1/ Thoughts on $NFLX's domestic strategy (not the stock). They need to mix it up. The last ~10 years represented open-ended growth where 1 plan/1 price made sense. Now they should investigate 1) price discrimination 2) varied show release cadence 3) more platform plays.
9/ 2) Offer 3rd party content. Netflix has some great insight into shows/movies that people search for that aren’t on Netflix. Copy Amazon Prime Video And offer these shows to buy or subscribe to other services (like Prime).
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10/ a) It’s free money and Netflix has the biggest sub base. b) Netflix gets more data on what people watch. c) It keeps users on the App. I can keep ALL my content on there and not have to hop over to iTunes or Google Play or Amazon Prime Video.
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11/ 3) Innovate on Pricing plans. Maybe think about switching up price. Right now Netflix does have a few price tiers but I would argue it’s not enough (Basic – one device SD; Standard Plan 2 devices HD; Premium Plan 4 devices UHD).
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12/ I know there is a lot of password sharing, so maybe switch it up to a basic rate for the first individual in a group, say $10, then $3-4 for each additional person. I’m sure there is something more creative one could do here,
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13/ but the revenue equation for Netflix domestic is not exciting today if the growth in Q is small, and needs to be pulled along just by Price increases.
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14/ Other things I’ve seen kicked around are 1) offer a free plan with advertising and 2) live sports. I don’t think either make sense.
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I disagree with this one in app. It drives customers crazy when they have to buy shows on Apple and amazon. Bad user experience.
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What about searching for a show and not even having it be available? This might be a case where the rational (having the option to buy is def better than no option at all) is worse due to human psychology.
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