Netflix was founded in 1997 as a DVD rental service that mailed discs to customers through the post. Initially it offered a pay-per-rental system, but in 1999 it switched to a web-based subscription service based on a flat monthly fee and unlimited DVD rentals. It had come to dominate the DVD rental market in recent years and by 2010 it had 20 million subscribers, who had access to both postal delivery of DVDs and streaming services. It had $2 billion in sales, but spent $600 million per year posting DVDs to its US customers. In 2010 Netflix launched a streaming-only subscription plan for $7.99 (with no DVDs); subscription plans that included DVDs increased in price by between $1 and $8, depending on the plan. Around 60% of Netflix’s customers had tried the streaming service, using web-enabled TV sets, games consoles and Blu-ray disc players. It also planned to launch a streaming-only service in Canada and the UK in the coming years. But was this shift from DVD to streaming really playing to Netflix’s strengths? The streaming world was a competitive one, with high content acquisition costs. It would put Netflix into competition with a new set of companies, including suppliers of content (like cable companies). Also, would Netflix’s existing customer base be easily converted to streaming? Or would the company alienate its customers in the process?
More than 80% of purchases are made by women. But reaching, interacting with, and converting female consumers is a challenge for most companies. You can get through the maze of marketing to women by using these four guidelines.
While it’s tempting for business leaders to think they can safely navigate a divisive cultural and political landscape, it’s a fool’s errand.
Leading Chinese companies are preparing to take advantage of exposure and opportunities as top sponsors and suppliers to the UEFA EURO 2024 Men’s Soccer Tournament (Euro 24) — played by European teams thousands of kilometers away from China.
Marketing campaigns for sustainable offerings often fail, leaving businesses with products that do not sell. How can companies reach customers more effectively?
Chris Tung is President of Strategic Development at Chinese e-commerce multinational Alibaba Group. He tells Amit Joshi how the company is integrating AI to optimize its customer experience.
Many companies overestimate customers’ appetite for sustainable products, flooding the market with offerings that don’t sell. The reality is, social and environmental benefits have less impact on purchasing decisions than basic product attributes ...
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Research Information & Knowledge Hub for additional information on IMD publications
Research Information & Knowledge Hub for additional information on IMD publications
Research Information & Knowledge Hub for additional information on IMD publications
Research Information & Knowledge Hub for additional information on IMD publications
Research Information & Knowledge Hub for additional information on IMD publications
Research Information & Knowledge Hub for additional information on IMD publications
Research Information & Knowledge Hub for additional information on IMD publications