2. We will start with the company overview .
Then we will do the problem identification and discuss various solutions for the same.
Then we will employ the SWOT analysis in much detail.
The final stage includes discussing about it's existing and potential competitors, what
are plus points with them and how Netflix can override them.
At last we will develop a roadmap for the company.
Then we will discuss some additional proposed strategies.
Executive Summary
3. Company Overview
Company: Netflix, Inc.
Founders: Reed Hastings and Marc Randolph
Year founded: 1997
CEO: Wilmot Reed Hastings Jr.
Headquarters: Los Gatos, California, United
States
Employees: 11,300(by Dec. 31, 2022)
Type: Public
Annual Revenue: $29,698(2021)
User Base: 223.1 million+
Overview:
$23,764 2022 (Q1 + Q2 + Q3)
Users(in Mn)
2
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250
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0
Netflix, Inc. is an American SVOD(Subscription Video on Demand) OTT platform which operates across the
globe in over 190 countries. It was launched in India in 2016.
4. Problems Identification
Netflix is still struggling to find niche in the Indian market, even after it's big brand name on global grounds.
Even after cutting their prices, they are still not able to cut through Indian markets.
These problems were due to various dynamic reasons and also has the respective solutions to them.
But beforehand, to devise any strategy or solution for the company we must do proper analysis, like SWOT
Analysis.
Old Price(in ₹) New Price(in ₹)
Mobile Basic Standard Premium
1,500
1,000
500
0
5. Strengths Weaknesses Opportunities Threats
Brand Reputation.
Netflix In- House
Content.
Global Presence.
Constant Upgradation.
Quality Content.
Lack of Regional
Content.
Expensive with
respect to
competitors.
Limited Licensing.
Wide audience.
Inclination of audience
towards OTT after
COVID.
Niche Marketing.
Collaboration.
Competitors with large
user base.
Upcoming Govt.
Regulations.
Password Sharing.
SWOT Analysis
6. Constant Upgradation.
SWOT (Strength Analysis)
Netflix In- House Content. Global Presence.
Brand Value
Netflix has become
popular in a short time
also it has a large brand
value of 16,375
$m and ranked at #40.
BRAND VALUE($m)
0 5,000 10,000 15,000 20,000
2017
2018
2019
2020
2021
2022
Netflix is serving in over 190
countries, having a global
customer base; it gives the
company a strong bargaining
power with the studios for
securing exclusive content.
(But India is not in top
subscribers countries of Netflix).
Subscribers(in Million)
U
S
B
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75
50
25
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Netflix is producing wide range of
original content from years; and
also increasing it as they are
much popular e.g. stranger things
, squid games , money heist etc.
% Content
0 25 50 75
Licensed
Original
Hours of Original Content
0 1,000 2,000 3,000
2014
2016
2018
Netflix constantly
upgrades it in
accordance with
the new
technologies and
demand of market
e.g. by providing
streaming on all
internet-connected
devices like
personal
computers, iPads,
mobile devices, and
televisions.
7. Expensive with respect to competitors.
SWOT (Weakness Analysis)
Lack of Regional Content. Limited Licensing.
Netflix's content is not specific
to the people of India;
Netflix's popular global shows
rarely have a regional dubbing
available, which makes them
only watched by the elite and
the urban upper-middle class.
Netflix India is providing
nothing too unique which was
expected.
They should promote writers
with good stories but lacking
opportunities in the existing
market.
SOLUTION:
Netflix has cut down the prices but still it
is much expensive with respect to it's
competitors.
Monthly price(in ₹)
0 250 500 750
Netflix
Disney+ Hotstar
Amazon Prime Video
Sony Liv
Voot
Netflix does not own
many of its content, and
this affects the
company negatively.
The rights taken from
other studios expire
after few years, and
that content starts
appearing on other
sites.
Focus more on
their own produced
content.
SOLUTION:
Find alternate revenue streams for Indian
market like entering into e-commerce
SOLUTION:
8. Inclination of audience
towards OTT after
COVID
SWOT (Opportunities Analysis)
Average hours spent per day
0 1 2 3 4
2019
2020
Collaboration
Audience Diversity Niche Marketing
India has a large audience base
from different segments; so
NETFLIX can focus on them
and should produce content
that is specific for them.
Provides opportunity to play
on it's strength, as they will
find audience of every genre.
They should
analyze what is the
taste of it's
audience & make
more such content.
to retain that
market.
STRATEGY:
0 20 40 60 80
Comedy
Action
Romance
Thriller
Drama
Horror
Sci-fi
Historical
Crime
Animation
Documentary
There is also market
for existing content on
NETFLIX,
The incentive of audience to find
entertainment at home has
increased after COVID lockdown,
they must devise STRATEGY to
capture those market.
There are several ISP's
and broadband service
providers with whom
should NETFLIX
collaborate with to grab
more audience and
maintain audience
retention.
They can also
participate and win the
streaming rights of
famous sports like IPL,
FIFA etc.
9. SWOT (Threats Analysis)
Subscribers(in crore)
D
I
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5
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A
5
4
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2
1
0
0 10 20 30 40 50
Don't Share
non immediate family members
children
friends
Govt. Regulations. Competitors Sharing Password
Account sharing habits much hampers the
company revenue; people generally share
the passwords with:
The government had notified the
Information Technology
(Intermediary Guidelines and
Digital Media Ethics Code) Rules
2021 to regulate OTT platforms.
10. Competitor analysis
Briefly elaborate on the observation
Monthly price(in ₹)
0 250 500 750
Netflix
Disney+ Hotstar
Amazon Prime Video
Sony Liv
Voot
Pricing Comparison User Distribution
Netflix is still most expensive than
it's competitor
Netflix has 3rd largest no. of OTT
audience.
Additionally, Amazon prime has an
ecosystem which provides audience
other benefits too:
Discounted delivery
Prime Reading
Amazon Music
Gaming offers
Early Offer access
Exclusive offers
Disney+ Hotstar has license of
different TV serials and IPL which
attracts wide audience.
Other Aspects
Major Competitor of Netflix are:
Subscribers(in Cr.)
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5
4
3
2
1
0
11. Proposed Roadmap
Netflix has slightly
weak situation
though cutting its
prices, in indian
market
it can offer ISPs to get
incorporated with their
data plans so that wide
range of audience reach the
platform and get familier to
it
After that netflix can
do a survey to get the
clear idea of what
kind of content Indian
audience is looking
for Make sure that the survey
contains the following
parameters i.e, age,
gender, income, genre and
pricing
now that you have the clear
idea of what content the
Indian audience wants,
promote the similar kind of
content that you already
have on the platform
Now according to Indian
market create new content
which is currently working,
Hire new writers with
potential and some popular
actors to get more eyeballs
This will help NETFLIX to
make Indian audience more
comfortable with the
platform. Now it can work
consistently to retain it
12. Additional Proposed Strategies
A large audience of Netflix are interested to watch only few very famous web series or films, so
they must also have a pay-per-view model, in which the viewer need to pay only for the specific
content that they want to watch.
Initial episodes of some famous or new web series should be made free, this will attract the
audience to the platform.
Web series should be made available in various regional languages also, as due to their
unavailability they miss out a large proportion on Indian audience.
Pay- per view model:
Making Initial Episodes free:
Multilingual availability:
