2. Abastract
• This report analyses popular movie streaming platform Netflix:
The content, account owners, views per week and streaming
experience on this platform.
•
3. Introduction
• The phrase "Netflix and chill" often refers to a tranquil weekend that
involves little or no activities and binge-watching tv shows on Netflix. How
this streaming platform established itself in the entertainment industry all
began in August 1997 in Scotts Valley, California. Netflix was the idea of two
individuals: Reed Hastings and Marc Randolph. The name Netflix was
coined from the suffix of the word "Internet" and Flix (McFadden et al.,
2021) Netflix is a leading giant in media streaming, with 151 million paid
subscribers in over 190 million countries around the world (McFadden et al.,
2021) Thus, the choice of my report.
4. Body Of Report
• Netflix was birthed during a conversation between Reed Hastings and Marc Randolph on a
ride back to their residence in Santa Cruz. At the time of the conversation, Marc Randolph
was a Marketing Director at Hasting's company: The Pure Atria. Not only was Marc
Randolph a marketing director at Pure Atria but also the co-founder of Micro Warehouse
(McFadden et al., 2021).
•
• Influenced by Amazon's e-commerce model, the duo decided to emulate sales of goods
online, in a similar fashion. They initially considered VHS cassettes but reached a
consensus of DVDs as a finer alternative. As a test model, they sent DVDs to their homes
in Santa Cruz and after arriving in good condition, they forged ahead with this idea
(McFadden et al., 2021).
5. Body Of Report
• Netflix, launched in 1998, originally began as a DVD rental company: Users selected the movies or series they would like to view. Thereafter, it was mailed to their address alongside return envelopes.
(L.hosch, 2021). An average DVD rental cost about $6 each, postal cost included (McFadden et al., 2021). In the year 2000, the company released additional features which paved the way for
membership and DVD recommendations based on viewer ratings (McFadden et al., 2021). Shortly after in the year 2003, Netflix reached a gross sum of 1 million subscribers as the company parted ways
with co-founder Marc Randolph the same year. By the year 2006, the total number of Netflix subscriptions had risen to 5 million.
•
• By 2007, Netflix offered some members the comfort of streaming shows from the comfort of their homes (L.hosch, 2021). Consequently, In the following year, Netflix partnered with numerous electronic
companies such as the Xbox and Playstation, to allow streaming on these sites
•
• Today, Netflix has expanded access to a wide array of movies and tv shows to viewers all around the world. Ranging from Family movies to action-packed dramas, there is something for everyone on
Netflix. As of July 12, 2020, Netflix recorded a market cap value of 238.56BN. Netflix stocks have also peaked since march 2020 and currently stand at $535.98. lastly, Netflix has a Q1 2021 gross profit
increase of 51.97% (Netflix Gross Profit 2006-2021 | NFLX, 2021)
•
• The Netflix algorithm displays user-specific content bases on the user's location and preferences. Netflix also allows users to create adult or teen, ensuring age-appropriate content is displayed.
•
•
6. Conclusion
• Netflix is a video streaming site that emerged from DVD rentals.
Netflix stocks and profit have increased over the years.
7. Bibliography
• Welch, C., 2021. Netflix isn't changing its logo, but has a new icon. [online] The Verge. Available at: <https://www.theverge.com/2016/6/20/11979948/netflix-new-icon-logo> [Accessed 9 July 2021].
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• L.hosch, W., 2021. Reed Hastings | Biography, Netflix, & Facts. [online] Encyclopedia Britannica. Available at: <https://www.britannica.com/biography/Reed-Hastings> [Accessed 11 July 2021].
•
•
• McFadden, C., Papadopoulos, L., Lang, F., Lang, F. and Brahambhatt, R., 2021. The Fascinating History of Netflix. [online] Interestingengineering.com. Available at:
<https://interestingengineering.com/the-fascinating-history-of-netflix> [Accessed 11 July 2021].
•
•
• Ycharts.com. 2021. Netflix Market Cap | NFLX. [online] Available at: <https://ycharts.com/companies/NFLX/market_cap> [Accessed 12 July 2021].
•
• Macrotrends.net. 2021. Netflix Gross Profit 2006-2021 | NFLX. [online] Available at: <https://www.macrotrends.net/stocks/charts/NFLX/netflix/gross-profit> [Accessed 12 July 2021].
