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The success story of Netflix
Transcript of The success story of Netflix
Monthly flat-fee service for the rental of DVD and Blu-ray Discs
What is Netflix?
Founded in 1997
Provide online on-demand streaming media and offer flat rate DVD-by-mail
US$ 4.37 billion (2013) revenue
The successful story of Netflix
Weaknesses of Blockbuster
First mover advantage
from most devices
Other market fields
No due dates, late fees or shipping and handling fees
Sold used movies (discontinued at the end of November 2008)
Big sized library
US rental movies market
Low fixed price
with an Internet connection
Make use of Internet as a free promotion campaign
Print media marketing (place an advertisement in People Magazine)
visit college campuses
to sell personally
affiliate itself with
a cell phone company (or multiple)
Eg: releasing short series of fresh and comedic YouTube videos
- Successful in turning others’ weaknesses into its strength
- Fully make use of that first mover advantage
- Dominant in the video streaming space by expanding oversea
Thank you for watching!
By Nguyen Huong Quynh Anh
Nguyen Hoang Hai
$5 billion in sales in 5 years