When Netflix decided to expand their services globally in 2016, they had never expected hit shows like “Squid Games” from South Korea and “Bridgerton” based in the United Kingdom to be as successful as they were. These shows have amassed such an audience they have been renewed season after season and with these shows breaking internal viewership projections the company is all in on going global. From TV to film, and now video games, Netflix is ambitious to capture more subscribers and become the dominant streaming services once more. Netflix is cracking down on password sharing and introduced an ad-supported subscription tier to increase revenues and help expand worldwide to reach more subscribers. By taking these steps the company has seen contention from current subscribers as the company decided to pull back the reins to allow for growth. Netflix’s impact on the global TV industry remains undeniable, even as it now faces fresh questions about its audience growth potential, ability to compete for ad dollars, and opportunity to capture younger viewers (Moses & Rodriguez, 2024).
The company not only has been investing in US content and marketing like the hit show “Stranger Things”, but since globally expanding they are now producing local content to attract new viewers and subscribers in specific markets. With over 260 million subscribers worldwide the company has gained momentum in countries specifically like Germany, Mexico, and India. With this expansion the company has realized global audiences like the availability to watch broadcast network type shows along with live programming with examples being sports and comedy (Moses & Rodriguez, 2024). While Netflix has contracts to stream world famous movies and television shows, the company has decided that creating their own original content is important for global expansion.
As the company decided to go global, they also decided to shake up their leadership. In 2023, CEO and co-founder Reed Hastings stepped down and moved to executive chair and Greg Peters and Ted Sarandos became Co-CEOs of the brand. This was a change that reflected the company’s new global strategies going forward. Also, with a new Chief Marketing Officer and Chief Content Officer these new leaders were determined to create new revenue streams for the company. Even though the company is still in their growing phase, Netflix has still had multiple rounds of layoffs. This has reflected poorly on the company and while hiring has slowed, it’s still adding employees to maintain its lead over other paid streamers and fuel its global expansion (Moses & Rodriguez, 2024). Netflix is no stranger to competition and is ready to take on whatever trend comes next and being a global company allows for the brand to enter certain markets with confidence.
References
Moses, L., & Rodriguez, A. (2024, April 16). How Netflix Has Changed the Global Entertainment Industry. Business Insider. Retrieved April 22, 2024, from https://www.businessinsider.com/how-netflix-is-changing-the-entertainment-industry-2021-8
One reply on “Taking Netflix Global”
Hello, Halle! This is a wonderful article!
The shift in leadership and the focus on creating original content reflect Netflix’s commitment to its global strategies. While there have been challenges such as layoffs, the company’s determination to stay ahead in the streaming market remains evident. It’s impressive to witness how Netflix continues to adapt and thrive in an ever-changing entertainment landscape.