Tuesday, April 26, 2011

Consumer Media Retailer Prediction & Concept: "NetFlix Has New Moves"

Hello All,

Today's business forecast regarding "NetFlix" is more of a given already in terms of a trend. Now that "Blockbuster" has been sold off in a bankruptcy auction to "Dish Network Corp" for a mere $320 million dollars. The days of the video rental bricks and mortar stores are over. Much the same way that "Best Buy" gained market share when its chief rival "Circuit City" collapsed. (Circuit City, is now a shadow of its former self as a E-Retailer online) So "NetFlix" and "Red Box" will now gobble up what "Blockbuster" has surrendered in market share via its consumer base.

I have two probable concepts that "NetFlix" could pursue to gain additional subscribers and thus market share.

First, "NetFlix" to partner via an agreement with any one of the major Hollywood movie studio's. To do a movie theater simultaneous Super Release of a AAA blockbuster movie across America. NetFlix, could agree to stream the super release film for a period of two weeks to its own subscribers. Where during this period "NetFlix" will be offering new and former subscribers sign-up member deals to increase its consumer base. NetFlix, could also offer sweepstakes and contests to its existing members. As an incentive to rent / stream such a AAA blockbuster super release featured film.

Yes, this may very well eat into movie box office revenue. But, it may very well indicate to the movie studios that consumer behavior in viewing such media is shifting. Be it to hand held devices to home entertainment systems that the viewing quality is just as good, if not better in some house holds than within a movie theater. Just as the video rental stores are mostly dinosaurs ala "Blockbuster". So it may be the case with movie theaters in regards as to how consumers wish to view media programming. Nonetheless, the movie studios and "NetFlix" will gain sufficient consumer demographic research if such a deal went through for both parties. NetFlix, for its part can offer such a AAA movie blockbuster super release in the regular 2D and the fancier 3D formats to its subscribers.

After the limited 2 week super release that "NetFlix" can secure from a movie studio. Only available by streaming and not the mail delivery of DVD's or Blu Ray discs. Which will only occur when the regular cycle begins many months later for a DVD / Blu Ray consumer retail release.

Second, "NetFlix" can expand its media programming catalog to include TV & Movies from Latin America. Particularly starting with Mexico, which is the Mecca for Latin American "Soap Opera's" worldwide. TV programming such as this will gain Hispanic eyeballs be it here in the United States. And, eventual market expansions into Central and South America. Ideally if a co-branding could occur with Mexico's "Unvision" TV channel. Which has TV stations across the United States chiefly the States of: Florida, Texas, California, and New York. That would be an additional boon in gaining access to their TV media catalogs of past or present TV programming.

The Hispanic audiences here in the United States will only continue to rise as a consumer demographic. Be it for generations of American Hispanics or others from abroad living here within the United States. Where if "NetFlix" began catering to them as well it will only gain subscribers and perhaps market share within Latin America.

Both of these concepts as noted above are potential directions that "NetFlix" could pursue. In order to expand its membership base of subscribers and to continue growing its market share favorably. Nonetheless "NetFlix" will continue gaining ground now that it has no equals amongst its rivals as it stands currently.

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