Netflix: How it Changed The Way We Spend Our Free Time
‘‘Netflix is an inspirational example of a company that successfully shifted their business model multiple times and grew exponentially because of that. They started with renting boxed products through a mail service nationally (in the US) and shifted to delivering on-demand entertainment catering to diverse needs globally. The ‘all you can eat subscription’ that Netflix offers, lets you watch your favorite shows anywhere and at any time you want,’’ according to BusinessModels Inc.
Netflix is making a lot of money! Although prices have increased all over the world, Netflix has had 37 million people subscribing last year adding to the already 200 million paid members. As Position Mobile has learned from Spigot Inc., they have grown 30% from 2019! Once they raised their prices, Netflix hit $25 billion in revenue and $2.8 billion in profit for the year.
The BBC reported that some of their success is coming from “non-Anglophone” shows. Over 80% of Netflix’s new users have come from outside the US and Canada with Europe being the leading country. The French- language show Lupin skyrocketed to the number one spot in Brazil, Argentina, Germany, Italy, and Spain all while ranking second in the United States. Netflix estimates that 70 million households will watch the show in its first 28 days of being out!
The major reason Netflix continues to succeed is their constant winning battle with the competition. Disney, Viacom, HBO, Hulu and so many more are pushing their efforts into streaming, but they are new to the game. Netflix has been around since 1997 allowing people to buy and rent DVDs and later came out in 2007 with their streaming service. Netflix was ready for the competitors and will continue to strive to be the number one streaming service worldwide.