Netflix Stock: Company Looking To Adjust Longstanding Strategies As Rival Streamers Gain Ground

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Netflix Stock: Company Looking To Adjust Longstanding Strategies As Rival Streamers Gain Ground

seekingalpha2021-04-16

Summary Netflix has seen its streaming rivals continually gain ground in the past few months prompting the company to re-evaluate a number of long-standing strategies. This isn’t Netflix’s first time...

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Nagoken
·2021-04-17
Disney channel
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- CeciLi:
  Yes dIsney
  2021-04-18
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Huatmoney
·2021-04-16
Competition is heating up
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Sioww
·2021-04-16
Netflix
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Hinwang
·2021-04-16
Coooll
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- Delvin:
  Ok
  2021-04-16
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LouisTeoh
·2021-04-16
?
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letsgo8
·2021-04-16
WowLike
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- letsgo8:
  Wow
  2021-04-16
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Jlenglui
·2021-04-16
O
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xiaobaii
·2021-04-16
kindly give me a like & a comment please, thank you very much.
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- szueyann:
  done.
  2021-04-16
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Monstertoto
·2021-04-16
Wow
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JayD
·2021-04-16
Wondering about shifting my position now ..
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axecap
·2021-04-16
wow
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2
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Nisnivlek
·2021-04-16
Need more
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Cuterly
·2021-04-16
Like and comments thanks
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TheZaiKia
·2021-04-16
Like and comment :)
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- xiaobaii:
  kindly give me a like & a comment please, thank you very much.
  2021-04-16
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- TJW1991:
  repond my comment
  2021-04-16
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SivaSG
·2021-04-16
Goodluck
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Eljin
·2021-04-16
wow
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0seven
·2021-04-16
[微笑]
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NYK_NYC
·2021-04-16
Like and comment
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- NYK_NYC:
  reply
  2021-04-16
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- eda:
  done. pls give a reply back
  2021-04-16
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ValAly
·2021-04-16
Support Netflix! Like and comment pls!
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- ValAly:
  Replied
  2021-04-16
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- eda:
  done.pls reply back.
  2021-04-16
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However, this isn’t Netflix’s first time fending off challengers and let’s be realistic, it wasn’t like Netflix wasn’t aware it was going to have to consistently make moves to stay on top.\nThis time though it’s a bit different because of the collective nature of the shifts and how they represent a direct change to the streamer’s roadmap and business/programming model. While separately all these moves are impactful in their own right, but when looking at them as part of a bigger picture – it is sending a clear message to investors that the service can be nimble, even in areas were for a while it was seemingly the opposite.\nFirst as always, some background.\nIncreasing Netflix's Market Share\nI want to look at three specific moves and their importance.\nLet’s kick it off with the one that has the biggest paradigm shift in the industry – the Sony deal.\nCredit: Sony\nLast week Netflix made a deal with Sony (NYSE:SONY) to acquire first-run pay TV rights for its theatrical releases. In other words, after theater and home video, it’s onto Netflix. This is a big step for the streamer as previously it would look to make deals for specific films, whereas now it a steady flow of features in play.\nLet me back up for a second though to explain a little more in depth…and keep in mind this is tied directly the traditional model (and pre-COVID). As mentioned, the usual route for a movie is theaters, home entertainment, pay TV, cable, broadcast, etc…where streaming comes in has always been somewhat fluid past pay TV.\nThis deal targets that “pay TV” window. The premium channels – i.e. HBO, Showtime, Starz, Epix – all have deals with studios for their outputs. For example, Warner Bros. films go to HBO, A24 films go to Showtime and so on. In some cases it’s a natural fit among corporate siblings or a separate deal worked out to help both parties.\nPreviously Sony films went to Starz – but starting in 2022 when that deal expires, Netflix takes over.\nWhat that means is that Netflix just slipped into a window where traditional TV had a solid foothold.\nPart of the reason these networks had been able to pull in subscribers in the first place was that steady pipeline of theatricals. Those blockbusters were the draw to get you to subscribe with the ideas being those network’s originals would then get you further hooked. At the same time those movies - which then became part of an ever-growing film library - are the backbone of any premium movie network’s linear schedule.\nWhile this will be a noticeable loss for Starz, for Netflix and Sony it’s a win and one that should have both sets of investors thrilled.\nSony, which doesn’t have a streaming service, basically was able to use Netflix as a much-needed financial lifeline following the COVID-induced shutdown of theaters. In addition, the streamer will have the ability to invest in some of the studio’s upcoming projects. The pair had already seen success prior from a similar separate previousdealworked out for Sony’s animated fare.\nCredit: Sony\nNetflix'sCompetitors Gain Ground\nSticking with the Sony deal a bit further (as there is a lot to unpack) - on the other side of the coin, Netflix now gets a fresh influx of content to make up for what competitors such as HBO Max, Disney+ and Peacock pulled back for their own services OR the content competitors such as Amazon or Apple outbid them on. That cannot be over-started enough, however on the positive side what investors have seen is Netflix's subscribers pivoting in turn to similar content.\nFor example Netflix's most popular series for a while was Friends and when that left,The Office took over. Now with Office gone,Schitt's Creek is in front. Netflix is a large part of the reason why Schitt's Creek exploded towards the end of its runs so it's unlikely that show will slip off the servers, but should it - the point is Netflix viewers will just go down the line.\nIt's also interesting to note the addition of Friends to HBO Max and Office to Peacock have been very successful for those networks - which speaks a lot to the value of IP overall versus just where it was available.\nSpeaking of IP, another reason why the Sony deal is important is because it has marquee franchises such as theSpider-Manuniverse. This is one of the rare non-Disney owned Marvel IP’s and this puts the streamer right back in the super-hero space that has performed so well for it prior.\nAll together the deal was a welcome sign of relief to some shareholders as it’s been rumored Comcast’s Universal division will soon begin pulling its content from Netflix soon to give exclusively to Peacock – similar to what the company did withThe Office earlier this year.\nThis is further protection for that type of a mass content exodus.\nOn it is own this is a big deal because of its far-reaching industry impacts – but where I’m looking it (and investors should also) is two-fold. One, it is a clear example of how Netflix is pivoting to stay competitive and somehow always finds a dance partner in need of its special set of skills.\nGoing Outside The Netflix Family\nThe other aspect is it’s also fascinating to see how Netflix has further infiltrated the film world – including by leaning into more traditional methods. And that takes us to the second piece of news which I touched on in a previous piece… theKnives Outdeal.\nAs a reminder Netflix bought the rights to the two sequels to the 2019 murder mystery hit (originally distributed by Lionsgate) for over $450 million…a stunning sum of money in its own right, let alone for such new IP. However, again looking at the bigger picture, it makes sense.\nNetflix is trying to further its film reach, even going so far as to produce over 70 originals in 2021 – including at least one new one a week. The problem is that approach could actually dilute the overall product and cannibalizes its success.\nWe are also a few years into the Netflix film division and the studio has yet to find its AAA tier film franchise. It’s had individual successes and its won Oscars but it hasn’t had that film series that would be akin to one a traditional studio would leverage a theatrical trilogy out of…and its noticeable.\nSo Netflix did the next best thing – it bought one.\nKnives Outwas also a great choice.\nIt boasts Daniel Craig as the lead, comes from a well-regarded writer/director in Rian Johnson and also was an awards player. Plus the original packed together a stunning ensemble of A-list talent and the news ones will likely follow the same pattern.\nIt’s a safe and smart play for Netflix that will also get the attention and buzz they are looking for in that space. It’s also another example of Netflix’s “win-now” mentality.\nSo to recap – Netflix in the past few weeks went out and bought a new “it” franchise AND jumped to the front of the line for new “A-tier” content from a top-flight studio.\nBoth of these moves are in direct response to having their rivals step up their game.\nAnd to be clear, some of this may be reactionary, but that’s the point. It’s not knee-jerk in the least, it’s a calculated reaction that makes fiscal sense. Just as Netflix knew eventually studios/networks would wise up and stop feeding them content, its team knew its rivals would make gains and they’d have to adjust.\nThat’s business…there’s an ebb and flow.\nAs I mentioned earlier, Netflix smartly turned its attention to potential partners who could utilize their competitive advantage.\nNetflix's Biggest Risk May Come From Smallest Change\nTo me, the last move I want to touch on is the most interesting – it is also ironically the least headline-grabbing of the bunch. It ties to the TV side of the business, which has arguably come under just much of an attack from other streamers.\nIn the beginning, Netflix’s entry into streaming was built around being different, but the most well-known aspect of that build-up was its “all-at-once” pattern. While the traditional model had long relied on weekly episode drops, Netflix changed the game.\nIt was a refreshing approach.\nFor the “now” generation to have everything at their fingertips from the start was a big selling point. It also marked the beginning of “binge culture.” Of course, there were cons as well as pros, the problem with all-at-once is exactly that, it’s all-at-once.\nFor many people sitting for 10-12 hours to polish off a full season of a show is not realistic – even over a weekend it's hard. What that meant is while you can talk all you wanted online about the show’s twists and turns, it was harder to keep that conversation going with friends and family.\nCredit: Netflix\nWhile it’s worked tremendously for Netflix, it’s also proven to be a bit of a hinderance because fans never know where others are in the storyline. This stifles that type of watercooler conversation that helped build the legacy of many classic shows.\nThis was also a lot less complicated when Netflix’s core originals were limited to a handful of titles – but with countless new content flowing through its servers it is hard to keep track. Although many subscribers are quick to say the “all-at-once” model is a huge draw for them and a reason they love Netflix over other rivals.\nGranted after nearly a decade of use it makes sense as that type of access has become engrained and expected by its users. The difference is other streamers have found arguably the same type of success with the use of weekly drops – most notably Disney+.\nWhile Netflix gets a lot of bang for its buck for its own titles, normally it is mainly limited to about a three-week period – the week prior to launch, the week of launch and the week after launch. Beyond that you can notice a sizable dip in the chatter, conversely Disney’s weekly model has a longer impact.\nBy dropping new episodes on Fridays, Disney invites new conversation over the entire weekend, that are repeated over a period of months. That repetition has helped elevate the profile of its Star Wars and Marvel-centric series (and in turn the brands). With each of which usually clocking in around 30 mins long, it makes it easier for people to watch without a huge time commitment.\nThat has seemingly caught the attention of Netflix which looks like it wants to switch things up – and I think the reaction by subscribers is going to be interesting to shareholders.\nTwo of Netflix’s reality franchises –The CircleandToo Hot To Handle– will now NOT be all-at-once drops. The batch model still holds, in that multiple episodes will still drop per week – but it won’t be the whole thing.\nCredit: Netflix\nThe Circlepremieres this week and will wrap May 5th, whileToo Hot To Handlewill debut in June – both on Wednesdays, which is also telling to me. In effect Netflix is trying to own that day of the week, which is a very traditional model approach to take.\nSo why am I so interested in this approach?\nThe main reason is because it represents a huge shift to their overall model that if successful could lead to future scripted series potentially getting the same treatment. I’ve often argued the one thing keeping Netflix’s originals back is the all-at-once approach.\nRememberThe Witcher?\nYes, it’s a hit for Netflix but it’s notGame of Thrones– and it was designed specifically to beGame of Thrones. Now hadWitcherbeen a weekly release and gotten all the buzz and added media attention that comes with it, it is very possible the series could have seen a substantial boost in popularity.\nEspecially with scripted shows that are heavily serialized having that added time to digest the material is incredibly important. With reality series, not so much – but they are still a great test case because there is still a payoff at the end.\nIt’s also telling because Netflix tried this before, but then quicky said it was a one-off move.\nWhenRhythm + Flowpremiered the other year, it took the weekly model approach in an attempt to preserve the identity of the winner as long as possible. However seemingly from the start Netflix essentially began apologizing for the decision.\nIt was kind of whiplash inducing as in one breath it was quick to tout a new creative approach and then just as fast say it was essentially a one-time thing.\nTo some it looked like Netflix felt like it had to go out of itswayto say it was an aberration to not upset the apple cart with its subscribers – which is why I’m very interested to see the response when it happens with two of its top franchises. I’ll be even more interested to see if this is the approach taken withLove Is Blindwhen it returns later this year.\nAs I said, never say never – even with Netflix.\nConclusion\nI have to give the streamer credit as its moves to shore up its base are further examples of company “firsts” and for Netflix to still have “firsts” this many years into its innovative run says something that should be encouraging to investors.\nStreaming remains the Wild Wild West and Netflix is ensuring nobody can get too comfortable – not even themselves.","kind":null,"is_publish_news":true,"is_publish_highlight":false,"is_publish_live":false,"is_publish_wemedia":null,"editions":null,"column":"","sentiment":"0","news_tag":"","news_rank":0,"symbols":[],"gpt_button":1},"commentList":[{"id":370517237,"gmtCreate":1618607612129,"gmtModify":1704713303889,"author":{"id":"3576560237263785","authorId":"3576560237263785","authorIdStr":"3576560237263785","name":"Nagoken","avatar":"https://static.tigerbbs.com/caac3ac5db4b0d37985b9f55a62d569f","vip":1,"crmLevel":5,"crmLevelSwitch":0,"idStr":"3576560237263785"},"htmlText":"Disney channel&nbsp;","listText":"Disney channel&nbsp;","text":"Disney channel","images":[],"top":1,"highlighted":1,"essential":1,"paper":1,"likeSize":1,"commentSize":1,"repostSize":0,"link":"https://ttm.financial/post/370517237","repostId":1119241855,"repostType":4,"repost":{"id":"1119241855","pubTimestamp":1618542634,"share":"https://ttm.financial/m/news/1119241855?lang=&edition=fundamental","pubTime":"2021-04-16 11:10","market":"us","language":"en","title":"Netflix Stock: Company Looking To Adjust Longstanding Strategies As Rival Streamers Gain Ground","url":"https://stock-news.laohu8.com/highlight/detail?id=1119241855","media":"seekingalpha","summary":"Summary\n\nNetflix has seen its streaming rivals continually gain ground in the past few months prompt","content":"Summary\n<ul>\n <li>Netflix has seen its streaming rivals continually gain ground in the past few months prompting the company to re-evaluate a number of long-standing strategies.</li>\n <li>This isn’t Netflix’s first time fending off challengers and the company is acutely aware it will have to consistently make moves to stay on top.</li>\n <li>Netflix recently negotiated a deal with Sony that will result in it receiving more content sooner than before and also open the door to new partnerships with the studio.</li>\n <li>The streamer also utilized another “win-now” technique when it comes to its original films as instead of solely focusing on trying to create a new “it” franchise, it bought one.</li>\n <li>Netflix is also making moves on the TV side by adjusting its iconic “all-at-once” model and testing weekly batch drops of two popular reality shows – despite past pushback from subscribers.</li>\n</ul>\n<img src=\"https://static.tigerbbs.com/85c5bcbd94b754eab4b27fa6819cac61\" tg-width=\"768\" tg-height=\"509\">Photo by Christopher Ames/iStock Unreleased via Getty Images\nNever say never – even if you are Netflix (NASDAQ:NFLX)\nThe streaming leader has come under heavy competition in the last few months from upstart rivals Disney+ (NYSE:DIS) and HBO Max (NYSE:T), while at the same time battling a newly revitalized Amazon Prime (NASDAQ:AMZN). However, this isn’t Netflix’s first time fending off challengers and let’s be realistic, it wasn’t like Netflix wasn’t aware it was going to have to consistently make moves to stay on top.\nThis time though it’s a bit different because of the collective nature of the shifts and how they represent a direct change to the streamer’s roadmap and business/programming model. While separately all these moves are impactful in their own right, but when looking at them as part of a bigger picture – it is sending a clear message to investors that the service can be nimble, even in areas were for a while it was seemingly the opposite.\nFirst as always, some background.\nIncreasing Netflix's Market Share\nI want to look at three specific moves and their importance.\nLet’s kick it off with the one that has the biggest paradigm shift in the industry – the Sony deal.\n<img src=\"https://static.tigerbbs.com/9a75991f04f5078fe686afa0638322f6\" tg-width=\"934\" tg-height=\"488\">Credit: Sony\nLast week Netflix made a&nbsp;deal&nbsp;with Sony (NYSE:SONY) to acquire first-run pay TV rights for its theatrical releases. In other words, after theater and home video, it’s onto Netflix. This is a big step for the streamer as previously it would look to make deals for specific films, whereas now it a steady flow of features in play.\nLet me back up for a second though to explain a little more in depth…and keep in mind this is tied directly the traditional model (and pre-COVID). As mentioned, the usual route for a movie is theaters, home entertainment, pay TV, cable, broadcast, etc…where streaming comes in has always been somewhat fluid past pay TV.\nThis deal targets that “pay TV” window. The premium channels – i.e. HBO, Showtime, Starz, Epix – all have deals with studios for their outputs. For example, Warner Bros. films go to HBO, A24&nbsp;films&nbsp;go to Showtime and so on. In some cases it’s a natural fit among corporate siblings or a separate deal worked out to help both parties.\nPreviously Sony films went to Starz – but starting in 2022 when that deal expires, Netflix takes over.\nWhat that means is that Netflix just slipped into a window where traditional TV had a solid foothold.\nPart of the reason these networks had been able to pull in subscribers in the first place was that steady pipeline of theatricals. Those blockbusters were the draw to get you to subscribe with the ideas being those network’s originals would then get you further hooked. At the same time those movies - which then became part of an ever-growing film library - are the backbone of any premium movie network’s linear schedule.\nWhile this will be a noticeable loss for Starz, for Netflix and Sony it’s a win and one that should have both sets of investors thrilled.\nSony, which doesn’t have a streaming service, basically was able to use Netflix as a much-needed financial lifeline following the COVID-induced shutdown of theaters. In addition, the streamer will have the ability to invest in some of the studio’s upcoming projects. The pair had already seen success prior from a similar separate previousdealworked out for Sony’s animated fare.\n<img src=\"https://static.tigerbbs.com/7e7955071fa9cb7465c0265e4600ccd5\" tg-width=\"750\" tg-height=\"562\">Credit: Sony\nNetflix'sCompetitors Gain Ground\nSticking with the Sony deal a bit further (as there is a lot to unpack) - on the other side of the coin, Netflix now gets a fresh influx of content to make up for what competitors such as HBO Max, Disney+ and Peacock pulled back for their own services OR the content competitors such as Amazon or Apple outbid them on. That cannot be over-started enough, however on the positive side what investors have seen is Netflix's subscribers pivoting in turn to similar content.\nFor example Netflix's most popular series for a while was&nbsp;Friends&nbsp;and when that left,The Office&nbsp;took over. Now with&nbsp;Office&nbsp;gone,Schitt's Creek&nbsp;is in front. Netflix is a large part of the reason why&nbsp;Schitt's Creek&nbsp;exploded towards the end of its runs so it's unlikely that show will slip off the servers, but should it - the point is Netflix viewers will just go down the line.\nIt's also interesting to note the addition of&nbsp;Friends&nbsp;to HBO Max and&nbsp;Office&nbsp;to Peacock have been very successful for those networks - which speaks a lot to the value of IP overall versus just where it was available.\nSpeaking of IP, another reason why the Sony deal is important is because it has marquee franchises such as theSpider-Manuniverse. This is one of the rare non-Disney owned Marvel IP’s and this puts the streamer right back in the super-hero space that has performed so well for it prior.\nAll together the deal was a welcome sign of relief to some shareholders as it’s been&nbsp;rumored&nbsp;Comcast’s Universal division will soon begin pulling its content from Netflix soon to give exclusively to Peacock – similar to what the company did withThe Office&nbsp;earlier this year.\nThis is further protection for that type of a mass content exodus.\nOn it is own this is a big deal because of its far-reaching industry impacts – but where I’m looking it (and investors should also) is two-fold. One, it is a clear example of how Netflix is pivoting to stay competitive and somehow always finds a dance partner in need of its special set of skills.\nGoing Outside The Netflix Family\nThe other aspect is it’s also fascinating to see how Netflix has further infiltrated the film world – including by leaning into more traditional methods. And that takes us to the second piece of news which I touched on in a previous&nbsp;piece… theKnives Outdeal.\nAs a reminder Netflix&nbsp;bought&nbsp;the rights to the two sequels to the 2019 murder mystery hit (originally distributed by Lionsgate) for over $450 million…a stunning sum of money in its own right, let alone for such new IP. However, again looking at the bigger picture, it makes sense.\nNetflix is trying to further its film reach, even going so far as to produce&nbsp;over&nbsp;70 originals in 2021 – including at least one new one a week. The problem is that approach could actually dilute the overall product and cannibalizes its success.\nWe are also a few years into the Netflix film division and the studio has yet to find its AAA tier film franchise. It’s had individual successes and its won Oscars but it hasn’t had that film series that would be akin to one a traditional studio would leverage a theatrical trilogy out of…and its noticeable.\nSo Netflix did the next best thing – it bought one.\nKnives Outwas also a great choice.\nIt boasts Daniel Craig as the lead, comes from a well-regarded writer/director in Rian Johnson and also was an awards player. Plus the original packed together a stunning ensemble of A-list talent and the news ones will likely follow the same pattern.\nIt’s a safe and smart play for Netflix that will also get the attention and buzz they are looking for in that space. It’s also another example of Netflix’s “win-now” mentality.\nSo to recap – Netflix in the past few weeks went out and bought a new “it” franchise AND jumped to the front of the line for new “A-tier” content from a top-flight studio.\nBoth of these moves are in direct response to having their rivals step up their game.\nAnd to be clear, some of this may be reactionary, but that’s the point. It’s not knee-jerk in the least, it’s a calculated reaction that makes fiscal sense. Just as Netflix knew eventually studios/networks would wise up and stop feeding them content, its team knew its rivals would make gains and they’d have to adjust.\nThat’s business…there’s an ebb and flow.\nAs I mentioned earlier, Netflix smartly turned its attention to potential partners who could utilize their competitive advantage.\nNetflix's Biggest Risk May Come From Smallest Change\nTo me, the last move I want to touch on is the most interesting – it is also ironically the least headline-grabbing of the bunch. It ties to the TV side of the business, which has arguably come under just much of an attack from other streamers.\nIn the beginning, Netflix’s entry into streaming was built around being different, but the most well-known aspect of that build-up was its “all-at-once” pattern. While the traditional model had long relied on weekly episode drops, Netflix changed the game.\nIt was a refreshing approach.\nFor the “now” generation to have everything at their fingertips from the start was a big selling point. It also marked the beginning of “binge culture.” Of course, there were cons as well as pros, the problem with all-at-once is exactly that, it’s all-at-once.\nFor many people sitting for 10-12 hours to polish off a full season of a show is not realistic – even over a weekend it's hard. What that meant is while you can talk all you wanted online about the show’s twists and turns, it was harder to keep that conversation going with friends and family.\n<img src=\"https://static.tigerbbs.com/051370349a483fcd05ac4945cdcfb588\" tg-width=\"800\" tg-height=\"444\">Credit: Netflix\nWhile it’s worked tremendously for Netflix, it’s also proven to be a bit of a hinderance because fans never know where others are in the storyline. This stifles that type of watercooler conversation that helped build the legacy of many classic shows.\nThis was also a lot less complicated when Netflix’s core originals were limited to a handful of titles – but with countless new content flowing through its servers it is hard to keep track. Although many subscribers are quick to say the “all-at-once” model is a huge draw for them and a reason they love Netflix over other rivals.\nGranted after nearly a decade of use it makes sense as that type of access has become engrained and expected by its users. The difference is other streamers have found arguably the same type of success with the use of weekly drops – most notably Disney+.\nWhile Netflix gets a lot of bang for its buck for its own titles, normally it is mainly limited to about a three-week period – the week prior to launch, the week of launch and the week after launch. Beyond that you can notice a sizable dip in the chatter, conversely Disney’s weekly model has a longer impact.\nBy dropping new episodes on Fridays, Disney invites new conversation over the entire weekend, that are repeated over a period of months. That&nbsp;repetition&nbsp;has helped elevate the profile of its&nbsp;Star Wars&nbsp;and Marvel-centric series (and in turn the brands). With each of which usually clocking in around 30 mins long, it makes it easier for people to watch without a huge time commitment.\nThat has seemingly caught the attention of Netflix which looks like it wants to switch things up – and I think the reaction by subscribers is going to be interesting to shareholders.\nTwo of Netflix’s reality franchises –The CircleandToo Hot To Handle– will now&nbsp;NOT&nbsp;be all-at-once drops. The batch model still holds, in that multiple episodes will still drop per week – but it won’t be the whole thing.\n<img src=\"https://static.tigerbbs.com/90bb70897890d7ac296671b75837af4c\" tg-width=\"1024\" tg-height=\"576\">Credit: Netflix\nThe Circlepremieres this week and will wrap May 5th, whileToo Hot To Handlewill debut in June – both on Wednesdays, which is also telling to me. In effect Netflix is trying to own that day of the week, which is a very traditional model approach to take.\nSo why am I so interested in this approach?\nThe main reason is because it represents a huge shift to their overall model that if successful could lead to future scripted series potentially getting the same treatment. I’ve often argued the one thing keeping Netflix’s originals back is the all-at-once approach.\nRememberThe Witcher?\nYes, it’s a hit for Netflix but it’s notGame of Thrones– and it was designed specifically to beGame of Thrones. Now hadWitcherbeen a weekly release and gotten all the buzz and added media attention that comes with it, it is very possible the series could have seen a substantial boost in popularity.\nEspecially with scripted shows that are heavily serialized having that added time to digest the material is incredibly important. With reality series, not so much – but they are still a great test case because there is still a payoff at the end.\nIt’s also telling because Netflix tried this before, but then quicky said it was a one-off move.\nWhenRhythm + Flowpremiered the other year, it took the weekly model approach in an attempt to preserve the identity of the winner as long as possible. However seemingly from the start Netflix essentially began apologizing for the decision.\nIt was kind of whiplash inducing as in one breath it was quick to tout a new creative approach and then just as fast say it was essentially a one-time&nbsp;thing.\nTo some it looked like Netflix felt like it had to go out of itswayto say it was an aberration to not upset the apple cart with its subscribers – which is why I’m very interested to see the response when it happens with two of its top franchises. I’ll be even more interested to see if this is the approach taken withLove Is Blindwhen it returns later this year.\nAs I said, never say never – even with Netflix.\nConclusion\nI have to give the streamer credit as its moves to shore up its base are further examples of company “firsts” and for Netflix to still have “firsts” this many years into its innovative run says something that should be encouraging to investors.