way over than it’s
competitors, Amazon Prime and Hulu.
• In worldwide market, there is a same search trend as it was in US, it
has been declined from past 12 months, but it is way over then its
competitors.
• But after Dec 15, 2019, there is a slight increase in the search trend of
Netflix in both US region and worldwide.
Search Trend
• Yonkers, San Jose and Los Angeles are the top 3 cities in the US,
whose people have shown search interest on Netflix than its
competitors, Amazon Prime and Hulu (Google trends, 2019).
• Yonkers has the search trend of 75% for Netflix, 16% for Hulu and 9%
for Amazon Prime.
• In worldwide market, Poland has the highest search trend for Netflix
with 98% followed by 2% for Amazon Prime.
• Philippines, Brazil, Australia and France are the other countries in the
top 5 who showed the higher search trend for Netflix.
Netflix on YouTube
• Netflix has a total of 12M subscribers in YouTube (Updated 20 Dec
2019).
• While it’s competitors, Amazon Prime has 466K subscribers and Hulu
has 1.69M subscribers (Updated 20 Dec 2019).
• Netflix has a total of 3480 videos on YouTube, while Amazon Prime
has around 370 videos and Hulu has 1088 videos (Updated 20 Dec
2019).
• Regarding content update, Netflix has been regularly updating it’s
users by adding the trailers of the upcoming shows or movies.
• Amazon Prime and Hulu are also not behind in regularly updating
their contents on YouTube.
Netflix on YouTube
• Netflix use to priories it’s top streaming TV show or the movie upfront
in it’s homepage.
• Followed by the new TV shows or the movies that are available from
the current month.
• At last, they has separate slot for Netflix Original Series, where they
post all their Original Series.
• Same goes with Amazon Prime and Hulu as well, where they post
their latest videos on the top followed by the most streamed TV
shows or movies and upcoming shows and movies at last.
Netflix on Facebook
• Netflix has a total fan following of 62 Million on Facebook (Updated
20 Dec 2019).
• This is 5 times more than it’s closest competitor, Amazon Prime,
which has 12 Million fan following on Facebook.
• The brand added 11 million followers to it’s account last year, a
growth of 25.9% in fans (Ramakrishnan 2019).
• Netflix posted a total of 1,022 times, of which 90% of posts account
for videos and 6% for images (Ramakrishnan 2019).
Netflix on Facebook
• Interestingly, plain text posts engaged better while those with videos
were posted frequently (Ramakrishnan, 2019).
• Posts with plain text centered around questions from movies and TV
shows resulting in the spike in engagement (Ramakrishnan, 2019).
• Netflix’s fan growth is 10X more than Amazon Prime Video and 19X
more than Hulu (Ramakrishnan, 2019).
• Netflix has the highest number of brand posts (1,000), but is closely
followed by Hulu and Amazon (Ramakrishnan, 2019).
Netflix on Facebook
Content Strategy
• Netflix’s approach to social media is centered around authenticity and
interactions with people – with everything sprinkled with a dash of
humor and wit (Ramakrishnan, 2019).
• Netflix produces more videos than any other content type on social.
These videos usually center around upcoming movies and TV shows,
giving their audience a sneak peek of what’s in store for them
(Ramakrishnan, 2019).
• Apart from videos, the brand publishes images, gifs, and plain text
posts in the form of questions based on the current movies and TV
shows streaming online (Ramakrishnan, 2019).
Netflix on Facebook
Campaign
• Netflix ran a number of social media campaigns in the last year that
