Netflix has been scarred with mistakes lately, and mostly they had done it to themselves. By now you probably had heard how Netflix raised prices, tried to split Netflix into two then reverted to one service again, and then decidedly kept prices high as it had intended all along. Customers were furious, and some of them still do. Many shareholders bailed Netflix’s stock, gave way to a stock that once was neared $300 but now it’s hovering around $117.
Has Netflix forever destroyed itself? This question is quite important in this period of time for Netflix, because so many other players are willing to spend huge amount of money to build something that might be fit to compete against Netflix. Just to name a few, Vdio, Amazon, Google, Dish’s Blockbuster, and Apple.
I don’t think Netflix is yet to be desperate, because it has several advantages that the competitors aren’t yet capable in matching or surpassing. Let see, Netflix is still considering to be the best service. It has more film titles than anyone else for instant streaming, and its CD/DVD by mail is still intact — has huge collections of films. Although Netflix has raised prices higher, it’s considerably cheap, still. People can instantly stream Netflix’s films on most devices and gadgets in the markets — this hasn’t been the case for the competitors.
I do think that by giving enough time, anyone can catch up to Netflix as long somebody is willing to spend enough cash to play the catch-up game and the customers are willing to switch to try out newer services so they can compare the formers versus the newcomers. This is why I do think Netflix has to innovate more than just being the service which has acquired more film titles for instant streaming than anyone else. Why? Some customers might be contented with just enough film titles, because not everyone is able to sit down and watch all of them titles. Nonetheless, good titles are very important, because only the titles people want to watch most will be able to promote the charm of the service.
How Netflix should innovate? Netflix needs to add features and whistles and bells to its instant streaming service! Let see, when I watch a TV show, I do not want to switch manually one episode to another, because I hate to get out of my couch or bed just to switch to the next episode of the series. What can I say, people like me are born to be lazy, and I’m afraid there are tons of us out there! Let see, Netflix might want to try incorporate social network features similar to Facebook and Google Plus into its own service, because it’s logical to allow users to communicate better. Perhaps friends on Netflix might want to share favorite movies with each other and so on. Let see, Netflix might want to bring live shows to users/customers. Live shows have the potential to be game changer, because some people just want to be able to watch news the way they have been doing for ages on regular TVs. There are so many things that Netflix can enhance its service, and by doing so I think Netflix can basically mute its competitors in way that it’s not even funny! Let not forget to be simplistic and yet at the same time appearing to be capable!
In summary, Netflix isn’t that desperate yet, but it will be if it allows the competitors to catch up! Netflix can enhance its service by tweaking its service in ways that appeal to customers more. Netflix can dominate even more by controlling more popular film titles and TV shows. Keeping the prices affordable, Netflix will be able to ensure its longevity. Happy customers in the end will make things very costly for Netflix’s competitors.
Vinh Nguyen