\nStreaming remains the Wild Wild West and Netflix is ensuring nobody can get too comfortable – not even themselves.","source":"seekingalpha","collect":0,"html":"<!DOCTYPE html>\n<html>\n<head>\n<meta http-equiv=\"Content-Type\" content=\"text/html; charset=utf-8\" />\n<meta name=\"viewport\" content=\"width=device-width,initial-scale=1.0,minimum-scale=1.0,maximum-scale=1.0,user-scalable=no\"/>\n<meta name=\"format-detection\" content=\"telephone=no,email=no,address=no\" />\n<title>Netflix Stock: Company Looking To Adjust Longstanding Strategies As Rival Streamers Gain Ground</title>\n<style type=\"text/css\">\na,abbr,acronym,address,applet,article,aside,audio,b,big,blockquote,body,canvas,caption,center,cite,code,dd,del,details,dfn,div,dl,dt,\nem,embed,fieldset,figcaption,figure,footer,form,h1,h2,h3,h4,h5,h6,header,hgroup,html,i,iframe,img,ins,kbd,label,legend,li,mark,menu,nav,\nobject,ol,output,p,pre,q,ruby,s,samp,section,small,span,strike,strong,sub,summary,sup,table,tbody,td,tfoot,th,thead,time,tr,tt,u,ul,var,video{ font:inherit;margin:0;padding:0;vertical-align:baseline;border:0 }\nbody{ font-size:16px; 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}\n.meta {color:#5e5c6d;font-size:13px;margin:0 0 .5em; }\na{text-decoration:none; color:#2a4b87;}\n.meta .head { display: inline-block; overflow: hidden}\n.head .h-thumb { width: 30px; height: 30px; margin: 0; padding: 0; border-radius: 50%; float: left;}\n.head .h-content { margin: 0; padding: 0 0 0 9px; float: left;}\n.head .h-name {font-size: 13px; color: #eee; margin: 0;}\n.head .h-time {font-size: 11px; color: #7E829C; margin: 0;line-height: 11px;}\n.small {font-size: 12.5px; display: inline-block; transform: scale(0.9); -webkit-transform: scale(0.9); transform-origin: left; -webkit-transform-origin: left;}\n.smaller {font-size: 12.5px; display: inline-block; transform: scale(0.8); -webkit-transform: scale(0.8); transform-origin: left; -webkit-transform-origin: left;}\n.bt-text {font-size: 12px;margin: 1.5em 0 0 0}\n.bt-text p {margin: 0}\n</style>\n</head>\n<body>\n<div class=\"wrapper\">\n<header>\n<h2 class=\"title\">\nNetflix Stock: Company Looking To Adjust Longstanding Strategies As Rival Streamers Gain Ground\n</h2>\n\n<h4 class=\"meta\">\n\n\n2021-04-16 11:10 GMT+8&nbsp;&nbsp;&nbsp;<a href=https://seekingalpha.com/article/4419132-netflix-stock-strategies-disney-plus-hbo-max>seekingalpha</a>\n\n\n</h4>\n\n</header>\n<article>\n<div>\nSummary\n\nNetflix has seen its streaming rivals continually gain ground in the past few months prompting the company to re-evaluate a number of long-standing strategies.\nThis isn’t Netflix’s first time...\n\n<a href=\"https://seekingalpha.com/article/4419132-netflix-stock-strategies-disney-plus-hbo-max\">Web Link</a>\n\n</div>\n\n\n</article>\n</div>\n</body>\n</html>\n","type":0,"thumbnail":"","relate_stocks":{"NFLX":"奈飞"},"source_url":"https://seekingalpha.com/article/4419132-netflix-stock-strategies-disney-plus-hbo-max","is_english":true,"share_image_url":"https://static.laohu8.com/5a36db9d73b4222bc376d24ccc48c8a4","article_id":"1119241855","content_text":"Summary\n\nNetflix has seen its streaming rivals continually gain ground in the past few months prompting the company to re-evaluate a number of long-standing strategies.\nThis isn’t Netflix’s first time fending off challengers and the company is acutely aware it will have to consistently make moves to stay on top.\nNetflix recently negotiated a deal with Sony that will result in it receiving more content sooner than before and also open the door to new partnerships with the studio.\nThe streamer also utilized another “win-now” technique when it comes to its original films as instead of solely focusing on trying to create a new “it” franchise, it bought one.\nNetflix is also making moves on the TV side by adjusting its iconic “all-at-once” model and testing weekly batch drops of two popular reality shows – despite past pushback from subscribers.\n\nPhoto by Christopher Ames/iStock Unreleased via Getty Images\nNever say never – even if you are Netflix (NASDAQ:NFLX)\nThe streaming leader has come under heavy competition in the last few months from upstart rivals Disney+ (NYSE:DIS) and HBO Max (NYSE:T), while at the same time battling a newly revitalized Amazon Prime (NASDAQ:AMZN). However, this isn’t Netflix’s first time fending off challengers and let’s be realistic, it wasn’t like Netflix wasn’t aware it was going to have to consistently make moves to stay on top.\nThis time though it’s a bit different because of the collective nature of the shifts and how they represent a direct change to the streamer’s roadmap and business/programming model. While separately all these moves are impactful in their own right, but when looking at them as part of a bigger picture – it is sending a clear message to investors that the service can be nimble, even in areas were for a while it was seemingly the opposite.\nFirst as always, some background.\nIncreasing Netflix's Market Share\nI want to look at three specific moves and their importance.\nLet’s kick it off with the one that has the biggest paradigm shift in the industry – the Sony deal.\nCredit: Sony\nLast week Netflix made a deal with Sony (NYSE:SONY) to acquire first-run pay TV rights for its theatrical releases. In other words, after theater and home video, it’s onto Netflix. This is a big step for the streamer as previously it would look to make deals for specific films, whereas now it a steady flow of features in play.\nLet me back up for a second though to explain a little more in depth…and keep in mind this is tied directly the traditional model (and pre-COVID). As mentioned, the usual route for a movie is theaters, home entertainment, pay TV, cable, broadcast, etc…where streaming comes in has always been somewhat fluid past pay TV.\nThis deal targets that “pay TV” window. The premium channels – i.e. HBO, Showtime, Starz, Epix – all have deals with studios for their outputs. For example, Warner Bros. films go to HBO, A24 films go to Showtime and so on. In some cases it’s a natural fit among corporate siblings or a separate deal worked out to help both parties.\nPreviously Sony films went to Starz – but starting in 2022 when that deal expires, Netflix takes over.\nWhat that means is that Netflix just slipped into a window where traditional TV had a solid foothold.\nPart of the reason these networks had been able to pull in subscribers in the first place was that steady pipeline of theatricals. Those blockbusters were the draw to get you to subscribe with the ideas being those network’s originals would then get you further hooked. At the same time those movies - which then became part of an ever-growing film library - are the backbone of any premium movie network’s linear schedule.\nWhile this will be a noticeable loss for Starz, for Netflix and Sony it’s a win and one that should have both sets of investors thrilled.\nSony, which doesn’t have a streaming service, basically was able to use Netflix as a much-needed financial lifeline following the COVID-induced shutdown of theaters. In addition, the streamer will have the ability to invest in some of the studio’s upcoming projects. The pair had already seen success prior from a similar separate previousdealworked out for Sony’s animated fare.\nCredit: Sony\nNetflix'sCompetitors Gain Ground\nSticking with the Sony deal a bit further (as there is a lot to unpack) - on the other side of the coin, Netflix now gets a fresh influx of content to make up for what competitors such as HBO Max, Disney+ and Peacock pulled back for their own services OR the content competitors such as Amazon or Apple outbid them on. That cannot be over-started enough, however on the positive side what investors have seen is Netflix's subscribers pivoting in turn to similar content.\nFor example Netflix's most popular series for a while was Friends and when that left,The Office took over. Now with Office gone,Schitt's Creek is in front. Netflix is a large part of the reason why Schitt's Creek exploded towards the end of its runs so it's unlikely that show will slip off the servers, but should it - the point is Netflix viewers will just go down the line.\nIt's also interesting to note the addition of Friends to HBO Max and Office to Peacock have been very successful for those networks - which speaks a lot to the value of IP overall versus just where it was available.\nSpeaking of IP, another reason why the Sony deal is important is because it has marquee franchises such as theSpider-Manuniverse. This is one of the rare non-Disney owned Marvel IP’s and this puts the streamer right back in the super-hero space that has performed so well for it prior.\nAll together the deal was a welcome sign of relief to some shareholders as it’s been rumored Comcast’s Universal division will soon begin pulling its content from Netflix soon to give exclusively to Peacock – similar to what the company did withThe Office earlier this year.\nThis is further protection for that type of a mass content exodus.\nOn it is own this is a big deal because of its far-reaching industry impacts – but where I’m looking it (and investors should also) is two-fold. One, it is a clear example of how Netflix is pivoting to stay competitive and somehow always finds a dance partner in need of its special set of skills.\nGoing Outside The Netflix Family\nThe other aspect is it’s also fascinating to see how Netflix has further infiltrated the film world – including by leaning into more traditional methods. And that takes us to the second piece of news which I touched on in a previous piece… theKnives Outdeal.\nAs a reminder Netflix bought the rights to the two sequels to the 2019 murder mystery hit (originally distributed by Lionsgate) for over $450 million…a stunning sum of money in its own right, let alone for such new IP. However, again looking at the bigger picture, it makes sense.\nNetflix is trying to further its film reach, even going so far as to produce over 70 originals in 2021 – including at least one new one a week. The problem is that approach could actually dilute the overall product and cannibalizes its success.\nWe are also a few years into the Netflix film division and the studio has yet to find its AAA tier film franchise. It’s had individual successes and its won Oscars but it hasn’t had that film series that would be akin to one a traditional studio would leverage a theatrical trilogy out of…and its noticeable.\nSo Netflix did the next best thing – it bought one.\nKnives Outwas also a great choice.\nIt boasts Daniel Craig as the lead, comes from a well-regarded writer/director in Rian Johnson and also was an awards player. Plus the original packed together a stunning ensemble of A-list talent and the news ones will likely follow the same pattern.\nIt’s a safe and smart play for Netflix that will also get the attention and buzz they are looking for in that space. It’s also another example of Netflix’s “win-now” mentality.\nSo to recap – Netflix in the past few weeks went out and bought a new “it” franchise AND jumped to the front of the line for new “A-tier” content from a top-flight studio.\nBoth of these moves are in direct response to having their rivals step up their game.\nAnd to be clear, some of this may be reactionary, but that’s the point. It’s not knee-jerk in the least, it’s a calculated reaction that makes fiscal sense. Just as Netflix knew eventually studios/networks would wise up and stop feeding them content, its team knew its rivals would make gains and they’d have to adjust.\nThat’s business…there’s an ebb and flow.\nAs I mentioned earlier, Netflix smartly turned its attention to potential partners who could utilize their competitive advantage.\nNetflix's Biggest Risk May Come From Smallest Change\nTo me, the last move I want to touch on is the most interesting – it is also ironically the least headline-grabbing of the bunch. It ties to the TV side of the business, which has arguably come under just much of an attack from other streamers.\nIn the beginning, Netflix’s entry into streaming was built around being different, but the most well-known aspect of that build-up was its “all-at-once” pattern. While the traditional model had long relied on weekly episode drops, Netflix changed the game.\nIt was a refreshing approach.\nFor the “now” generation to have everything at their fingertips from the start was a big selling point. It also marked the beginning of “binge culture.” Of course, there were cons as well as pros, the problem with all-at-once is exactly that, it’s all-at-once.\nFor many people sitting for 10-12 hours to polish off a full season of a show is not realistic – even over a weekend it's hard. What that meant is while you can talk all you wanted online about the show’s twists and turns, it was harder to keep that conversation going with friends and family.\nCredit: Netflix\nWhile it’s worked tremendously for Netflix, it’s also proven to be a bit of a hinderance because fans never know where others are in the storyline. This stifles that type of watercooler conversation that helped build the legacy of many classic shows.\nThis was also a lot less complicated when Netflix’s core originals were limited to a handful of titles – but with countless new content flowing through its servers it is hard to keep track. Although many subscribers are quick to say the “all-at-once” model is a huge draw for them and a reason they love Netflix over other rivals.\nGranted after nearly a decade of use it makes sense as that type of access has become engrained and expected by its users. The difference is other streamers have found arguably the same type of success with the use of weekly drops – most notably Disney+.\nWhile Netflix gets a lot of bang for its buck for its own titles, normally it is mainly limited to about a three-week period – the week prior to launch, the week of launch and the week after launch. Beyond that you can notice a sizable dip in the chatter, conversely Disney’s weekly model has a longer impact.\nBy dropping new episodes on Fridays, Disney invites new conversation over the entire weekend, that are repeated over a period of months. That repetition has helped elevate the profile of its Star Wars and Marvel-centric series (and in turn the brands). With each of which usually clocking in around 30 mins long, it makes it easier for people to watch without a huge time commitment.\nThat has seemingly caught the attention of Netflix which looks like it wants to switch things up – and I think the reaction by subscribers is going to be interesting to shareholders.\nTwo of Netflix’s reality franchises –The CircleandToo Hot To Handle– will now NOT be all-at-once drops. The batch model still holds, in that multiple episodes will still drop per week – but it won’t be the whole thing.\nCredit: Netflix\nThe Circlepremieres this week and will wrap May 5th, whileToo Hot To Handlewill debut in June – both on Wednesdays, which is also telling to me. In effect Netflix is trying to own that day of the week, which is a very traditional model approach to take.\nSo why am I so interested in this approach?\nThe main reason is because it represents a huge shift to their overall model that if successful could lead to future scripted series potentially getting the same treatment. I’ve often argued the one thing keeping Netflix’s originals back is the all-at-once approach.\nRememberThe Witcher?\nYes, it’s a hit for Netflix but it’s notGame of Thrones– and it was designed specifically to beGame of Thrones. Now hadWitcherbeen a weekly release and gotten all the buzz and added media attention that comes with it, it is very possible the series could have seen a substantial boost in popularity.\nEspecially with scripted shows that are heavily serialized having that added time to digest the material is incredibly important. With reality series, not so much – but they are still a great test case because there is still a payoff at the end.\nIt’s also telling because Netflix tried this before, but then quicky said it was a one-off move.\nWhenRhythm + Flowpremiered the other year, it took the weekly model approach in an attempt to preserve the identity of the winner as long as possible. However seemingly from the start Netflix essentially began apologizing for the decision.\nIt was kind of whiplash inducing as in one breath it was quick to tout a new creative approach and then just as fast say it was essentially a one-time thing.\nTo some it looked like Netflix felt like it had to go out of itswayto say it was an aberration to not upset the apple cart with its subscribers – which is why I’m very interested to see the response when it happens with two of its top franchises. I’ll be even more interested to see if this is the approach taken withLove Is Blindwhen it returns later this year.\nAs I said, never say never – even with Netflix.\nConclusion\nI have to give the streamer credit as its moves to shore up its base are further examples of company “firsts” and for Netflix to still have “firsts” this many years into its innovative run says something that should be encouraging to investors.\nStreaming remains the Wild Wild West and Netflix is ensuring nobody can get too comfortable – not even themselves.","news_type":1},"isVote":1,"likeStatus":false,"favoriteStatus":false,"reportStatus":false,"tweetType":1,"comments":[{"id":4064877,"gmtCreate":1618724056665,"gmtModify":1680784512434,"authorId":3580709888891343,"author":{"id":3580709888891343,"authorId":3580709888891343,"name":"CeciLi","avatar":"https://static.tigerbbs.com/c84d7339be75b2d5f77e2eee702149e0","vip":1,"crmLevel":2,"crmLevelSwitch":0,"individualDisplayBadges":[]},"repliedAuthorId":0,"objectId":370517237,"type":1,"supId":0,"prevId":0,"content":"Yes dIsney","text":"Yes dIsney","html":"Yes dIsney"}],"langContent":"EN"},{"id":370339142,"gmtCreate":1618550020986,"gmtModify":1704712599898,"author":{"id":"3579523962373263","authorId":"3579523962373263","authorIdStr":"3579523962373263","name":"Huatmoney","avatar":"https://static.tigerbbs.com/b4513f3d6c5b842d70f3a1a7af1a1afa","vip":1,"crmLevel":5,"crmLevelSwitch":0,"idStr":"3579523962373263"},"htmlText":"Competition is heating up&nbsp;","listText":"Competition is heating up&nbsp;","text":"Competition is heating up","images":[],"top":1,"highlighted":1,"essential":1,"paper":1,"likeSize":1,"commentSize":0,"repostSize":0,"link":"https://ttm.financial/post/370339142","repostId":1119241855,"repostType":4,"repost":{"id":"1119241855","pubTimestamp":1618542634,"share":"https://ttm.financial/m/news/1119241855?lang=&edition=fundamental","pubTime":"2021-04-16 11:10","market":"us","language":"en","title":"Netflix Stock: Company Looking To Adjust Longstanding Strategies As Rival Streamers Gain Ground","url":"https://stock-news.laohu8.com/highlight/detail?id=1119241855","media":"seekingalpha","summary":"Summary\n\nNetflix has seen its streaming rivals continually gain ground in the past few months prompt","content":"Summary\n<ul>\n <li>Netflix has seen its streaming rivals continually gain ground in the past few months prompting the company to re-evaluate a number of long-standing strategies.</li>\n <li>This isn’t Netflix’s first time fending off challengers and the company is acutely aware it will have to consistently make moves to stay on top.</li>\n <li>Netflix recently negotiated a deal with Sony that will result in it receiving more content sooner than before and also open the door to new partnerships with the studio.</li>\n <li>The streamer also utilized another “win-now” technique when it comes to its original films as instead of solely focusing on trying to create a new “it” franchise, it bought one.</li>\n <li>Netflix is also making moves on the TV side by adjusting its iconic “all-at-once” model and testing weekly batch drops of two popular reality shows – despite past pushback from subscribers.</li>\n</ul>\n<img src=\"https://static.tigerbbs.com/85c5bcbd94b754eab4b27fa6819cac61\" tg-width=\"768\" tg-height=\"509\">Photo by Christopher Ames/iStock Unreleased via Getty Images\nNever say never – even if you are Netflix (NASDAQ:NFLX)\nThe streaming leader has come under heavy competition in the last few months from upstart rivals Disney+ (NYSE:DIS) and HBO Max (NYSE:T), while at the same time battling a newly revitalized Amazon Prime (NASDAQ:AMZN). However, this isn’t Netflix’s first time fending off challengers and let’s be realistic, it wasn’t like Netflix wasn’t aware it was going to have to consistently make moves to stay on top.\nThis time though it’s a bit different because of the collective nature of the shifts and how they represent a direct change to the streamer’s roadmap and business/programming model. While separately all these moves are impactful in their own right, but when looking at them as part of a bigger picture – it is sending a clear message to investors that the service can be nimble, even in areas were for a while it was seemingly the opposite.\nFirst as always, some background.\nIncreasing Netflix's Market Share\nI want to look at three specific moves and their importance.\nLet’s kick it off with the one that has the biggest paradigm shift in the industry – the Sony deal.\n<img src=\"https://static.tigerbbs.com/9a75991f04f5078fe686afa0638322f6\" tg-width=\"934\" tg-height=\"488\">Credit: Sony\nLast week Netflix made a&nbsp;deal&nbsp;with Sony (NYSE:SONY) to acquire first-run pay TV rights for its theatrical releases. In other words, after theater and home video, it’s onto Netflix. This is a big step for the streamer as previously it would look to make deals for specific films, whereas now it a steady flow of features in play.\nLet me back up for a second though to explain a little more in depth…and keep in mind this is tied directly the traditional model (and pre-COVID). As mentioned, the usual route for a movie is theaters, home entertainment, pay TV, cable, broadcast, etc…where streaming comes in has always been somewhat fluid past pay TV.\nThis deal targets that “pay TV” window. The premium channels – i.e. HBO, Showtime, Starz, Epix – all have deals with studios for their outputs. For example, Warner Bros. films go to HBO, A24&nbsp;films&nbsp;go to Showtime and so on. In some cases it’s a natural fit among corporate siblings or a separate deal worked out to help both parties.\nPreviously Sony films went to Starz – but starting in 2022 when that deal expires, Netflix takes over.\nWhat that means is that Netflix just slipped into a window where traditional TV had a solid foothold.\nPart of the reason these networks had been able to pull in subscribers in the first place was that steady pipeline of theatricals. Those blockbusters were the draw to get you to subscribe with the ideas being those network’s originals would then get you further hooked. At the same time those movies - which then became part of an ever-growing film library - are the backbone of any premium movie network’s linear schedule.\nWhile this will be a noticeable loss for Starz, for Netflix and Sony it’s a win and one that should have both sets of investors thrilled.\nSony, which doesn’t have a streaming service, basically was able to use Netflix as a much-needed financial lifeline following the COVID-induced shutdown of theaters. In addition, the streamer will have the ability to invest in some of the studio’s upcoming projects. The pair had already seen success prior from a similar separate previousdealworked out for Sony’s animated fare.\n<img src=\"https://static.tigerbbs.com/7e7955071fa9cb7465c0265e4600ccd5\" tg-width=\"750\" tg-height=\"562\">Credit: Sony\nNetflix'sCompetitors Gain Ground\nSticking with the Sony deal a bit further (as there is a lot to unpack) - on the other side of the coin, Netflix now gets a fresh influx of content to make up for what competitors such as HBO Max, Disney+ and Peacock pulled back for their own services OR the content competitors such as Amazon or Apple outbid them on. That cannot be over-started enough, however on the positive side what investors have seen is Netflix's subscribers pivoting in turn to similar content.\nFor example Netflix's most popular series for a while was&nbsp;Friends&nbsp;and when that left,The Office&nbsp;took over. Now with&nbsp;Office&nbsp;gone,Schitt's Creek&nbsp;is in front. Netflix is a large part of the reason why&nbsp;Schitt's Creek&nbsp;exploded towards the end of its runs so it's unlikely that show will slip off the servers, but should it - the point is Netflix viewers will just go down the line.\nIt's also interesting to note the addition of&nbsp;Friends&nbsp;to HBO Max and&nbsp;Office&nbsp;to Peacock have been very successful for those networks - which speaks a lot to the value of IP overall versus just where it was available.\nSpeaking of IP, another reason why the Sony deal is important is because it has marquee franchises such as theSpider-Manuniverse. This is one of the rare non-Disney owned Marvel IP’s and this puts the streamer right back in the super-hero space that has performed so well for it prior.\nAll together the deal was a welcome sign of relief to some shareholders as it’s been&nbsp;rumored&nbsp;Comcast’s Universal division will soon begin pulling its content from Netflix soon to give exclusively to Peacock – similar to what the company did withThe Office&nbsp;earlier this year.\nThis is further protection for that type of a mass content exodus.\nOn it is own this is a big deal because of its far-reaching industry impacts – but where I’m looking it (and investors should also) is two-fold. One, it is a clear example of how Netflix is pivoting to stay competitive and somehow always finds a dance partner in need of its special set of skills.\nGoing Outside The Netflix Family\nThe other aspect is it’s also fascinating to see how Netflix has further infiltrated the film world – including by leaning into more traditional methods. And that takes us to the second piece of news which I touched on in a previous&nbsp;piece… theKnives Outdeal.\nAs a reminder Netflix&nbsp;bought&nbsp;the rights to the two sequels to the 2019 murder mystery hit (originally distributed by Lionsgate) for over $450 million…a stunning sum of money in its own right, let alone for such new IP. However, again looking at the bigger picture, it makes sense.\nNetflix is trying to further its film reach, even going so far as to produce&nbsp;over&nbsp;70 originals in 2021 – including at least one new one a week. The problem is that approach could actually dilute the overall product and cannibalizes its success.\nWe are also a few years into the Netflix film division and the studio has yet to find its AAA tier film franchise. It’s had individual successes and its won Oscars but it hasn’t had that film series that would be akin to one a traditional studio would leverage a theatrical trilogy out of…and its noticeable.\nSo Netflix did the next best thing – it bought one.\nKnives Outwas also a great choice.\nIt boasts Daniel Craig as the lead, comes from a well-regarded writer/director in Rian Johnson and also was an awards player. Plus the original packed together a stunning ensemble of A-list talent and the news ones will likely follow the same pattern.\nIt’s a safe and smart play for Netflix that will also get the attention and buzz they are looking for in that space. It’s also another example of Netflix’s “win-now” mentality.\nSo to recap – Netflix in the past few weeks went out and bought a new “it” franchise AND jumped to the front of the line for new “A-tier” content from a top-flight studio.\nBoth of these moves are in direct response to having their rivals step up their game.\nAnd to be clear, some of this may be reactionary, but that’s the point. It’s not knee-jerk in the least, it’s a calculated reaction that makes fiscal sense. Just as Netflix knew eventually studios/networks would wise up and stop feeding them content, its team knew its rivals would make gains and they’d have to adjust.\nThat’s business…there’s an ebb and flow.\nAs I mentioned earlier, Netflix smartly turned its attention to potential partners who could utilize their competitive advantage.\nNetflix's Biggest Risk May Come From Smallest Change\nTo me, the last move I want to touch on is the most interesting – it is also ironically the least headline-grabbing of the bunch. It ties to the TV side of the business, which has arguably come under just much of an attack from other streamers.\nIn the beginning, Netflix’s entry into streaming was built around being different, but the most well-known aspect of that build-up was its “all-at-once” pattern. While the traditional model had long relied on weekly episode drops, Netflix changed the game.\nIt was a refreshing approach.\nFor the “now” generation to have everything at their fingertips from the start was a big selling point. It also marked the beginning of “binge culture.” Of course, there were cons as well as pros, the problem with all-at-once is exactly that, it’s all-at-once.\nFor many people sitting for 10-12 hours to polish off a full season of a show is not realistic – even over a weekend it's hard. What that meant is while you can talk all you wanted online about the show’s twists and turns, it was harder to keep that conversation going with friends and family.\n<img src=\"https://static.tigerbbs.com/051370349a483fcd05ac4945cdcfb588\" tg-width=\"800\" tg-height=\"444\">Credit: Netflix\nWhile it’s worked tremendously for Netflix, it’s also proven to be a bit of a hinderance because fans never know where others are in the storyline. This stifles that type of watercooler conversation that helped build the legacy of many classic shows.\nThis was also a lot less complicated when Netflix’s core originals were limited to a handful of titles – but with countless new content flowing through its servers it is hard to keep track. Although many subscribers are quick to say the “all-at-once” model is a huge draw for them and a reason they love Netflix over other rivals.\nGranted after nearly a decade of use it makes sense as that type of access has become engrained and expected by its users. The difference is other streamers have found arguably the same type of success with the use of weekly drops – most notably Disney+.\nWhile Netflix gets a lot of bang for its buck for its own titles, normally it is mainly limited to about a three-week period – the week prior to launch, the week of launch and the week after launch. Beyond that you can notice a sizable dip in the chatter, conversely Disney’s weekly model has a longer impact.\nBy dropping new episodes on Fridays, Disney invites new conversation over the entire weekend, that are repeated over a period of months. That&nbsp;repetition&nbsp;has helped elevate the profile of its&nbsp;Star Wars&nbsp;and Marvel-centric series (and in turn the brands). With each of which usually clocking in around 30 mins long, it makes it easier for people to watch without a huge time commitment.\nThat has seemingly caught the attention of Netflix which looks like it wants to switch things up – and I think the reaction by subscribers is going to be interesting to shareholders.\nTwo of Netflix’s reality franchises –The CircleandToo Hot To Handle– will now&nbsp;NOT&nbsp;be all-at-once drops. The batch model still holds, in that multiple episodes will still drop per week – but it won’t be the whole thing.\n<img src=\"https://static.tigerbbs.com/90bb70897890d7ac296671b75837af4c\" tg-width=\"1024\" tg-height=\"576\">Credit: Netflix\nThe Circlepremieres this week and will wrap May 5th, whileToo Hot To Handlewill debut in June – both on Wednesdays, which is also telling to me. In effect Netflix is trying to own that day of the week, which is a very traditional model approach to take.\nSo why am I so interested in this approach?\nThe main reason is because it represents a huge shift to their overall model that if successful could lead to future scripted series potentially getting the same treatment. I’ve often argued the one thing keeping Netflix’s originals back is the all-at-once approach.\nRememberThe Witcher?\nYes, it’s a hit for Netflix but it’s notGame of Thrones– and it was designed specifically to beGame of Thrones. Now hadWitcherbeen a weekly release and gotten all the buzz and added media attention that comes with it, it is very possible the series could have seen a substantial boost in popularity.\nEspecially with scripted shows that are heavily serialized having that added time to digest the material is incredibly important. With reality series, not so much – but they are still a great test case because there is still a payoff at the end.\nIt’s also telling because Netflix tried this before, but then quicky said it was a one-off move.\nWhenRhythm + Flowpremiered the other year, it took the weekly model approach in an attempt to preserve the identity of the winner as long as possible. However seemingly from the start Netflix essentially began apologizing for the decision.\nIt was kind of whiplash inducing as in one breath it was quick to tout a new creative approach and then just as fast say it was essentially a one-time&nbsp;thing.\nTo some it looked like Netflix felt like it had to go out of itswayto say it was an aberration to not upset the apple cart with its subscribers – which is why I’m very interested to see the response when it happens with two of its top franchises. I’ll be even more interested to see if this is the approach taken withLove Is Blindwhen it returns later this year.\nAs I said, never say never – even with Netflix.\nConclusion\nI have to give the streamer credit as its moves to shore up its base are further examples of company “firsts” and for Netflix to still have “firsts” this many years into its innovative run says something that should be encouraging to investors.