Netflix 2010 Case Study
1. How strong are the competitive forces in the movie rental marketplace? Do a five-forces analysis to support your answer.
Five Forces Analysis of Movie Industry Rental:
Rivalry among competing movie rental:
The movie rental industry is intensely competitive and will continue to be in the future. The rivalry between the competitors is to strategize to set them apart from one another. Some marketing maneuvers are prices for rentals, instant DVD’s, promotional products, and its reputation. Netflix, blockbuster, iTunes, Hulu, and many more are among the competitors. They send Blockbuster, Movie gallery and its associated stores to bankruptcy and it even ended with companies closing doors for good.
Google announced their abilities of Google TV. This let households combine their regular TV experience while accessing music, videos, and photos anywhere on the internet. Hulu who was owned by NBC Universal was also a free online video service that offered TV shows, movies from a few cable networks and movie studios. Also offering a larger library as Netflix offered it customers by purchasing plans. The concept was based on promoting “TV everywhere”, having such devices ad iPad, iPod, or smartphones with wifi capability you could watch TV practically anywhere. Changes in 2009 technology required all TV stations to use digital technology.
Promotion is very important between these rivals when you are trying to promote in a highly competitive environment. For instance, Netflix free trials that the company took to make a new tactics paid off for the company. Redbox and Blockbuster put kiosks at every street corner that you could think of to attract customers.
* Price is one of the biggest attractions that a company has to bring consumers to its company. A way that Netflix brought that was giving potential customers 30 day free trials of instant shows, movies, as well as DVD’s shipped to your front door. This gave customers a feel of what Netflix was offering and gave
Five Forces Analysis of Movie Industry Rental:
Rivalry among competing movie rental:
The movie rental industry is intensely competitive and will continue to be in the future. The rivalry between the competitors is to strategize to set them apart from one another. Some marketing maneuvers are prices for rentals, instant DVD’s, promotional products, and its reputation. Netflix, blockbuster, iTunes, Hulu, and many more are among the competitors. They send Blockbuster, Movie gallery and its associated stores to bankruptcy and it even ended with companies closing doors for good.
Google announced their abilities of Google TV. This let households combine their regular TV experience while accessing music, videos, and photos anywhere on the internet. Hulu who was owned by NBC Universal was also a free online video service that offered TV shows, movies from a few cable networks and movie studios. Also offering a larger library as Netflix offered it customers by purchasing plans. The concept was based on promoting “TV everywhere”, having such devices ad iPad, iPod, or smartphones with wifi capability you could watch TV practically anywhere. Changes in 2009 technology required all TV stations to use digital technology.
Promotion is very important between these rivals when you are trying to promote in a highly competitive environment. For instance, Netflix free trials that the company took to make a new tactics paid off for the company. Redbox and Blockbuster put kiosks at every street corner that you could think of to attract customers.
* Price is one of the biggest attractions that a company has to bring consumers to its company. A way that Netflix brought that was giving potential customers 30 day free trials of instant shows, movies, as well as DVD’s shipped to your front door. This gave customers a feel of what Netflix was offering and gave