Netflix Case Study

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Netflix Inc.,: Streaming Away From DVD’s
Case Study: Emily Heath
Part 3- Alternative Solutions

To ensure the company will achieve stability by maintaining customer appreciation and satisfaction, Netflix must invest their time and finances into new alternative solutions. The solutions are based on what problems have presented themselves and are in best interest of the customers and the company. The main concerns at the moment seem to be the unreliability and instability of the company as the guidelines for prices and methods of delivery are constantly changing.

There are a few possible suggestions that are up for experimentation to resolve Netflix’s problems.

1. Incorporate commercials before and after everything that is viewed on Netflix. One of the greatest features about Netflix is the commercial free streaming that is available. However, to generate more income, including commercials before and after each video and movie will assist with that. Doing it at the beginning and the end still keeps that commercial free feel, as its not interrupting what’s being watched every five minutes the way regular TV does. Also, keeping the commercials to a minimum will allow for a quick message from the advertiser to the viewers. Although commercials are reoccurring and usually disruptive, if the customers know they are getting a better movie selection, they will be satisfied. By airing these quick commercials, we are generating more income from advertisers. Solution: Seek potential advertisers that will pay to advertise their products briefly before and after viewing videos. Advantages: Generating income for the company, potentially the reason Netflix may be able to expand its selections Disadvantages: Netflix will not be considered commercial free.

2. Expand the target market. Netflix is directed towards younger viewers (not by choice, due to the selection available, a target market was formed). By adding in a variety of older selection...
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