\nStreaming remains the Wild Wild West and Netflix is ensuring nobody can get too comfortable – not even themselves.","source":"seekingalpha","collect":0,"html":"<!DOCTYPE html>\n<html>\n<head>\n<meta http-equiv=\"Content-Type\" content=\"text/html; charset=utf-8\" />\n<meta name=\"viewport\" content=\"width=device-width,initial-scale=1.0,minimum-scale=1.0,maximum-scale=1.0,user-scalable=no\"/>\n<meta name=\"format-detection\" content=\"telephone=no,email=no,address=no\" />\n<title>Netflix Stock: Company Looking To Adjust Longstanding Strategies As Rival Streamers Gain Ground</title>\n<style type=\"text/css\">\na,abbr,acronym,address,applet,article,aside,audio,b,big,blockquote,body,canvas,caption,center,cite,code,dd,del,details,dfn,div,dl,dt,\nem,embed,fieldset,figcaption,figure,footer,form,h1,h2,h3,h4,h5,h6,header,hgroup,html,i,iframe,img,ins,kbd,label,legend,li,mark,menu,nav,\nobject,ol,output,p,pre,q,ruby,s,samp,section,small,span,strike,strong,sub,summary,sup,table,tbody,td,tfoot,th,thead,time,tr,tt,u,ul,var,video{ font:inherit;margin:0;padding:0;vertical-align:baseline;border:0 }\nbody{ font-size:16px; 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}\n.meta {color:#5e5c6d;font-size:13px;margin:0 0 .5em; }\na{text-decoration:none; color:#2a4b87;}\n.meta .head { display: inline-block; overflow: hidden}\n.head .h-thumb { width: 30px; height: 30px; margin: 0; padding: 0; border-radius: 50%; float: left;}\n.head .h-content { margin: 0; padding: 0 0 0 9px; float: left;}\n.head .h-name {font-size: 13px; color: #eee; margin: 0;}\n.head .h-time {font-size: 11px; color: #7E829C; margin: 0;line-height: 11px;}\n.small {font-size: 12.5px; display: inline-block; transform: scale(0.9); -webkit-transform: scale(0.9); transform-origin: left; -webkit-transform-origin: left;}\n.smaller {font-size: 12.5px; display: inline-block; transform: scale(0.8); -webkit-transform: scale(0.8); transform-origin: left; -webkit-transform-origin: left;}\n.bt-text {font-size: 12px;margin: 1.5em 0 0 0}\n.bt-text p {margin: 0}\n</style>\n</head>\n<body>\n<div class=\"wrapper\">\n<header>\n<h2 class=\"title\">\nNetflix Stock: Company Looking To Adjust Longstanding Strategies As Rival Streamers Gain Ground\n</h2>\n\n<h4 class=\"meta\">\n\n\n2021-04-16 11:10 GMT+8&nbsp;&nbsp;&nbsp;<a href=https://seekingalpha.com/article/4419132-netflix-stock-strategies-disney-plus-hbo-max>seekingalpha</a>\n\n\n</h4>\n\n</header>\n<article>\n<div>\nSummary\n\nNetflix has seen its streaming rivals continually gain ground in the past few months prompting the company to re-evaluate a number of long-standing strategies.\nThis isn’t Netflix’s first time...\n\n<a href=\"https://seekingalpha.com/article/4419132-netflix-stock-strategies-disney-plus-hbo-max\">Web Link</a>\n\n</div>\n\n\n</article>\n</div>\n</body>\n</html>\n","type":0,"thumbnail":"","relate_stocks":{"NFLX":"奈飞"},"source_url":"https://seekingalpha.com/article/4419132-netflix-stock-strategies-disney-plus-hbo-max","is_english":true,"share_image_url":"https://static.laohu8.com/5a36db9d73b4222bc376d24ccc48c8a4","article_id":"1119241855","content_text":"Summary\n\nNetflix has seen its streaming rivals continually gain ground in the past few months prompting the company to re-evaluate a number of long-standing strategies.\nThis isn’t Netflix’s first time fending off challengers and the company is acutely aware it will have to consistently make moves to stay on top.\nNetflix recently negotiated a deal with Sony that will result in it receiving more content sooner than before and also open the door to new partnerships with the studio.\nThe streamer also utilized another “win-now” technique when it comes to its original films as instead of solely focusing on trying to create a new “it” franchise, it bought one.\nNetflix is also making moves on the TV side by adjusting its iconic “all-at-once” model and testing weekly batch drops of two popular reality shows – despite past pushback from subscribers.\n\nPhoto by Christopher Ames/iStock Unreleased via Getty Images\nNever say never – even if you are Netflix (NASDAQ:NFLX)\nThe streaming leader has come under heavy competition in the last few months from upstart rivals Disney+ (NYSE:DIS) and HBO Max (NYSE:T), while at the same time battling a newly revitalized Amazon Prime (NASDAQ:AMZN). However, this isn’t Netflix’s first time fending off challengers and let’s be realistic, it wasn’t like Netflix wasn’t aware it was going to have to consistently make moves to stay on top.\nThis time though it’s a bit different because of the collective nature of the shifts and how they represent a direct change to the streamer’s roadmap and business/programming model. While separately all these moves are impactful in their own right, but when looking at them as part of a bigger picture – it is sending a clear message to investors that the service can be nimble, even in areas were for a while it was seemingly the opposite.\nFirst as always, some background.\nIncreasing Netflix's Market Share\nI want to look at three specific moves and their importance.\nLet’s kick it off with the one that has the biggest paradigm shift in the industry – the Sony deal.\nCredit: Sony\nLast week Netflix made a deal with Sony (NYSE:SONY) to acquire first-run pay TV rights for its theatrical releases. In other words, after theater and home video, it’s onto Netflix. This is a big step for the streamer as previously it would look to make deals for specific films, whereas now it a steady flow of features in play.\nLet me back up for a second though to explain a little more in depth…and keep in mind this is tied directly the traditional model (and pre-COVID). As mentioned, the usual route for a movie is theaters, home entertainment, pay TV, cable, broadcast, etc…where streaming comes in has always been somewhat fluid past pay TV.\nThis deal targets that “pay TV” window. The premium channels – i.e. HBO, Showtime, Starz, Epix – all have deals with studios for their outputs. For example, Warner Bros. films go to HBO, A24 films go to Showtime and so on. In some cases it’s a natural fit among corporate siblings or a separate deal worked out to help both parties.\nPreviously Sony films went to Starz – but starting in 2022 when that deal expires, Netflix takes over.\nWhat that means is that Netflix just slipped into a window where traditional TV had a solid foothold.\nPart of the reason these networks had been able to pull in subscribers in the first place was that steady pipeline of theatricals. Those blockbusters were the draw to get you to subscribe with the ideas being those network’s originals would then get you further hooked. At the same time those movies - which then became part of an ever-growing film library - are the backbone of any premium movie network’s linear schedule.\nWhile this will be a noticeable loss for Starz, for Netflix and Sony it’s a win and one that should have both sets of investors thrilled.\nSony, which doesn’t have a streaming service, basically was able to use Netflix as a much-needed financial lifeline following the COVID-induced shutdown of theaters. In addition, the streamer will have the ability to invest in some of the studio’s upcoming projects. The pair had already seen success prior from a similar separate previousdealworked out for Sony’s animated fare.\nCredit: Sony\nNetflix'sCompetitors Gain Ground\nSticking with the Sony deal a bit further (as there is a lot to unpack) - on the other side of the coin, Netflix now gets a fresh influx of content to make up for what competitors such as HBO Max, Disney+ and Peacock pulled back for their own services OR the content competitors such as Amazon or Apple outbid them on. That cannot be over-started enough, however on the positive side what investors have seen is Netflix's subscribers pivoting in turn to similar content.\nFor example Netflix's most popular series for a while was Friends and when that left,The Office took over. Now with Office gone,Schitt's Creek is in front. Netflix is a large part of the reason why Schitt's Creek exploded towards the end of its runs so it's unlikely that show will slip off the servers, but should it - the point is Netflix viewers will just go down the line.\nIt's also interesting to note the addition of Friends to HBO Max and Office to Peacock have been very successful for those networks - which speaks a lot to the value of IP overall versus just where it was available.\nSpeaking of IP, another reason why the Sony deal is important is because it has marquee franchises such as theSpider-Manuniverse. This is one of the rare non-Disney owned Marvel IP’s and this puts the streamer right back in the super-hero space that has performed so well for it prior.\nAll together the deal was a welcome sign of relief to some shareholders as it’s been rumored Comcast’s Universal division will soon begin pulling its content from Netflix soon to give exclusively to Peacock – similar to what the company did withThe Office earlier this year.\nThis is further protection for that type of a mass content exodus.\nOn it is own this is a big deal because of its far-reaching industry impacts – but where I’m looking it (and investors should also) is two-fold. One, it is a clear example of how Netflix is pivoting to stay competitive and somehow always finds a dance partner in need of its special set of skills.\nGoing Outside The Netflix Family\nThe other aspect is it’s also fascinating to see how Netflix has further infiltrated the film world – including by leaning into more traditional methods. And that takes us to the second piece of news which I touched on in a previous piece… theKnives Outdeal.\nAs a reminder Netflix bought the rights to the two sequels to the 2019 murder mystery hit (originally distributed by Lionsgate) for over $450 million…a stunning sum of money in its own right, let alone for such new IP. However, again looking at the bigger picture, it makes sense.\nNetflix is trying to further its film reach, even going so far as to produce over 70 originals in 2021 – including at least one new one a week. The problem is that approach could actually dilute the overall product and cannibalizes its success.\nWe are also a few years into the Netflix film division and the studio has yet to find its AAA tier film franchise. It’s had individual successes and its won Oscars but it hasn’t had that film series that would be akin to one a traditional studio would leverage a theatrical trilogy out of…and its noticeable.\nSo Netflix did the next best thing – it bought one.\nKnives Outwas also a great choice.\nIt boasts Daniel Craig as the lead, comes from a well-regarded writer/director in Rian Johnson and also was an awards player. Plus the original packed together a stunning ensemble of A-list talent and the news ones will likely follow the same pattern.\nIt’s a safe and smart play for Netflix that will also get the attention and buzz they are looking for in that space. It’s also another example of Netflix’s “win-now” mentality.\nSo to recap – Netflix in the past few weeks went out and bought a new “it” franchise AND jumped to the front of the line for new “A-tier” content from a top-flight studio.\nBoth of these moves are in direct response to having their rivals step up their game.\nAnd to be clear, some of this may be reactionary, but that’s the point. It’s not knee-jerk in the least, it’s a calculated reaction that makes fiscal sense. Just as Netflix knew eventually studios/networks would wise up and stop feeding them content, its team knew its rivals would make gains and they’d have to adjust.\nThat’s business…there’s an ebb and flow.\nAs I mentioned earlier, Netflix smartly turned its attention to potential partners who could utilize their competitive advantage.\nNetflix's Biggest Risk May Come From Smallest Change\nTo me, the last move I want to touch on is the most interesting – it is also ironically the least headline-grabbing of the bunch. It ties to the TV side of the business, which has arguably come under just much of an attack from other streamers.\nIn the beginning, Netflix’s entry into streaming was built around being different, but the most well-known aspect of that build-up was its “all-at-once” pattern. While the traditional model had long relied on weekly episode drops, Netflix changed the game.\nIt was a refreshing approach.\nFor the “now” generation to have everything at their fingertips from the start was a big selling point. It also marked the beginning of “binge culture.” Of course, there were cons as well as pros, the problem with all-at-once is exactly that, it’s all-at-once.\nFor many people sitting for 10-12 hours to polish off a full season of a show is not realistic – even over a weekend it's hard. What that meant is while you can talk all you wanted online about the show’s twists and turns, it was harder to keep that conversation going with friends and family.\nCredit: Netflix\nWhile it’s worked tremendously for Netflix, it’s also proven to be a bit of a hinderance because fans never know where others are in the storyline. This stifles that type of watercooler conversation that helped build the legacy of many classic shows.\nThis was also a lot less complicated when Netflix’s core originals were limited to a handful of titles – but with countless new content flowing through its servers it is hard to keep track. Although many subscribers are quick to say the “all-at-once” model is a huge draw for them and a reason they love Netflix over other rivals.\nGranted after nearly a decade of use it makes sense as that type of access has become engrained and expected by its users. The difference is other streamers have found arguably the same type of success with the use of weekly drops – most notably Disney+.\nWhile Netflix gets a lot of bang for its buck for its own titles, normally it is mainly limited to about a three-week period – the week prior to launch, the week of launch and the week after launch. Beyond that you can notice a sizable dip in the chatter, conversely Disney’s weekly model has a longer impact.\nBy dropping new episodes on Fridays, Disney invites new conversation over the entire weekend, that are repeated over a period of months. That repetition has helped elevate the profile of its Star Wars and Marvel-centric series (and in turn the brands). With each of which usually clocking in around 30 mins long, it makes it easier for people to watch without a huge time commitment.\nThat has seemingly caught the attention of Netflix which looks like it wants to switch things up – and I think the reaction by subscribers is going to be interesting to shareholders.\nTwo of Netflix’s reality franchises –The CircleandToo Hot To Handle– will now NOT be all-at-once drops. The batch model still holds, in that multiple episodes will still drop per week – but it won’t be the whole thing.\nCredit: Netflix\nThe Circlepremieres this week and will wrap May 5th, whileToo Hot To Handlewill debut in June – both on Wednesdays, which is also telling to me. In effect Netflix is trying to own that day of the week, which is a very traditional model approach to take.\nSo why am I so interested in this approach?\nThe main reason is because it represents a huge shift to their overall model that if successful could lead to future scripted series potentially getting the same treatment. I’ve often argued the one thing keeping Netflix’s originals back is the all-at-once approach.\nRememberThe Witcher?\nYes, it’s a hit for Netflix but it’s notGame of Thrones– and it was designed specifically to beGame of Thrones. Now hadWitcherbeen a weekly release and gotten all the buzz and added media attention that comes with it, it is very possible the series could have seen a substantial boost in popularity.\nEspecially with scripted shows that are heavily serialized having that added time to digest the material is incredibly important. With reality series, not so much – but they are still a great test case because there is still a payoff at the end.\nIt’s also telling because Netflix tried this before, but then quicky said it was a one-off move.\nWhenRhythm + Flowpremiered the other year, it took the weekly model approach in an attempt to preserve the identity of the winner as long as possible. However seemingly from the start Netflix essentially began apologizing for the decision.\nIt was kind of whiplash inducing as in one breath it was quick to tout a new creative approach and then just as fast say it was essentially a one-time thing.\nTo some it looked like Netflix felt like it had to go out of itswayto say it was an aberration to not upset the apple cart with its subscribers – which is why I’m very interested to see the response when it happens with two of its top franchises. I’ll be even more interested to see if this is the approach taken withLove Is Blindwhen it returns later this year.\nAs I said, never say never – even with Netflix.\nConclusion\nI have to give the streamer credit as its moves to shore up its base are further examples of company “firsts” and for Netflix to still have “firsts” this many years into its innovative run says something that should be encouraging to investors.\nStreaming remains the Wild Wild West and Netflix is ensuring nobody can get too comfortable – not even themselves.","news_type":1},"isVote":1,"likeStatus":false,"favoriteStatus":false,"reportStatus":false,"tweetType":1,"langContent":"EN"},{"id":370308591,"gmtCreate":1618548466413,"gmtModify":1704712576530,"author":{"id":"3579853827109743","authorId":"3579853827109743","authorIdStr":"3579853827109743","name":"Sioww","avatar":"https://static.laohu8.com/default-avatar.jpg","vip":1,"crmLevel":2,"crmLevelSwitch":0,"idStr":"3579853827109743"},"htmlText":"Netflix","listText":"Netflix","text":"Netflix","images":[],"top":1,"highlighted":1,"essential":1,"paper":1,"likeSize":1,"commentSize":0,"repostSize":0,"link":"https://ttm.financial/post/370308591","repostId":1119241855,"repostType":4,"repost":{"id":"1119241855","pubTimestamp":1618542634,"share":"https://ttm.financial/m/news/1119241855?lang=&edition=fundamental","pubTime":"2021-04-16 11:10","market":"us","language":"en","title":"Netflix Stock: Company Looking To Adjust Longstanding Strategies As Rival Streamers Gain Ground","url":"https://stock-news.laohu8.com/highlight/detail?id=1119241855","media":"seekingalpha","summary":"Summary\n\nNetflix has seen its streaming rivals continually gain ground in the past few months prompt","content":"Summary\n<ul>\n <li>Netflix has seen its streaming rivals continually gain ground in the past few months prompting the company to re-evaluate a number of long-standing strategies.</li>\n <li>This isn’t Netflix’s first time fending off challengers and the company is acutely aware it will have to consistently make moves to stay on top.</li>\n <li>Netflix recently negotiated a deal with Sony that will result in it receiving more content sooner than before and also open the door to new partnerships with the studio.</li>\n <li>The streamer also utilized another “win-now” technique when it comes to its original films as instead of solely focusing on trying to create a new “it” franchise, it bought one.</li>\n <li>Netflix is also making moves on the TV side by adjusting its iconic “all-at-once” model and testing weekly batch drops of two popular reality shows – despite past pushback from subscribers.</li>\n</ul>\n<img src=\"https://static.tigerbbs.com/85c5bcbd94b754eab4b27fa6819cac61\" tg-width=\"768\" tg-height=\"509\">Photo by Christopher Ames/iStock Unreleased via Getty Images\nNever say never – even if you are Netflix (NASDAQ:NFLX)\nThe streaming leader has come under heavy competition in the last few months from upstart rivals Disney+ (NYSE:DIS) and HBO Max (NYSE:T), while at the same time battling a newly revitalized Amazon Prime (NASDAQ:AMZN). However, this isn’t Netflix’s first time fending off challengers and let’s be realistic, it wasn’t like Netflix wasn’t aware it was going to have to consistently make moves to stay on top.\nThis time though it’s a bit different because of the collective nature of the shifts and how they represent a direct change to the streamer’s roadmap and business/programming model. While separately all these moves are impactful in their own right, but when looking at them as part of a bigger picture – it is sending a clear message to investors that the service can be nimble, even in areas were for a while it was seemingly the opposite.\nFirst as always, some background.\nIncreasing Netflix's Market Share\nI want to look at three specific moves and their importance.\nLet’s kick it off with the one that has the biggest paradigm shift in the industry – the Sony deal.\n<img src=\"https://static.tigerbbs.com/9a75991f04f5078fe686afa0638322f6\" tg-width=\"934\" tg-height=\"488\">Credit: Sony\nLast week Netflix made a&nbsp;deal&nbsp;with Sony (NYSE:SONY) to acquire first-run pay TV rights for its theatrical releases. In other words, after theater and home video, it’s onto Netflix. This is a big step for the streamer as previously it would look to make deals for specific films, whereas now it a steady flow of features in play.\nLet me back up for a second though to explain a little more in depth…and keep in mind this is tied directly the traditional model (and pre-COVID). As mentioned, the usual route for a movie is theaters, home entertainment, pay TV, cable, broadcast, etc…where streaming comes in has always been somewhat fluid past pay TV.\nThis deal targets that “pay TV” window. The premium channels – i.e. HBO, Showtime, Starz, Epix – all have deals with studios for their outputs. For example, Warner Bros. films go to HBO, A24&nbsp;films&nbsp;go to Showtime and so on. In some cases it’s a natural fit among corporate siblings or a separate deal worked out to help both parties.\nPreviously Sony films went to Starz – but starting in 2022 when that deal expires, Netflix takes over.\nWhat that means is that Netflix just slipped into a window where traditional TV had a solid foothold.\nPart of the reason these networks had been able to pull in subscribers in the first place was that steady pipeline of theatricals. Those blockbusters were the draw to get you to subscribe with the ideas being those network’s originals would then get you further hooked. At the same time those movies - which then became part of an ever-growing film library - are the backbone of any premium movie network’s linear schedule.\nWhile this will be a noticeable loss for Starz, for Netflix and Sony it’s a win and one that should have both sets of investors thrilled.\nSony, which doesn’t have a streaming service, basically was able to use Netflix as a much-needed financial lifeline following the COVID-induced shutdown of theaters. In addition, the streamer will have the ability to invest in some of the studio’s upcoming projects. The pair had already seen success prior from a similar separate previousdealworked out for Sony’s animated fare.\n<img src=\"https://static.tigerbbs.com/7e7955071fa9cb7465c0265e4600ccd5\" tg-width=\"750\" tg-height=\"562\">Credit: Sony\nNetflix'sCompetitors Gain Ground\nSticking with the Sony deal a bit further (as there is a lot to unpack) - on the other side of the coin, Netflix now gets a fresh influx of content to make up for what competitors such as HBO Max, Disney+ and Peacock pulled back for their own services OR the content competitors such as Amazon or Apple outbid them on. That cannot be over-started enough, however on the positive side what investors have seen is Netflix's subscribers pivoting in turn to similar content.\nFor example Netflix's most popular series for a while was&nbsp;Friends&nbsp;and when that left,The Office&nbsp;took over. Now with&nbsp;Office&nbsp;gone,Schitt's Creek&nbsp;is in front. Netflix is a large part of the reason why&nbsp;Schitt's Creek&nbsp;exploded towards the end of its runs so it's unlikely that show will slip off the servers, but should it - the point is Netflix viewers will just go down the line.\nIt's also interesting to note the addition of&nbsp;Friends&nbsp;to HBO Max and&nbsp;Office&nbsp;to Peacock have been very successful for those networks - which speaks a lot to the value of IP overall versus just where it was available.\nSpeaking of IP, another reason why the Sony deal is important is because it has marquee franchises such as theSpider-Manuniverse. This is one of the rare non-Disney owned Marvel IP’s and this puts the streamer right back in the super-hero space that has performed so well for it prior.\nAll together the deal was a welcome sign of relief to some shareholders as it’s been&nbsp;rumored&nbsp;Comcast’s Universal division will soon begin pulling its content from Netflix soon to give exclusively to Peacock – similar to what the company did withThe Office&nbsp;earlier this year.\nThis is further protection for that type of a mass content exodus.\nOn it is own this is a big deal because of its far-reaching industry impacts – but where I’m looking it (and investors should also) is two-fold. One, it is a clear example of how Netflix is pivoting to stay competitive and somehow always finds a dance partner in need of its special set of skills.\nGoing Outside The Netflix Family\nThe other aspect is it’s also fascinating to see how Netflix has further infiltrated the film world – including by leaning into more traditional methods. And that takes us to the second piece of news which I touched on in a previous&nbsp;piece… theKnives Outdeal.\nAs a reminder Netflix&nbsp;bought&nbsp;the rights to the two sequels to the 2019 murder mystery hit (originally distributed by Lionsgate) for over $450 million…a stunning sum of money in its own right, let alone for such new IP. However, again looking at the bigger picture, it makes sense.\nNetflix is trying to further its film reach, even going so far as to produce&nbsp;over&nbsp;70 originals in 2021 – including at least one new one a week. The problem is that approach could actually dilute the overall product and cannibalizes its success.\nWe are also a few years into the Netflix film division and the studio has yet to find its AAA tier film franchise. It’s had individual successes and its won Oscars but it hasn’t had that film series that would be akin to one a traditional studio would leverage a theatrical trilogy out of…and its noticeable.\nSo Netflix did the next best thing – it bought one.\nKnives Outwas also a great choice.\nIt boasts Daniel Craig as the lead, comes from a well-regarded writer/director in Rian Johnson and also was an awards player. Plus the original packed together a stunning ensemble of A-list talent and the news ones will likely follow the same pattern.\nIt’s a safe and smart play for Netflix that will also get the attention and buzz they are looking for in that space. It’s also another example of Netflix’s “win-now” mentality.\nSo to recap – Netflix in the past few weeks went out and bought a new “it” franchise AND jumped to the front of the line for new “A-tier” content from a top-flight studio.\nBoth of these moves are in direct response to having their rivals step up their game.\nAnd to be clear, some of this may be reactionary, but that’s the point. It’s not knee-jerk in the least, it’s a calculated reaction that makes fiscal sense. Just as Netflix knew eventually studios/networks would wise up and stop feeding them content, its team knew its rivals would make gains and they’d have to adjust.\nThat’s business…there’s an ebb and flow.\nAs I mentioned earlier, Netflix smartly turned its attention to potential partners who could utilize their competitive advantage.\nNetflix's Biggest Risk May Come From Smallest Change\nTo me, the last move I want to touch on is the most interesting – it is also ironically the least headline-grabbing of the bunch. It ties to the TV side of the business, which has arguably come under just much of an attack from other streamers.\nIn the beginning, Netflix’s entry into streaming was built around being different, but the most well-known aspect of that build-up was its “all-at-once” pattern. While the traditional model had long relied on weekly episode drops, Netflix changed the game.\nIt was a refreshing approach.\nFor the “now” generation to have everything at their fingertips from the start was a big selling point. It also marked the beginning of “binge culture.” Of course, there were cons as well as pros, the problem with all-at-once is exactly that, it’s all-at-once.\nFor many people sitting for 10-12 hours to polish off a full season of a show is not realistic – even over a weekend it's hard. What that meant is while you can talk all you wanted online about the show’s twists and turns, it was harder to keep that conversation going with friends and family.\n<img src=\"https://static.tigerbbs.com/051370349a483fcd05ac4945cdcfb588\" tg-width=\"800\" tg-height=\"444\">Credit: Netflix\nWhile it’s worked tremendously for Netflix, it’s also proven to be a bit of a hinderance because fans never know where others are in the storyline. This stifles that type of watercooler conversation that helped build the legacy of many classic shows.\nThis was also a lot less complicated when Netflix’s core originals were limited to a handful of titles – but with countless new content flowing through its servers it is hard to keep track. Although many subscribers are quick to say the “all-at-once” model is a huge draw for them and a reason they love Netflix over other rivals.\nGranted after nearly a decade of use it makes sense as that type of access has become engrained and expected by its users. The difference is other streamers have found arguably the same type of success with the use of weekly drops – most notably Disney+.\nWhile Netflix gets a lot of bang for its buck for its own titles, normally it is mainly limited to about a three-week period – the week prior to launch, the week of launch and the week after launch. Beyond that you can notice a sizable dip in the chatter, conversely Disney’s weekly model has a longer impact.\nBy dropping new episodes on Fridays, Disney invites new conversation over the entire weekend, that are repeated over a period of months. That&nbsp;repetition&nbsp;has helped elevate the profile of its&nbsp;Star Wars&nbsp;and Marvel-centric series (and in turn the brands). With each of which usually clocking in around 30 mins long, it makes it easier for people to watch without a huge time commitment.\nThat has seemingly caught the attention of Netflix which looks like it wants to switch things up – and I think the reaction by subscribers is going to be interesting to shareholders.\nTwo of Netflix’s reality franchises –The CircleandToo Hot To Handle– will now&nbsp;NOT&nbsp;be all-at-once drops. The batch model still holds, in that multiple episodes will still drop per week – but it won’t be the whole thing.\n<img src=\"https://static.tigerbbs.com/90bb70897890d7ac296671b75837af4c\" tg-width=\"1024\" tg-height=\"576\">Credit: Netflix\nThe Circlepremieres this week and will wrap May 5th, whileToo Hot To Handlewill debut in June – both on Wednesdays, which is also telling to me. In effect Netflix is trying to own that day of the week, which is a very traditional model approach to take.\nSo why am I so interested in this approach?\nThe main reason is because it represents a huge shift to their overall model that if successful could lead to future scripted series potentially getting the same treatment. I’ve often argued the one thing keeping Netflix’s originals back is the all-at-once approach.\nRememberThe Witcher?\nYes, it’s a hit for Netflix but it’s notGame of Thrones– and it was designed specifically to beGame of Thrones. Now hadWitcherbeen a weekly release and gotten all the buzz and added media attention that comes with it, it is very possible the series could have seen a substantial boost in popularity.\nEspecially with scripted shows that are heavily serialized having that added time to digest the material is incredibly important. With reality series, not so much – but they are still a great test case because there is still a payoff at the end.\nIt’s also telling because Netflix tried this before, but then quicky said it was a one-off move.\nWhenRhythm + Flowpremiered the other year, it took the weekly model approach in an attempt to preserve the identity of the winner as long as possible. However seemingly from the start Netflix essentially began apologizing for the decision.\nIt was kind of whiplash inducing as in one breath it was quick to tout a new creative approach and then just as fast say it was essentially a one-time&nbsp;thing.\nTo some it looked like Netflix felt like it had to go out of itswayto say it was an aberration to not upset the apple cart with its subscribers – which is why I’m very interested to see the response when it happens with two of its top franchises. I’ll be even more interested to see if this is the approach taken withLove Is Blindwhen it returns later this year.\nAs I said, never say never – even with Netflix.\nConclusion\nI have to give the streamer credit as its moves to shore up its base are further examples of company “firsts” and for Netflix to still have “firsts” this many years into its innovative run says something that should be encouraging to investors.\nStreaming remains the Wild Wild West and Netflix is ensuring nobody can get too comfortable – not even themselves.","source":"seekingalpha","collect":0,"html":"<!DOCTYPE html>\n<html>\n<head>\n<meta http-equiv=\"Content-Type\" content=\"text/html; charset=utf-8\" />\n<meta name=\"viewport\" content=\"width=device-width,initial-scale=1.0,minimum-scale=1.0,maximum-scale=1.0,user-scalable=no\"/>\n<meta name=\"format-detection\" content=\"telephone=no,email=no,address=no\" />\n<title>Netflix Stock: Company Looking To Adjust Longstanding Strategies As Rival Streamers Gain Ground</title>\n<style type=\"text/css\">\na,abbr,acronym,address,applet,article,aside,audio,b,big,blockquote,body,canvas,caption,center,cite,code,dd,del,details,dfn,div,dl,dt,\nem,embed,fieldset,figcaption,figure,footer,form,h1,h2,h3,h4,h5,h6,header,hgroup,html,i,iframe,img,ins,kbd,label,legend,li,mark,menu,nav,\nobject,ol,output,p,pre,q,ruby,s,samp,section,small,span,strike,strong,sub,summary,sup,table,tbody,td,tfoot,th,thead,time,tr,tt,u,ul,var,video{ font:inherit;margin:0;padding:0;vertical-align:baseline;border:0 }\nbody{ font-size:16px; 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}\n.meta {color:#5e5c6d;font-size:13px;margin:0 0 .5em; }\na{text-decoration:none; color:#2a4b87;}\n.meta .head { display: inline-block; overflow: hidden}\n.head .h-thumb { width: 30px; height: 30px; margin: 0; padding: 0; border-radius: 50%; float: left;}\n.head .h-content { margin: 0; padding: 0 0 0 9px; float: left;}\n.head .h-name {font-size: 13px; color: #eee; margin: 0;}\n.head .h-time {font-size: 11px; color: #7E829C; margin: 0;line-height: 11px;}\n.small {font-size: 12.5px; display: inline-block; transform: scale(0.9); -webkit-transform: scale(0.9); transform-origin: left; -webkit-transform-origin: left;}\n.smaller {font-size: 12.5px; display: inline-block; transform: scale(0.8); -webkit-transform: scale(0.8); transform-origin: left; -webkit-transform-origin: left;}\n.bt-text {font-size: 12px;margin: 1.5em 0 0 0}\n.bt-text p {margin: 0}\n</style>\n</head>\n<body>\n<div class=\"wrapper\">\n<header>\n<h2 class=\"title\">\nNetflix Stock: Company Looking To Adjust Longstanding Strategies As Rival Streamers Gain Ground\n</h2>\n\n<h4 class=\"meta\">\n\n\n2021-04-16 11:10 GMT+8&nbsp;&nbsp;&nbsp;<a href=https://seekingalpha.com/article/4419132-netflix-stock-strategies-disney-plus-hbo-max>seekingalpha</a>\n\n\n</h4>\n\n</header>\n<article>\n<div>\nSummary\n\nNetflix has seen its streaming rivals continually gain ground in the past few months prompting the company to re-evaluate a number of long-standing strategies.