Preview
Preview

Netflix"s Approach to Marketing Essay

:: 5 Works Cited
Length: 1147 words (3.3 double-spaced pages)
Rating: Yellow      
Open Document
- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -

After receiving a ridiculously high fee for returning a movie late, Reed Hastings said that there had to be a better way to rent and watch movies and TV shows from the comfort of their own homes. Hence, in 1997 Reed Hastings and Marc Randolph, a software executive, co-found what is known today as Netflix, “the world’s leading internet subscription service for enjoying movies and TV shows,” (Netflix, Facts). The purpose of this paper is to the process of exchange between Netflix and their customers, as well as Netflix’s approach to relationship marketing and how this marketing technique has helped Netflix leave their competitors in the dust when it comes to customer satisfaction.
From its inception, Netflix has become a business based on superior customer service and has subscribed its business to the market marketing management philosophy. The main purpose behind Hasting’s idea of a better way to rent and enjoy movies was how to provide that service to their clients and not have any late fees. In other words, their customers could enjoy their rentals from Netflix for as long as they wanted, and they would never have to worry about late fees again, so long big movie rental chains! This aspect alone of Netflix’s marketing plan indicates that Netflix has based their marketing plan on market orientation, “a philosophy that assumes that a sale does not depend on an aggressive sales force but rather on a customer’s decision to purchase a product,” (Lamb, 2009, p.7). Many companies that take on this philosophy are said to implementing the market concept. The marketing concept states: “The idea that social and economic justification for an organization’s existence is the satisfaction of customer wants and needs while meeting orga...


... middle of paper ...


... rental devise and stand in the weather trying to figure out what movie we want to rent, talk about a great deal!



Works Cited

Lamb, C. W., Hair, J. F., McDaniel, C. D., & Wardlow, D. L. (2009). Essentials of marketing (6th ed.). Cincinnati, Ohio: South-Western College Pub..
Netflix - Watch TV Shows Online, Watch Movies Online. (n.d.). Netflix. Retrieved March 13, 2012, from https://signup.netflix.com/MediaCenter/Timeline
Netflix - Watch TV Shows Online, Watch Movies Online. (n.d.). Netflix. Retrieved March 13, 2012, from https://signup.netflix.com/MediaCenter/Facts
Netflix - Watch TV Shows Online, Watch Movies Online. (n.d.). Netflix. Retrieved March 13, 2012, from https://signup.netflix.com/MediaCenter/HowNetflixWorks
Netflix - Watch TV Shows Online, Watch Movies Online. (n.d.). Netflix. Retrieved March 13, 2012, from https://signup.netflix.com/MediaCenter


Click the button above to view the complete essay, speech, term paper, or research paper








This essay is 100% guaranteed.


