The entertainment in the modern world is turning into an all-you-can-eat buffet and we simply refer to it as the Netflix effect. All of us have endorsed a thrilling yet draining experience of consuming the television content, and have actually made it our dream-influencing standard.
In the summer of 2013, Netflix released all the 15 episodes of a new season of “Arrested Development”. As per the reports, around 10% of the users made it through all the episodes within 24 hours. The same thing happened when “House of Cards” and “Orange is the New Black” were released.
Data Analysis by Netflix
It won’t be an exaggeration to call data a strategic asset for Netflix. Even during the early days of its DVD-mailing model, it was well aware of the potential which lies in consumer data. Back in 2006, the company paid a whopping $1 million to their developers so that they can create an algorithm which predicted how users would rate movies. It was supposed to be based on the earlier viewer trends and how they had been rating the previous content.
The consumer maturity and advent of video streaming have given Netflix abundant data to capitalize on. “House of Cards” is one such series which has been conceptualized, written, and produced through the insights which were gained through consumer data. Without a doubt, it is one of the most acclaimed and multiple-award-winning series of its time.
Producing Content for the Next Gen
Earlier, the original series aired on Netflix contained more violence and adult content. However, with the success of “Stranger Things” in 2016, the company became more inclined to start a trend of creating content for the larger audience. A large percentage of the new shows being rolled out contain stories of and for the younger sector of the audience.
Just like Disney, now Netflix is also going to give some memorable characters to the audience through its teen-focused programming. While ensuring that the content of their series is now targeted at a wider audience, the shows produced by Netflix don’t fail to touch more sensitive topics like immigration and LGBTQ issues.
Netflix and Binge-Watching Becoming Synonymous
The Pricewaterhouse Coopers carried out a research in 2013 which stated that 63% of the households in the United States use a streaming service, be it Hulu, Netflix, or Amazon Prime. Considering the current trends of online video, there is a disruption in the television ratings and cable subscriptions.
22% of the households are streaming Netflix every week and watching their favorite shows in a go. The Gen Y (aged 18–34) and Gen Z (born after 2005) are practicing the new television watching style of binge-watching their favorite seasons. They don’t wait for the schedules to finish off their favorite shows thus, making Netflix a necessity for them.
Netflix has successfully been able to understand the demands of the modern teenagers. With the help of its data analysis, it gives its audience what they truly want.