\nThis isn’t Netflix’s first time...\n\n<a href=\"https://seekingalpha.com/article/4419132-netflix-stock-strategies-disney-plus-hbo-max\">Web Link</a>\n\n</div>\n\n\n</article>\n</div>\n</body>\n</html>\n","type":0,"thumbnail":"","relate_stocks":{"NFLX":"奈飞"},"source_url":"https://seekingalpha.com/article/4419132-netflix-stock-strategies-disney-plus-hbo-max","is_english":true,"share_image_url":"https://static.laohu8.com/5a36db9d73b4222bc376d24ccc48c8a4","article_id":"1119241855","content_text":"Summary\n\nNetflix has seen its streaming rivals continually gain ground in the past few months prompting the company to re-evaluate a number of long-standing strategies.\nThis isn’t Netflix’s first time fending off challengers and the company is acutely aware it will have to consistently make moves to stay on top.\nNetflix recently negotiated a deal with Sony that will result in it receiving more content sooner than before and also open the door to new partnerships with the studio.\nThe streamer also utilized another “win-now” technique when it comes to its original films as instead of solely focusing on trying to create a new “it” franchise, it bought one.\nNetflix is also making moves on the TV side by adjusting its iconic “all-at-once” model and testing weekly batch drops of two popular reality shows – despite past pushback from subscribers.\n\nPhoto by Christopher Ames/iStock Unreleased via Getty Images\nNever say never – even if you are Netflix (NASDAQ:NFLX)\nThe streaming leader has come under heavy competition in the last few months from upstart rivals Disney+ (NYSE:DIS) and HBO Max (NYSE:T), while at the same time battling a newly revitalized Amazon Prime (NASDAQ:AMZN). However, this isn’t Netflix’s first time fending off challengers and let’s be realistic, it wasn’t like Netflix wasn’t aware it was going to have to consistently make moves to stay on top.\nThis time though it’s a bit different because of the collective nature of the shifts and how they represent a direct change to the streamer’s roadmap and business/programming model. While separately all these moves are impactful in their own right, but when looking at them as part of a bigger picture – it is sending a clear message to investors that the service can be nimble, even in areas were for a while it was seemingly the opposite.\nFirst as always, some background.\nIncreasing Netflix's Market Share\nI want to look at three specific moves and their importance.\nLet’s kick it off with the one that has the biggest paradigm shift in the industry – the Sony deal.\nCredit: Sony\nLast week Netflix made a deal with Sony (NYSE:SONY) to acquire first-run pay TV rights for its theatrical releases. In other words, after theater and home video, it’s onto Netflix. This is a big step for the streamer as previously it would look to make deals for specific films, whereas now it a steady flow of features in play.\nLet me back up for a second though to explain a little more in depth…and keep in mind this is tied directly the traditional model (and pre-COVID). As mentioned, the usual route for a movie is theaters, home entertainment, pay TV, cable, broadcast, etc…where streaming comes in has always been somewhat fluid past pay TV.\nThis deal targets that “pay TV” window. The premium channels – i.e. HBO, Showtime, Starz, Epix – all have deals with studios for their outputs. For example, Warner Bros. films go to HBO, A24 films go to Showtime and so on. In some cases it’s a natural fit among corporate siblings or a separate deal worked out to help both parties.\nPreviously Sony films went to Starz – but starting in 2022 when that deal expires, Netflix takes over.\nWhat that means is that Netflix just slipped into a window where traditional TV had a solid foothold.\nPart of the reason these networks had been able to pull in subscribers in the first place was that steady pipeline of theatricals. Those blockbusters were the draw to get you to subscribe with the ideas being those network’s originals would then get you further hooked. At the same time those movies - which then became part of an ever-growing film library - are the backbone of any premium movie network’s linear schedule.\nWhile this will be a noticeable loss for Starz, for Netflix and Sony it’s a win and one that should have both sets of investors thrilled.\nSony, which doesn’t have a streaming service, basically was able to use Netflix as a much-needed financial lifeline following the COVID-induced shutdown of theaters. In addition, the streamer will have the ability to invest in some of the studio’s upcoming projects. The pair had already seen success prior from a similar separate previousdealworked out for Sony’s animated fare.\nCredit: Sony\nNetflix'sCompetitors Gain Ground\nSticking with the Sony deal a bit further (as there is a lot to unpack) - on the other side of the coin, Netflix now gets a fresh influx of content to make up for what competitors such as HBO Max, Disney+ and Peacock pulled back for their own services OR the content competitors such as Amazon or Apple outbid them on. That cannot be over-started enough, however on the positive side what investors have seen is Netflix's subscribers pivoting in turn to similar content.\nFor example Netflix's most popular series for a while was Friends and when that left,The Office took over. Now with Office gone,Schitt's Creek is in front. Netflix is a large part of the reason why Schitt's Creek exploded towards the end of its runs so it's unlikely that show will slip off the servers, but should it - the point is Netflix viewers will just go down the line.\nIt's also interesting to note the addition of Friends to HBO Max and Office to Peacock have been very successful for those networks - which speaks a lot to the value of IP overall versus just where it was available.\nSpeaking of IP, another reason why the Sony deal is important is because it has marquee franchises such as theSpider-Manuniverse. This is one of the rare non-Disney owned Marvel IP’s and this puts the streamer right back in the super-hero space that has performed so well for it prior.\nAll together the deal was a welcome sign of relief to some shareholders as it’s been rumored Comcast’s Universal division will soon begin pulling its content from Netflix soon to give exclusively to Peacock – similar to what the company did withThe Office earlier this year.\nThis is further protection for that type of a mass content exodus.\nOn it is own this is a big deal because of its far-reaching industry impacts – but where I’m looking it (and investors should also) is two-fold. One, it is a clear example of how Netflix is pivoting to stay competitive and somehow always finds a dance partner in need of its special set of skills.\nGoing Outside The Netflix Family\nThe other aspect is it’s also fascinating to see how Netflix has further infiltrated the film world – including by leaning into more traditional methods. And that takes us to the second piece of news which I touched on in a previous piece… theKnives Outdeal.\nAs a reminder Netflix bought the rights to the two sequels to the 2019 murder mystery hit (originally distributed by Lionsgate) for over $450 million…a stunning sum of money in its own right, let alone for such new IP. However, again looking at the bigger picture, it makes sense.\nNetflix is trying to further its film reach, even going so far as to produce over 70 originals in 2021 – including at least one new one a week. The problem is that approach could actually dilute the overall product and cannibalizes its success.\nWe are also a few years into the Netflix film division and the studio has yet to find its AAA tier film franchise. It’s had individual successes and its won Oscars but it hasn’t had that film series that would be akin to one a traditional studio would leverage a theatrical trilogy out of…and its noticeable.\nSo Netflix did the next best thing – it bought one.\nKnives Outwas also a great choice.\nIt boasts Daniel Craig as the lead, comes from a well-regarded writer/director in Rian Johnson and also was an awards player. Plus the original packed together a stunning ensemble of A-list talent and the news ones will likely follow the same pattern.\nIt’s a safe and smart play for Netflix that will also get the attention and buzz they are looking for in that space. It’s also another example of Netflix’s “win-now” mentality.\nSo to recap – Netflix in the past few weeks went out and bought a new “it” franchise AND jumped to the front of the line for new “A-tier” content from a top-flight studio.\nBoth of these moves are in direct response to having their rivals step up their game.\nAnd to be clear, some of this may be reactionary, but that’s the point. It’s not knee-jerk in the least, it’s a calculated reaction that makes fiscal sense. Just as Netflix knew eventually studios/networks would wise up and stop feeding them content, its team knew its rivals would make gains and they’d have to adjust.\nThat’s business…there’s an ebb and flow.\nAs I mentioned earlier, Netflix smartly turned its attention to potential partners who could utilize their competitive advantage.\nNetflix's Biggest Risk May Come From Smallest Change\nTo me, the last move I want to touch on is the most interesting – it is also ironically the least headline-grabbing of the bunch. It ties to the TV side of the business, which has arguably come under just much of an attack from other streamers.\nIn the beginning, Netflix’s entry into streaming was built around being different, but the most well-known aspect of that build-up was its “all-at-once” pattern. While the traditional model had long relied on weekly episode drops, Netflix changed the game.\nIt was a refreshing approach.\nFor the “now” generation to have everything at their fingertips from the start was a big selling point. It also marked the beginning of “binge culture.” Of course, there were cons as well as pros, the problem with all-at-once is exactly that, it’s all-at-once.\nFor many people sitting for 10-12 hours to polish off a full season of a show is not realistic – even over a weekend it's hard. What that meant is while you can talk all you wanted online about the show’s twists and turns, it was harder to keep that conversation going with friends and family.\nCredit: Netflix\nWhile it’s worked tremendously for Netflix, it’s also proven to be a bit of a hinderance because fans never know where others are in the storyline. This stifles that type of watercooler conversation that helped build the legacy of many classic shows.\nThis was also a lot less complicated when Netflix’s core originals were limited to a handful of titles – but with countless new content flowing through its servers it is hard to keep track. Although many subscribers are quick to say the “all-at-once” model is a huge draw for them and a reason they love Netflix over other rivals.\nGranted after nearly a decade of use it makes sense as that type of access has become engrained and expected by its users. The difference is other streamers have found arguably the same type of success with the use of weekly drops – most notably Disney+.\nWhile Netflix gets a lot of bang for its buck for its own titles, normally it is mainly limited to about a three-week period – the week prior to launch, the week of launch and the week after launch. Beyond that you can notice a sizable dip in the chatter, conversely Disney’s weekly model has a longer impact.\nBy dropping new episodes on Fridays, Disney invites new conversation over the entire weekend, that are repeated over a period of months. That repetition has helped elevate the profile of its Star Wars and Marvel-centric series (and in turn the brands). With each of which usually clocking in around 30 mins long, it makes it easier for people to watch without a huge time commitment.\nThat has seemingly caught the attention of Netflix which looks like it wants to switch things up – and I think the reaction by subscribers is going to be interesting to shareholders.\nTwo of Netflix’s reality franchises –The CircleandToo Hot To Handle– will now NOT be all-at-once drops. The batch model still holds, in that multiple episodes will still drop per week – but it won’t be the whole thing.\nCredit: Netflix\nThe Circlepremieres this week and will wrap May 5th, whileToo Hot To Handlewill debut in June – both on Wednesdays, which is also telling to me. In effect Netflix is trying to own that day of the week, which is a very traditional model approach to take.\nSo why am I so interested in this approach?\nThe main reason is because it represents a huge shift to their overall model that if successful could lead to future scripted series potentially getting the same treatment. I’ve often argued the one thing keeping Netflix’s originals back is the all-at-once approach.\nRememberThe Witcher?\nYes, it’s a hit for Netflix but it’s notGame of Thrones– and it was designed specifically to beGame of Thrones. Now hadWitcherbeen a weekly release and gotten all the buzz and added media attention that comes with it, it is very possible the series could have seen a substantial boost in popularity.\nEspecially with scripted shows that are heavily serialized having that added time to digest the material is incredibly important. With reality series, not so much – but they are still a great test case because there is still a payoff at the end.\nIt’s also telling because Netflix tried this before, but then quicky said it was a one-off move.\nWhenRhythm + Flowpremiered the other year, it took the weekly model approach in an attempt to preserve the identity of the winner as long as possible. However seemingly from the start Netflix essentially began apologizing for the decision.\nIt was kind of whiplash inducing as in one breath it was quick to tout a new creative approach and then just as fast say it was essentially a one-time thing.\nTo some it looked like Netflix felt like it had to go out of itswayto say it was an aberration to not upset the apple cart with its subscribers – which is why I’m very interested to see the response when it happens with two of its top franchises. I’ll be even more interested to see if this is the approach taken withLove Is Blindwhen it returns later this year.\nAs I said, never say never – even with Netflix.\nConclusion\nI have to give the streamer credit as its moves to shore up its base are further examples of company “firsts” and for Netflix to still have “firsts” this many years into its innovative run says something that should be encouraging to investors.\nStreaming remains the Wild Wild West and Netflix is ensuring nobody can get too comfortable – not even themselves.","news_type":1},"isVote":1,"likeStatus":false,"favoriteStatus":false,"reportStatus":false,"tweetType":1,"langContent":"EN"},{"id":370301414,"gmtCreate":1618548412838,"gmtModify":1704712574909,"author":{"id":"3573128307564933","authorId":"3573128307564933","authorIdStr":"3573128307564933","name":"Hinwang","avatar":"https://static.tigerbbs.com/9e2efb27a5cbf6671d5b742ce1464838","vip":1,"crmLevel":2,"crmLevelSwitch":0,"idStr":"3573128307564933"},"htmlText":"Coooll","listText":"Coooll","text":"Coooll","images":[],"top":1,"highlighted":1,"essential":1,"paper":1,"likeSize":0,"commentSize":1,"repostSize":0,"link":"https://ttm.financial/post/370301414","repostId":1119241855,"repostType":4,"repost":{"id":"1119241855","pubTimestamp":1618542634,"share":"https://ttm.financial/m/news/1119241855?lang=&edition=fundamental","pubTime":"2021-04-16 11:10","market":"us","language":"en","title":"Netflix Stock: Company Looking To Adjust Longstanding Strategies As Rival Streamers Gain Ground","url":"https://stock-news.laohu8.com/highlight/detail?id=1119241855","media":"seekingalpha","summary":"Summary\n\nNetflix has seen its streaming rivals continually gain ground in the past few months prompt","content":"Summary\n<ul>\n <li>Netflix has seen its streaming rivals continually gain ground in the past few months prompting the company to re-evaluate a number of long-standing strategies.</li>\n <li>This isn’t Netflix’s first time fending off challengers and the company is acutely aware it will have to consistently make moves to stay on top.</li>\n <li>Netflix recently negotiated a deal with Sony that will result in it receiving more content sooner than before and also open the door to new partnerships with the studio.</li>\n <li>The streamer also utilized another “win-now” technique when it comes to its original films as instead of solely focusing on trying to create a new “it” franchise, it bought one.</li>\n <li>Netflix is also making moves on the TV side by adjusting its iconic “all-at-once” model and testing weekly batch drops of two popular reality shows – despite past pushback from subscribers.</li>\n</ul>\n<img src=\"https://static.tigerbbs.com/85c5bcbd94b754eab4b27fa6819cac61\" tg-width=\"768\" tg-height=\"509\">Photo by Christopher Ames/iStock Unreleased via Getty Images\nNever say never – even if you are Netflix (NASDAQ:NFLX)\nThe streaming leader has come under heavy competition in the last few months from upstart rivals Disney+ (NYSE:DIS) and HBO Max (NYSE:T), while at the same time battling a newly revitalized Amazon Prime (NASDAQ:AMZN). However, this isn’t Netflix’s first time fending off challengers and let’s be realistic, it wasn’t like Netflix wasn’t aware it was going to have to consistently make moves to stay on top.\nThis time though it’s a bit different because of the collective nature of the shifts and how they represent a direct change to the streamer’s roadmap and business/programming model. While separately all these moves are impactful in their own right, but when looking at them as part of a bigger picture – it is sending a clear message to investors that the service can be nimble, even in areas were for a while it was seemingly the opposite.\nFirst as always, some background.\nIncreasing Netflix's Market Share\nI want to look at three specific moves and their importance.\nLet’s kick it off with the one that has the biggest paradigm shift in the industry – the Sony deal.\n<img src=\"https://static.tigerbbs.com/9a75991f04f5078fe686afa0638322f6\" tg-width=\"934\" tg-height=\"488\">Credit: Sony\nLast week Netflix made a&nbsp;deal&nbsp;with Sony (NYSE:SONY) to acquire first-run pay TV rights for its theatrical releases. In other words, after theater and home video, it’s onto Netflix. This is a big step for the streamer as previously it would look to make deals for specific films, whereas now it a steady flow of features in play.\nLet me back up for a second though to explain a little more in depth…and keep in mind this is tied directly the traditional model (and pre-COVID). As mentioned, the usual route for a movie is theaters, home entertainment, pay TV, cable, broadcast, etc…where streaming comes in has always been somewhat fluid past pay TV.\nThis deal targets that “pay TV” window. The premium channels – i.e. HBO, Showtime, Starz, Epix – all have deals with studios for their outputs. For example, Warner Bros. films go to HBO, A24&nbsp;films&nbsp;go to Showtime and so on. In some cases it’s a natural fit among corporate siblings or a separate deal worked out to help both parties.\nPreviously Sony films went to Starz – but starting in 2022 when that deal expires, Netflix takes over.\nWhat that means is that Netflix just slipped into a window where traditional TV had a solid foothold.\nPart of the reason these networks had been able to pull in subscribers in the first place was that steady pipeline of theatricals. Those blockbusters were the draw to get you to subscribe with the ideas being those network’s originals would then get you further hooked. At the same time those movies - which then became part of an ever-growing film library - are the backbone of any premium movie network’s linear schedule.\nWhile this will be a noticeable loss for Starz, for Netflix and Sony it’s a win and one that should have both sets of investors thrilled.\nSony, which doesn’t have a streaming service, basically was able to use Netflix as a much-needed financial lifeline following the COVID-induced shutdown of theaters. In addition, the streamer will have the ability to invest in some of the studio’s upcoming projects. The pair had already seen success prior from a similar separate previousdealworked out for Sony’s animated fare.\n<img src=\"https://static.tigerbbs.com/7e7955071fa9cb7465c0265e4600ccd5\" tg-width=\"750\" tg-height=\"562\">Credit: Sony\nNetflix'sCompetitors Gain Ground\nSticking with the Sony deal a bit further (as there is a lot to unpack) - on the other side of the coin, Netflix now gets a fresh influx of content to make up for what competitors such as HBO Max, Disney+ and Peacock pulled back for their own services OR the content competitors such as Amazon or Apple outbid them on. That cannot be over-started enough, however on the positive side what investors have seen is Netflix's subscribers pivoting in turn to similar content.\nFor example Netflix's most popular series for a while was&nbsp;Friends&nbsp;and when that left,The Office&nbsp;took over. Now with&nbsp;Office&nbsp;gone,Schitt's Creek&nbsp;is in front. Netflix is a large part of the reason why&nbsp;Schitt's Creek&nbsp;exploded towards the end of its runs so it's unlikely that show will slip off the servers, but should it - the point is Netflix viewers will just go down the line.\nIt's also interesting to note the addition of&nbsp;Friends&nbsp;to HBO Max and&nbsp;Office&nbsp;to Peacock have been very successful for those networks - which speaks a lot to the value of IP overall versus just where it was available.\nSpeaking of IP, another reason why the Sony deal is important is because it has marquee franchises such as theSpider-Manuniverse. This is one of the rare non-Disney owned Marvel IP’s and this puts the streamer right back in the super-hero space that has performed so well for it prior.\nAll together the deal was a welcome sign of relief to some shareholders as it’s been&nbsp;rumored&nbsp;Comcast’s Universal division will soon begin pulling its content from Netflix soon to give exclusively to Peacock – similar to what the company did withThe Office&nbsp;earlier this year.\nThis is further protection for that type of a mass content exodus.\nOn it is own this is a big deal because of its far-reaching industry impacts – but where I’m looking it (and investors should also) is two-fold. One, it is a clear example of how Netflix is pivoting to stay competitive and somehow always finds a dance partner in need of its special set of skills.\nGoing Outside The Netflix Family\nThe other aspect is it’s also fascinating to see how Netflix has further infiltrated the film world – including by leaning into more traditional methods. And that takes us to the second piece of news which I touched on in a previous&nbsp;piece… theKnives Outdeal.\nAs a reminder Netflix&nbsp;bought&nbsp;the rights to the two sequels to the 2019 murder mystery hit (originally distributed by Lionsgate) for over $450 million…a stunning sum of money in its own right, let alone for such new IP. However, again looking at the bigger picture, it makes sense.\nNetflix is trying to further its film reach, even going so far as to produce&nbsp;over&nbsp;70 originals in 2021 – including at least one new one a week. The problem is that approach could actually dilute the overall product and cannibalizes its success.\nWe are also a few years into the Netflix film division and the studio has yet to find its AAA tier film franchise. It’s had individual successes and its won Oscars but it hasn’t had that film series that would be akin to one a traditional studio would leverage a theatrical trilogy out of…and its noticeable.\nSo Netflix did the next best thing – it bought one.\nKnives Outwas also a great choice.\nIt boasts Daniel Craig as the lead, comes from a well-regarded writer/director in Rian Johnson and also was an awards player. Plus the original packed together a stunning ensemble of A-list talent and the news ones will likely follow the same pattern.\nIt’s a safe and smart play for Netflix that will also get the attention and buzz they are looking for in that space. It’s also another example of Netflix’s “win-now” mentality.\nSo to recap – Netflix in the past few weeks went out and bought a new “it” franchise AND jumped to the front of the line for new “A-tier” content from a top-flight studio.\nBoth of these moves are in direct response to having their rivals step up their game.\nAnd to be clear, some of this may be reactionary, but that’s the point. It’s not knee-jerk in the least, it’s a calculated reaction that makes fiscal sense. Just as Netflix knew eventually studios/networks would wise up and stop feeding them content, its team knew its rivals would make gains and they’d have to adjust.\nThat’s business…there’s an ebb and flow.\nAs I mentioned earlier, Netflix smartly turned its attention to potential partners who could utilize their competitive advantage.\nNetflix's Biggest Risk May Come From Smallest Change\nTo me, the last move I want to touch on is the most interesting – it is also ironically the least headline-grabbing of the bunch. It ties to the TV side of the business, which has arguably come under just much of an attack from other streamers.\nIn the beginning, Netflix’s entry into streaming was built around being different, but the most well-known aspect of that build-up was its “all-at-once” pattern. While the traditional model had long relied on weekly episode drops, Netflix changed the game.\nIt was a refreshing approach.\nFor the “now” generation to have everything at their fingertips from the start was a big selling point. It also marked the beginning of “binge culture.” Of course, there were cons as well as pros, the problem with all-at-once is exactly that, it’s all-at-once.\nFor many people sitting for 10-12 hours to polish off a full season of a show is not realistic – even over a weekend it's hard. What that meant is while you can talk all you wanted online about the show’s twists and turns, it was harder to keep that conversation going with friends and family.\n<img src=\"https://static.tigerbbs.com/051370349a483fcd05ac4945cdcfb588\" tg-width=\"800\" tg-height=\"444\">Credit: Netflix\nWhile it’s worked tremendously for Netflix, it’s also proven to be a bit of a hinderance because fans never know where others are in the storyline. This stifles that type of watercooler conversation that helped build the legacy of many classic shows.\nThis was also a lot less complicated when Netflix’s core originals were limited to a handful of titles – but with countless new content flowing through its servers it is hard to keep track. Although many subscribers are quick to say the “all-at-once” model is a huge draw for them and a reason they love Netflix over other rivals.\nGranted after nearly a decade of use it makes sense as that type of access has become engrained and expected by its users. The difference is other streamers have found arguably the same type of success with the use of weekly drops – most notably Disney+.\nWhile Netflix gets a lot of bang for its buck for its own titles, normally it is mainly limited to about a three-week period – the week prior to launch, the week of launch and the week after launch. Beyond that you can notice a sizable dip in the chatter, conversely Disney’s weekly model has a longer impact.\nBy dropping new episodes on Fridays, Disney invites new conversation over the entire weekend, that are repeated over a period of months. That&nbsp;repetition&nbsp;has helped elevate the profile of its&nbsp;Star Wars&nbsp;and Marvel-centric series (and in turn the brands). With each of which usually clocking in around 30 mins long, it makes it easier for people to watch without a huge time commitment.\nThat has seemingly caught the attention of Netflix which looks like it wants to switch things up – and I think the reaction by subscribers is going to be interesting to shareholders.\nTwo of Netflix’s reality franchises –The CircleandToo Hot To Handle– will now&nbsp;NOT&nbsp;be all-at-once drops. The batch model still holds, in that multiple episodes will still drop per week – but it won’t be the whole thing.\n<img src=\"https://static.tigerbbs.com/90bb70897890d7ac296671b75837af4c\" tg-width=\"1024\" tg-height=\"576\">Credit: Netflix\nThe Circlepremieres this week and will wrap May 5th, whileToo Hot To Handlewill debut in June – both on Wednesdays, which is also telling to me. In effect Netflix is trying to own that day of the week, which is a very traditional model approach to take.\nSo why am I so interested in this approach?\nThe main reason is because it represents a huge shift to their overall model that if successful could lead to future scripted series potentially getting the same treatment. I’ve often argued the one thing keeping Netflix’s originals back is the all-at-once approach.\nRememberThe Witcher?\nYes, it’s a hit for Netflix but it’s notGame of Thrones– and it was designed specifically to beGame of Thrones. Now hadWitcherbeen a weekly release and gotten all the buzz and added media attention that comes with it, it is very possible the series could have seen a substantial boost in popularity.\nEspecially with scripted shows that are heavily serialized having that added time to digest the material is incredibly important. With reality series, not so much – but they are still a great test case because there is still a payoff at the end.\nIt’s also telling because Netflix tried this before, but then quicky said it was a one-off move.\nWhenRhythm + Flowpremiered the other year, it took the weekly model approach in an attempt to preserve the identity of the winner as long as possible. However seemingly from the start Netflix essentially began apologizing for the decision.\nIt was kind of whiplash inducing as in one breath it was quick to tout a new creative approach and then just as fast say it was essentially a one-time&nbsp;thing.\nTo some it looked like Netflix felt like it had to go out of itswayto say it was an aberration to not upset the apple cart with its subscribers – which is why I’m very interested to see the response when it happens with two of its top franchises. I’ll be even more interested to see if this is the approach taken withLove Is Blindwhen it returns later this year.\nAs I said, never say never – even with Netflix.\nConclusion\nI have to give the streamer credit as its moves to shore up its base are further examples of company “firsts” and for Netflix to still have “firsts” this many years into its innovative run says something that should be encouraging to investors.\nStreaming remains the Wild Wild West and Netflix is ensuring nobody can get too comfortable – not even themselves.","source":"seekingalpha","collect":0,"html":"<!DOCTYPE html>\n<html>\n<head>\n<meta http-equiv=\"Content-Type\" content=\"text/html; charset=utf-8\" />\n<meta name=\"viewport\" content=\"width=device-width,initial-scale=1.0,minimum-scale=1.0,maximum-scale=1.0,user-scalable=no\"/>\n<meta name=\"format-detection\" content=\"telephone=no,email=no,address=no\" />\n<title>Netflix Stock: Company Looking To Adjust Longstanding Strategies As Rival Streamers Gain Ground</title>\n<style type=\"text/css\">\na,abbr,acronym,address,applet,article,aside,audio,b,big,blockquote,body,canvas,caption,center,cite,code,dd,del,details,dfn,div,dl,dt,\nem,embed,fieldset,figcaption,figure,footer,form,h1,h2,h3,h4,h5,h6,header,hgroup,html,i,iframe,img,ins,kbd,label,legend,li,mark,menu,nav,\nobject,ol,output,p,pre,q,ruby,s,samp,section,small,span,strike,strong,sub,summary,sup,table,tbody,td,tfoot,th,thead,time,tr,tt,u,ul,var,video{ font:inherit;margin:0;padding:0;vertical-align:baseline;border:0 }\nbody{ font-size:16px; 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}\n.meta {color:#5e5c6d;font-size:13px;margin:0 0 .5em; }\na{text-decoration:none; color:#2a4b87;}\n.meta .head { display: inline-block; overflow: hidden}\n.head .h-thumb { width: 30px; height: 30px; margin: 0; padding: 0; border-radius: 50%; float: left;}\n.head .h-content { margin: 0; padding: 0 0 0 9px; float: left;}\n.head .h-name {font-size: 13px; color: #eee; margin: 0;}\n.head .h-time {font-size: 11px; color: #7E829C; margin: 0;line-height: 11px;}\n.small {font-size: 12.5px; display: inline-block; transform: scale(0.9); -webkit-transform: scale(0.9); transform-origin: left; -webkit-transform-origin: left;}\n.smaller {font-size: 12.5px; display: inline-block; transform: scale(0.8); -webkit-transform: scale(0.8); transform-origin: left; -webkit-transform-origin: left;}\n.bt-text {font-size: 12px;margin: 1.5em 0 0 0}\n.bt-text p {margin: 0}\n</style>\n</head>\n<body>\n<div class=\"wrapper\">\n<header>\n<h2 class=\"title\">\nNetflix Stock: Company Looking To Adjust Longstanding Strategies As Rival Streamers Gain Ground\n</h2>\n\n<h4 class=\"meta\">\n\n\n2021-04-16 11:10 GMT+8&nbsp;&nbsp;&nbsp;<a href=https://seekingalpha.com/article/4419132-netflix-stock-strategies-disney-plus-hbo-max>seekingalpha</a>\n\n\n</h4>\n\n</header>\n<article>\n<div>\nSummary\n\nNetflix has seen its streaming rivals continually gain ground in the past few months prompting the company to re-evaluate a number of long-standing strategies.