Marketing Mix of Netflix
British Academy of Digital Marketing
7 P's Marketing Mix of Netflix
Fig 1. Netflix is an online streaming platform. (Lokshyn, D. 2019) |
Fig 2. Users are given 3 plans to choose from. This is the price strategy of Netflix (Larsen, R. 2021) |
Fig 3. Netflix streaming service is available on several devices with an Internet connection, including smart TVs, Smartphones, tablets, and laptops (Hawthorne, M. 2020) |
Product in the marketing mix is the service or product that
an organisation provides to its customers. It needs to be valuable to the
customer by meeting a need, want or demand they have. We can also consider the
product to be the “face” of the brand or organisation, as this is most of the
times exposed to all the public.
The marketing mix of a firm in large part is the product
of the evolution that comes from day-today marketing (Borden, n.d.).
Netflix, or Netflix, Inc. is a streaming platform and DVD rental
company founded in 1997 by Reed Hastings and Marc Randolph. Netflix is also
involved in the creation of original programming. (Hosch, W. 2021).
In 1999, Netflix started to offer an online subscription
service via online. Subscribers could choose a movie or TV show from Netflix’s
website, and these were then mailed to the customer in the form of DVDs along
with a prepaid return envelope. Although customers typically rented for a flat
monthly fee as many movies per month as they wished, the number of DVDs in
their possession at any one time was limited according to their subscription
plans. Netflix had tens of thousands of movie titles in its catalog. (Hosch, W.
2021).
In 2007 Netflix began to offer subscribers the option to
stream some of its movies and TV shows unlimited directly to their homes via
Internet streaming. In 2010, Netflix introduced a streaming-only plan that
offered unlimited streaming service, but no DVDs rental. In 2012, Netflix
streaming-only plan was already available in the United States, Canada, Latin
America, Caribbean, United Kingdom, Ireland and Scandinavia. (Hosch, W. 2021).
It wasn’t until 2016 that Netflix streaming service was available in more than
190 countries. While the streaming service is the biggest revenue for Netflix,
the DVD rental by mail remains profitable. (Hosch, W. 2021).
Netflix is one of the leading streaming platforms in the
world, which started as a DVD rental business. Netflix is now a website that
you register and pay to watch TV shows, movies, documentaries, etc. The best
part of Netflix is you don’t have to see any commercial while you are enjoying
the content. It is updated regularly so to it does not get out of date. To use
its services, you can first try it for a period of one month and after that you
have to, only if you like it or wish to continue, take monthly subscription and
the good thing is you don’t have any contract with them, no cancellation fees,
no commitment. You can cancel online subscription anytime (MBA Skool Team,
2021).
It has three major categories of contents i.e., licensed
non-first-window content, licensed original first-window content, and owned
original first-window content (Netflix, 2021). There are three plans available
for anyone wishing to take Netflix membership i.e., basic plan, standard plan,
and premium plan. Netflix adds new TV programmes and movies every week to meet
the growing demands of the subscribers (David, J. 2021)
We can conclude that Netflix has innovated its services over
the years, starting from a DVD rental service business to become a leading
business in the entertainment streaming service. Netflix is not only a
streaming platform, but nowadays, it is still a DVD rental mail service in the
US and produces its own entertainment content (Netflix Originals).
Reference list:
• Apter,
S. (2019) ‘Google, Netflix, Amazon, and Apple are planning on becoming
millionaires of a different kind’ [image] in laedc.org. Available at https://laedc.org/2019/01/16/quickweb1/
[Accessed on the 15th December 2021]
• Blake Ridder (2019) ‘Netflix Commecial 2019’.
