The Netflix success is continuing, but it still has more to do
Tom Dougherty, CEO – Stealing Share
4 October 2013
Netflix can’t stand pat on its success. Too much is changing.
The Netflix success continues with stock is back up again. Its woes following the introduction of Qwikster seem to be a thing of a long ago past, but this does not mean the brand of Netflix is working as hard as it should be.
Netflix has been doing quite well. It stock price is comfortably above $300/share with forecasts of more growth potential ahead. Netflix turned itself around, in part, due to its original content (House of Cards, Orange is the New Black). Much like AMC has experienced over the past years, quality content brought consumers.
“It must remember, however, that, as content becomes more and more competitive across streaming services and network television, the biggest point of differentiation lies elsewhere.”
However, this strategy is also being adopted by other streaming services like Hulu, Crackle and Amazon. With so many providers trying their hand at original content, consumers will have more choices within the same available time.
Great content will continue to pull in consumers but, as the market becomes more crowded, to continue the Netflix success, the company should begin carving out differentiation by its brand. Netflix currently positions itself with the tagline of “Watch Responsibly.” But that’s overly clever (clever = not believable) and is a sign that it has not captured what represents the highest intensity for the Netflix subscriber.
Netflix is in a great position and has a real opportunity to create separation in the marketplace. It must remember, however, that, as content becomes more and more competitive across streaming services and network television, the biggest point of differentiation lies elsewhere.
Soderbergh Tom Dougherty, CEO - Stealing Share 21 August 2017 Soderbergh, Logan Lucky and the changing movie If you’re a film director of a certain reputation, take heart in the business decisions made by Steven Soderbergh and his newest release, Logan Lucky. The...
Cleverness in advertising stinks: Prevagen Tom Dougherty, CEO - Stealing Share 17 August 2017 Prevagen gets stupid Prevagen. The perfect example of brand masturbation. Brands try to speak directly to the emotions of prospective customers. Anything that gets in the way...
Amazon Instant Pickup Tom Dougherty, CEO - Stealing Share 16 August 2017 Is Amazon Instant Pickup just an automat? Amazon is doubling down on its push into traditional brick and mortar with its new Amazon Instant Pickup service for Prime and Student Prime members. The...