\nThis isn’t Netflix’s first time...\n\n<a href=\"https://seekingalpha.com/article/4419132-netflix-stock-strategies-disney-plus-hbo-max\">Web Link</a>\n\n</div>\n\n\n</article>\n</div>\n</body>\n</html>\n","type":0,"thumbnail":"","relate_stocks":{"NFLX":"奈飞"},"source_url":"https://seekingalpha.com/article/4419132-netflix-stock-strategies-disney-plus-hbo-max","is_english":true,"share_image_url":"https://static.laohu8.com/5a36db9d73b4222bc376d24ccc48c8a4","article_id":"1119241855","content_text":"Summary\n\nNetflix has seen its streaming rivals continually gain ground in the past few months prompting the company to re-evaluate a number of long-standing strategies.\nThis isn’t Netflix’s first time fending off challengers and the company is acutely aware it will have to consistently make moves to stay on top.\nNetflix recently negotiated a deal with Sony that will result in it receiving more content sooner than before and also open the door to new partnerships with the studio.\nThe streamer also utilized another “win-now” technique when it comes to its original films as instead of solely focusing on trying to create a new “it” franchise, it bought one.\nNetflix is also making moves on the TV side by adjusting its iconic “all-at-once” model and testing weekly batch drops of two popular reality shows – despite past pushback from subscribers.\n\nPhoto by Christopher Ames/iStock Unreleased via Getty Images\nNever say never – even if you are Netflix (NASDAQ:NFLX)\nThe streaming leader has come under heavy competition in the last few months from upstart rivals Disney+ (NYSE:DIS) and HBO Max (NYSE:T), while at the same time battling a newly revitalized Amazon Prime (NASDAQ:AMZN). However, this isn’t Netflix’s first time fending off challengers and let’s be realistic, it wasn’t like Netflix wasn’t aware it was going to have to consistently make moves to stay on top.\nThis time though it’s a bit different because of the collective nature of the shifts and how they represent a direct change to the streamer’s roadmap and business/programming model. While separately all these moves are impactful in their own right, but when looking at them as part of a bigger picture – it is sending a clear message to investors that the service can be nimble, even in areas were for a while it was seemingly the opposite.\nFirst as always, some background.\nIncreasing Netflix's Market Share\nI want to look at three specific moves and their importance.\nLet’s kick it off with the one that has the biggest paradigm shift in the industry – the Sony deal.\nCredit: Sony\nLast week Netflix made a deal with Sony (NYSE:SONY) to acquire first-run pay TV rights for its theatrical releases. In other words, after theater and home video, it’s onto Netflix. This is a big step for the streamer as previously it would look to make deals for specific films, whereas now it a steady flow of features in play.\nLet me back up for a second though to explain a little more in depth…and keep in mind this is tied directly the traditional model (and pre-COVID). As mentioned, the usual route for a movie is theaters, home entertainment, pay TV, cable, broadcast, etc…where streaming comes in has always been somewhat fluid past pay TV.\nThis deal targets that “pay TV” window. The premium channels – i.e. HBO, Showtime, Starz, Epix – all have deals with studios for their outputs. For example, Warner Bros. films go to HBO, A24 films go to Showtime and so on. In some cases it’s a natural fit among corporate siblings or a separate deal worked out to help both parties.\nPreviously Sony films went to Starz – but starting in 2022 when that deal expires, Netflix takes over.\nWhat that means is that Netflix just slipped into a window where traditional TV had a solid foothold.\nPart of the reason these networks had been able to pull in subscribers in the first place was that steady pipeline of theatricals. Those blockbusters were the draw to get you to subscribe with the ideas being those network’s originals would then get you further hooked. At the same time those movies - which then became part of an ever-growing film library - are the backbone of any premium movie network’s linear schedule.\nWhile this will be a noticeable loss for Starz, for Netflix and Sony it’s a win and one that should have both sets of investors thrilled.\nSony, which doesn’t have a streaming service, basically was able to use Netflix as a much-needed financial lifeline following the COVID-induced shutdown of theaters. In addition, the streamer will have the ability to invest in some of the studio’s upcoming projects. The pair had already seen success prior from a similar separate previousdealworked out for Sony’s animated fare.\nCredit: Sony\nNetflix'sCompetitors Gain Ground\nSticking with the Sony deal a bit further (as there is a lot to unpack) - on the other side of the coin, Netflix now gets a fresh influx of content to make up for what competitors such as HBO Max, Disney+ and Peacock pulled back for their own services OR the content competitors such as Amazon or Apple outbid them on. That cannot be over-started enough, however on the positive side what investors have seen is Netflix's subscribers pivoting in turn to similar content.\nFor example Netflix's most popular series for a while was Friends and when that left,The Office took over. Now with Office gone,Schitt's Creek is in front. Netflix is a large part of the reason why Schitt's Creek exploded towards the end of its runs so it's unlikely that show will slip off the servers, but should it - the point is Netflix viewers will just go down the line.\nIt's also interesting to note the addition of Friends to HBO Max and Office to Peacock have been very successful for those networks - which speaks a lot to the value of IP overall versus just where it was available.\nSpeaking of IP, another reason why the Sony deal is important is because it has marquee franchises such as theSpider-Manuniverse. This is one of the rare non-Disney owned Marvel IP’s and this puts the streamer right back in the super-hero space that has performed so well for it prior.\nAll together the deal was a welcome sign of relief to some shareholders as it’s been rumored Comcast’s Universal division will soon begin pulling its content from Netflix soon to give exclusively to Peacock – similar to what the company did withThe Office earlier this year.\nThis is further protection for that type of a mass content exodus.\nOn it is own this is a big deal because of its far-reaching industry impacts – but where I’m looking it (and investors should also) is two-fold. One, it is a clear example of how Netflix is pivoting to stay competitive and somehow always finds a dance partner in need of its special set of skills.\nGoing Outside The Netflix Family\nThe other aspect is it’s also fascinating to see how Netflix has further infiltrated the film world – including by leaning into more traditional methods. And that takes us to the second piece of news which I touched on in a previous piece… theKnives Outdeal.\nAs a reminder Netflix bought the rights to the two sequels to the 2019 murder mystery hit (originally distributed by Lionsgate) for over $450 million…a stunning sum of money in its own right, let alone for such new IP. However, again looking at the bigger picture, it makes sense.\nNetflix is trying to further its film reach, even going so far as to produce over 70 originals in 2021 – including at least one new one a week. The problem is that approach could actually dilute the overall product and cannibalizes its success.\nWe are also a few years into the Netflix film division and the studio has yet to find its AAA tier film franchise. It’s had individual successes and its won Oscars but it hasn’t had that film series that would be akin to one a traditional studio would leverage a theatrical trilogy out of…and its noticeable.\nSo Netflix did the next best thing – it bought one.\nKnives Outwas also a great choice.\nIt boasts Daniel Craig as the lead, comes from a well-regarded writer/director in Rian Johnson and also was an awards player. Plus the original packed together a stunning ensemble of A-list talent and the news ones will likely follow the same pattern.\nIt’s a safe and smart play for Netflix that will also get the attention and buzz they are looking for in that space. It’s also another example of Netflix’s “win-now” mentality.\nSo to recap – Netflix in the past few weeks went out and bought a new “it” franchise AND jumped to the front of the line for new “A-tier” content from a top-flight studio.\nBoth of these moves are in direct response to having their rivals step up their game.\nAnd to be clear, some of this may be reactionary, but that’s the point. It’s not knee-jerk in the least, it’s a calculated reaction that makes fiscal sense. Just as Netflix knew eventually studios/networks would wise up and stop feeding them content, its team knew its rivals would make gains and they’d have to adjust.\nThat’s business…there’s an ebb and flow.\nAs I mentioned earlier, Netflix smartly turned its attention to potential partners who could utilize their competitive advantage.\nNetflix's Biggest Risk May Come From Smallest Change\nTo me, the last move I want to touch on is the most interesting – it is also ironically the least headline-grabbing of the bunch. It ties to the TV side of the business, which has arguably come under just much of an attack from other streamers.\nIn the beginning, Netflix’s entry into streaming was built around being different, but the most well-known aspect of that build-up was its “all-at-once” pattern. While the traditional model had long relied on weekly episode drops, Netflix changed the game.\nIt was a refreshing approach.\nFor the “now” generation to have everything at their fingertips from the start was a big selling point. It also marked the beginning of “binge culture.” Of course, there were cons as well as pros, the problem with all-at-once is exactly that, it’s all-at-once.\nFor many people sitting for 10-12 hours to polish off a full season of a show is not realistic – even over a weekend it's hard. What that meant is while you can talk all you wanted online about the show’s twists and turns, it was harder to keep that conversation going with friends and family.\nCredit: Netflix\nWhile it’s worked tremendously for Netflix, it’s also proven to be a bit of a hinderance because fans never know where others are in the storyline. This stifles that type of watercooler conversation that helped build the legacy of many classic shows.\nThis was also a lot less complicated when Netflix’s core originals were limited to a handful of titles – but with countless new content flowing through its servers it is hard to keep track. Although many subscribers are quick to say the “all-at-once” model is a huge draw for them and a reason they love Netflix over other rivals.\nGranted after nearly a decade of use it makes sense as that type of access has become engrained and expected by its users. The difference is other streamers have found arguably the same type of success with the use of weekly drops – most notably Disney+.\nWhile Netflix gets a lot of bang for its buck for its own titles, normally it is mainly limited to about a three-week period – the week prior to launch, the week of launch and the week after launch. Beyond that you can notice a sizable dip in the chatter, conversely Disney’s weekly model has a longer impact.\nBy dropping new episodes on Fridays, Disney invites new conversation over the entire weekend, that are repeated over a period of months. That repetition has helped elevate the profile of its Star Wars and Marvel-centric series (and in turn the brands). With each of which usually clocking in around 30 mins long, it makes it easier for people to watch without a huge time commitment.\nThat has seemingly caught the attention of Netflix which looks like it wants to switch things up – and I think the reaction by subscribers is going to be interesting to shareholders.\nTwo of Netflix’s reality franchises –The CircleandToo Hot To Handle– will now NOT be all-at-once drops. The batch model still holds, in that multiple episodes will still drop per week – but it won’t be the whole thing.\nCredit: Netflix\nThe Circlepremieres this week and will wrap May 5th, whileToo Hot To Handlewill debut in June – both on Wednesdays, which is also telling to me. In effect Netflix is trying to own that day of the week, which is a very traditional model approach to take.\nSo why am I so interested in this approach?\nThe main reason is because it represents a huge shift to their overall model that if successful could lead to future scripted series potentially getting the same treatment. I’ve often argued the one thing keeping Netflix’s originals back is the all-at-once approach.\nRememberThe Witcher?\nYes, it’s a hit for Netflix but it’s notGame of Thrones– and it was designed specifically to beGame of Thrones. Now hadWitcherbeen a weekly release and gotten all the buzz and added media attention that comes with it, it is very possible the series could have seen a substantial boost in popularity.\nEspecially with scripted shows that are heavily serialized having that added time to digest the material is incredibly important. With reality series, not so much – but they are still a great test case because there is still a payoff at the end.\nIt’s also telling because Netflix tried this before, but then quicky said it was a one-off move.\nWhenRhythm + Flowpremiered the other year, it took the weekly model approach in an attempt to preserve the identity of the winner as long as possible. However seemingly from the start Netflix essentially began apologizing for the decision.\nIt was kind of whiplash inducing as in one breath it was quick to tout a new creative approach and then just as fast say it was essentially a one-time thing.\nTo some it looked like Netflix felt like it had to go out of itswayto say it was an aberration to not upset the apple cart with its subscribers – which is why I’m very interested to see the response when it happens with two of its top franchises. I’ll be even more interested to see if this is the approach taken withLove Is Blindwhen it returns later this year.\nAs I said, never say never – even with Netflix.\nConclusion\nI have to give the streamer credit as its moves to shore up its base are further examples of company “firsts” and for Netflix to still have “firsts” this many years into its innovative run says something that should be encouraging to investors.\nStreaming remains the Wild Wild West and Netflix is ensuring nobody can get too comfortable – not even themselves.","news_type":1},"isVote":1,"likeStatus":false,"favoriteStatus":false,"reportStatus":false,"tweetType":1,"comments":[{"id":4050527,"gmtCreate":1618549064066,"gmtModify":1680784298006,"authorId":3575200533809324,"author":{"id":3575200533809324,"authorId":3575200533809324,"name":"Delvin","avatar":"https://static.tigerbbs.com/93738020b8156486e54265bfacf43f4b","vip":1,"crmLevel":2,"crmLevelSwitch":1,"individualDisplayBadges":[]},"repliedAuthorId":0,"objectId":370301414,"type":1,"supId":0,"prevId":0,"content":"Ok","text":"Ok","html":"Ok"}],"langContent":"EN"},{"id":370974278,"gmtCreate":1618547888794,"gmtModify":1704712567721,"author":{"id":"3576989391066214","authorId":"3576989391066214","authorIdStr":"3576989391066214","name":"LouisTeoh","avatar":"https://static.tigerbbs.com/bf8046c28253800c5c7e05ed0ee9dbd7","vip":1,"crmLevel":2,"crmLevelSwitch":0,"idStr":"3576989391066214"},"htmlText":"?&nbsp;","listText":"?&nbsp;","text":"?","images":[],"top":1,"highlighted":1,"essential":1,"paper":1,"likeSize":1,"commentSize":0,"repostSize":0,"link":"https://ttm.financial/post/370974278","repostId":1119241855,"repostType":4,"repost":{"id":"1119241855","pubTimestamp":1618542634,"share":"https://ttm.financial/m/news/1119241855?lang=&edition=fundamental","pubTime":"2021-04-16 11:10","market":"us","language":"en","title":"Netflix Stock: Company Looking To Adjust Longstanding Strategies As Rival Streamers Gain Ground","url":"https://stock-news.laohu8.com/highlight/detail?id=1119241855","media":"seekingalpha","summary":"Summary\n\nNetflix has seen its streaming rivals continually gain ground in the past few months prompt","content":"Summary\n<ul>\n <li>Netflix has seen its streaming rivals continually gain ground in the past few months prompting the company to re-evaluate a number of long-standing strategies.</li>\n <li>This isn’t Netflix’s first time fending off challengers and the company is acutely aware it will have to consistently make moves to stay on top.</li>\n <li>Netflix recently negotiated a deal with Sony that will result in it receiving more content sooner than before and also open the door to new partnerships with the studio.</li>\n <li>The streamer also utilized another “win-now” technique when it comes to its original films as instead of solely focusing on trying to create a new “it” franchise, it bought one.</li>\n <li>Netflix is also making moves on the TV side by adjusting its iconic “all-at-once” model and testing weekly batch drops of two popular reality shows – despite past pushback from subscribers.</li>\n</ul>\n<img src=\"https://static.tigerbbs.com/85c5bcbd94b754eab4b27fa6819cac61\" tg-width=\"768\" tg-height=\"509\">Photo by Christopher Ames/iStock Unreleased via Getty Images\nNever say never – even if you are Netflix (NASDAQ:NFLX)\nThe streaming leader has come under heavy competition in the last few months from upstart rivals Disney+ (NYSE:DIS) and HBO Max (NYSE:T), while at the same time battling a newly revitalized Amazon Prime (NASDAQ:AMZN). However, this isn’t Netflix’s first time fending off challengers and let’s be realistic, it wasn’t like Netflix wasn’t aware it was going to have to consistently make moves to stay on top.\nThis time though it’s a bit different because of the collective nature of the shifts and how they represent a direct change to the streamer’s roadmap and business/programming model. While separately all these moves are impactful in their own right, but when looking at them as part of a bigger picture – it is sending a clear message to investors that the service can be nimble, even in areas were for a while it was seemingly the opposite.\nFirst as always, some background.\nIncreasing Netflix's Market Share\nI want to look at three specific moves and their importance.\nLet’s kick it off with the one that has the biggest paradigm shift in the industry – the Sony deal.\n<img src=\"https://static.tigerbbs.com/9a75991f04f5078fe686afa0638322f6\" tg-width=\"934\" tg-height=\"488\">Credit: Sony\nLast week Netflix made a&nbsp;deal&nbsp;with Sony (NYSE:SONY) to acquire first-run pay TV rights for its theatrical releases. In other words, after theater and home video, it’s onto Netflix. This is a big step for the streamer as previously it would look to make deals for specific films, whereas now it a steady flow of features in play.\nLet me back up for a second though to explain a little more in depth…and keep in mind this is tied directly the traditional model (and pre-COVID). As mentioned, the usual route for a movie is theaters, home entertainment, pay TV, cable, broadcast, etc…where streaming comes in has always been somewhat fluid past pay TV.\nThis deal targets that “pay TV” window. The premium channels – i.e. HBO, Showtime, Starz, Epix – all have deals with studios for their outputs. For example, Warner Bros. films go to HBO, A24&nbsp;films&nbsp;go to Showtime and so on. In some cases it’s a natural fit among corporate siblings or a separate deal worked out to help both parties.\nPreviously Sony films went to Starz – but starting in 2022 when that deal expires, Netflix takes over.\nWhat that means is that Netflix just slipped into a window where traditional TV had a solid foothold.\nPart of the reason these networks had been able to pull in subscribers in the first place was that steady pipeline of theatricals. Those blockbusters were the draw to get you to subscribe with the ideas being those network’s originals would then get you further hooked. At the same time those movies - which then became part of an ever-growing film library - are the backbone of any premium movie network’s linear schedule.\nWhile this will be a noticeable loss for Starz, for Netflix and Sony it’s a win and one that should have both sets of investors thrilled.\nSony, which doesn’t have a streaming service, basically was able to use Netflix as a much-needed financial lifeline following the COVID-induced shutdown of theaters. In addition, the streamer will have the ability to invest in some of the studio’s upcoming projects. The pair had already seen success prior from a similar separate previousdealworked out for Sony’s animated fare.\n<img src=\"https://static.tigerbbs.com/7e7955071fa9cb7465c0265e4600ccd5\" tg-width=\"750\" tg-height=\"562\">Credit: Sony\nNetflix'sCompetitors Gain Ground\nSticking with the Sony deal a bit further (as there is a lot to unpack) - on the other side of the coin, Netflix now gets a fresh influx of content to make up for what competitors such as HBO Max, Disney+ and Peacock pulled back for their own services OR the content competitors such as Amazon or Apple outbid them on. That cannot be over-started enough, however on the positive side what investors have seen is Netflix's subscribers pivoting in turn to similar content.\nFor example Netflix's most popular series for a while was&nbsp;Friends&nbsp;and when that left,The Office&nbsp;took over. Now with&nbsp;Office&nbsp;gone,Schitt's Creek&nbsp;is in front. Netflix is a large part of the reason why&nbsp;Schitt's Creek&nbsp;exploded towards the end of its runs so it's unlikely that show will slip off the servers, but should it - the point is Netflix viewers will just go down the line.\nIt's also interesting to note the addition of&nbsp;Friends&nbsp;to HBO Max and&nbsp;Office&nbsp;to Peacock have been very successful for those networks - which speaks a lot to the value of IP overall versus just where it was available.\nSpeaking of IP, another reason why the Sony deal is important is because it has marquee franchises such as theSpider-Manuniverse. This is one of the rare non-Disney owned Marvel IP’s and this puts the streamer right back in the super-hero space that has performed so well for it prior.\nAll together the deal was a welcome sign of relief to some shareholders as it’s been&nbsp;rumored&nbsp;Comcast’s Universal division will soon begin pulling its content from Netflix soon to give exclusively to Peacock – similar to what the company did withThe Office&nbsp;earlier this year.\nThis is further protection for that type of a mass content exodus.\nOn it is own this is a big deal because of its far-reaching industry impacts – but where I’m looking it (and investors should also) is two-fold. One, it is a clear example of how Netflix is pivoting to stay competitive and somehow always finds a dance partner in need of its special set of skills.\nGoing Outside The Netflix Family\nThe other aspect is it’s also fascinating to see how Netflix has further infiltrated the film world – including by leaning into more traditional methods. And that takes us to the second piece of news which I touched on in a previous&nbsp;piece… theKnives Outdeal.\nAs a reminder Netflix&nbsp;bought&nbsp;the rights to the two sequels to the 2019 murder mystery hit (originally distributed by Lionsgate) for over $450 million…a stunning sum of money in its own right, let alone for such new IP. However, again looking at the bigger picture, it makes sense.\nNetflix is trying to further its film reach, even going so far as to produce&nbsp;over&nbsp;70 originals in 2021 – including at least one new one a week. The problem is that approach could actually dilute the overall product and cannibalizes its success.\nWe are also a few years into the Netflix film division and the studio has yet to find its AAA tier film franchise. It’s had individual successes and its won Oscars but it hasn’t had that film series that would be akin to one a traditional studio would leverage a theatrical trilogy out of…and its noticeable.\nSo Netflix did the next best thing – it bought one.\nKnives Outwas also a great choice.\nIt boasts Daniel Craig as the lead, comes from a well-regarded writer/director in Rian Johnson and also was an awards player. Plus the original packed together a stunning ensemble of A-list talent and the news ones will likely follow the same pattern.\nIt’s a safe and smart play for Netflix that will also get the attention and buzz they are looking for in that space. It’s also another example of Netflix’s “win-now” mentality.\nSo to recap – Netflix in the past few weeks went out and bought a new “it” franchise AND jumped to the front of the line for new “A-tier” content from a top-flight studio.\nBoth of these moves are in direct response to having their rivals step up their game.\nAnd to be clear, some of this may be reactionary, but that’s the point. It’s not knee-jerk in the least, it’s a calculated reaction that makes fiscal sense. Just as Netflix knew eventually studios/networks would wise up and stop feeding them content, its team knew its rivals would make gains and they’d have to adjust.\nThat’s business…there’s an ebb and flow.\nAs I mentioned earlier, Netflix smartly turned its attention to potential partners who could utilize their competitive advantage.\nNetflix's Biggest Risk May Come From Smallest Change\nTo me, the last move I want to touch on is the most interesting – it is also ironically the least headline-grabbing of the bunch. It ties to the TV side of the business, which has arguably come under just much of an attack from other streamers.\nIn the beginning, Netflix’s entry into streaming was built around being different, but the most well-known aspect of that build-up was its “all-at-once” pattern. While the traditional model had long relied on weekly episode drops, Netflix changed the game.\nIt was a refreshing approach.\nFor the “now” generation to have everything at their fingertips from the start was a big selling point. It also marked the beginning of “binge culture.” Of course, there were cons as well as pros, the problem with all-at-once is exactly that, it’s all-at-once.\nFor many people sitting for 10-12 hours to polish off a full season of a show is not realistic – even over a weekend it's hard. What that meant is while you can talk all you wanted online about the show’s twists and turns, it was harder to keep that conversation going with friends and family.\n<img src=\"https://static.tigerbbs.com/051370349a483fcd05ac4945cdcfb588\" tg-width=\"800\" tg-height=\"444\">Credit: Netflix\nWhile it’s worked tremendously for Netflix, it’s also proven to be a bit of a hinderance because fans never know where others are in the storyline. This stifles that type of watercooler conversation that helped build the legacy of many classic shows.\nThis was also a lot less complicated when Netflix’s core originals were limited to a handful of titles – but with countless new content flowing through its servers it is hard to keep track. Although many subscribers are quick to say the “all-at-once” model is a huge draw for them and a reason they love Netflix over other rivals.\nGranted after nearly a decade of use it makes sense as that type of access has become engrained and expected by its users. The difference is other streamers have found arguably the same type of success with the use of weekly drops – most notably Disney+.\nWhile Netflix gets a lot of bang for its buck for its own titles, normally it is mainly limited to about a three-week period – the week prior to launch, the week of launch and the week after launch. Beyond that you can notice a sizable dip in the chatter, conversely Disney’s weekly model has a longer impact.\nBy dropping new episodes on Fridays, Disney invites new conversation over the entire weekend, that are repeated over a period of months. That&nbsp;repetition&nbsp;has helped elevate the profile of its&nbsp;Star Wars&nbsp;and Marvel-centric series (and in turn the brands). With each of which usually clocking in around 30 mins long, it makes it easier for people to watch without a huge time commitment.\nThat has seemingly caught the attention of Netflix which looks like it wants to switch things up – and I think the reaction by subscribers is going to be interesting to shareholders.\nTwo of Netflix’s reality franchises –The CircleandToo Hot To Handle– will now&nbsp;NOT&nbsp;be all-at-once drops. The batch model still holds, in that multiple episodes will still drop per week – but it won’t be the whole thing.\n<img src=\"https://static.tigerbbs.com/90bb70897890d7ac296671b75837af4c\" tg-width=\"1024\" tg-height=\"576\">Credit: Netflix\nThe Circlepremieres this week and will wrap May 5th, whileToo Hot To Handlewill debut in June – both on Wednesdays, which is also telling to me. In effect Netflix is trying to own that day of the week, which is a very traditional model approach to take.\nSo why am I so interested in this approach?\nThe main reason is because it represents a huge shift to their overall model that if successful could lead to future scripted series potentially getting the same treatment. I’ve often argued the one thing keeping Netflix’s originals back is the all-at-once approach.\nRememberThe Witcher?\nYes, it’s a hit for Netflix but it’s notGame of Thrones– and it was designed specifically to beGame of Thrones. Now hadWitcherbeen a weekly release and gotten all the buzz and added media attention that comes with it, it is very possible the series could have seen a substantial boost in popularity.\nEspecially with scripted shows that are heavily serialized having that added time to digest the material is incredibly important. With reality series, not so much – but they are still a great test case because there is still a payoff at the end.\nIt’s also telling because Netflix tried this before, but then quicky said it was a one-off move.\nWhenRhythm + Flowpremiered the other year, it took the weekly model approach in an attempt to preserve the identity of the winner as long as possible. However seemingly from the start Netflix essentially began apologizing for the decision.\nIt was kind of whiplash inducing as in one breath it was quick to tout a new creative approach and then just as fast say it was essentially a one-time&nbsp;thing.\nTo some it looked like Netflix felt like it had to go out of itswayto say it was an aberration to not upset the apple cart with its subscribers – which is why I’m very interested to see the response when it happens with two of its top franchises. I’ll be even more interested to see if this is the approach taken withLove Is Blindwhen it returns later this year.\nAs I said, never say never – even with Netflix.\nConclusion\nI have to give the streamer credit as its moves to shore up its base are further examples of company “firsts” and for Netflix to still have “firsts” this many years into its innovative run says something that should be encouraging to investors.\nStreaming remains the Wild Wild West and Netflix is ensuring nobody can get too comfortable – not even themselves.","source":"seekingalpha","collect":0,"html":"<!DOCTYPE html>\n<html>\n<head>\n<meta http-equiv=\"Content-Type\" content=\"text/html; charset=utf-8\" />\n<meta name=\"viewport\" content=\"width=device-width,initial-scale=1.0,minimum-scale=1.0,maximum-scale=1.0,user-scalable=no\"/>\n<meta name=\"format-detection\" content=\"telephone=no,email=no,address=no\" />\n<title>Netflix Stock: Company Looking To Adjust Longstanding Strategies As Rival Streamers Gain Ground</title>\n<style type=\"text/css\">\na,abbr,acronym,address,applet,article,aside,audio,b,big,blockquote,body,canvas,caption,center,cite,code,dd,del,details,dfn,div,dl,dt,\nem,embed,fieldset,figcaption,figure,footer,form,h1,h2,h3,h4,h5,h6,header,hgroup,html,i,iframe,img,ins,kbd,label,legend,li,mark,menu,nav,\nobject,ol,output,p,pre,q,ruby,s,samp,section,small,span,strike,strong,sub,summary,sup,table,tbody,td,tfoot,th,thead,time,tr,tt,u,ul,var,video{ font:inherit;margin:0;padding:0;vertical-align:baseline;border:0 }\nbody{ font-size:16px; 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}\n.meta {color:#5e5c6d;font-size:13px;margin:0 0 .5em; }\na{text-decoration:none; color:#2a4b87;}\n.meta .head { display: inline-block; overflow: hidden}\n.head .h-thumb { width: 30px; height: 30px; margin: 0; padding: 0; border-radius: 50%; float: left;}\n.head .h-content { margin: 0; padding: 0 0 0 9px; float: left;}\n.head .h-name {font-size: 13px; color: #eee; margin: 0;}\n.head .h-time {font-size: 11px; color: #7E829C; margin: 0;line-height: 11px;}\n.small {font-size: 12.5px; display: inline-block; transform: scale(0.9); -webkit-transform: scale(0.9); transform-origin: left; -webkit-transform-origin: left;}\n.smaller {font-size: 12.5px; display: inline-block; transform: scale(0.8); -webkit-transform: scale(0.8); transform-origin: left; -webkit-transform-origin: left;}\n.bt-text {font-size: 12px;margin: 1.5em 0 0 0}\n.bt-text p {margin: 0}\n</style>\n</head>\n<body>\n<div class=\"wrapper\">\n<header>\n<h2 class=\"title\">\nNetflix Stock: Company Looking To Adjust Longstanding Strategies As Rival Streamers Gain Ground\n</h2>\n\n<h4 class=\"meta\">\n\n\n2021-04-16 11:10 GMT+8&nbsp;&nbsp;&nbsp;<a href=https://seekingalpha.com/article/4419132-netflix-stock-strategies-disney-plus-hbo-max>seekingalpha</a>\n\n\n</h4>\n\n</header>\n<article>\n<div>\nSummary\n\nNetflix has seen its streaming rivals continually gain ground in the past few months prompting the company to re-evaluate a number of long-standing strategies.