Available at https://www.youtube.com/watch?v=mFy-tvSvPpM
[Accessed on the 15th December 2021]
• Borden,
N (n.q., page 11) ‘The Concept of the Marketing Mix'. Available at https://motamem.org/wp-content/uploads/2019/07/Borden-1984_The-concept-of-marketing-mix.pdf
[Accessed on the 16th December 2021]
• Chelsey
(2019) ‘$100 Netflix, Uber or DoorDash eGift Card Only $90 After Best Buy eGift
Card’ [image] in hip2save.com. Available at https://hip2save.com/2019/12/23/100-netflix-uber-or-doordash-egift-card-only-90-after-best-buy-egift-card/
[Accessed on the 15th December 2021]
• Circus
Street (2018) ‘Netflix vs. Blockbuster: How Netflix Came to Dominate the Video
Streaming Market’. Available at https://www.youtube.com/watch?v=p7_1hHb4Gvw
[Accessed on the 15th December 2021]
• CNBC
Television (2020) ‘Netflix shares move higher after company announces
subscription price hike’. Available at https://www.youtube.com/watch?v=Y7dqO8ZQceU
[Accessed on the 15th December 2021]
• David,
J. (2021) ‘Marketing mix of Netflix (7Ps of Netflix)’ in howandwhat.net.
Available at https://howandwhat.net/marketing-mix-netflix/
[Accessed on the 17th December 2021]
• Deluvio,
C (2017) ‘Browsing Netflix’ [photo] in unsplash.com. Available at https://unsplash.com/photos/9uS7yhHjSuY
[Accessed on the 15th December 2021]
• Diaz,
A. (2021) ‘THIS NETFLIX BILLBOARD IS THE MODERN-DAY 'HANG IN THERE' POSTER’
[image] in adage.com. Available at https://adage.com/creativity/work/netflix-billboard-says-dont-give-your-dreams/2370101
[Accessed on the 15th December 2021]
• Dotan,
T. (2018) ‘How Netflix’s Management Structure Is Rewriting the Hollywood
Script’ [image] in theinformation.com. Available at https://www.theinformation.com/articles/how-netflixs-management-structure-is-rewriting-the-hollywood-script
[Accessed on the 15th December 2021]
• hAhA
Innovations (2021) ‘Evolution Of Netflix 2002-2021’. Available at https://www.youtube.com/watch?v=WEKpucf5QJU
[Accessed on the 15th December 2021]
• Hale,
J. (2019) ‘Netflix’s DVD Rental Service Brought In $212 Million Last Year From
2.7 Million Subscribers’ [image] in tubefilter.com. Available at https://www.tubefilter.com/2019/04/05/netflix-disc-dvd-blu-ray-subscription-service-price/
[Accessed on the 15th December 2021]
• Hawthorne,
M (2020) ‘How to Manage Your Signed-in Devices on Netflix’ [image] in
technipages.com. Available at https://www.technipages.com/how-to-manage-your-signed-in-devices-on-netflix
[Accessed on the 15th December 2021]
• Hosch,
W. (2021) ‘Netflix’ in Britannica.com. Available at https://www.britannica.com/topic/Netflix-Inc
[Accessed on the 17th December 2021]
• Larsen,
R (2021) ‘Netflix UK to raise prices for its HD & 4K streaming plans’
[image] in flatpanelshd.com. Available at https://www.flatpanelshd.com/news.php?subaction=showfull&id=1610000187
[Accessed on the 15th December 2021]
• Lauren
Lukehart (2021) ‘Netflix Brand Audit’. Available at https://www.youtube.com/watch?v=Vw9s4gRu13k
[Accessed on the 15th December 2021]
• Lokshyn,
D (2019) ‘Product Planning by Netflix: From Idea to Execution’ [image] in
medium.com. Available at https://medium.com/swlh/product-planning-from-strategy-to-execution-90b0c02631b7
[Accessed on the 14th December 2021]
• Marsala,
H. (2018) ‘Rainbow is the New Black. Un arcobaleno (in metropolitana) Γ¨ per sempre.
Pride e Netflix a Milano’ [image] in artribune.com. Available at https://www.artribune.com/professioni-e-professionisti/politica-e-pubblica-amministrazione/2018/08/rainbow-is-the-new-black-un-arcobaleno-in-metropolitana-e-per-sempre-pride-e-netflix-a-milano/
[Accessed on the 15th December 2021]
• MBA
Skool Team (2021) ‘Netflix Marketing Strategy & Marketing Mix (4Ps)’.
