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Netflix Marketing Strategy


Marketing strategies are a business’s comprehensive approach to meeting customer demands and expanding its market share over time. They include identifying a company’s target audience and selecting the most effective distribution methods. This paper will analyze Netflix’s marketing strategy focusing on its product/service and pricing strategies. Netflix is highly sought after as a production company and streaming service. It has an extensive library of critically acclaimed series, movies, animation, documentaries, and more. It may be viewed on any internet-connected device, including smartphones, smart televisions, game consoles, set-top boxes, tablets, laptops, and desktop PCs. Netflix’s expansion to more than 190 countries and territories has sparked a revolution in the entertainment sector. The company’s total number of subscribers increased to 222 million, an increase of 18.2 million over the previous year due to Netflix’s brilliant marketing strategies (Arun, 2022). Netflix is a fantastic example of a company that uses an integrated marketing approach. It’s integrated, adaptable, and client-focused for maximum efficacy. Netflix uses a customer-focused business approach to ensure smooth interaction. The platform is data-driven and target-specific thanks to its innovative use of content marketing and integrated marketing. Netflix focuses on its customers, and the company strives to develop close bonds with them through personalized recommendations and in-depth conversations. Also, they use cutting-edge advertising techniques to entice people to tune in to their shows. The innovative use of data analytics is essential for today’s marketers to create experiences that satisfy their customers. Netflix uses consumer data analytics to determine what shows and movies its consumers are interested in watching (Elkawy et al., 2019).

Product/Service Strategy

Netflix utilizes personal data to appeal to and attract most of its consumers. Its target audience is millennials and Generation Z, who are run by emotions and personalized considerations. Netflix’s success stems from its ability to tailor its services to each individual user. The site is customized for each of its 216 million members. Because of their individualized recommendations’ effectiveness, they are responsible for 80% of all user engagement (Wise, 2022). The company’s understanding that people have diverse reasons for enjoying the same video is fundamental to its approach to personalization.

Furthermore, in what has become known as “binge viewing,” Netflix often keeps users glued to their screens for long periods. They expanded this method by catering to viewers’ insatiable need for a second helping of a program right after they finished the first, something that cable providers weren’t doing at the time. This allowed them to capture the most attention possible and keep their viewers interested. With auto-play and similar capabilities, consumers may continue watching their favourite shows without manually skipping to the next episode (Acharya, 2022). Once a movie or TV show is over, Netflix suggests something new to watch based on your viewing history. They even create new categories based on viewing history, grouping together shows with a common thread regarding plot, cast, or other characteristics.

Netflix offers a multi-mode experience to its consumers. Customers can begin a contact through phone (or their favourite channel) and carry it forward into other media with a multimodal experience, rather than being limited to the one they initially initiated it on. Netflix has been successful since its inception as a DVD rental service because of its commitment to supporting various devices. Netflix allows consumers to view videos live on their television, computer, smartphone, or tablet. When it comes to serving clients, the company needs to care where they happen to be located. Netflix uses online and traditional advertising methods to attract and retain users (Kumar, 2022).

In this day and age of instantaneous communication and entertainment, a business needs to stand out from the crowd. When used effectively, humour marketing is the most engaging advertising, drawing in more consumers than any other tactic. Although it may not appear that way at first glance, social media marketing is quite methodical in generating interest. Netflix frequently poses questions to their social media followers to spark conversation and get them involved (Bernat, 2018). Netflix has a reputation in the entertainment industry because of its humorous posts. The Netflix Twitter account regularly posts entertaining content and surveys for its followers. (Sy, 2021).