\nThis isn’t Netflix’s first time...\n\n<a href=\"https://seekingalpha.com/article/4419132-netflix-stock-strategies-disney-plus-hbo-max\">Web Link</a>\n\n</div>\n\n\n</article>\n</div>\n</body>\n</html>\n","type":0,"thumbnail":"","relate_stocks":{"NFLX":"奈飞"},"source_url":"https://seekingalpha.com/article/4419132-netflix-stock-strategies-disney-plus-hbo-max","is_english":true,"share_image_url":"https://static.laohu8.com/5a36db9d73b4222bc376d24ccc48c8a4","article_id":"1119241855","content_text":"Summary\n\nNetflix has seen its streaming rivals continually gain ground in the past few months prompting the company to re-evaluate a number of long-standing strategies.\nThis isn’t Netflix’s first time fending off challengers and the company is acutely aware it will have to consistently make moves to stay on top.\nNetflix recently negotiated a deal with Sony that will result in it receiving more content sooner than before and also open the door to new partnerships with the studio.\nThe streamer also utilized another “win-now” technique when it comes to its original films as instead of solely focusing on trying to create a new “it” franchise, it bought one.\nNetflix is also making moves on the TV side by adjusting its iconic “all-at-once” model and testing weekly batch drops of two popular reality shows – despite past pushback from subscribers.\n\nPhoto by Christopher Ames/iStock Unreleased via Getty Images\nNever say never – even if you are Netflix (NASDAQ:NFLX)\nThe streaming leader has come under heavy competition in the last few months from upstart rivals Disney+ (NYSE:DIS) and HBO Max (NYSE:T), while at the same time battling a newly revitalized Amazon Prime (NASDAQ:AMZN). However, this isn’t Netflix’s first time fending off challengers and let’s be realistic, it wasn’t like Netflix wasn’t aware it was going to have to consistently make moves to stay on top.\nThis time though it’s a bit different because of the collective nature of the shifts and how they represent a direct change to the streamer’s roadmap and business/programming model. While separately all these moves are impactful in their own right, but when looking at them as part of a bigger picture – it is sending a clear message to investors that the service can be nimble, even in areas were for a while it was seemingly the opposite.\nFirst as always, some background.\nIncreasing Netflix's Market Share\nI want to look at three specific moves and their importance.\nLet’s kick it off with the one that has the biggest paradigm shift in the industry – the Sony deal.\nCredit: Sony\nLast week Netflix made a deal with Sony (NYSE:SONY) to acquire first-run pay TV rights for its theatrical releases. In other words, after theater and home video, it’s onto Netflix. This is a big step for the streamer as previously it would look to make deals for specific films, whereas now it a steady flow of features in play.\nLet me back up for a second though to explain a little more in depth…and keep in mind this is tied directly the traditional model (and pre-COVID). As mentioned, the usual route for a movie is theaters, home entertainment, pay TV, cable, broadcast, etc…where streaming comes in has always been somewhat fluid past pay TV.\nThis deal targets that “pay TV” window. The premium channels – i.e. HBO, Showtime, Starz, Epix – all have deals with studios for their outputs. For example, Warner Bros. films go to HBO, A24 films go to Showtime and so on. In some cases it’s a natural fit among corporate siblings or a separate deal worked out to help both parties.\nPreviously Sony films went to Starz – but starting in 2022 when that deal expires, Netflix takes over.\nWhat that means is that Netflix just slipped into a window where traditional TV had a solid foothold.\nPart of the reason these networks had been able to pull in subscribers in the first place was that steady pipeline of theatricals. Those blockbusters were the draw to get you to subscribe with the ideas being those network’s originals would then get you further hooked. At the same time those movies - which then became part of an ever-growing film library - are the backbone of any premium movie network’s linear schedule.\nWhile this will be a noticeable loss for Starz, for Netflix and Sony it’s a win and one that should have both sets of investors thrilled.\nSony, which doesn’t have a streaming service, basically was able to use Netflix as a much-needed financial lifeline following the COVID-induced shutdown of theaters. In addition, the streamer will have the ability to invest in some of the studio’s upcoming projects. The pair had already seen success prior from a similar separate previousdealworked out for Sony’s animated fare.\nCredit: Sony\nNetflix'sCompetitors Gain Ground\nSticking with the Sony deal a bit further (as there is a lot to unpack) - on the other side of the coin, Netflix now gets a fresh influx of content to make up for what competitors such as HBO Max, Disney+ and Peacock pulled back for their own services OR the content competitors such as Amazon or Apple outbid them on. That cannot be over-started enough, however on the positive side what investors have seen is Netflix's subscribers pivoting in turn to similar content.\nFor example Netflix's most popular series for a while was Friends and when that left,The Office took over. Now with Office gone,Schitt's Creek is in front. Netflix is a large part of the reason why Schitt's Creek exploded towards the end of its runs so it's unlikely that show will slip off the servers, but should it - the point is Netflix viewers will just go down the line.\nIt's also interesting to note the addition of Friends to HBO Max and Office to Peacock have been very successful for those networks - which speaks a lot to the value of IP overall versus just where it was available.\nSpeaking of IP, another reason why the Sony deal is important is because it has marquee franchises such as theSpider-Manuniverse. This is one of the rare non-Disney owned Marvel IP’s and this puts the streamer right back in the super-hero space that has performed so well for it prior.\nAll together the deal was a welcome sign of relief to some shareholders as it’s been rumored Comcast’s Universal division will soon begin pulling its content from Netflix soon to give exclusively to Peacock – similar to what the company did withThe Office earlier this year.\nThis is further protection for that type of a mass content exodus.\nOn it is own this is a big deal because of its far-reaching industry impacts – but where I’m looking it (and investors should also) is two-fold. One, it is a clear example of how Netflix is pivoting to stay competitive and somehow always finds a dance partner in need of its special set of skills.\nGoing Outside The Netflix Family\nThe other aspect is it’s also fascinating to see how Netflix has further infiltrated the film world – including by leaning into more traditional methods. And that takes us to the second piece of news which I touched on in a previous piece… theKnives Outdeal.\nAs a reminder Netflix bought the rights to the two sequels to the 2019 murder mystery hit (originally distributed by Lionsgate) for over $450 million…a stunning sum of money in its own right, let alone for such new IP. However, again looking at the bigger picture, it makes sense.\nNetflix is trying to further its film reach, even going so far as to produce over 70 originals in 2021 – including at least one new one a week. The problem is that approach could actually dilute the overall product and cannibalizes its success.\nWe are also a few years into the Netflix film division and the studio has yet to find its AAA tier film franchise. It’s had individual successes and its won Oscars but it hasn’t had that film series that would be akin to one a traditional studio would leverage a theatrical trilogy out of…and its noticeable.\nSo Netflix did the next best thing – it bought one.\nKnives Outwas also a great choice.\nIt boasts Daniel Craig as the lead, comes from a well-regarded writer/director in Rian Johnson and also was an awards player. Plus the original packed together a stunning ensemble of A-list talent and the news ones will likely follow the same pattern.\nIt’s a safe and smart play for Netflix that will also get the attention and buzz they are looking for in that space. It’s also another example of Netflix’s “win-now” mentality.\nSo to recap – Netflix in the past few weeks went out and bought a new “it” franchise AND jumped to the front of the line for new “A-tier” content from a top-flight studio.\nBoth of these moves are in direct response to having their rivals step up their game.\nAnd to be clear, some of this may be reactionary, but that’s the point. It’s not knee-jerk in the least, it’s a calculated reaction that makes fiscal sense. Just as Netflix knew eventually studios/networks would wise up and stop feeding them content, its team knew its rivals would make gains and they’d have to adjust.\nThat’s business…there’s an ebb and flow.\nAs I mentioned earlier, Netflix smartly turned its attention to potential partners who could utilize their competitive advantage.\nNetflix's Biggest Risk May Come From Smallest Change\nTo me, the last move I want to touch on is the most interesting – it is also ironically the least headline-grabbing of the bunch. It ties to the TV side of the business, which has arguably come under just much of an attack from other streamers.\nIn the beginning, Netflix’s entry into streaming was built around being different, but the most well-known aspect of that build-up was its “all-at-once” pattern. While the traditional model had long relied on weekly episode drops, Netflix changed the game.\nIt was a refreshing approach.\nFor the “now” generation to have everything at their fingertips from the start was a big selling point. It also marked the beginning of “binge culture.” Of course, there were cons as well as pros, the problem with all-at-once is exactly that, it’s all-at-once.\nFor many people sitting for 10-12 hours to polish off a full season of a show is not realistic – even over a weekend it's hard. What that meant is while you can talk all you wanted online about the show’s twists and turns, it was harder to keep that conversation going with friends and family.\nCredit: Netflix\nWhile it’s worked tremendously for Netflix, it’s also proven to be a bit of a hinderance because fans never know where others are in the storyline. This stifles that type of watercooler conversation that helped build the legacy of many classic shows.\nThis was also a lot less complicated when Netflix’s core originals were limited to a handful of titles – but with countless new content flowing through its servers it is hard to keep track. Although many subscribers are quick to say the “all-at-once” model is a huge draw for them and a reason they love Netflix over other rivals.\nGranted after nearly a decade of use it makes sense as that type of access has become engrained and expected by its users. The difference is other streamers have found arguably the same type of success with the use of weekly drops – most notably Disney+.\nWhile Netflix gets a lot of bang for its buck for its own titles, normally it is mainly limited to about a three-week period – the week prior to launch, the week of launch and the week after launch. Beyond that you can notice a sizable dip in the chatter, conversely Disney’s weekly model has a longer impact.\nBy dropping new episodes on Fridays, Disney invites new conversation over the entire weekend, that are repeated over a period of months. That repetition has helped elevate the profile of its Star Wars and Marvel-centric series (and in turn the brands). With each of which usually clocking in around 30 mins long, it makes it easier for people to watch without a huge time commitment.\nThat has seemingly caught the attention of Netflix which looks like it wants to switch things up – and I think the reaction by subscribers is going to be interesting to shareholders.\nTwo of Netflix’s reality franchises –The CircleandToo Hot To Handle– will now NOT be all-at-once drops. The batch model still holds, in that multiple episodes will still drop per week – but it won’t be the whole thing.\nCredit: Netflix\nThe Circlepremieres this week and will wrap May 5th, whileToo Hot To Handlewill debut in June – both on Wednesdays, which is also telling to me. In effect Netflix is trying to own that day of the week, which is a very traditional model approach to take.\nSo why am I so interested in this approach?\nThe main reason is because it represents a huge shift to their overall model that if successful could lead to future scripted series potentially getting the same treatment. I’ve often argued the one thing keeping Netflix’s originals back is the all-at-once approach.\nRememberThe Witcher?\nYes, it’s a hit for Netflix but it’s notGame of Thrones– and it was designed specifically to beGame of Thrones. Now hadWitcherbeen a weekly release and gotten all the buzz and added media attention that comes with it, it is very possible the series could have seen a substantial boost in popularity.\nEspecially with scripted shows that are heavily serialized having that added time to digest the material is incredibly important. With reality series, not so much – but they are still a great test case because there is still a payoff at the end.\nIt’s also telling because Netflix tried this before, but then quicky said it was a one-off move.\nWhenRhythm + Flowpremiered the other year, it took the weekly model approach in an attempt to preserve the identity of the winner as long as possible. However seemingly from the start Netflix essentially began apologizing for the decision.\nIt was kind of whiplash inducing as in one breath it was quick to tout a new creative approach and then just as fast say it was essentially a one-time thing.\nTo some it looked like Netflix felt like it had to go out of itswayto say it was an aberration to not upset the apple cart with its subscribers – which is why I’m very interested to see the response when it happens with two of its top franchises. I’ll be even more interested to see if this is the approach taken withLove Is Blindwhen it returns later this year.\nAs I said, never say never – even with Netflix.\nConclusion\nI have to give the streamer credit as its moves to shore up its base are further examples of company “firsts” and for Netflix to still have “firsts” this many years into its innovative run says something that should be encouraging to investors.\nStreaming remains the Wild Wild West and Netflix is ensuring nobody can get too comfortable – not even themselves.","news_type":1},"isVote":1,"likeStatus":false,"favoriteStatus":false,"reportStatus":false,"tweetType":1,"langContent":"EN"},{"id":370976911,"gmtCreate":1618547598833,"gmtModify":1704712562221,"author":{"id":"3575378189904678","authorId":"3575378189904678","authorIdStr":"3575378189904678","name":"letsgo8","avatar":"https://static.tigerbbs.com/cfa8cd71bc61e78a08bb731667341ac4","vip":1,"crmLevel":2,"crmLevelSwitch":0,"idStr":"3575378189904678"},"htmlText":"WowLike","listText":"WowLike","text":"WowLike","images":[],"top":1,"highlighted":1,"essential":1,"paper":1,"likeSize":3,"commentSize":1,"repostSize":0,"link":"https://ttm.financial/post/370976911","repostId":1119241855,"repostType":4,"repost":{"id":"1119241855","pubTimestamp":1618542634,"share":"https://ttm.financial/m/news/1119241855?lang=&edition=fundamental","pubTime":"2021-04-16 11:10","market":"us","language":"en","title":"Netflix Stock: Company Looking To Adjust Longstanding Strategies As Rival Streamers Gain Ground","url":"https://stock-news.laohu8.com/highlight/detail?id=1119241855","media":"seekingalpha","summary":"Summary\n\nNetflix has seen its streaming rivals continually gain ground in the past few months prompt","content":"Summary\n<ul>\n <li>Netflix has seen its streaming rivals continually gain ground in the past few months prompting the company to re-evaluate a number of long-standing strategies.</li>\n <li>This isn’t Netflix’s first time fending off challengers and the company is acutely aware it will have to consistently make moves to stay on top.</li>\n <li>Netflix recently negotiated a deal with Sony that will result in it receiving more content sooner than before and also open the door to new partnerships with the studio.</li>\n <li>The streamer also utilized another “win-now” technique when it comes to its original films as instead of solely focusing on trying to create a new “it” franchise, it bought one.</li>\n <li>Netflix is also making moves on the TV side by adjusting its iconic “all-at-once” model and testing weekly batch drops of two popular reality shows – despite past pushback from subscribers.</li>\n</ul>\n<img src=\"https://static.tigerbbs.com/85c5bcbd94b754eab4b27fa6819cac61\" tg-width=\"768\" tg-height=\"509\">Photo by Christopher Ames/iStock Unreleased via Getty Images\nNever say never – even if you are Netflix (NASDAQ:NFLX)\nThe streaming leader has come under heavy competition in the last few months from upstart rivals Disney+ (NYSE:DIS) and HBO Max (NYSE:T), while at the same time battling a newly revitalized Amazon Prime (NASDAQ:AMZN). However, this isn’t Netflix’s first time fending off challengers and let’s be realistic, it wasn’t like Netflix wasn’t aware it was going to have to consistently make moves to stay on top.\nThis time though it’s a bit different because of the collective nature of the shifts and how they represent a direct change to the streamer’s roadmap and business/programming model. While separately all these moves are impactful in their own right, but when looking at them as part of a bigger picture – it is sending a clear message to investors that the service can be nimble, even in areas were for a while it was seemingly the opposite.\nFirst as always, some background.\nIncreasing Netflix's Market Share\nI want to look at three specific moves and their importance.\nLet’s kick it off with the one that has the biggest paradigm shift in the industry – the Sony deal.\n<img src=\"https://static.tigerbbs.com/9a75991f04f5078fe686afa0638322f6\" tg-width=\"934\" tg-height=\"488\">Credit: Sony\nLast week Netflix made a&nbsp;deal&nbsp;with Sony (NYSE:SONY) to acquire first-run pay TV rights for its theatrical releases. In other words, after theater and home video, it’s onto Netflix. This is a big step for the streamer as previously it would look to make deals for specific films, whereas now it a steady flow of features in play.\nLet me back up for a second though to explain a little more in depth…and keep in mind this is tied directly the traditional model (and pre-COVID). As mentioned, the usual route for a movie is theaters, home entertainment, pay TV, cable, broadcast, etc…where streaming comes in has always been somewhat fluid past pay TV.\nThis deal targets that “pay TV” window. The premium channels – i.e. HBO, Showtime, Starz, Epix – all have deals with studios for their outputs. For example, Warner Bros. films go to HBO, A24&nbsp;films&nbsp;go to Showtime and so on. In some cases it’s a natural fit among corporate siblings or a separate deal worked out to help both parties.\nPreviously Sony films went to Starz – but starting in 2022 when that deal expires, Netflix takes over.\nWhat that means is that Netflix just slipped into a window where traditional TV had a solid foothold.\nPart of the reason these networks had been able to pull in subscribers in the first place was that steady pipeline of theatricals. Those blockbusters were the draw to get you to subscribe with the ideas being those network’s originals would then get you further hooked. At the same time those movies - which then became part of an ever-growing film library - are the backbone of any premium movie network’s linear schedule.\nWhile this will be a noticeable loss for Starz, for Netflix and Sony it’s a win and one that should have both sets of investors thrilled.\nSony, which doesn’t have a streaming service, basically was able to use Netflix as a much-needed financial lifeline following the COVID-induced shutdown of theaters. In addition, the streamer will have the ability to invest in some of the studio’s upcoming projects. The pair had already seen success prior from a similar separate previousdealworked out for Sony’s animated fare.\n<img src=\"https://static.tigerbbs.com/7e7955071fa9cb7465c0265e4600ccd5\" tg-width=\"750\" tg-height=\"562\">Credit: Sony\nNetflix'sCompetitors Gain Ground\nSticking with the Sony deal a bit further (as there is a lot to unpack) - on the other side of the coin, Netflix now gets a fresh influx of content to make up for what competitors such as HBO Max, Disney+ and Peacock pulled back for their own services OR the content competitors such as Amazon or Apple outbid them on. That cannot be over-started enough, however on the positive side what investors have seen is Netflix's subscribers pivoting in turn to similar content.\nFor example Netflix's most popular series for a while was&nbsp;Friends&nbsp;and when that left,The Office&nbsp;took over. Now with&nbsp;Office&nbsp;gone,Schitt's Creek&nbsp;is in front. Netflix is a large part of the reason why&nbsp;Schitt's Creek&nbsp;exploded towards the end of its runs so it's unlikely that show will slip off the servers, but should it - the point is Netflix viewers will just go down the line.\nIt's also interesting to note the addition of&nbsp;Friends&nbsp;to HBO Max and&nbsp;Office&nbsp;to Peacock have been very successful for those networks - which speaks a lot to the value of IP overall versus just where it was available.\nSpeaking of IP, another reason why the Sony deal is important is because it has marquee franchises such as theSpider-Manuniverse. This is one of the rare non-Disney owned Marvel IP’s and this puts the streamer right back in the super-hero space that has performed so well for it prior.\nAll together the deal was a welcome sign of relief to some shareholders as it’s been&nbsp;rumored&nbsp;Comcast’s Universal division will soon begin pulling its content from Netflix soon to give exclusively to Peacock – similar to what the company did withThe Office&nbsp;earlier this year.\nThis is further protection for that type of a mass content exodus.\nOn it is own this is a big deal because of its far-reaching industry impacts – but where I’m looking it (and investors should also) is two-fold. One, it is a clear example of how Netflix is pivoting to stay competitive and somehow always finds a dance partner in need of its special set of skills.\nGoing Outside The Netflix Family\nThe other aspect is it’s also fascinating to see how Netflix has further infiltrated the film world – including by leaning into more traditional methods. And that takes us to the second piece of news which I touched on in a previous&nbsp;piece… theKnives Outdeal.\nAs a reminder Netflix&nbsp;bought&nbsp;the rights to the two sequels to the 2019 murder mystery hit (originally distributed by Lionsgate) for over $450 million…a stunning sum of money in its own right, let alone for such new IP. However, again looking at the bigger picture, it makes sense.\nNetflix is trying to further its film reach, even going so far as to produce&nbsp;over&nbsp;70 originals in 2021 – including at least one new one a week. The problem is that approach could actually dilute the overall product and cannibalizes its success.\nWe are also a few years into the Netflix film division and the studio has yet to find its AAA tier film franchise. It’s had individual successes and its won Oscars but it hasn’t had that film series that would be akin to one a traditional studio would leverage a theatrical trilogy out of…and its noticeable.\nSo Netflix did the next best thing – it bought one.\nKnives Outwas also a great choice.\nIt boasts Daniel Craig as the lead, comes from a well-regarded writer/director in Rian Johnson and also was an awards player. Plus the original packed together a stunning ensemble of A-list talent and the news ones will likely follow the same pattern.\nIt’s a safe and smart play for Netflix that will also get the attention and buzz they are looking for in that space. It’s also another example of Netflix’s “win-now” mentality.\nSo to recap – Netflix in the past few weeks went out and bought a new “it” franchise AND jumped to the front of the line for new “A-tier” content from a top-flight studio.\nBoth of these moves are in direct response to having their rivals step up their game.\nAnd to be clear, some of this may be reactionary, but that’s the point. It’s not knee-jerk in the least, it’s a calculated reaction that makes fiscal sense. Just as Netflix knew eventually studios/networks would wise up and stop feeding them content, its team knew its rivals would make gains and they’d have to adjust.\nThat’s business…there’s an ebb and flow.\nAs I mentioned earlier, Netflix smartly turned its attention to potential partners who could utilize their competitive advantage.\nNetflix's Biggest Risk May Come From Smallest Change\nTo me, the last move I want to touch on is the most interesting – it is also ironically the least headline-grabbing of the bunch. It ties to the TV side of the business, which has arguably come under just much of an attack from other streamers.\nIn the beginning, Netflix’s entry into streaming was built around being different, but the most well-known aspect of that build-up was its “all-at-once” pattern. While the traditional model had long relied on weekly episode drops, Netflix changed the game.\nIt was a refreshing approach.\nFor the “now” generation to have everything at their fingertips from the start was a big selling point. It also marked the beginning of “binge culture.” Of course, there were cons as well as pros, the problem with all-at-once is exactly that, it’s all-at-once.\nFor many people sitting for 10-12 hours to polish off a full season of a show is not realistic – even over a weekend it's hard. What that meant is while you can talk all you wanted online about the show’s twists and turns, it was harder to keep that conversation going with friends and family.\n<img src=\"https://static.tigerbbs.com/051370349a483fcd05ac4945cdcfb588\" tg-width=\"800\" tg-height=\"444\">Credit: Netflix\nWhile it’s worked tremendously for Netflix, it’s also proven to be a bit of a hinderance because fans never know where others are in the storyline. This stifles that type of watercooler conversation that helped build the legacy of many classic shows.\nThis was also a lot less complicated when Netflix’s core originals were limited to a handful of titles – but with countless new content flowing through its servers it is hard to keep track. Although many subscribers are quick to say the “all-at-once” model is a huge draw for them and a reason they love Netflix over other rivals.\nGranted after nearly a decade of use it makes sense as that type of access has become engrained and expected by its users. The difference is other streamers have found arguably the same type of success with the use of weekly drops – most notably Disney+.\nWhile Netflix gets a lot of bang for its buck for its own titles, normally it is mainly limited to about a three-week period – the week prior to launch, the week of launch and the week after launch. Beyond that you can notice a sizable dip in the chatter, conversely Disney’s weekly model has a longer impact.\nBy dropping new episodes on Fridays, Disney invites new conversation over the entire weekend, that are repeated over a period of months. That&nbsp;repetition&nbsp;has helped elevate the profile of its&nbsp;Star Wars&nbsp;and Marvel-centric series (and in turn the brands). With each of which usually clocking in around 30 mins long, it makes it easier for people to watch without a huge time commitment.\nThat has seemingly caught the attention of Netflix which looks like it wants to switch things up – and I think the reaction by subscribers is going to be interesting to shareholders.\nTwo of Netflix’s reality franchises –The CircleandToo Hot To Handle– will now&nbsp;NOT&nbsp;be all-at-once drops. The batch model still holds, in that multiple episodes will still drop per week – but it won’t be the whole thing.\n<img src=\"https://static.tigerbbs.com/90bb70897890d7ac296671b75837af4c\" tg-width=\"1024\" tg-height=\"576\">Credit: Netflix\nThe Circlepremieres this week and will wrap May 5th, whileToo Hot To Handlewill debut in June – both on Wednesdays, which is also telling to me. In effect Netflix is trying to own that day of the week, which is a very traditional model approach to take.\nSo why am I so interested in this approach?\nThe main reason is because it represents a huge shift to their overall model that if successful could lead to future scripted series potentially getting the same treatment. I’ve often argued the one thing keeping Netflix’s originals back is the all-at-once approach.\nRememberThe Witcher?\nYes, it’s a hit for Netflix but it’s notGame of Thrones– and it was designed specifically to beGame of Thrones. Now hadWitcherbeen a weekly release and gotten all the buzz and added media attention that comes with it, it is very possible the series could have seen a substantial boost in popularity.\nEspecially with scripted shows that are heavily serialized having that added time to digest the material is incredibly important. With reality series, not so much – but they are still a great test case because there is still a payoff at the end.\nIt’s also telling because Netflix tried this before, but then quicky said it was a one-off move.\nWhenRhythm + Flowpremiered the other year, it took the weekly model approach in an attempt to preserve the identity of the winner as long as possible. However seemingly from the start Netflix essentially began apologizing for the decision.\nIt was kind of whiplash inducing as in one breath it was quick to tout a new creative approach and then just as fast say it was essentially a one-time&nbsp;thing.\nTo some it looked like Netflix felt like it had to go out of itswayto say it was an aberration to not upset the apple cart with its subscribers – which is why I’m very interested to see the response when it happens with two of its top franchises. I’ll be even more interested to see if this is the approach taken withLove Is Blindwhen it returns later this year.\nAs I said, never say never – even with Netflix.\nConclusion\nI have to give the streamer credit as its moves to shore up its base are further examples of company “firsts” and for Netflix to still have “firsts” this many years into its innovative run says something that should be encouraging to investors.\nStreaming remains the Wild Wild West and Netflix is ensuring nobody can get too comfortable – not even themselves.","source":"seekingalpha","collect":0,"html":"<!DOCTYPE html>\n<html>\n<head>\n<meta http-equiv=\"Content-Type\" content=\"text/html; charset=utf-8\" />\n<meta name=\"viewport\" content=\"width=device-width,initial-scale=1.0,minimum-scale=1.0,maximum-scale=1.0,user-scalable=no\"/>\n<meta name=\"format-detection\" content=\"telephone=no,email=no,address=no\" />\n<title>Netflix Stock: Company Looking To Adjust Longstanding Strategies As Rival Streamers Gain Ground</title>\n<style type=\"text/css\">\na,abbr,acronym,address,applet,article,aside,audio,b,big,blockquote,body,canvas,caption,center,cite,code,dd,del,details,dfn,div,dl,dt,\nem,embed,fieldset,figcaption,figure,footer,form,h1,h2,h3,h4,h5,h6,header,hgroup,html,i,iframe,img,ins,kbd,label,legend,li,mark,menu,nav,\nobject,ol,output,p,pre,q,ruby,s,samp,section,small,span,strike,strong,sub,summary,sup,table,tbody,td,tfoot,th,thead,time,tr,tt,u,ul,var,video{ font:inherit;margin:0;padding:0;vertical-align:baseline;border:0 }\nbody{ font-size:16px; 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}\n.meta {color:#5e5c6d;font-size:13px;margin:0 0 .5em; }\na{text-decoration:none; color:#2a4b87;}\n.meta .head { display: inline-block; overflow: hidden}\n.head .h-thumb { width: 30px; height: 30px; margin: 0; padding: 0; border-radius: 50%; float: left;}\n.head .h-content { margin: 0; padding: 0 0 0 9px; float: left;}\n.head .h-name {font-size: 13px; color: #eee; margin: 0;}\n.head .h-time {font-size: 11px; color: #7E829C; margin: 0;line-height: 11px;}\n.small {font-size: 12.5px; display: inline-block; transform: scale(0.9); -webkit-transform: scale(0.9); transform-origin: left; -webkit-transform-origin: left;}\n.smaller {font-size: 12.5px; display: inline-block; transform: scale(0.8); -webkit-transform: scale(0.8); transform-origin: left; -webkit-transform-origin: left;}\n.bt-text {font-size: 12px;margin: 1.5em 0 0 0}\n.bt-text p {margin: 0}\n</style>\n</head>\n<body>\n<div class=\"wrapper\">\n<header>\n<h2 class=\"title\">\nNetflix Stock: Company Looking To Adjust Longstanding Strategies As Rival Streamers Gain Ground\n</h2>\n\n<h4 class=\"meta\">\n\n\n2021-04-16 11:10 GMT+8&nbsp;&nbsp;&nbsp;<a href=https://seekingalpha.com/article/4419132-netflix-stock-strategies-disney-plus-hbo-max>seekingalpha</a>\n\n\n</h4>\n\n</header>\n<article>\n<div>\nSummary\n\nNetflix has seen its streaming rivals continually gain ground in the past few months prompting the company to re-evaluate a number of long-standing strategies.