captured their audience’s attention (Ramakrishnan, 2019).
• One such campaign, launched during the premiere of the second
season of 13 Reasons Why, was particularly well received by fans
(Ramakrishnan, 2019).
• Netflix Original addresses sensitive topics like suicide, rape, and
bullying faced by teenagers (Ramakrishnan, 2019).
Netflix on Instagram
• Netflix has a fan following of 19.4 Million on Instagram (Google).
• The brand gained almost 7 million followers last year, accounting for
a 92% growth rate (Google).
• Since Instagram is all about the visual appeal and aesthetics, Netflix
predominantly posted images over videos (Ramakrishnan, 2019).
• Of all their posts, 78% were images and 22% were videos
(Ramakrishnan, 2019).
• Netflix’s hashtag game on Instagram is pretty simple yet their posts
garner a lot of engagement and interactions (Ramakrishnan, 2019).
Netflix on Instagram
• Just like on Facebook, most of their hashtags center around their
upcoming movie and TV show releases and contests (Ramakrishnan,
2019).
• The brand’s #10daymoviechallenge received a lot of engagement as
fans were asked to identify the movie or quote from their clues in the
comments (Ramakrishnan, 2019).
Netflix on Twitter
• Netflix brand shines in Twitter more than in any other social media
platforms.
• Netflix saw a 20.5% fan growth in the analyzed time period with a
total following of 6 million (Ramakrishnan, 2019).
• A grand total of 5,227 tweets went out from the brand’s handle, of
which 52% were replies (Ramakrishnan, 2019).
• The brand tweets out an average of 14 times a day. While tweets with
plain text perform better, those with links are the most frequent
(Ramakrishnan, 2019).
Netflix on Twitter
• Netflix is famous for its replies on Twitter. The brand uses its handle to
not just address queries but also engage in conversations with fans
talking about trending movies and TV shows (Ramakrishnan, 2019).
• Netflix also doesn’t fall short when it comes to influencers on Twitter
helping to amplify its reach and presence (Ramakrishnan, 2019).
• Celebrities and TV networks join the bandwagon of people engaging
with the brand on social (Ramakrishnan, 2019).
Netflix on Social Media
Takeaway Points
1. Give customers what they want
• Netflix simply gives customers what they want. Whether it is a movie
suggestion for dinner or shows to binge watch during a holiday,
Netflix has got you covered.
• The brand runs interesting polls on social to get a sense of the kind of
content that resonates with its audience (Ramakrishnan, 2019).
Netflix on Social Media
Takeaway Points
2. Posting consistency
• Posting consistency is vital to remain active on social media. Netflix
manages to stay consistent on social by posting almost every day
(Ramakrishnan, 2019).
3. Customer relationship
• Social media plays an indispensable role in building relationships with
clients. Netflix’s witty replies to consumer queries and engaging in
conversations with them has helped them build both a compelling
social presence and a loyal fanbase (Ramakrishnan, 2019).
10 People Made Famous By Netflix
1. Mike Colter – Luke Cage
2. The Kids from Stranger Things
3. Jon Bernthal – The Punisher
4. Steven Avery – Making a Murderer
5. Krysten Ritter – Jessica Jones
6. Taylor Schilling – Orange Is the New Black
7. Ben Mendelsohn – Bloodline
8. Jim Jefferies – Stand-Up Comedian
9. Ellie Kemper – Unbreakable Kimmy Schmidt
10. Claire Foy – The Crown (Source: Goliath.com)
Popular Hashtags for Netflix on Twitter and Instagram

