When you think Netflix, two things come to mind; chilling and unlimited TV for your viewing pleasure. The term Netflix and chill was born out of both truth and humor because the success we know as Netflix was truly created for the enjoyment that accompanies chilling. If any aspiring business moguls are wondering how they made their success, you might want to read a few reasons we’ve come up with below.
How many of you knew that Netflix started off delivering DVD’s? When they first started out, their brand position was “The best way to rent DVDs” and their primary aim was to compete with the likes of Blockbuster to become the world’s biggest DVD seller. In 2004, after doing research, they changed their brand position to ‘Movie enjoyment made easy’. Research was key in them making a change that would completely turn their business around and make it what it is today. It also helped create a well thought out brand position which is the starting point for building a product that will be perfectly tailored to your target audience’s needs. Be flexible and don’t be scared of adapting.
Realigning With Strategy
Sometimes what seems like a great idea at the start may not be the best idea after thinking it through a second time. At one point, Netflix had a branded streaming device in the pipelines. They had already began spending money on this venture when they realized that competing with other hardware players wasn’t the actual goal. Instead, they decided to focus on having Netflix on as many devices connected to the internet as possible globally. It wasn’t an easy decision, but it was what was best for the brand. Netflix can now be watched on TV, phones, desktops, tablets, and game consoles.
Netflix is defeating free online streaming because they were able to choose a business model that works. As mentioned earlier, their brand position is “movie enjoyment made easy” and this has been achieved by ensuring customers can watch what they want when they want it. They have extended their services to ensure they meet the needs of families, and they also produce their own shows to diversify their content. At the centre of their business model is a wide array of TV to enjoy and easy accessibility.
As we’ve established time and time again, there is no greater formula to success than fining a need and meeting it. Netflix have proven that no matter how brilliant your initial idea is, there is always room for improvement. They have also shown the significance of extensive market research, unrelenting focus on a vision and organic growth.