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NET FLIX Free Resources
The process of building ...
The process of building brand, technology, and user base was carefully if not cautiously timed, as the lessons of over zealous Internet mergers, such as, Excite@home and AT&T, were rushed well ahead of user awareness and market development. Netflix became recognized as a leader in pioneering personalized content delivery by building on household brand recognition and trust. This was the cornerstone of their database mining and marketing effort, which blended personalization and data mining technology with entertainment delivery.
Netflix Wins:
* Netflix wins in 'discovery' and negotiation, and streamlines 'process'
* Netflix developed multiple modes of transactions, as you can hold and buy a DVD (spot purchase), have them sent weekly (recurring), or put in an advance order to have one arrive as soon as it's released (dynamic).
* The 'participant' component of the value framework was a key element of success, with the B2B2C value chain including movie labels and television content.
The Winning Strategies (Advertising, Marketing, and Distribution/Delivery):
* The alliances with Best Buy were critical to launching their portal, as new DVD users were the most likely consumers to try a new rental service.
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