\nThis isn’t Netflix’s first time...\n\n<a href=\"https://seekingalpha.com/article/4419132-netflix-stock-strategies-disney-plus-hbo-max\">Web Link</a>\n\n</div>\n\n\n</article>\n</div>\n</body>\n</html>\n","type":0,"thumbnail":"","relate_stocks":{"NFLX":"奈飞"},"source_url":"https://seekingalpha.com/article/4419132-netflix-stock-strategies-disney-plus-hbo-max","is_english":true,"share_image_url":"https://static.laohu8.com/5a36db9d73b4222bc376d24ccc48c8a4","article_id":"1119241855","content_text":"Summary\n\nNetflix has seen its streaming rivals continually gain ground in the past few months prompting the company to re-evaluate a number of long-standing strategies.\nThis isn’t Netflix’s first time fending off challengers and the company is acutely aware it will have to consistently make moves to stay on top.\nNetflix recently negotiated a deal with Sony that will result in it receiving more content sooner than before and also open the door to new partnerships with the studio.\nThe streamer also utilized another “win-now” technique when it comes to its original films as instead of solely focusing on trying to create a new “it” franchise, it bought one.\nNetflix is also making moves on the TV side by adjusting its iconic “all-at-once” model and testing weekly batch drops of two popular reality shows – despite past pushback from subscribers.\n\nPhoto by Christopher Ames/iStock Unreleased via Getty Images\nNever say never – even if you are Netflix (NASDAQ:NFLX)\nThe streaming leader has come under heavy competition in the last few months from upstart rivals Disney+ (NYSE:DIS) and HBO Max (NYSE:T), while at the same time battling a newly revitalized Amazon Prime (NASDAQ:AMZN). However, this isn’t Netflix’s first time fending off challengers and let’s be realistic, it wasn’t like Netflix wasn’t aware it was going to have to consistently make moves to stay on top.\nThis time though it’s a bit different because of the collective nature of the shifts and how they represent a direct change to the streamer’s roadmap and business/programming model. While separately all these moves are impactful in their own right, but when looking at them as part of a bigger picture – it is sending a clear message to investors that the service can be nimble, even in areas were for a while it was seemingly the opposite.\nFirst as always, some background.\nIncreasing Netflix's Market Share\nI want to look at three specific moves and their importance.\nLet’s kick it off with the one that has the biggest paradigm shift in the industry – the Sony deal.\nCredit: Sony\nLast week Netflix made a deal with Sony (NYSE:SONY) to acquire first-run pay TV rights for its theatrical releases. In other words, after theater and home video, it’s onto Netflix. This is a big step for the streamer as previously it would look to make deals for specific films, whereas now it a steady flow of features in play.\nLet me back up for a second though to explain a little more in depth…and keep in mind this is tied directly the traditional model (and pre-COVID). As mentioned, the usual route for a movie is theaters, home entertainment, pay TV, cable, broadcast, etc…where streaming comes in has always been somewhat fluid past pay TV.\nThis deal targets that “pay TV” window. The premium channels – i.e. HBO, Showtime, Starz, Epix – all have deals with studios for their outputs. For example, Warner Bros. films go to HBO, A24 films go to Showtime and so on. In some cases it’s a natural fit among corporate siblings or a separate deal worked out to help both parties.\nPreviously Sony films went to Starz – but starting in 2022 when that deal expires, Netflix takes over.\nWhat that means is that Netflix just slipped into a window where traditional TV had a solid foothold.\nPart of the reason these networks had been able to pull in subscribers in the first place was that steady pipeline of theatricals. Those blockbusters were the draw to get you to subscribe with the ideas being those network’s originals would then get you further hooked. At the same time those movies - which then became part of an ever-growing film library - are the backbone of any premium movie network’s linear schedule.\nWhile this will be a noticeable loss for Starz, for Netflix and Sony it’s a win and one that should have both sets of investors thrilled.\nSony, which doesn’t have a streaming service, basically was able to use Netflix as a much-needed financial lifeline following the COVID-induced shutdown of theaters. In addition, the streamer will have the ability to invest in some of the studio’s upcoming projects. The pair had already seen success prior from a similar separate previousdealworked out for Sony’s animated fare.\nCredit: Sony\nNetflix'sCompetitors Gain Ground\nSticking with the Sony deal a bit further (as there is a lot to unpack) - on the other side of the coin, Netflix now gets a fresh influx of content to make up for what competitors such as HBO Max, Disney+ and Peacock pulled back for their own services OR the content competitors such as Amazon or Apple outbid them on. That cannot be over-started enough, however on the positive side what investors have seen is Netflix's subscribers pivoting in turn to similar content.\nFor example Netflix's most popular series for a while was Friends and when that left,The Office took over. Now with Office gone,Schitt's Creek is in front. Netflix is a large part of the reason why Schitt's Creek exploded towards the end of its runs so it's unlikely that show will slip off the servers, but should it - the point is Netflix viewers will just go down the line.\nIt's also interesting to note the addition of Friends to HBO Max and Office to Peacock have been very successful for those networks - which speaks a lot to the value of IP overall versus just where it was available.\nSpeaking of IP, another reason why the Sony deal is important is because it has marquee franchises such as theSpider-Manuniverse. This is one of the rare non-Disney owned Marvel IP’s and this puts the streamer right back in the super-hero space that has performed so well for it prior.\nAll together the deal was a welcome sign of relief to some shareholders as it’s been rumored Comcast’s Universal division will soon begin pulling its content from Netflix soon to give exclusively to Peacock – similar to what the company did withThe Office earlier this year.\nThis is further protection for that type of a mass content exodus.\nOn it is own this is a big deal because of its far-reaching industry impacts – but where I’m looking it (and investors should also) is two-fold. One, it is a clear example of how Netflix is pivoting to stay competitive and somehow always finds a dance partner in need of its special set of skills.\nGoing Outside The Netflix Family\nThe other aspect is it’s also fascinating to see how Netflix has further infiltrated the film world – including by leaning into more traditional methods. And that takes us to the second piece of news which I touched on in a previous piece… theKnives Outdeal.\nAs a reminder Netflix bought the rights to the two sequels to the 2019 murder mystery hit (originally distributed by Lionsgate) for over $450 million…a stunning sum of money in its own right, let alone for such new IP. However, again looking at the bigger picture, it makes sense.\nNetflix is trying to further its film reach, even going so far as to produce over 70 originals in 2021 – including at least one new one a week. The problem is that approach could actually dilute the overall product and cannibalizes its success.\nWe are also a few years into the Netflix film division and the studio has yet to find its AAA tier film franchise. It’s had individual successes and its won Oscars but it hasn’t had that film series that would be akin to one a traditional studio would leverage a theatrical trilogy out of…and its noticeable.\nSo Netflix did the next best thing – it bought one.\nKnives Outwas also a great choice.\nIt boasts Daniel Craig as the lead, comes from a well-regarded writer/director in Rian Johnson and also was an awards player. Plus the original packed together a stunning ensemble of A-list talent and the news ones will likely follow the same pattern.\nIt’s a safe and smart play for Netflix that will also get the attention and buzz they are looking for in that space. It’s also another example of Netflix’s “win-now” mentality.\nSo to recap – Netflix in the past few weeks went out and bought a new “it” franchise AND jumped to the front of the line for new “A-tier” content from a top-flight studio.\nBoth of these moves are in direct response to having their rivals step up their game.\nAnd to be clear, some of this may be reactionary, but that’s the point. It’s not knee-jerk in the least, it’s a calculated reaction that makes fiscal sense. Just as Netflix knew eventually studios/networks would wise up and stop feeding them content, its team knew its rivals would make gains and they’d have to adjust.\nThat’s business…there’s an ebb and flow.\nAs I mentioned earlier, Netflix smartly turned its attention to potential partners who could utilize their competitive advantage.\nNetflix's Biggest Risk May Come From Smallest Change\nTo me, the last move I want to touch on is the most interesting – it is also ironically the least headline-grabbing of the bunch. It ties to the TV side of the business, which has arguably come under just much of an attack from other streamers.\nIn the beginning, Netflix’s entry into streaming was built around being different, but the most well-known aspect of that build-up was its “all-at-once” pattern. While the traditional model had long relied on weekly episode drops, Netflix changed the game.\nIt was a refreshing approach.\nFor the “now” generation to have everything at their fingertips from the start was a big selling point. It also marked the beginning of “binge culture.” Of course, there were cons as well as pros, the problem with all-at-once is exactly that, it’s all-at-once.\nFor many people sitting for 10-12 hours to polish off a full season of a show is not realistic – even over a weekend it's hard. What that meant is while you can talk all you wanted online about the show’s twists and turns, it was harder to keep that conversation going with friends and family.\nCredit: Netflix\nWhile it’s worked tremendously for Netflix, it’s also proven to be a bit of a hinderance because fans never know where others are in the storyline. This stifles that type of watercooler conversation that helped build the legacy of many classic shows.\nThis was also a lot less complicated when Netflix’s core originals were limited to a handful of titles – but with countless new content flowing through its servers it is hard to keep track. Although many subscribers are quick to say the “all-at-once” model is a huge draw for them and a reason they love Netflix over other rivals.\nGranted after nearly a decade of use it makes sense as that type of access has become engrained and expected by its users. The difference is other streamers have found arguably the same type of success with the use of weekly drops – most notably Disney+.\nWhile Netflix gets a lot of bang for its buck for its own titles, normally it is mainly limited to about a three-week period – the week prior to launch, the week of launch and the week after launch. Beyond that you can notice a sizable dip in the chatter, conversely Disney’s weekly model has a longer impact.\nBy dropping new episodes on Fridays, Disney invites new conversation over the entire weekend, that are repeated over a period of months. That repetition has helped elevate the profile of its Star Wars and Marvel-centric series (and in turn the brands). With each of which usually clocking in around 30 mins long, it makes it easier for people to watch without a huge time commitment.\nThat has seemingly caught the attention of Netflix which looks like it wants to switch things up – and I think the reaction by subscribers is going to be interesting to shareholders.\nTwo of Netflix’s reality franchises –The CircleandToo Hot To Handle– will now NOT be all-at-once drops. The batch model still holds, in that multiple episodes will still drop per week – but it won’t be the whole thing.\nCredit: Netflix\nThe Circlepremieres this week and will wrap May 5th, whileToo Hot To Handlewill debut in June – both on Wednesdays, which is also telling to me. In effect Netflix is trying to own that day of the week, which is a very traditional model approach to take.\nSo why am I so interested in this approach?\nThe main reason is because it represents a huge shift to their overall model that if successful could lead to future scripted series potentially getting the same treatment. I’ve often argued the one thing keeping Netflix’s originals back is the all-at-once approach.\nRememberThe Witcher?\nYes, it’s a hit for Netflix but it’s notGame of Thrones– and it was designed specifically to beGame of Thrones. Now hadWitcherbeen a weekly release and gotten all the buzz and added media attention that comes with it, it is very possible the series could have seen a substantial boost in popularity.\nEspecially with scripted shows that are heavily serialized having that added time to digest the material is incredibly important. With reality series, not so much – but they are still a great test case because there is still a payoff at the end.\nIt’s also telling because Netflix tried this before, but then quicky said it was a one-off move.\nWhenRhythm + Flowpremiered the other year, it took the weekly model approach in an attempt to preserve the identity of the winner as long as possible. However seemingly from the start Netflix essentially began apologizing for the decision.\nIt was kind of whiplash inducing as in one breath it was quick to tout a new creative approach and then just as fast say it was essentially a one-time thing.\nTo some it looked like Netflix felt like it had to go out of itswayto say it was an aberration to not upset the apple cart with its subscribers – which is why I’m very interested to see the response when it happens with two of its top franchises. I’ll be even more interested to see if this is the approach taken withLove Is Blindwhen it returns later this year.\nAs I said, never say never – even with Netflix.\nConclusion\nI have to give the streamer credit as its moves to shore up its base are further examples of company “firsts” and for Netflix to still have “firsts” this many years into its innovative run says something that should be encouraging to investors.\nStreaming remains the Wild Wild West and Netflix is ensuring nobody can get too comfortable – not even themselves.","news_type":1},"isVote":1,"likeStatus":false,"favoriteStatus":false,"reportStatus":false,"tweetType":1,"comments":[{"id":4050387,"gmtCreate":1618547607425,"gmtModify":1680784298370,"authorId":3575378189904678,"author":{"id":3575378189904678,"authorId":3575378189904678,"name":"letsgo8","avatar":"https://static.tigerbbs.com/cfa8cd71bc61e78a08bb731667341ac4","vip":1,"crmLevel":2,"crmLevelSwitch":0,"individualDisplayBadges":[]},"repliedAuthorId":0,"objectId":370976911,"type":1,"supId":0,"prevId":0,"content":"Wow","text":"Wow","html":"Wow"}],"langContent":"EN"},{"id":370978476,"gmtCreate":1618547569895,"gmtModify":1704712561736,"author":{"id":"3579491276699992","authorId":"3579491276699992","authorIdStr":"3579491276699992","name":"Jlenglui","avatar":"https://static.tigerbbs.com/dbbf978ba7471629b0f6a72b1497fce4","vip":2,"hat":"https://static.tigerbbs.com/b0a2963eb37c60c5d6d4a8dbcd266952","crmLevel":6,"crmLevelSwitch":1,"idStr":"3579491276699992"},"htmlText":"O","listText":"O","text":"O","images":[],"top":1,"highlighted":1,"essential":1,"paper":1,"likeSize":1,"commentSize":0,"repostSize":0,"link":"https://ttm.financial/post/370978476","repostId":1119241855,"repostType":4,"repost":{"id":"1119241855","pubTimestamp":1618542634,"share":"https://ttm.financial/m/news/1119241855?lang=&edition=fundamental","pubTime":"2021-04-16 11:10","market":"us","language":"en","title":"Netflix Stock: Company Looking To Adjust Longstanding Strategies As Rival Streamers Gain Ground","url":"https://stock-news.laohu8.com/highlight/detail?id=1119241855","media":"seekingalpha","summary":"Summary\n\nNetflix has seen its streaming rivals continually gain ground in the past few months prompt","content":"Summary\n<ul>\n <li>Netflix has seen its streaming rivals continually gain ground in the past few months prompting the company to re-evaluate a number of long-standing strategies.</li>\n <li>This isn’t Netflix’s first time fending off challengers and the company is acutely aware it will have to consistently make moves to stay on top.</li>\n <li>Netflix recently negotiated a deal with Sony that will result in it receiving more content sooner than before and also open the door to new partnerships with the studio.</li>\n <li>The streamer also utilized another “win-now” technique when it comes to its original films as instead of solely focusing on trying to create a new “it” franchise, it bought one.</li>\n <li>Netflix is also making moves on the TV side by adjusting its iconic “all-at-once” model and testing weekly batch drops of two popular reality shows – despite past pushback from subscribers.</li>\n</ul>\n<img src=\"https://static.tigerbbs.com/85c5bcbd94b754eab4b27fa6819cac61\" tg-width=\"768\" tg-height=\"509\">Photo by Christopher Ames/iStock Unreleased via Getty Images\nNever say never – even if you are Netflix (NASDAQ:NFLX)\nThe streaming leader has come under heavy competition in the last few months from upstart rivals Disney+ (NYSE:DIS) and HBO Max (NYSE:T), while at the same time battling a newly revitalized Amazon Prime (NASDAQ:AMZN). However, this isn’t Netflix’s first time fending off challengers and let’s be realistic, it wasn’t like Netflix wasn’t aware it was going to have to consistently make moves to stay on top.\nThis time though it’s a bit different because of the collective nature of the shifts and how they represent a direct change to the streamer’s roadmap and business/programming model. While separately all these moves are impactful in their own right, but when looking at them as part of a bigger picture – it is sending a clear message to investors that the service can be nimble, even in areas were for a while it was seemingly the opposite.\nFirst as always, some background.\nIncreasing Netflix's Market Share\nI want to look at three specific moves and their importance.\nLet’s kick it off with the one that has the biggest paradigm shift in the industry – the Sony deal.\n<img src=\"https://static.tigerbbs.com/9a75991f04f5078fe686afa0638322f6\" tg-width=\"934\" tg-height=\"488\">Credit: Sony\nLast week Netflix made a&nbsp;deal&nbsp;with Sony (NYSE:SONY) to acquire first-run pay TV rights for its theatrical releases. In other words, after theater and home video, it’s onto Netflix. This is a big step for the streamer as previously it would look to make deals for specific films, whereas now it a steady flow of features in play.\nLet me back up for a second though to explain a little more in depth…and keep in mind this is tied directly the traditional model (and pre-COVID). As mentioned, the usual route for a movie is theaters, home entertainment, pay TV, cable, broadcast, etc…where streaming comes in has always been somewhat fluid past pay TV.\nThis deal targets that “pay TV” window. The premium channels – i.e. HBO, Showtime, Starz, Epix – all have deals with studios for their outputs. For example, Warner Bros. films go to HBO, A24&nbsp;films&nbsp;go to Showtime and so on. In some cases it’s a natural fit among corporate siblings or a separate deal worked out to help both parties.\nPreviously Sony films went to Starz – but starting in 2022 when that deal expires, Netflix takes over.\nWhat that means is that Netflix just slipped into a window where traditional TV had a solid foothold.\nPart of the reason these networks had been able to pull in subscribers in the first place was that steady pipeline of theatricals. Those blockbusters were the draw to get you to subscribe with the ideas being those network’s originals would then get you further hooked. At the same time those movies - which then became part of an ever-growing film library - are the backbone of any premium movie network’s linear schedule.\nWhile this will be a noticeable loss for Starz, for Netflix and Sony it’s a win and one that should have both sets of investors thrilled.\nSony, which doesn’t have a streaming service, basically was able to use Netflix as a much-needed financial lifeline following the COVID-induced shutdown of theaters. In addition, the streamer will have the ability to invest in some of the studio’s upcoming projects. The pair had already seen success prior from a similar separate previousdealworked out for Sony’s animated fare.\n<img src=\"https://static.tigerbbs.com/7e7955071fa9cb7465c0265e4600ccd5\" tg-width=\"750\" tg-height=\"562\">Credit: Sony\nNetflix'sCompetitors Gain Ground\nSticking with the Sony deal a bit further (as there is a lot to unpack) - on the other side of the coin, Netflix now gets a fresh influx of content to make up for what competitors such as HBO Max, Disney+ and Peacock pulled back for their own services OR the content competitors such as Amazon or Apple outbid them on. That cannot be over-started enough, however on the positive side what investors have seen is Netflix's subscribers pivoting in turn to similar content.\nFor example Netflix's most popular series for a while was&nbsp;Friends&nbsp;and when that left,The Office&nbsp;took over. Now with&nbsp;Office&nbsp;gone,Schitt's Creek&nbsp;is in front. Netflix is a large part of the reason why&nbsp;Schitt's Creek&nbsp;exploded towards the end of its runs so it's unlikely that show will slip off the servers, but should it - the point is Netflix viewers will just go down the line.\nIt's also interesting to note the addition of&nbsp;Friends&nbsp;to HBO Max and&nbsp;Office&nbsp;to Peacock have been very successful for those networks - which speaks a lot to the value of IP overall versus just where it was available.\nSpeaking of IP, another reason why the Sony deal is important is because it has marquee franchises such as theSpider-Manuniverse. This is one of the rare non-Disney owned Marvel IP’s and this puts the streamer right back in the super-hero space that has performed so well for it prior.\nAll together the deal was a welcome sign of relief to some shareholders as it’s been&nbsp;rumored&nbsp;Comcast’s Universal division will soon begin pulling its content from Netflix soon to give exclusively to Peacock – similar to what the company did withThe Office&nbsp;earlier this year.\nThis is further protection for that type of a mass content exodus.\nOn it is own this is a big deal because of its far-reaching industry impacts – but where I’m looking it (and investors should also) is two-fold. One, it is a clear example of how Netflix is pivoting to stay competitive and somehow always finds a dance partner in need of its special set of skills.\nGoing Outside The Netflix Family\nThe other aspect is it’s also fascinating to see how Netflix has further infiltrated the film world – including by leaning into more traditional methods. And that takes us to the second piece of news which I touched on in a previous&nbsp;piece… theKnives Outdeal.\nAs a reminder Netflix&nbsp;bought&nbsp;the rights to the two sequels to the 2019 murder mystery hit (originally distributed by Lionsgate) for over $450 million…a stunning sum of money in its own right, let alone for such new IP. However, again looking at the bigger picture, it makes sense.\nNetflix is trying to further its film reach, even going so far as to produce&nbsp;over&nbsp;70 originals in 2021 – including at least one new one a week. The problem is that approach could actually dilute the overall product and cannibalizes its success.\nWe are also a few years into the Netflix film division and the studio has yet to find its AAA tier film franchise. It’s had individual successes and its won Oscars but it hasn’t had that film series that would be akin to one a traditional studio would leverage a theatrical trilogy out of…and its noticeable.\nSo Netflix did the next best thing – it bought one.\nKnives Outwas also a great choice.\nIt boasts Daniel Craig as the lead, comes from a well-regarded writer/director in Rian Johnson and also was an awards player. Plus the original packed together a stunning ensemble of A-list talent and the news ones will likely follow the same pattern.\nIt’s a safe and smart play for Netflix that will also get the attention and buzz they are looking for in that space. It’s also another example of Netflix’s “win-now” mentality.\nSo to recap – Netflix in the past few weeks went out and bought a new “it” franchise AND jumped to the front of the line for new “A-tier” content from a top-flight studio.\nBoth of these moves are in direct response to having their rivals step up their game.\nAnd to be clear, some of this may be reactionary, but that’s the point. It’s not knee-jerk in the least, it’s a calculated reaction that makes fiscal sense. Just as Netflix knew eventually studios/networks would wise up and stop feeding them content, its team knew its rivals would make gains and they’d have to adjust.\nThat’s business…there’s an ebb and flow.\nAs I mentioned earlier, Netflix smartly turned its attention to potential partners who could utilize their competitive advantage.\nNetflix's Biggest Risk May Come From Smallest Change\nTo me, the last move I want to touch on is the most interesting – it is also ironically the least headline-grabbing of the bunch. It ties to the TV side of the business, which has arguably come under just much of an attack from other streamers.\nIn the beginning, Netflix’s entry into streaming was built around being different, but the most well-known aspect of that build-up was its “all-at-once” pattern. While the traditional model had long relied on weekly episode drops, Netflix changed the game.\nIt was a refreshing approach.\nFor the “now” generation to have everything at their fingertips from the start was a big selling point. It also marked the beginning of “binge culture.” Of course, there were cons as well as pros, the problem with all-at-once is exactly that, it’s all-at-once.\nFor many people sitting for 10-12 hours to polish off a full season of a show is not realistic – even over a weekend it's hard. What that meant is while you can talk all you wanted online about the show’s twists and turns, it was harder to keep that conversation going with friends and family.\n<img src=\"https://static.tigerbbs.com/051370349a483fcd05ac4945cdcfb588\" tg-width=\"800\" tg-height=\"444\">Credit: Netflix\nWhile it’s worked tremendously for Netflix, it’s also proven to be a bit of a hinderance because fans never know where others are in the storyline. This stifles that type of watercooler conversation that helped build the legacy of many classic shows.\nThis was also a lot less complicated when Netflix’s core originals were limited to a handful of titles – but with countless new content flowing through its servers it is hard to keep track. Although many subscribers are quick to say the “all-at-once” model is a huge draw for them and a reason they love Netflix over other rivals.\nGranted after nearly a decade of use it makes sense as that type of access has become engrained and expected by its users. The difference is other streamers have found arguably the same type of success with the use of weekly drops – most notably Disney+.\nWhile Netflix gets a lot of bang for its buck for its own titles, normally it is mainly limited to about a three-week period – the week prior to launch, the week of launch and the week after launch. Beyond that you can notice a sizable dip in the chatter, conversely Disney’s weekly model has a longer impact.\nBy dropping new episodes on Fridays, Disney invites new conversation over the entire weekend, that are repeated over a period of months. That&nbsp;repetition&nbsp;has helped elevate the profile of its&nbsp;Star Wars&nbsp;and Marvel-centric series (and in turn the brands). With each of which usually clocking in around 30 mins long, it makes it easier for people to watch without a huge time commitment.\nThat has seemingly caught the attention of Netflix which looks like it wants to switch things up – and I think the reaction by subscribers is going to be interesting to shareholders.\nTwo of Netflix’s reality franchises –The CircleandToo Hot To Handle– will now&nbsp;NOT&nbsp;be all-at-once drops. The batch model still holds, in that multiple episodes will still drop per week – but it won’t be the whole thing.\n<img src=\"https://static.tigerbbs.com/90bb70897890d7ac296671b75837af4c\" tg-width=\"1024\" tg-height=\"576\">Credit: Netflix\nThe Circlepremieres this week and will wrap May 5th, whileToo Hot To Handlewill debut in June – both on Wednesdays, which is also telling to me. In effect Netflix is trying to own that day of the week, which is a very traditional model approach to take.\nSo why am I so interested in this approach?\nThe main reason is because it represents a huge shift to their overall model that if successful could lead to future scripted series potentially getting the same treatment. I’ve often argued the one thing keeping Netflix’s originals back is the all-at-once approach.\nRememberThe Witcher?\nYes, it’s a hit for Netflix but it’s notGame of Thrones– and it was designed specifically to beGame of Thrones. Now hadWitcherbeen a weekly release and gotten all the buzz and added media attention that comes with it, it is very possible the series could have seen a substantial boost in popularity.\nEspecially with scripted shows that are heavily serialized having that added time to digest the material is incredibly important. With reality series, not so much – but they are still a great test case because there is still a payoff at the end.\nIt’s also telling because Netflix tried this before, but then quicky said it was a one-off move.\nWhenRhythm + Flowpremiered the other year, it took the weekly model approach in an attempt to preserve the identity of the winner as long as possible. However seemingly from the start Netflix essentially began apologizing for the decision.\nIt was kind of whiplash inducing as in one breath it was quick to tout a new creative approach and then just as fast say it was essentially a one-time&nbsp;thing.\nTo some it looked like Netflix felt like it had to go out of itswayto say it was an aberration to not upset the apple cart with its subscribers – which is why I’m very interested to see the response when it happens with two of its top franchises. I’ll be even more interested to see if this is the approach taken withLove Is Blindwhen it returns later this year.\nAs I said, never say never – even with Netflix.\nConclusion\nI have to give the streamer credit as its moves to shore up its base are further examples of company “firsts” and for Netflix to still have “firsts” this many years into its innovative run says something that should be encouraging to investors.\nStreaming remains the Wild Wild West and Netflix is ensuring nobody can get too comfortable – not even themselves.","source":"seekingalpha","collect":0,"html":"<!DOCTYPE html>\n<html>\n<head>\n<meta http-equiv=\"Content-Type\" content=\"text/html; charset=utf-8\" />\n<meta name=\"viewport\" content=\"width=device-width,initial-scale=1.0,minimum-scale=1.0,maximum-scale=1.0,user-scalable=no\"/>\n<meta name=\"format-detection\" content=\"telephone=no,email=no,address=no\" />\n<title>Netflix Stock: Company Looking To Adjust Longstanding Strategies As Rival Streamers Gain Ground</title>\n<style type=\"text/css\">\na,abbr,acronym,address,applet,article,aside,audio,b,big,blockquote,body,canvas,caption,center,cite,code,dd,del,details,dfn,div,dl,dt,\nem,embed,fieldset,figcaption,figure,footer,form,h1,h2,h3,h4,h5,h6,header,hgroup,html,i,iframe,img,ins,kbd,label,legend,li,mark,menu,nav,\nobject,ol,output,p,pre,q,ruby,s,samp,section,small,span,strike,strong,sub,summary,sup,table,tbody,td,tfoot,th,thead,time,tr,tt,u,ul,var,video{ font:inherit;margin:0;padding:0;vertical-align:baseline;border:0 }\nbody{ font-size:16px; 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}\n.meta {color:#5e5c6d;font-size:13px;margin:0 0 .5em; }\na{text-decoration:none; color:#2a4b87;}\n.meta .head { display: inline-block; overflow: hidden}\n.head .h-thumb { width: 30px; height: 30px; margin: 0; padding: 0; border-radius: 50%; float: left;}\n.head .h-content { margin: 0; padding: 0 0 0 9px; float: left;}\n.head .h-name {font-size: 13px; color: #eee; margin: 0;}\n.head .h-time {font-size: 11px; color: #7E829C; margin: 0;line-height: 11px;}\n.small {font-size: 12.5px; display: inline-block; transform: scale(0.9); -webkit-transform: scale(0.9); transform-origin: left; -webkit-transform-origin: left;}\n.smaller {font-size: 12.5px; display: inline-block; transform: scale(0.8); -webkit-transform: scale(0.8); transform-origin: left; -webkit-transform-origin: left;}\n.bt-text {font-size: 12px;margin: 1.5em 0 0 0}\n.bt-text p {margin: 0}\n</style>\n</head>\n<body>\n<div class=\"wrapper\">\n<header>\n<h2 class=\"title\">\nNetflix Stock: Company Looking To Adjust Longstanding Strategies As Rival Streamers Gain Ground\n</h2>\n\n<h4 class=\"meta\">\n\n\n2021-04-16 11:10 GMT+8&nbsp;&nbsp;&nbsp;<a href=https://seekingalpha.com/article/4419132-netflix-stock-strategies-disney-plus-hbo-max>seekingalpha</a>\n\n\n</h4>\n\n</header>\n<article>\n<div>\nSummary\n\nNetflix has seen its streaming rivals continually gain ground in the past few months prompting the company to re-evaluate a number of long-standing strategies.