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Thesis
Streaming is the new black: a consumer-based examination of Netflix Inc. original programming and streaming strategy
Master of Science (M.S.), Drexel University
01 Mar 2015
DOI:
https://doi.org/10.17918/etd-6176
Abstract
Founded in 1997 in the United States, Netflix Inc. was originally a DVD-by-mail service, providing an alternative option to big box rental stores and their accompanying late fees. Foreseeing the potential in over-the-top Internet streaming and the fall of DVDs, Netflix began offering on-demand Internet streaming of licensed films and television programs in 2007 as a free perk for subscribers. By 2010, Netflix's streaming business had grown so quickly that the company transformed from the most rapidly growing customer of the United States Postal Service's mail service to the largest source of evening Internet traffic in North America. That same year, streaming became a separate subscription option from DVD rentals, marking the company's shift in focus towards streaming. In 2014, Netflix further defined its streaming strategy with the stated goal of releasing original content every two and half weeks. This change transformed Netflix from a content aggregator into a major content creator, potentially redefining the company's entire business model and brand image. However, it is unclear if this strategy modification has been successful in customer acquisition and retention as Netflix releases very little subscriber data. It is also unknown if viewers are taking to Netflix originals with the same alacrity as other premium content services known for such content. Though Netflix openly compares itself to HBO, a company known for quality originals, there is no data regarding its originals to back up this comparison. Additionally, in the face of rising content costs diminishing the bottom line at Netflix, it is critical that major content investments are proven to be stimuli for growth. If originals are proven to be important to users and beneficial to the company, this could legitimize the large budgets of some of the Netflix originals. This thesis examines Netflix streaming users habits, preferences, and opinions on Netflix streaming and original programming via survey to determine how important original programming is for the company and if it will help achieve the company's wider goal of becoming the world's first Internet-only premium content network.
Metrics
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Details
- Title
- Streaming is the new black
- Creators
- Lindsay B. Strott - DU
- Contributors
- Albert S. Tedesco (Advisor) - Drexel University (1970-)
- Awarding Institution
- Drexel University
- Degree Awarded
- Master of Science (M.S.)
- Publisher
- Drexel University; Philadelphia, Pennsylvania
- Resource Type
- Thesis
- Language
- English
- Academic Unit
- Television (and Media) Management; Cinema and Television; Drexel University; Antoinette Westphal College of Media Arts and Design
- Other Identifier
- 6176; 991014632387404721