Netflix’s Business Development Strategies That Made it a Global Entertainment Giant
From an online DVD rental business to a global entertainment giant, Netflix has come a long way. It revolutionized the entertainment industry through its business development strategies, which not only enabled its success but also inspired other players in the industry. In this article, we breakdown these strategies, explore how they contributed to Netflix’s growth, and what businesses can learn from them.
Introduction – The Netflix Story
Netflix was founded in 1997 as an online DVD rental service by Marc Randolph and Reed Hastings. The company provided an innovative solution to avoid the inconvenience of going to a video store and the hassle of late fees. However, the company’s path changed in the early 2000s when it adapted to the changing digital landscape and began streaming content. Since then, Netflix has not only become a global entertainment giant but also has become one of the most successful companies in the world. So, what are the business development strategies that helped Netflix achieve this feat?
Focus on Customer Experience
One of the unique factors that set Netflix apart from its competitors is its attention to customer experience. Netflix accurately gauges user preferences and the user experience to ensure an enjoyable streaming experience. Netflix’s customer-centric priority is reflected through its algorithms that provide recommendations based on previous watched content, and making its app´s UI as user-friendly as possible.
This has influenced other players in the Entertainment industry, who are also investing to replicate innovative ways to improve user experience based on individual consumers’ preferences.
Original Content Production
Netflix’s innovative content production strategies have significantly fueled the company’s success in recent years. By producing award-winning original content such as “Stranger Things,” “House of Cards,” and “The Crown,” Netflix has become a household name. Interestingly, Netflix no longer relies solely on other studios’ content. It has created its universe that can offer streaming content to cater to virtually every viewer’s preference. Netflix has found that producing original content is not only cost-effective but also a great way to create brand loyalty.
Netflix´s original content’s success continues to inspire other content providers to produce their original content for their streaming platforms, leaving audiences to choose between different appealing originals.
Dynamic Marketing Strategies
Netflix has implemented dynamic marketing strategies to build a massive subscriber base, such as content marketing, social media advertising, and influencer marketing. Instead, Netflix’s campaigns focus on promoting the company’s character as the best friend of its target audience in the marketing spheres.
By building its brand image through a likeable friendliness, it has built brand loyalty and strong subscription options that significantly benefit the company.
Conclusion
Netflix’s business strategies adopted over the years have contributed to its success in becoming a global entertainment giant. The company’s focus on customer experience, original content production, and dynamic marketing strategies continue to influence the industry’s direction. By providing users with what they want, Netflix has maintained a huge subscriber base and remains one of the most successful entertainment companies globally.
As evident from Netflix’s case, businesses in the entertainment industry can achieve success by putting their customers first, aligning their products with user content preferences, producing original and award-winning content, and implementing dynamic marketing strategies to stand out from the competition.
