As part of my final assignment for The innovation in a digital world
The goal: Developing the elements of a potential new business model
Identifying the sources of digital value or disruption of the new business
I chose NETFLIX as a platform for my new digital value concept,
My aim was to look for an opportunity to create a new revenue stream concept
Augmented Reality Demos is a tutorial for using the application for mobile devices 'Modelos 3D ETSAB AR', also to view 3D models using the ARMEDIA Player application.
Download the applications and enjoy!
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Build your next web app without reinventing the wheel.
The best reason to use Stamplay is that it lets you spend a lot less time worrying about the server-side logic and more time focusing on the user experience.
And virtually no time learning how to use it.
try it on www.stamplay.com
Augmented Reality Demos is a tutorial for using the application for mobile devices 'Modelos 3D ETSAB AR', also to view 3D models using the ARMEDIA Player application.
Download the applications and enjoy!
Apps are needed for proximity marketing campaigns on iOS devices. If you have an iOS app for your brand and reach out to the users using iBeacon, all you have to do is embed an iBeacon SDK into your mobile apps.
Here's a quick look into our portfolio focussed on Mobile Applications. Incase any project catches your eye, you can write to us at design@imaginea.com and request for a detailed case study document. Do let us know your feedback!
Build your next web app without reinventing the wheel.
The best reason to use Stamplay is that it lets you spend a lot less time worrying about the server-side logic and more time focusing on the user experience.
And virtually no time learning how to use it.
try it on www.stamplay.com
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One More Episode An Industry and Competitive Analysis for Netfl.docxhopeaustin33688
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Abstract
This study is to provide a thorough analysis of Netflix as a corporation. Netflix shows their competences such as their brand image and their leadership in the streaming industry as well how they take consumer opinion into what goes on their website. The following paper will demonstrate an overview of Netflix and the video streaming service industry. This paper will then focus on the external and internal analysis of the company using matrices such as Porter’s Five Forces, External Forces Evaluation (EFE), Internal Forces Evaluation (IFE), and the SPACE tool. These matrices has been analyzed but strengths, weaknesses, opportunities and threats have been identified used in the TOWS matrix. Focusing on different alternative business strategies, the paper shows possible solutions for different identified problems of Netflix. Some of the Problems that Netflix will be facing is the saturation of the Industry but through the use of Market Penetration and Development Netflix can make it out okay. The paper will then be concluded with how the implementations of the proposed solutions can strengthen Netflix’s position in the streaming industry.
______________________________________________________________________________
1. Introduction
Netflix was co-founded by both Reed Hastings and Marc Randolph in 1997. The goal was to offer online movie rentals in Scotts Valley, California. Hastings wanted to be able to rent movies on the internet. There was also an old discredited story that claims that “Hastings had the idea after Blockbuster charged him a $40 late fee for ‘Apollo 13.’” In 1999, Netflix begins to use the subscription service that allows consumers to rent unlimited movies for one low subscription. In the year 2000, Netflix launches the personalized movie recommendation system that uses member’s ratings to predict choices for Netflix’s customers as well as recommend newer content to the same customers. In May of 2002 Netflix announces its IPO offering 5,500,000 at the price of $15.00 per share under the name NFLX. In 2005 Netflix reaches 4.2 million people. Netflix first introduces streaming which allows members to instantly watch television shows and movies from their computer in 2007 making them a pioneer in this industry. A year later Netflix partners with consumer electronic companies to stream on Xbox, Blu-ray disc players and TV set up boxes. PS3, internet controlled televisions and other internet connected devices came a year later in 2009. In 2010 it is available on Apple devices, the Nintendo Wii and they launched in Canada. The next year, in 2011, Netflix launched in Latin America and the Caribbean. In 2012, Netflix launches in Europe and they won their first Primetime Emmy Engineering Award. The year after Netflix expands to the Netherlands and Netflix also received 31 Emmy and wins 3 of them for its original content. Finally, last year, Netflix .
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Netflix India - Identifying the sources of digital value or disruption of the new business
1. NETFLIX INDIA
The goal
Developing the elements of a potential
new business model
Identifying the sources of digital value or
disruption of the new business
This assignment is composed of three elements:
1. Analyze an existing business model: a specific company or industry, using just a business model
canvas.
2. Create a platform based business model canvas highlighting just the proposed changes to the original
business model in a way that adds:
a) Network Effects
b) Efficiency or productivity gains
c) A new value proposition (and the effects of those changes on the rest of the Canvas)
d) New segments of customers
e) A new monetization strategy
f) Better customer experience
Abhishek Semwal
IMBA J1 2020
4. NETFLIX INDIA
INTRODUCTION : India’s video streaming industry is all set to grow at a CAGR of 21.82% to
reach Rs. 11,977 crore by 2023. According to a report by global accounting firm (PwC), the
over-the-top (OTT) video industry will record the highest growth rate among all segments and drive
evolution over the next four years in the overall media and entertainment industry in the country
(Source : Livemint)
Propelled by rising smartphone penetration, the launch of 4G networks and increasing consumer
wealth, the Indian e-commerce market is expected to grow to US$ 200 billion by 2026 from US$
38.5 billion in 2017 Online retail sales in India are expected to grow by 31 per cent to touch US$
32.70 billion in 2018, led by Flipkart, Amazon India and Paytm Mall (Source : IBEF.com)
BUSINESS CANVAS MODEL - NETFLIX
NETFLIX is the OTT (over the top platform). The company's primary revenue comes from
subscription based streaming services which offer online streaming of movies & in-house
productions. Netflix recommends content based on user behaviour or choices on the app.
