Netflix - Netflix Profile Founded in 1997 by Marc Randolph and current CEO Reed Hastings Originally offered DVDs on a fee per use basis Introduced

Info iconThis preview shows pages 1–4. Sign up to view the full content.

View Full Document Right Arrow Icon
Netflix Profile Founded in 1997 by Marc Randolph and current CEO Reed Hastings Originally offered DVDs on a fee per use basis Introduced monthly subscription service in 1999 2009 forecast of 10.6 to 11.3 million subscribers Sales - $1.7 Billion in 2009 IPO in 2002 at $15, now $70 1
Background image of page 1

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon
Business Model Primary “after theater” consumer distribution methods: DVD rental and purchase On-line content service (pay-per view, streaming) Growth of DVD rental/purchase in 1990s Large movie studios recording in digital format DVD players more affordable Enter Netflix, DVD rental strong in U.S. Started out as regionally based online movie store Changes its business model to subscription base in 2000 No late fees. “All you can eat” 2
Background image of page 2
Value (ebay’s proposition). No late fee & free shipping Convenience and selection (Amazon’s proposition). Prepaid return envelop. 3
Background image of page 3

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon
Image of page 4
This is the end of the preview. Sign up to access the rest of the document.

This note was uploaded on 01/28/2011 for the course IELM 120 taught by Professor Fu,qi during the Spring '09 term at HKUST.

Page1 / 9

Netflix - Netflix Profile Founded in 1997 by Marc Randolph and current CEO Reed Hastings Originally offered DVDs on a fee per use basis Introduced

This preview shows document pages 1 - 4. Sign up to view the full document.

View Full Document Right Arrow Icon
Ask a homework question - tutors are online