What strategies are companies in Streaming-Video Services using to win
Explore Streaming-Video Services companies
In Streaming-Video Services, the following strategies are implemented by companies to win:
1. Differentiate Through Content Strategy
Content is the primary driver for attracting and retaining subscribers, but the winning approach varies.
Example: Broad & Localized Originals (Netflix): Netflix's strategy is to create a massive and diverse library of original content, with a strong emphasis on producing content tailored to specific international markets.
Example: Example: Netflix's goal to "Adapt Content for Cultural and Language Preferences" drives its global growth by investing in local productions that appeal to regional tastes.
Example: Leverage Iconic IP (Disney): Disney's strategy is to exploit its world-renowned intellectual property across its services. It builds its content slate around powerful, pre-existing franchises.
Example: Example: Disney focuses on "Increase Original Content Production" for key franchises like Marvel, Star Wars, and Pixar, creating a powerful draw for its streaming platforms.
Example: Anchor with Live Sports (Comcast): Comcast uses exclusive live sports as a major differentiator for its Peacock service to attract a dedicated audience.
Example: Example: A key initiative for Comcast is to "Secure Key Sports Rights Agreements" for events like the Olympics and NFL, making Peacock a must-have for sports fans.
2. Integrate into a Broader Ecosystem (The "Bundle")
For most competitors, the streaming service is not a standalone product but a key piece of a larger value proposition.
Example: The Standalone Exception (Netflix): Netflix is unique in its focus on a pure-play streaming model. Its "bundle" is the depth and breadth of its own content library. Its primary challenge is competing against the ecosystem bundles of its rivals.
Example: Example: Netflix aims to "Improve Member Experience" and "Differentiate the Service" based solely on the merit of its platform, without relying on other business lines.
Example: The Content Bundle (Disney): Disney bundles its streaming services (Disney+, Hulu, ESPN+) to offer a comprehensive entertainment package and reduce churn.
Example: Example: Disney's strategy includes a goal to "Enhance Disney+ Bundling Options," creating a sticky ecosystem of its own media properties.
Example: The Connectivity Bundle (Comcast): Comcast leverages its core business as an internet and mobile provider by bundling Peacock with those services.
Example: Example: Comcast actively seeks to "Increase Bundled Service Adoption" by packaging its Peacock service with its Xfinity broadband and wireless plans.
Example: The E-commerce Bundle (Amazon): Amazon uses Prime Video as a key benefit to attract and retain Amazon Prime members, driving loyalty and spending in its core retail business.
Example: Example: Prime Video is not a separate profit center but a crucial part of Amazon's overarching goal to "Obsess Over Customers" by making the Prime membership indispensable.
3. Expand Globally
Reaching a global audience is critical for scaling the business and amortizing high content production costs.
Example: Netflix: As a "global-native" company, international growth is a primary objective.
Example: Example: Netflix's top-level goal is to "Grow Business Globally" by prioritizing expansion in regions like Asia-Pacific and Latin America.
Example: Disney: Is also focused on international expansion but often does so by adapting its primarily American-originated IP for a global audience.
Example: Example: Disney aims to "Expand Disney+ International Reach" by launching in new markets and developing some local content.
4. Offer Flexible Monetization and Pricing
The "one-price-fits-all" model has been replaced by a tiered approach to capture a wider range of customers.
Example: Netflix: Has introduced lower-priced, ad-supported plans to attract price-sensitive consumers.
Example: Example: A key Netflix initiative is to "Adjust Pricing or Service Offerings" by improving its ad-supported plan.
Example: Comcast & Disney: Also heavily leverage advertising revenue in their streaming models.
Example: Example: Comcast focuses on "Enhance Peacock Advertising Sales," while Disney works to "Improve Disney+ Hotstar Monetization" through both advertising and pricing.