Netflix Case Study Analysis Background Netflix had grown to be the largest online movie rental service provider with subscribers reaching over 53 million in nearly 50 countries with people enjoying more than two billion hours of television shows and movies per month. For only one low monthly price, Netflix customers can watch as much as they want at anytime. Starting as only a DVD by mail service, Netflix has expanded its company to digital streaming at the click of your finger. Giving you
Words: 1504 - Pages: 7
NETFLIX Inc. Case Study BMGT500 Submitted by: Moid Ahmad Under guidance of: Mr. Roger L. Powell Introduction Netflix Inc. is considered to be in the video entertainment industry, which distributes to consumers through movie theaters, airlines, hotels, and in-home (Netflix, Inc; 2009). Netflix and its competitors serve in-home consumers specifically through a number of alternative channels, making up the different strategic groups or segments of their portion of the entire industry which
Words: 3702 - Pages: 15
Summary Netflix is the worlds largest subscription service company, selling streaming movies and television episodes. Also Netflix has a large mail order DVD rental service with more than 20 million subscribers. Netflix provides streaming and DVD rental in the US. Internationally Netflix provides unlimited streaming capabilities but limited existing DVD rental services. Netflix streams movies directly to televisions, consumer smart phones, home computers, and tablets. Netflix uses multiple
Words: 635 - Pages: 3
1. There is undoubtedly an exchange process between Netflix and its customers. In this specific case Netflix customers pay a monthly subscription to the company and in exchange they receive movies to rent. Therefore, in the exchange process between Netflix and its customers’ money is the medium of exchange. Netflix receives the money and the customers receive their rentals in a timely manner. Netflix and its customers meet all 5 conditions of exchange in this process. There are 2 parties involved
Words: 520 - Pages: 3
Netflix is the largest online DVD rental service in the country. The company provides a monthly flat rate service for the rental of DVD movies, and most recently, video games. They founded the company in 1998, and have grown and maintained the largest portion of market share ever since. By the end of the third quarter of 2007, the company boasted a collection of over 90,000 titles, and had almost 7 million subscribers. On average, Netflix ships over 1.6 million discs a day, and has over 55 million
Words: 1903 - Pages: 8
(co-founded) founded Netflix in 1997. During this time, Netflix offered DVD rentals by mail. As Netflix went public in 2002, shortly a year later their subscription reached the one million mark (Netflix Management, 2011). Recently, Netflix is recognized as one of the 50 most innovative companies, ranking number eight for “streaming itself into a $9 billion powerhouse (and crushing Blockbuster)” with 20 million subscribers (fastcompany.com, 2011). This success shows how Netflix embraced a business
Words: 2063 - Pages: 9
MARKET SEGMENT Netflix operates in the online video streaming and rental market as well as the DVD rental market. MARKET SIZE Netflix comprises of 32.3% of the video streaming market share. It is the world’s leading internet television network with over 44 million members in over 41 countries. US alone have more than 31 million subscribers. Though its share of online video rental subscribers is increasing, the demand for the physical media i.e. the DVD rental is decreasing continuously
Words: 347 - Pages: 2
Then thinking about what to write for this paper, I keep coming back to the Redbox kiosks, website and smartphone or tablet apps. Searching for a DVD or Blu-ray disc has become amazingly simple thanks to their use of databases. Now rather than calling or driving around to various video stores to attempt to find the movie you desire, it’s as simple as logging on to the website or app. Once logged on you have a choice of searching your favorite kiosk or searching them all within a particular mile
Words: 314 - Pages: 2
Industry Analysis: The movie rental industry is comprised of four major companies: Netflix, Wal-Mart, Blockbuster, and Amazon.com with an estimated total industry value of $24.4 billion. By the end of 2004, Netflix had a total of 78% of total market share with Blockbuster trailing at 15% and Wal-Mart/others at 7%. To the detriment of the DVD, Game and Video Rental industry, consumers are primarily switching to streaming media, video on demand (VOD), and downloaded media. Since this industry includes
Words: 343 - Pages: 2
in the next 3-5 years? -Manage costs to compete with declining rental costs -provide the best convenient service to the consumer that distinguishes themselves from their competitors -Innovate and keep up to date with technological advances Netflix provided consumers with two different options to utilize their movie rental service. They took advantage of new technology and gave their subscribers unlimited access to thousands of movie titles by streaming them from their TV’s, laptops, and other
Words: 371 - Pages: 2
