With the emerging technology of the Internet in today’s world, users have increasingly got adapted to it and are always looking forward to having quality time within a reasonable budget. Among the various platforms, Netflix is the only one that has proved to be an exception. With 2020 being the most difficult year where people were forced to remain indoors, some entertainment and joy were a must! In these challenging times, Netflix provided its subscribers with a source of escape from all the depression as it continued to provide debuted series.
In no time it gained immense popularity that ended 2020 with 204 million subscribers worldwide and currently has a market value of USD 243 billion. With other streaming services effortlessly making their way to entertain the public, Netflix remains the most competing platform in most of the regions.
REASONS FOR NETFLIX’S SUCCESS
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VAST NETWORK
Netflix started its services back in 1997 providing DVD-by-mail service. They approached various media houses with a desire to buy licenses for older TV shows and movies. This resulted in many of the people ordering some of the titles from Netflix which were not available in their local DVD stores. This way when Netflix started streaming their content, they had already formed a vast network giving them publishing rights to a large number of shows and movies.
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LOW PRICES, HIGH REVENUES
Netflix had its financial policy where its managers were buying back catalogs at a fraction of cost. Not only this, but they also had a flexible return policy by allowing people to return a DVD within 3 days. With the beginning of online streaming service by 2007, people were able to stream media content directly through Netflix on their TV screens. It was also during this time that the public experienced recession and wanted to opt for an affordable yet complete package. Through Netflix’s policy of low price, high revenue, it proved to be a complete source of entertainment ensuring its reliability and accessibility to a large number of people. The competitive advantage gained through this strategy was to keep the price of the package low and the resulting high revenues due to an increase in the number of subscribers.
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INNOVATION
Netflix paved its way in the market through its continuous innovative approach to satisfying its customers. After receiving such an overwhelming response, Netflix’s crew decided to stream the entire season at once making all the episodes available at the same time. This way they enabled their audience to binge-watch the entire play. Moreover, Netflix invested in smart software. This software tracked the subscriber’s watching habits and provided them with recommendations that are in line with their favorite genre. This AI-tailored strategy enabled the Netflix managers to track the most-watched series and then work on producing some new seasons of the old series. People of all age groups can also play games on it according to their interests. It offers multiple varieties of interesting games that everyone enjoys.
- GLOBAL RECOGNITION
Netflix has now become a globally recognized brand. It is important to know that not all shows are available in all regions. Since Netflix has to pay licenses for every bit of content it is streaming, it has a small library in regions where there are streaming limitations. For instance, in Australia people are just limited to the content that is adapted to their region. Netflix also makes TV shows in Spanish, German, and other languages which enables people from numerous regions to gain access and enjoy the streaming.
2. ORIGINAL CONTENT
Netflix uses the differentiation strategy in all its operations which enables it to gain a competitive advantage. This strategy is visibly seen where the company produces its content rather than streaming content from any of the third parties.
GROWTH STRATEGIES
- Market Penetration
- Market Development
- Product Development
- Diversification
The strategies taken by Netflix have enabled the company to be widely known. However, the factor which makes streaming successful is a good internet connection.
HUGHESNET INTERNET FOR NETFLIX FAST STREAMING
Whether you are a single user with basic digital needs, a small family, or a large household where multiple devices are connected at once, Hughesnet Internet can cover your needs with generosity and ensures reliability in all its services. The wireless device provides the users secure Wi-Fi on which they watch their favorite show interruption less without any delays and pauses. By ensuring high-speed internet with a fast and stable connection, you can enjoy your favorite series on Netflix.
In a Nut Shell,
Netflix is streaming its films and television shows since 1997. Now, in 2022 it has become an integral part of every home where people of all age groups love watching programs, web series, films, dramas, and playing games. The quality of its service made a strong mark over the year and it is getting more popular with every passing day.