Available at https://www.mbaskool.com/marketing-mix/services/17729-netflix.html
[Accessed on the 17th December 2021]
• Mjimages
(2021) ‘Architecture/Buildings’ in pixabay.com. Available at https://pixabay.com/illustrations/netflix-tv-entertainment-remote-6048163/
[Accessed on the 16th December 2021]
• Moore,
B. (2021) ‘Netflix Review’ in pcmag.com. Available at https://www.pcmag.com/reviews/netflix
[Accessed on the 16th December 2021]
• Moore,
K. (2021) ‘The Netflix ID Bible – Every Category on Netflix in 2021’ in
whats-on-netflix.com. Available at https://www.whats-on-netflix.com/news/the-netflix-id-bible-every-category-on-netflix/
[Accessed on the 16th December 2021]
• Netflix
(2021) ‘Play something | Netflix’. Available at https://www.youtube.com/watch?v=sY2djp46FeY
[Accessed on the 15th December 2021]
• Parvez,
H (2020) ‘Watch Netflix in Other Countries – Complete Guide’ [image] in
updato.com. Available at https://updato.com/reviews/watch-netflix-in-other-countries-complete-guide/
[Accessed on the 15th December 2021]
• Perry,
T. (2020) ‘Netflix Supplants Google as the Employer of Engineers’ Dreams’ in
spectrum.ieee.org. Available at https://spectrum.ieee.org/netflix-supplants-google-as-the-employer-of-engineers-dreams
[Accessed on the 16th December 2021]
• Ritcher,
F. (2019) ‘A Brief History of Netflix Price Hikes’ in statista.com. Available
at https://www.statista.com/chart/16684/netflix-subscription-prices-in-the-united-states/
[Accessed on the 16th December 2021]
• Ronald
(2020) ‘How to Sign Up for a Netflix Account in 2022’ in thecellguide.com.
Available at https://thecellguide.com/sign-up-for-a-netflix-account-42412
[Accessed on the 16th December 2021]
• Rossoni,
G. (2020) in unsplash.com. Available at https://unsplash.com/photos/sx1f8vqTsu8
[Accessed on the 17th December 2021]
• Rswebsols
(2020) ‘Computer/Communication’ in pixabay.com. Available at https://pixabay.com/photos/netflix-ipad-tablet-apple-social-5945225/
[Accessed on the 16th December 2021]
• Spangler,
T. (2021) ‘Survey: 39% of Americans Say Netflix Has Best Original Content of
All Streaming Services’ [image] in variety.com. Available at https://variety.com/2021/digital/news/netflix-best-original-content-streaming-services-survey-1234951110/
[Accessed on the 16th December 2021]
• Techboomers
(2015) ‘How to Sign Up for a Netflix Account’. Available at https://www.youtube.com/watch?v=8DDDeaXSdyg
[Accessed on the 16th December 2021]
• The
Ringer (2018) ‘How Does Netflix Make Money? | Ringer PhD | The Ringer’.
Available at https://www.youtube.com/watch?v=BdFNln5mc74
[Accessed on the 15th December 2021]
• Unknown
(2017) ‘Netflix Customer Survey Email’ [image] in thecordcutterlife.com.
Available at https://www.thecordcutterlife.com/netflix-customer-survey-email/
[Accessed on the 16th December 2021]
• Walters,
N. (2019) ‘Who Knew? Netflix Still Has 2.7 Million DVD-by-Mail Subscribers’
[image] in fool.com. Available at https://www.fool.com/investing/2019/02/02/netflix-still-has-2700-stubborn-dvd-subscribers.aspx
[Accessed on the 15th December 2021]
• Welch,
C. (2016) ‘Netflix finally lets you download shows and movies to watch offline’
in theverge.com. Available at https://www.theverge.com/2016/11/30/13792376/netflix-offline-downloads-now-available
[Accessed on the 16th December 2021]
• Yarema,
J (2020) ‘iPhone 12 Pro Home Screen with Apple Store, Amazon and Netflix apps.’
[photo] in unsplash.com. Available at https://unsplash.com/photos/rZLIRuBW6Ac
[Accessed on the 15th December 2021]
Comments
Post a Comment