Overview of Netflix: Expansion, Competitors and Marketing Tactics

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Netflix is a Californian entertainment company which began their life by providing the chance to people to rent a movie by sitting at home and get this movie on DVD in the mail. The company was co-founded in 1997 by Reed Hastings and Marc Randolph who was a software executive in the Netflix. After one year they decided to launch a website where people can buy or rent a movie of their choice. At same time Amazon also started selling DVDs, then Netflix halt their selling service and aim give more rental services. In 2000, Netflix started giving a subscription service for a month, in which people can rent unlimited movie in one month.

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Now, business is going well and Netflix start offering a movie that were released exclusively on their site by partnering with Warner Brothers. By this Netflix inclined their customer and orders. Then they start growing their business centers across America which boost the speed of delivery. Till 2003, Netflix didn’t make any profit. In 2007, the whole scenario was changed the original DVD business was overtaken by streaming videos on internet. Netflix jump into production business in 2013 and started producing original content.

Now it is the globally known television program. There are some reasons why Netflix could be having concern in global markets which are given below:

Less amount of regional content

This reason is applicable because many local challengers in develop markets, like Germany and France, have checked the Netflix success in the USA. It gives lot of inspiration to local market to get their own videos into the market ahead of Netflix entry in the market. These local people have more regional content.

Language Obstruction

Netflix more often than not transfer their information in English dialect, which can turn into a snag in nations like Russia, in light of the fact that in Russia just 5% individuals can communicate in English (as indicated by a 2010 registration).

Do not have proper payment processing and broadband infrastructure

In USA Netflix face a payment issues, where it asks the switchover to chip credit cards which leads to accidentally cancel their agreements with company.

High cost in specific markets

In a few markets Netflix would prefer not to decay their costs. Costly costs of Netflix memberships benefit the nearby contenders, which specifically prompts high memberships of neighborhood challengers.


Amazon prime video: Amazon prime video is an online video service which is operated and developed by Amazon. It is launched in 2006, Amazon also providing films and television programs to the customers.

HULU: Hulu is also giving online video services. The only difference is Hulu has more links with entertainment companies like Disney. Hulu is giving two services one is free service where content was limited in number and other is paid service where large variety of content is available.

YouTube: YouTube is a video-sharing site where clients get the chance to transfer and offer recordings on the stage for different clients to see. The organization was established in 2005 by Jawed Karim, Chad Hurley, and Steve Chen. As of now, YouTube works as a backup of Google since it was procured by the innovation mammoth in 2006 for 1.65 billion dollars.

Hotstar: Hotstar include mobile entertainment and digital platform. The administration is accessible in 8 dialects including Hindi and English. Hotstar has its central command in Mumbai, India. In 2015, Hotstar get 340 million views at the time of ICC Cricket World championship.

Marketing tactics

Invest in original content: Netflix puts their content into unique substance so that it can nearly showcase itself. Over the most recent three months of 2016, Netflix included 1.43 million new U.S. paying supporters. In 2017, Netflix intends to spend almost $6 billion on content. For setting, ESPN spent $ 7.6 billion on content in 2016.

Information is surely the differentiator: We all know that information matters, that’s why Netflix always uses the information which predict human behavior and help to create a better practice which directly incline the market of Netflix. Netflix always have an eye on browsing behavior; when you watch, rewind and what of content you want to watch.

In my opinion, Netflix always try to distribute a content in the formats in which its customers wanted. Netflix always try to catch the needs of customers. Netflix include entangled serial shows (Place of Cards), activity arrangement (Adrenaline junkie), awfulness arrangement (Hemlock Forest), and selective movies featuring a well-known forming artist (e.g. Adam Sandler).

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