Question

This discussion is based on the video. “Netflix Raises Prices to Fight the Future..” Answer all of the following questions. Why did Netflix raise their prices? What was the reaction? Explain the competitive landscape of streaming services. At what price point will customers leave Netflix and drop the service? Who is your internet provider and streaming service? Why?

Answer 1

Answer 1 - Netflix is spending more and more money to keep getting quality content on their platform to boost subscriptions. It spent $8 Billion 2018 which was way more than the competition and hence need revenue to be able to to stay afloat. Netlfix is also the only streaming platform with no big names backing it up or no other streams of revernue like for Prime Video (owned by Amazon) or Hulu Owned by Disney and Warner). The reaction to the hike is not good and consumers are furious about it.

Answer 2 - As already explained above as well, the competitive landscpe of streaming services is dominiated by media house or e-comemrce giant owned platforms like Hulu and Prime with more media houses readying to enter the arena like Disney. It is being done to be able to maintain viewership of the cable network viewers of their respective channels. Due to multiple revenue streams, these platforms have a competitive advantage against Netflix.

Answer 3- ((Please mention the price point which you think is expensive))

Answer 4 - My internet provider is (Please Fill) and streaming service is Netflix. The respective reasons being speed and content. Netflix was also one of the first streaming services with great content and gamut of offerings.