write notes for my power point slides
Netflix
Nicole Baldassarre, Kimberly Chan, Adrian Mimini, Joseph Guiliano, Yingxue Song
MGMT 450-132
Professor Nag
Yingxue
welcome!
AGENDA
Industry Overview
Competitor Analysis
Firm Analysis
Challenges & Opportunities
Yingxue
1. Industry Overview
The space that Netflix competes in
Nicole
Video Streaming Services
$420 billion market evaluation
High speed internet access, online TV show popularity
78% subscribe to at least one platform
Original content is king
Video Streaming Services
Nicole
Porter’s 5 Force Analysis
Bargaining Power of Suppliers: Medium-High
Bargaining Power of Buyers: High
Threat of New Entrants: Medium
Threat of Substitutes: Medium-High
Nicole
2. Competitor Analysis
Hulu & Amazon Prime Video
Kim
Porter’s 5 Force Analysis
Goals:
“We can get as many subscribers as Netflix” Hopkins
Strategy:
Original series, heavy advertising investment
Actively buying/licensing new content
Original content
Kim
Differentiators:
Used to offer a free option
“We have a different offering, we also sell advertising” Hopkins
Porter’s 5 Force Analysis
Similarities:
Live streaming video
Original content
Challenges:
Private company
Goals:
Strategy:
Adrian
Differentiators:
Similarities:
Challenges:
Adrian
3. Firm Analysis
The building blocks of Netflix
Joseph
Three-tier subscription strategy
$72 billion market cap
80 million subscribers in 200 countries
International expansion
Affordability,
accessibility, and
original content
Joseph
Joseph
June 8, 2012:
$9.38
June 6, 2017:
$165.17
Joseph
4. Challenges & Opportunities
How will Netflix stay on top?
Nicole
Challenge: Differentiation
Opportunity: Virtual Reality
Tactics: Supplemental “bonus” original content, compatibility
with VR headsets
Nicole
Challenge: Shifting consumer trends
Opportunity: TV series
Tactics: Moving budget from movies to original TV series
Creation, utilizing
Extensive data collection
and algorithms
Nicole
thanks!
Any questions?
?
Yingxue