Is Netflix Broken? Our Marketing, Investor Perspective & Lessons
What do Netflix, Peloton, Lululemon, Starbucks, and many others have in common today? Please continue to read as we discover why some businesses cannot survive too long and why founders, investors, and employees need to try to find longevity products and services.
The answer to the question is lack of longevity. These businesses can lose flavor pretty quickly in the future, They are not necessarily fads but that their businesses are based on “can-live-without” or “there are so many alternatives”. Another way to put it is….Vitamins versus Pain Killers.
I’m sure many of you (small businesses, startups, medium business, enterprise, professional services) have businesses that are either in one of those. The problem in building vitamins is that people eventually will not care and loyalty will vanish.
For further business insights, to share your perspective or get $840US in free* marketing services, please reach out to myself or need solutions to your business visit bjmannyst.com via mbhvim.com.
Breaking Down Netflix & Others Today
- Years ago they were disruptors and special. Today their appeal is slowly disappearing .
- Lost subscribers (due to many factors including price hike, and the war in Ukraine)
- Password sharing
- Netflix is also considering a cheaper ad-based tier,
- Trying to appeal to everyone and stand for nothing
- Netflix doesn’t have other ways to make money. Disney does. Amazon does.
- What is Netflix why? What is Netflix higher purpose? Who is in love with Netflix?
- Living on algorithm alone is suicide.
- Saturation
- Who is still madly in love with StarBucks?
- Lululemon’s apparels are easily copied
- Who is still madly in love with Lululemon?
- Price sensitivity
- Lots of substitutes
- Where is the loyalty?
Tips For: small businesses, startups, medium business, enterprise, professional services
- If you decide to disrupt make sure to build a pain killer
- Learn from Apple but eventually Apple will lose its appeal
- Better live 24/7 for a sustainable higher purpose
- By our observation from early digital music, windows OS, software…people will do anything to access intangible goods even if it means not paying.
- It sounds good to provide ad based options however it shouldn’t be a primary revenue.
- Do everything not to compete on price
- Do your best to offer good value and features
- Do your best to build your own platform
- Don’t build your businesses dependent on others platform & IP
- Try to be in businesses not overwhelmingly competitive or not too many substitute
- Eventually have some diversity in your business income stream especially if you are a “vitamin”
- Algorithm should compliment decision making not be 100%.
- Some ROI doesn’t happen in 12 Months.
- Never ever get complacent cause there’s someone who wants your lunch, dinner, and breakfast.
- Good defense because the giants may come after your market
- Have many ways to acquire clients, sell your services, acquire talent.
- Invest in the future
Original source: https://www.linkedin.com/pulse/netflix-broken-our-marketing-investor-perspective-lessons-omikunle?trk=public_post-content_share-article or link