Title Length Color Rating  
The History of Netflix Essay - Reed Hastings, co-founder of Netflix headquartered in Los Gatos, CA, began the company’s operations in 1997 after receiving an enormous late charge from a movie rental he returned long overdue. However, Hastings had the desire to be different than traditional movie outlets; whereas, customers had to drive to the location, pay a certain amount for each movie they rented, and were given a deadline in which to return the movie. Instead of using a method established by other video markets “to attract customers to a retail location, Netflix offered home delivery of DVDs through the mail” which eventually led to a booming business towards streaming forms of entertainment (Shih, Kaufman, & Spinola,...   [tags: international territories, movies, dvds]
:: 7 Works Cited
2022 words
(5.8 pages)
Term Papers [preview]
Netflix and Facebook: A Case Study Essay - Introduction The ability for marketers to make use of user generated content from social networking sites such as Facebook enhances the chances of developing personalized and targeted advertisements and promotional content to specific customers, thus increasing profitability through acquisition of larger market share and competitive advantage. Targeted, personalized and interactive marketing helps to increase customer retention and enhances customer loyalty making a company’s products and services increasingly irresistible leading to repeat purchases and higher profitability as well as reduced customer servicing costs....   [tags: Netflix, Facebook]
:: 11 Works Cited
1379 words
(3.9 pages)
Strong Essays [preview]
Essay on Marketing Audit Approach - Ikea - Marketing Audit Approach - IKEA Marketing Audit Overview “What is a marketing audit. Quite simply, it is a detailed analysis of the elements that constitute or influence a company’s efforts to profitably market its products- today and in future when both market and products may undergo radical change” ( John, Alexander, & Theodore, 1969). The marketing audit helps to understand the fundamentals of a company’s marketing planning process. Auditing is not only conducted not only at the planning stage and also conducted during various stages until the implementation of the marketing plan....   [tags: Business Marketing ] 1544 words
(4.4 pages)
Strong Essays [preview]
Netflix SWOT Essay - Can you name the largest online entertainment subscription service. If you said “Netflix” then you are correct. Netflix started in 1997 by Reed Hastings and the subscription service started in 1999. The company headquarters is based out of San Francisco, California. There are over 100 shipping location in the United States. Netflix offers over 100,000 DVD titles and over 8,000 that are ready to be watched instantly on a subscribers PC. Netflix has over 1500 fulltime and 1100 part time employees at their headquarters and shipping centers....   [tags: Business Analysis Netflix Strategy] 1333 words
(3.8 pages)
Good Essays [preview]
Netflix Case Study Essay - Netflix Case Study The video rental industry began with brick and mortar store that rented VSH tape. Enhanced internet commerce and the advent of the DVD provided a opportunity for a new avenue for securing movie rentals. In 1998 Netflix headquartered in Los Gatos California began operations as a regional online movie rental company. While the firm demonstrated that a market for online rentals existed, it was not financially successfully. Netflix lost over $11 million in 1998 and as a result significantly changed the business model in 2000....   [tags: Netflix Business Analysis ] 1320 words
(3.8 pages)
Strong Essays [preview]
Essay Netflix Strengths - Netflix Strengths Netflix provides a subscription-style e-commerce service. Customers only need to sign up and pay $13.95-39.95 a month to borrow as many as 2-9 movies at a time with no monthly limit. If customers quickly watch the DVD and send them back, the monthly fee pays for quite a few movies. The relatively low monthly fee enables Netflix to compete with Blockbuster and other brick-and-mortar video rental business. Meanwhile, Netflix might keep the customers who try the service and happy with it continue paying the monthly fee....   [tags: Netflix Strengths Business Analysis] 1107 words
(3.2 pages)
Strong Essays [preview]
Netflix Essay - Introduction Reed Hastings (co-founded) founded Netflix in 1997. During this time, Netflix offered DVD rentals by mail. As Netflix went public in 2002, shortly a year later their subscription reached the one million mark (Netflix Management, 2011). Recently, Netflix is recognized as one of the 50 most innovative companies, ranking number eight for “streaming itself into a $9 billion powerhouse (and crushing Blockbuster)” with 20 million subscribers (fastcompany.com, 2011). This success shows how Netflix embraced a business approach where their mission was to take the troublesome experience of everyday consumers and transform them into a business opportunity....   [tags: Technology, DVD Rentals] 1034 words
(3 pages)
Good Essays [preview]
Netflix Essay - Netflix 1. Blockbuster was able to create a strong position in the traditional video rental industry due to a couple of factors. It was initially based on the idea that “movie rentals were largely impulse decisions.” With this being the case, the assumption was that consumers would want the newest releases. In order to cater to this, Blockbuster grew quickly in order to expand geographically and to increase share in existing markets. The size of Blockbuster became its major source of advantage....   [tags: Case Study Business Model Netflix] 1105 words
(3.2 pages)
Strong Essays [preview]
Essay on Markering - Markering Introduction Steve Case founded America Online (AOL) in pre-Internet days when the networking of various computer systems was rather informal and difficult for all but the highly computer-literate to accomplish. His goal was to make accessing these networks easy enough for anyone to manage. Though AOL has changed dramatically since those days, ease of use has remained a primary consideration in all changes visible to the user. Much maligned by the more "serious" services (and their subscribers) in the past, AOL has risen to be the industry leader despite challenges and the image of being the J.R....   [tags: GCSE Business Marketing BTEC Coursework] 576 words
(1.6 pages)
Strong Essays [preview]
Marketing Essays - Extended QFD: Multi-Channel Service Concept Design LUUK SIMONS & HARRY BOUWMAN Delft University of Technology, The Netherlands ABSTRACT The objective is to develop and test a multi-channel e-services design supportmethod that meets relevant design criteria. On basis of the evaluation of existing service concept design methods, we extracted relevant design criteria, such as customer orientation, channel coherence, channel synergy, competitive positioning, speed, focus and communication, and developed an alternative service concept design method, i.e....   [tags: Business Marketing] 1785 words
(5.1 pages)
Strong Essays [preview]