*dance.emote*
Ahh, remember the halcyon days of Netflix being the scrappy underdog against big TV? Well, get ready to feel old, then, because Netflix is now less worried by the likes of HBO, and more worried about Fortnite. In a letter from execs to investors, they stated that “We compete with (and lose to) Fortnite more than HBO.” That said, they’re not really worried about their competition at all; they’re more concerned with providing a good service to customers.
As a matter of fact, They’ve been doing well overall. That said, while their subscriber count exceeded expectations, their revenue did not. Hence the rate increase.
Speaking of, they plan on justifying that to subscribers. They’re shifting focus towards more original content, and less reruns. That said, they still plan to buy 2nd run content when studios offer it up.
As a result of our success with original content, we’re becoming less focused on 2nd run programming. For example, we launched our originals strategy for the unscripted genre only two years ago. Today, Netflix originals, like Tidying Up with Marie Kondo, account for a majority of total unscripted view share on Netflix, while viewing of all unscripted programming has increased meaningfully during that time. We are ready to pay top-of-market prices for second run content when the studios, networks and producers are willing to sell, but we are also prepared to keep our members ecstatic with our incredible original content if others choose to retain their content for their own services.
So, yeah, 2019’s probably going to be a big year for Netflix.
Source: Engadget
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