Value : Users can access the movies or television series without any advertisements. Also Choices
of Subtitles & regional audio version availability appeals to diverse culture.Netflix generally partners
with Smartphones, Smart TV & Telecom providers for pre installed application on devices. Netflix
also streams third party content.
PROBLEM STATEMENT :
Rahul is a big fan of the Netflix series, he binged watch the new series “War “, & follows an online
group where they discuss the fan theories. He was fascinated by the cool trendy jacket the main
character (played by Hrithik Roshan) wears during a high octane chase scene. Rahul wants to get
his hand on the jacket but he does not know where to find it. He started searching on google,
though he found some websites which sell such trendy jackets but Rahul is not sure of the quality
& most of the accessories look like a cheap copy.
NEW BUSINESS CANVAS MODEL
Opportunity:
Online streaming platform intersect with E-Commerce platform in order to leverage its content &
celebrities quotient to market & sell fashion & accessories directly to the subscribers
Customer Segment & why did I choose NETFLIX to target it ?
● NETFLIX is competing with more than 50 OTP platforms including AMAZON PRIME &
HOTSTAR (DISNEY).NETFLIX also has the most expensive monthly subscriptions plan.
But what drives its sales is its original content that appeals to Indian audiences.
● Hence this niche 2 Million Indian users who are devoted fans of the original series produced
by NETFLIX & ready to shell expensive subscription plans is my target customer.
● Most of the users consume entertainment on smartphones, they also have access to
flipkart, snapdeal, paytm app, which would be useful for switching
Abhishek Semwal
IMBA J1 2020
5. NETFLIX INDIA
Value Proposition for the Customer, Netflix & E commerce
● Netflix series like Sacred Games, Bard of Blood, House of Cards, Narcos have cult
following among Indian audiences.
● A market place which offers dedicated accessories from the popular series is either missing
or is highly fragmented
● Currently fans need to independently search for the retailers & deal with cheap copycats.
● My integrated platform will help fans to get access to their favourite character’s accessories
like Outfits, shoes, watches etc
● Fans can quickly select the item on real time & embedded tools like image vision will
classify the items that User is looking for & will provide access to ecommerce ( refer
Exhibit for Minimum Viable Product outline)
● Partnership between Netflix, Production houses & ecommerce will ensure that fans receive
the best quality products
● For Netflix : Additional revenue stream other than subscription model, Sponsorship from
Brands can help mitigate high production cost
● Fashion designers (private label) from Production house will get direct access to fan, & can
prevent losses from counterfeit product
● Ecommerce & Netflix can use this collaboration & compliment each other as part of their
MOAT strategy & get first mover advantage against Amazon who has its own streamline &
marketplace
How is this integration & platform going to work?
We are going to use AWS/AZURE to host Netflix server. Operating platform would be IOS,Android
( As this version will only be smartphone based)
Phase 1
User Experience
● Ensure that any feature addition does not disturb the user experience
● Design & placement of the information must be done in a way that it did not affect viewing
experience, which means entire interface would be done while video is being played ( Refer
Exhibit 1)
● Scope of work will be limited to specific characters appearing on the screen & accessories
Process
● Once a user selects the character whose accessories or outfit he/she is interested in.
● A snapshot packet will be developed & will be sent to Backend team through HTTP protocol
which will analyse the image & break it down at granular level & classify the image into
clothes, watches, accessories, human ( tool : Image classification tool from Google)
● Backend will send the classified & sorted image to the user which will be displayed to the
user through simple & interactive user interface
● End user will select the item of his choice & this information will be sent to the Back end
team which will send the data to Partner Marketplaces like https://www.myntra.com/,
through an HTTP call to the API of the fashion retailer.
● Market places will respond with all the URL links
● User can click on the URL links & initiate the buy process
User Transition to third party or partner app
● Authorization : Netflix will use OAUTH or user will allow netflix to authenticate them for the
marketplace, which will help in smooth transition of users for Marketplace
Abhishek Semwal
IMBA J1 2020
6. NETFLIX INDIA
● Conversion rate in the marketplace will be determined by the partners who will validate that
the same users has bought the stuff
● This will take care of the situation where user selected the item but did not buy
Revenue Estimate : Average ticket size per transaction per user in India INR 1000 or 12 euro,
considering 5% of user base end up buying one item per month, we can estimate approximate
revenue potential of (100000*12*12 = 14 Million USD /Year revenue)
EXHIBIT 1 ( PROTOTYPE DRAFT)
STEP 1 : USER watching WAR Movie (2019) on netflix, during the movie he found Actor Hrithik
Roshan wearing trendy outfit
STEP 2 : Interactive feature of netflix help him to interact with the character ( This feature is has
already been used in their first interactive movie Black Mirror : Bandersnatch) , User Select the
character ( Hrithik Roshan) & information flashes on the left side of the screen:
STEP 3 : APP will recognise & classify the outfits or any accessories like watch or shoes or
& will flash it on the left side of the screen ( refer below )
Abhishek Semwal
IMBA J1 2020
7. NETFLIX INDIA
STEP 4 : APP will recommend the following options:
( courtesy : https://www.seenit.in/quest/show/72333)
STEP 5 : USER will select the Buy option & he will be transferred to Myntra/Snapdeal/Paytm to
complete the transaction
Abhishek Semwal
IMBA J1 2020