From an international marketing point of view, explain the change in Netflix’s strategy from a premium product with premium to a mass product by reducing the subscription rates.
Streaming service, Netflix has come up with a new ad film that highlights ‘Sabki pasand wala Netflix; Apni pasand wala Netflix’.
The ad has been released shortly after Netflix reduced its subscription rates by up-to 60% for India market. The ad attempts to attract customer amidst growing competition from Amazon Prime, Hotstar etc.
The ad film, whose set up is based on an arranged marriage meet. One of the boy’s family member asks the girl ‘Netflix pe kya dekhti ho? In a naughty manner the girl replies ‘Hum Saath Saath hain, Hum Aake Hain Kaun’. The family is delighted to hear the reply. All this while the boy conveys the impression that he is not impressed by her choice of movies. The girl then whispers to the boy ‘Stranger Things, Money Heist aur Narcos Bhi Dekhti hoon’.
The ad finishes with tag line followed highlighting the new reduced Prices.
The ad film intelligently provides the range of content available on Netflix i.e. Hindi movie content for Audience in the older age group 45 and English content for audience in the younger age group.
The ad film is set in the backdrop of arranged marriage. A phenomenon associated with masses in India. Netflix with it’s premium pricing was perceived to be a product for higher income market.
Question:
From an international marketing point of view, explain the change in Netflix’s strategy from a premium product with premium to a mass product by reducing the subscription rates.
Step by step
Solved in 3 steps