Hashtags Unique tweets per Retweets per hour Hashtag exposure


hour per hour

#netflix 196 125 156,517


#movies 154 25 1,159,650
#house 100 38 480,571
#drama 54 46 406,012
#documentary 25 13 27,825
#chill 46 8 16,708
#time 29 13 75,038

(Source: rietag.com)
Summary
• Netflix has a clear-cut idea of what they are updating in it’s social
media platforms.
• Their main strategy is to provide entertainment to their users not only
through their TV shows and movies which they stream, but also with
their social media content.
• Netflix listens to their users and curates content that best resonates
with them.
• With this strategy, there is no other brands stopping Netflix from
losing it’s cool on social media
Competitor Analysis
Competitor Analysis
• On-demand streaming media equals convenience and affordable
entertainment. Choosing which to subscribe to, however, is not
always clear-cut.
• The best service for you is the one that fits best with your lifestyle and
your devices, as well as your budget.
• Netflix and it’s top two competitors, Amazon Prime Video and Hulu
share many common benefits and characteristics.
• Still there are some difference between them in the categories like
Price, Plans, Features, Compatible devices and Selection.
Competitor Analysis
Price
• Netflix costs approximately $8 monthly for a streaming membership,
but you must pay an additional $8 per month to access the full digital
library, as well as to have DVDs delivered to your door.
• Hulu Plus also costs about $8 per month; however, Hulu offers a free
version with a limited selection and fewer episodes of shows.
• Amazon Prime charges $99 per year for a membership (which equals
$8.25 per month), making it very similar to the above options in terms
of price. You also get additional benefits including free two-day
shipping for purchases made on Amazon.com.
Competitor Analysis
Price
• Netflix costs approximately $8 monthly for a streaming membership,
but you must pay an additional $8 per month to access the full digital
library, as well as to have DVDs delivered to your door
(Moneycrashers.com, 2019).
• Hulu Plus also costs about $8 per month, however, Hulu offers a free
version with a limited selection and fewer episodes of shows
(Moneycrashers.com, 2019).
• Amazon Prime charges $99 per year for a membership (which equals
$8.25 per month), making it very similar to the above options in terms
of price. You also get additional benefits including free two-day
shipping for purchases made on Amazon.com (Moneycrashers.com,
2019).
Competitor Analysis
Plans and Trials
Netflix
• Netflix offers a 30-day free trial membership. However, you still need
to provide a credit card number, and if you decide you do not like the
service, you must cancel your account either by phone or online –
otherwise you will incur charges (Moneycrashers.com, 2019).
• Netflix offers three types of plans. The most basic plan offers
unlimited streaming for $7.99 per month. You can also add DVD
delivery – one disc at a time – for an additional $7.99 per month; if
you want to check out two DVDs at a time, it costs $11.99 per month
(Moneycrashers.com, 2019).
Competitor Analysis
Plans and Trials
Amazon Prime Video
• Amazon Prime offers a 30-day trial period. While you need to provide
a credit card number to start the trial, you can automatically select
“do not upgrade” from your Amazon Prime account
(Moneycrashers.com, 2019).
• Your trial will end after the 30-day period, and you will not be charged
for a membership. Amazon Prime only offers one tier of pricing and
service (Moneycrashers.com, 2019).
Competitor Analysis
Plans and Trials
Hulu Plus
• Hulu Plus only offers a one-week trial period, and if you dislike the
service, you must cancel before the week is up – otherwise you’ll
automatically be charged for a full month of service
(Moneycrashers.com, 2019).
• But Hulu Plus offers some promotional offers, in the past it has
offered 3 months free with a coupon code (Moneycrashers.com,
2019).
Competitor Analysis
Selection
• Netflix has the most extensive selection, with literally thousands of
titles to choose from. Netflix has licensing deals with CBS, ABC, Fox,
NBC, Starz, BBC, Sony, and DreamWorks, all of which contribute titles to
the library (Moneycrashers.com, 2019).
• Hulu Plus has its own licensing deals to provide content from Fox, NBC,
Disney, MTV, and a bevy of cable channels (Moneycrashers.com, 2019).
• Amazon Prime has plenty of the same titles as Netflix and Hulu Plus,
but since it’s still pretty new, the library isn’t yet as extensive. Still, it
shows many movies released within the past year, similar to Netflix
(Moneycrashers.com, 2019).
Competitor Analysis
Extra Features
• Netflix offers a commercial-free platform, with the ability to rate
certain titles and receive personalized recommendations for films and
shows based on your past ratings (Moneycrashers.com, 2019).
• Hulu Plus plays limited commercials during the shows and movies,
and features a newer selection of movies and TV show episodes than
its competitors (Moneycrashers.com, 2019).
• Amazon Prime provides commercial-free TV and movies.
Furthermore, free shipping and exclusive discounts and sales at
Amazon.com are included with the membership (Moneycrashers.com,
2019).
Competitor Analysis
Compatible Devices
• Netflix has the most compatibility: You can watch via your PC, Xbox
360, PS3, Nintendo Wii, Internet-ready TV, Roku, Android, Blu-ray
player, Nook or other e-reader tablet, and iOS devices
(Moneycrashers.com, 2019).
• Hulu Plus lacks compatibility for many Internet-ready TVs and Blu-ray
players. Still, it can show movies through gaming devices, Android, iOS
devices, Roku and tablets (Moneycrashers.com, 2019).
• Amazon Prime show movies via your Internet-ready TV, Blu-ray
player, Roku, Kindle and iOS or Android phone (Moneycrashers.com,
2019).

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