Pricing Strategy

Netflix uses a value-centred pricing strategy characterized by simplicity and low price. Value is at the heart of Netflix’s pricing model. Value-based pricing is novel since it provides customers with three distinct subscription tiers, each with a different level of value and corresponding price. The subscription model gives the company an edge over its rivals, who charge per episode or movie. The cheapest Netflix subscription in India costs 500 Indian rupees ($8.) a month, while the Premium plan costs 800 Indian rupees ($12.) per month. Under the Rs 500 Basic plan, users have access to all movies and TV shows, but there is only room for one viewer at a time on the screen (Heaji, 2021). Users can watch on any device they like, including a computer, TV, smartphone, or tablet. The Standard plan is the least expensive at Rs 650 per month. Netflix’s Rs 500 package has the same excellent service as the standard Netflix subscription, plus two more screens and HD movies. You may get four displays for an additional Rs 800, allowing four people to watch from different rooms simultaneously. If one of your pals has an Rs 800 Netflix subscription, you can split the bill and pay just Rs 200 each (Shastri, 2021). The company successfully encourages the use of its streaming services by providing affordable and straightforward subscription packages. All of its target readers can benefit most from this pricing strategy.


Members are thrilled by the personalized service since it helps them quickly identify films they would enjoy. It takes work to replicate a successful implementation of mass customization. In addition to boosting revenue, personalization is a crucial component of Netflix’s business model. 222 million users’ preferences are analyzed so that they can “right-size” their content spending. Based on predictions from its personalization algorithms, Netflix allocates more resources toward potential blockbusters like “Stranger Things” and fewer resources toward niche programming like “Dawn Wall.” (Wells, 2022) impressions from seeing. Netflix encodes content hundreds of times to accommodate varying bit rates and screen sizes.

Additionally, they work with a network of more than a thousand ISPs to accelerate the delivery of high-definition video over the Internet employing embedded deployments of their Open Connect Appliance. Furthermore, the Open Connect ISP network produces a unique and difficult-to-replicate network effect. Customers are thrilled by high-quality video and audio that “simply works.”

Nevertheless, the battle for online streaming supremacy is heating up. In the streaming industry, nobody compares to Netflix. However, Netflix has been losing members in the United States since 2019, and the company is now at a crossroads where it must evaluate its existing position in the market. According to recent polls, consumers can’t wait to try new streaming services like Disney +. Almost two-thirds of customers plan to cancel or reduce the quality of at least one existing subscription to create a place for a new service. Consumers also prefer ad-supported models. Deloitte found that 65 percent of respondents to their recent poll on digital media trends would be willing to view advertisements in exchange for free or discounted subscriptions. Seventy percent of Hulu’s paying customers choose the ad-supported, cheaper tier. Peacock, NBC’s new streaming service, is free with advertisements (Heaji, 2021). This runs counter to Netflix’s “no advertisements” and premium positioning. Netflix needs to offer various pricing tiers to fend off rising costs and keep from losing subscribers to the competition. Alternatively, the corporation might roll out the cheaper mobile-only package they’re testing in other regions.


  • It should invest more in-service differentiation into various genres and Asian countries.
  • Conduct personalized customer surveys and marketing campaigns.
  • Introduce streaming sites with discounts for watching advertisements.
  • It should also adopt AI services to ensure consumer satisfaction.
  • It should take steps to reduce the basic pricing plan to ensure an increase in revenues.
  • Invest in repositioning with reduced pricing but maintaining originality and personalization of its products and services.


Acharya, N., 2022. A complete overview of the marketing strategy of Netflix.  M Skills.

Amer Abd Elkawy, A. L. K. R. A. M. P., 2019. Netflix the Face of the TV industry.  Research Gate.

Arun, R., 2022. A Case Study on Netflix Marketing Strategy.  SimpliLearn.

Bernat, J., 2018. Netflix and Itunes Case study.  Centria.

Kumar, I., 2022. A Case Study on Netflix Marketing Strategy. Saath Rahenge success Tak(SAFALTA).

Kweon Heaji, K. S. H., 2021. Pricing Strategy within the U.S. Streaming Services Market: A Focus on Netflix’s Price Plans.  Korea Science, 17(2), pp. 1-8.

Shastri, A., 2021. Comprehensive Marketing Mix of Netflix – With Full Company Overview. IIEDE.

Sy, A.-G., 2021. Netflix’s Nearly Flawless Marketing Strategy – How Can You Apply It? (Source:  Sortist.

Wells, T., 2022. What is the Pricing Strategy of Netflix 📽 Podcast Ep. 50.  Taylor Wells.

Wise, M., 2022. Lessons in Personalization: What Netflix Can Teach Marketing & Sales Teams.  Entrepreneur.


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