\nThis isn’t Netflix’s first time...\n\n<a href=\"https://seekingalpha.com/article/4419132-netflix-stock-strategies-disney-plus-hbo-max\">Web Link</a>\n\n</div>\n\n\n</article>\n</div>\n</body>\n</html>\n","type":0,"thumbnail":"","relate_stocks":{"NFLX":"奈飞"},"source_url":"https://seekingalpha.com/article/4419132-netflix-stock-strategies-disney-plus-hbo-max","is_english":true,"share_image_url":"https://static.laohu8.com/5a36db9d73b4222bc376d24ccc48c8a4","article_id":"1119241855","content_text":"Summary\n\nNetflix has seen its streaming rivals continually gain ground in the past few months prompting the company to re-evaluate a number of long-standing strategies.\nThis isn’t Netflix’s first time fending off challengers and the company is acutely aware it will have to consistently make moves to stay on top.\nNetflix recently negotiated a deal with Sony that will result in it receiving more content sooner than before and also open the door to new partnerships with the studio.\nThe streamer also utilized another “win-now” technique when it comes to its original films as instead of solely focusing on trying to create a new “it” franchise, it bought one.\nNetflix is also making moves on the TV side by adjusting its iconic “all-at-once” model and testing weekly batch drops of two popular reality shows – despite past pushback from subscribers.\n\nPhoto by Christopher Ames/iStock Unreleased via Getty Images\nNever say never – even if you are Netflix (NASDAQ:NFLX)\nThe streaming leader has come under heavy competition in the last few months from upstart rivals Disney+ (NYSE:DIS) and HBO Max (NYSE:T), while at the same time battling a newly revitalized Amazon Prime (NASDAQ:AMZN). However, this isn’t Netflix’s first time fending off challengers and let’s be realistic, it wasn’t like Netflix wasn’t aware it was going to have to consistently make moves to stay on top.\nThis time though it’s a bit different because of the collective nature of the shifts and how they represent a direct change to the streamer’s roadmap and business/programming model. While separately all these moves are impactful in their own right, but when looking at them as part of a bigger picture – it is sending a clear message to investors that the service can be nimble, even in areas were for a while it was seemingly the opposite.\nFirst as always, some background.\nIncreasing Netflix's Market Share\nI want to look at three specific moves and their importance.\nLet’s kick it off with the one that has the biggest paradigm shift in the industry – the Sony deal.\nCredit: Sony\nLast week Netflix made a deal with Sony (NYSE:SONY) to acquire first-run pay TV rights for its theatrical releases. In other words, after theater and home video, it’s onto Netflix. This is a big step for the streamer as previously it would look to make deals for specific films, whereas now it a steady flow of features in play.\nLet me back up for a second though to explain a little more in depth…and keep in mind this is tied directly the traditional model (and pre-COVID). As mentioned, the usual route for a movie is theaters, home entertainment, pay TV, cable, broadcast, etc…where streaming comes in has always been somewhat fluid past pay TV.\nThis deal targets that “pay TV” window. The premium channels – i.e. HBO, Showtime, Starz, Epix – all have deals with studios for their outputs. For example, Warner Bros. films go to HBO, A24 films go to Showtime and so on. In some cases it’s a natural fit among corporate siblings or a separate deal worked out to help both parties.\nPreviously Sony films went to Starz – but starting in 2022 when that deal expires, Netflix takes over.\nWhat that means is that Netflix just slipped into a window where traditional TV had a solid foothold.\nPart of the reason these networks had been able to pull in subscribers in the first place was that steady pipeline of theatricals. Those blockbusters were the draw to get you to subscribe with the ideas being those network’s originals would then get you further hooked. At the same time those movies - which then became part of an ever-growing film library - are the backbone of any premium movie network’s linear schedule.\nWhile this will be a noticeable loss for Starz, for Netflix and Sony it’s a win and one that should have both sets of investors thrilled.\nSony, which doesn’t have a streaming service, basically was able to use Netflix as a much-needed financial lifeline following the COVID-induced shutdown of theaters. In addition, the streamer will have the ability to invest in some of the studio’s upcoming projects. The pair had already seen success prior from a similar separate previousdealworked out for Sony’s animated fare.\nCredit: Sony\nNetflix'sCompetitors Gain Ground\nSticking with the Sony deal a bit further (as there is a lot to unpack) - on the other side of the coin, Netflix now gets a fresh influx of content to make up for what competitors such as HBO Max, Disney+ and Peacock pulled back for their own services OR the content competitors such as Amazon or Apple outbid them on. That cannot be over-started enough, however on the positive side what investors have seen is Netflix's subscribers pivoting in turn to similar content.\nFor example Netflix's most popular series for a while was Friends and when that left,The Office took over. Now with Office gone,Schitt's Creek is in front. Netflix is a large part of the reason why Schitt's Creek exploded towards the end of its runs so it's unlikely that show will slip off the servers, but should it - the point is Netflix viewers will just go down the line.\nIt's also interesting to note the addition of Friends to HBO Max and Office to Peacock have been very successful for those networks - which speaks a lot to the value of IP overall versus just where it was available.\nSpeaking of IP, another reason why the Sony deal is important is because it has marquee franchises such as theSpider-Manuniverse. This is one of the rare non-Disney owned Marvel IP’s and this puts the streamer right back in the super-hero space that has performed so well for it prior.\nAll together the deal was a welcome sign of relief to some shareholders as it’s been rumored Comcast’s Universal division will soon begin pulling its content from Netflix soon to give exclusively to Peacock – similar to what the company did withThe Office earlier this year.\nThis is further protection for that type of a mass content exodus.\nOn it is own this is a big deal because of its far-reaching industry impacts – but where I’m looking it (and investors should also) is two-fold. One, it is a clear example of how Netflix is pivoting to stay competitive and somehow always finds a dance partner in need of its special set of skills.\nGoing Outside The Netflix Family\nThe other aspect is it’s also fascinating to see how Netflix has further infiltrated the film world – including by leaning into more traditional methods. And that takes us to the second piece of news which I touched on in a previous piece… theKnives Outdeal.\nAs a reminder Netflix bought the rights to the two sequels to the 2019 murder mystery hit (originally distributed by Lionsgate) for over $450 million…a stunning sum of money in its own right, let alone for such new IP. However, again looking at the bigger picture, it makes sense.\nNetflix is trying to further its film reach, even going so far as to produce over 70 originals in 2021 – including at least one new one a week. The problem is that approach could actually dilute the overall product and cannibalizes its success.\nWe are also a few years into the Netflix film division and the studio has yet to find its AAA tier film franchise. It’s had individual successes and its won Oscars but it hasn’t had that film series that would be akin to one a traditional studio would leverage a theatrical trilogy out of…and its noticeable.\nSo Netflix did the next best thing – it bought one.\nKnives Outwas also a great choice.\nIt boasts Daniel Craig as the lead, comes from a well-regarded writer/director in Rian Johnson and also was an awards player. Plus the original packed together a stunning ensemble of A-list talent and the news ones will likely follow the same pattern.\nIt’s a safe and smart play for Netflix that will also get the attention and buzz they are looking for in that space. It’s also another example of Netflix’s “win-now” mentality.\nSo to recap – Netflix in the past few weeks went out and bought a new “it” franchise AND jumped to the front of the line for new “A-tier” content from a top-flight studio.\nBoth of these moves are in direct response to having their rivals step up their game.\nAnd to be clear, some of this may be reactionary, but that’s the point. It’s not knee-jerk in the least, it’s a calculated reaction that makes fiscal sense. Just as Netflix knew eventually studios/networks would wise up and stop feeding them content, its team knew its rivals would make gains and they’d have to adjust.\nThat’s business…there’s an ebb and flow.\nAs I mentioned earlier, Netflix smartly turned its attention to potential partners who could utilize their competitive advantage.\nNetflix's Biggest Risk May Come From Smallest Change\nTo me, the last move I want to touch on is the most interesting – it is also ironically the least headline-grabbing of the bunch. It ties to the TV side of the business, which has arguably come under just much of an attack from other streamers.\nIn the beginning, Netflix’s entry into streaming was built around being different, but the most well-known aspect of that build-up was its “all-at-once” pattern. While the traditional model had long relied on weekly episode drops, Netflix changed the game.\nIt was a refreshing approach.\nFor the “now” generation to have everything at their fingertips from the start was a big selling point. It also marked the beginning of “binge culture.” Of course, there were cons as well as pros, the problem with all-at-once is exactly that, it’s all-at-once.\nFor many people sitting for 10-12 hours to polish off a full season of a show is not realistic – even over a weekend it's hard. What that meant is while you can talk all you wanted online about the show’s twists and turns, it was harder to keep that conversation going with friends and family.\nCredit: Netflix\nWhile it’s worked tremendously for Netflix, it’s also proven to be a bit of a hinderance because fans never know where others are in the storyline. This stifles that type of watercooler conversation that helped build the legacy of many classic shows.\nThis was also a lot less complicated when Netflix’s core originals were limited to a handful of titles – but with countless new content flowing through its servers it is hard to keep track. Although many subscribers are quick to say the “all-at-once” model is a huge draw for them and a reason they love Netflix over other rivals.\nGranted after nearly a decade of use it makes sense as that type of access has become engrained and expected by its users. The difference is other streamers have found arguably the same type of success with the use of weekly drops – most notably Disney+.\nWhile Netflix gets a lot of bang for its buck for its own titles, normally it is mainly limited to about a three-week period – the week prior to launch, the week of launch and the week after launch. Beyond that you can notice a sizable dip in the chatter, conversely Disney’s weekly model has a longer impact.\nBy dropping new episodes on Fridays, Disney invites new conversation over the entire weekend, that are repeated over a period of months. That repetition has helped elevate the profile of its Star Wars and Marvel-centric series (and in turn the brands). With each of which usually clocking in around 30 mins long, it makes it easier for people to watch without a huge time commitment.\nThat has seemingly caught the attention of Netflix which looks like it wants to switch things up – and I think the reaction by subscribers is going to be interesting to shareholders.\nTwo of Netflix’s reality franchises –The CircleandToo Hot To Handle– will now NOT be all-at-once drops. The batch model still holds, in that multiple episodes will still drop per week – but it won’t be the whole thing.\nCredit: Netflix\nThe Circlepremieres this week and will wrap May 5th, whileToo Hot To Handlewill debut in June – both on Wednesdays, which is also telling to me. In effect Netflix is trying to own that day of the week, which is a very traditional model approach to take.\nSo why am I so interested in this approach?\nThe main reason is because it represents a huge shift to their overall model that if successful could lead to future scripted series potentially getting the same treatment. I’ve often argued the one thing keeping Netflix’s originals back is the all-at-once approach.\nRememberThe Witcher?\nYes, it’s a hit for Netflix but it’s notGame of Thrones– and it was designed specifically to beGame of Thrones. Now hadWitcherbeen a weekly release and gotten all the buzz and added media attention that comes with it, it is very possible the series could have seen a substantial boost in popularity.\nEspecially with scripted shows that are heavily serialized having that added time to digest the material is incredibly important. With reality series, not so much – but they are still a great test case because there is still a payoff at the end.\nIt’s also telling because Netflix tried this before, but then quicky said it was a one-off move.\nWhenRhythm + Flowpremiered the other year, it took the weekly model approach in an attempt to preserve the identity of the winner as long as possible. However seemingly from the start Netflix essentially began apologizing for the decision.\nIt was kind of whiplash inducing as in one breath it was quick to tout a new creative approach and then just as fast say it was essentially a one-time thing.\nTo some it looked like Netflix felt like it had to go out of itswayto say it was an aberration to not upset the apple cart with its subscribers – which is why I’m very interested to see the response when it happens with two of its top franchises. I’ll be even more interested to see if this is the approach taken withLove Is Blindwhen it returns later this year.\nAs I said, never say never – even with Netflix.\nConclusion\nI have to give the streamer credit as its moves to shore up its base are further examples of company “firsts” and for Netflix to still have “firsts” this many years into its innovative run says something that should be encouraging to investors.\nStreaming remains the Wild Wild West and Netflix is ensuring nobody can get too comfortable – not even themselves.","news_type":1},"isVote":1,"likeStatus":false,"favoriteStatus":false,"reportStatus":false,"tweetType":1,"langContent":"EN"},{"id":370979832,"gmtCreate":1618547357026,"gmtModify":1704712556722,"author":{"id":"3571345352614779","authorId":"3571345352614779","authorIdStr":"3571345352614779","name":"xiaobaii","avatar":"https://static.laohu8.com/default-avatar.jpg","vip":1,"crmLevel":2,"crmLevelSwitch":0,"idStr":"3571345352614779"},"htmlText":"kindly give me a like &amp; a comment please, thank you very much.","listText":"kindly give me a like &amp; a comment please, thank you very much.","text":"kindly give me a like & a comment please, thank you very much.","images":[],"top":1,"highlighted":1,"essential":1,"paper":1,"likeSize":4,"commentSize":1,"repostSize":0,"link":"https://ttm.financial/post/370979832","repostId":1119241855,"repostType":4,"repost":{"id":"1119241855","pubTimestamp":1618542634,"share":"https://ttm.financial/m/news/1119241855?lang=&edition=fundamental","pubTime":"2021-04-16 11:10","market":"us","language":"en","title":"Netflix Stock: Company Looking To Adjust Longstanding Strategies As Rival Streamers Gain Ground","url":"https://stock-news.laohu8.com/highlight/detail?id=1119241855","media":"seekingalpha","summary":"Summary\n\nNetflix has seen its streaming rivals continually gain ground in the past few months prompt","content":"Summary\n<ul>\n <li>Netflix has seen its streaming rivals continually gain ground in the past few months prompting the company to re-evaluate a number of long-standing strategies.</li>\n <li>This isn’t Netflix’s first time fending off challengers and the company is acutely aware it will have to consistently make moves to stay on top.</li>\n <li>Netflix recently negotiated a deal with Sony that will result in it receiving more content sooner than before and also open the door to new partnerships with the studio.</li>\n <li>The streamer also utilized another “win-now” technique when it comes to its original films as instead of solely focusing on trying to create a new “it” franchise, it bought one.</li>\n <li>Netflix is also making moves on the TV side by adjusting its iconic “all-at-once” model and testing weekly batch drops of two popular reality shows – despite past pushback from subscribers.</li>\n</ul>\n<img src=\"https://static.tigerbbs.com/85c5bcbd94b754eab4b27fa6819cac61\" tg-width=\"768\" tg-height=\"509\">Photo by Christopher Ames/iStock Unreleased via Getty Images\nNever say never – even if you are Netflix (NASDAQ:NFLX)\nThe streaming leader has come under heavy competition in the last few months from upstart rivals Disney+ (NYSE:DIS) and HBO Max (NYSE:T), while at the same time battling a newly revitalized Amazon Prime (NASDAQ:AMZN). However, this isn’t Netflix’s first time fending off challengers and let’s be realistic, it wasn’t like Netflix wasn’t aware it was going to have to consistently make moves to stay on top.\nThis time though it’s a bit different because of the collective nature of the shifts and how they represent a direct change to the streamer’s roadmap and business/programming model. While separately all these moves are impactful in their own right, but when looking at them as part of a bigger picture – it is sending a clear message to investors that the service can be nimble, even in areas were for a while it was seemingly the opposite.\nFirst as always, some background.\nIncreasing Netflix's Market Share\nI want to look at three specific moves and their importance.\nLet’s kick it off with the one that has the biggest paradigm shift in the industry – the Sony deal.\n<img src=\"https://static.tigerbbs.com/9a75991f04f5078fe686afa0638322f6\" tg-width=\"934\" tg-height=\"488\">Credit: Sony\nLast week Netflix made a&nbsp;deal&nbsp;with Sony (NYSE:SONY) to acquire first-run pay TV rights for its theatrical releases. In other words, after theater and home video, it’s onto Netflix. This is a big step for the streamer as previously it would look to make deals for specific films, whereas now it a steady flow of features in play.\nLet me back up for a second though to explain a little more in depth…and keep in mind this is tied directly the traditional model (and pre-COVID). As mentioned, the usual route for a movie is theaters, home entertainment, pay TV, cable, broadcast, etc…where streaming comes in has always been somewhat fluid past pay TV.\nThis deal targets that “pay TV” window. The premium channels – i.e. HBO, Showtime, Starz, Epix – all have deals with studios for their outputs. For example, Warner Bros. films go to HBO, A24&nbsp;films&nbsp;go to Showtime and so on. In some cases it’s a natural fit among corporate siblings or a separate deal worked out to help both parties.\nPreviously Sony films went to Starz – but starting in 2022 when that deal expires, Netflix takes over.\nWhat that means is that Netflix just slipped into a window where traditional TV had a solid foothold.\nPart of the reason these networks had been able to pull in subscribers in the first place was that steady pipeline of theatricals. Those blockbusters were the draw to get you to subscribe with the ideas being those network’s originals would then get you further hooked. At the same time those movies - which then became part of an ever-growing film library - are the backbone of any premium movie network’s linear schedule.\nWhile this will be a noticeable loss for Starz, for Netflix and Sony it’s a win and one that should have both sets of investors thrilled.\nSony, which doesn’t have a streaming service, basically was able to use Netflix as a much-needed financial lifeline following the COVID-induced shutdown of theaters. In addition, the streamer will have the ability to invest in some of the studio’s upcoming projects. The pair had already seen success prior from a similar separate previousdealworked out for Sony’s animated fare.\n<img src=\"https://static.tigerbbs.com/7e7955071fa9cb7465c0265e4600ccd5\" tg-width=\"750\" tg-height=\"562\">Credit: Sony\nNetflix'sCompetitors Gain Ground\nSticking with the Sony deal a bit further (as there is a lot to unpack) - on the other side of the coin, Netflix now gets a fresh influx of content to make up for what competitors such as HBO Max, Disney+ and Peacock pulled back for their own services OR the content competitors such as Amazon or Apple outbid them on. That cannot be over-started enough, however on the positive side what investors have seen is Netflix's subscribers pivoting in turn to similar content.\nFor example Netflix's most popular series for a while was&nbsp;Friends&nbsp;and when that left,The Office&nbsp;took over. Now with&nbsp;Office&nbsp;gone,Schitt's Creek&nbsp;is in front. Netflix is a large part of the reason why&nbsp;Schitt's Creek&nbsp;exploded towards the end of its runs so it's unlikely that show will slip off the servers, but should it - the point is Netflix viewers will just go down the line.\nIt's also interesting to note the addition of&nbsp;Friends&nbsp;to HBO Max and&nbsp;Office&nbsp;to Peacock have been very successful for those networks - which speaks a lot to the value of IP overall versus just where it was available.\nSpeaking of IP, another reason why the Sony deal is important is because it has marquee franchises such as theSpider-Manuniverse. This is one of the rare non-Disney owned Marvel IP’s and this puts the streamer right back in the super-hero space that has performed so well for it prior.\nAll together the deal was a welcome sign of relief to some shareholders as it’s been&nbsp;rumored&nbsp;Comcast’s Universal division will soon begin pulling its content from Netflix soon to give exclusively to Peacock – similar to what the company did withThe Office&nbsp;earlier this year.\nThis is further protection for that type of a mass content exodus.\nOn it is own this is a big deal because of its far-reaching industry impacts – but where I’m looking it (and investors should also) is two-fold. One, it is a clear example of how Netflix is pivoting to stay competitive and somehow always finds a dance partner in need of its special set of skills.\nGoing Outside The Netflix Family\nThe other aspect is it’s also fascinating to see how Netflix has further infiltrated the film world – including by leaning into more traditional methods. And that takes us to the second piece of news which I touched on in a previous&nbsp;piece… theKnives Outdeal.\nAs a reminder Netflix&nbsp;bought&nbsp;the rights to the two sequels to the 2019 murder mystery hit (originally distributed by Lionsgate) for over $450 million…a stunning sum of money in its own right, let alone for such new IP. However, again looking at the bigger picture, it makes sense.\nNetflix is trying to further its film reach, even going so far as to produce&nbsp;over&nbsp;70 originals in 2021 – including at least one new one a week. The problem is that approach could actually dilute the overall product and cannibalizes its success.\nWe are also a few years into the Netflix film division and the studio has yet to find its AAA tier film franchise. It’s had individual successes and its won Oscars but it hasn’t had that film series that would be akin to one a traditional studio would leverage a theatrical trilogy out of…and its noticeable.\nSo Netflix did the next best thing – it bought one.\nKnives Outwas also a great choice.\nIt boasts Daniel Craig as the lead, comes from a well-regarded writer/director in Rian Johnson and also was an awards player. Plus the original packed together a stunning ensemble of A-list talent and the news ones will likely follow the same pattern.\nIt’s a safe and smart play for Netflix that will also get the attention and buzz they are looking for in that space. It’s also another example of Netflix’s “win-now” mentality.\nSo to recap – Netflix in the past few weeks went out and bought a new “it” franchise AND jumped to the front of the line for new “A-tier” content from a top-flight studio.\nBoth of these moves are in direct response to having their rivals step up their game.\nAnd to be clear, some of this may be reactionary, but that’s the point. It’s not knee-jerk in the least, it’s a calculated reaction that makes fiscal sense. Just as Netflix knew eventually studios/networks would wise up and stop feeding them content, its team knew its rivals would make gains and they’d have to adjust.\nThat’s business…there’s an ebb and flow.\nAs I mentioned earlier, Netflix smartly turned its attention to potential partners who could utilize their competitive advantage.\nNetflix's Biggest Risk May Come From Smallest Change\nTo me, the last move I want to touch on is the most interesting – it is also ironically the least headline-grabbing of the bunch. It ties to the TV side of the business, which has arguably come under just much of an attack from other streamers.\nIn the beginning, Netflix’s entry into streaming was built around being different, but the most well-known aspect of that build-up was its “all-at-once” pattern. While the traditional model had long relied on weekly episode drops, Netflix changed the game.\nIt was a refreshing approach.\nFor the “now” generation to have everything at their fingertips from the start was a big selling point. It also marked the beginning of “binge culture.” Of course, there were cons as well as pros, the problem with all-at-once is exactly that, it’s all-at-once.\nFor many people sitting for 10-12 hours to polish off a full season of a show is not realistic – even over a weekend it's hard. What that meant is while you can talk all you wanted online about the show’s twists and turns, it was harder to keep that conversation going with friends and family.\n<img src=\"https://static.tigerbbs.com/051370349a483fcd05ac4945cdcfb588\" tg-width=\"800\" tg-height=\"444\">Credit: Netflix\nWhile it’s worked tremendously for Netflix, it’s also proven to be a bit of a hinderance because fans never know where others are in the storyline. This stifles that type of watercooler conversation that helped build the legacy of many classic shows.\nThis was also a lot less complicated when Netflix’s core originals were limited to a handful of titles – but with countless new content flowing through its servers it is hard to keep track. Although many subscribers are quick to say the “all-at-once” model is a huge draw for them and a reason they love Netflix over other rivals.\nGranted after nearly a decade of use it makes sense as that type of access has become engrained and expected by its users. The difference is other streamers have found arguably the same type of success with the use of weekly drops – most notably Disney+.\nWhile Netflix gets a lot of bang for its buck for its own titles, normally it is mainly limited to about a three-week period – the week prior to launch, the week of launch and the week after launch. Beyond that you can notice a sizable dip in the chatter, conversely Disney’s weekly model has a longer impact.\nBy dropping new episodes on Fridays, Disney invites new conversation over the entire weekend, that are repeated over a period of months. That&nbsp;repetition&nbsp;has helped elevate the profile of its&nbsp;Star Wars&nbsp;and Marvel-centric series (and in turn the brands). With each of which usually clocking in around 30 mins long, it makes it easier for people to watch without a huge time commitment.\nThat has seemingly caught the attention of Netflix which looks like it wants to switch things up – and I think the reaction by subscribers is going to be interesting to shareholders.\nTwo of Netflix’s reality franchises –The CircleandToo Hot To Handle– will now&nbsp;NOT&nbsp;be all-at-once drops. The batch model still holds, in that multiple episodes will still drop per week – but it won’t be the whole thing.\n<img src=\"https://static.tigerbbs.com/90bb70897890d7ac296671b75837af4c\" tg-width=\"1024\" tg-height=\"576\">Credit: Netflix\nThe Circlepremieres this week and will wrap May 5th, whileToo Hot To Handlewill debut in June – both on Wednesdays, which is also telling to me. In effect Netflix is trying to own that day of the week, which is a very traditional model approach to take.\nSo why am I so interested in this approach?\nThe main reason is because it represents a huge shift to their overall model that if successful could lead to future scripted series potentially getting the same treatment. I’ve often argued the one thing keeping Netflix’s originals back is the all-at-once approach.\nRememberThe Witcher?\nYes, it’s a hit for Netflix but it’s notGame of Thrones– and it was designed specifically to beGame of Thrones. Now hadWitcherbeen a weekly release and gotten all the buzz and added media attention that comes with it, it is very possible the series could have seen a substantial boost in popularity.\nEspecially with scripted shows that are heavily serialized having that added time to digest the material is incredibly important. With reality series, not so much – but they are still a great test case because there is still a payoff at the end.\nIt’s also telling because Netflix tried this before, but then quicky said it was a one-off move.\nWhenRhythm + Flowpremiered the other year, it took the weekly model approach in an attempt to preserve the identity of the winner as long as possible. However seemingly from the start Netflix essentially began apologizing for the decision.\nIt was kind of whiplash inducing as in one breath it was quick to tout a new creative approach and then just as fast say it was essentially a one-time&nbsp;thing.\nTo some it looked like Netflix felt like it had to go out of itswayto say it was an aberration to not upset the apple cart with its subscribers – which is why I’m very interested to see the response when it happens with two of its top franchises. I’ll be even more interested to see if this is the approach taken withLove Is Blindwhen it returns later this year.\nAs I said, never say never – even with Netflix.\nConclusion\nI have to give the streamer credit as its moves to shore up its base are further examples of company “firsts” and for Netflix to still have “firsts” this many years into its innovative run says something that should be encouraging to investors.\nStreaming remains the Wild Wild West and Netflix is ensuring nobody can get too comfortable – not even themselves.","source":"seekingalpha","collect":0,"html":"<!DOCTYPE html>\n<html>\n<head>\n<meta http-equiv=\"Content-Type\" content=\"text/html; charset=utf-8\" />\n<meta name=\"viewport\" content=\"width=device-width,initial-scale=1.0,minimum-scale=1.0,maximum-scale=1.0,user-scalable=no\"/>\n<meta name=\"format-detection\" content=\"telephone=no,email=no,address=no\" />\n<title>Netflix Stock: Company Looking To Adjust Longstanding Strategies As Rival Streamers Gain Ground</title>\n<style type=\"text/css\">\na,abbr,acronym,address,applet,article,aside,audio,b,big,blockquote,body,canvas,caption,center,cite,code,dd,del,details,dfn,div,dl,dt,\nem,embed,fieldset,figcaption,figure,footer,form,h1,h2,h3,h4,h5,h6,header,hgroup,html,i,iframe,img,ins,kbd,label,legend,li,mark,menu,nav,\nobject,ol,output,p,pre,q,ruby,s,samp,section,small,span,strike,strong,sub,summary,sup,table,tbody,td,tfoot,th,thead,time,tr,tt,u,ul,var,video{ font:inherit;margin:0;padding:0;vertical-align:baseline;border:0 }\nbody{ font-size:16px; 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}\n.meta {color:#5e5c6d;font-size:13px;margin:0 0 .5em; }\na{text-decoration:none; color:#2a4b87;}\n.meta .head { display: inline-block; overflow: hidden}\n.head .h-thumb { width: 30px; height: 30px; margin: 0; padding: 0; border-radius: 50%; float: left;}\n.head .h-content { margin: 0; padding: 0 0 0 9px; float: left;}\n.head .h-name {font-size: 13px; color: #eee; margin: 0;}\n.head .h-time {font-size: 11px; color: #7E829C; margin: 0;line-height: 11px;}\n.small {font-size: 12.5px; display: inline-block; transform: scale(0.9); -webkit-transform: scale(0.9); transform-origin: left; -webkit-transform-origin: left;}\n.smaller {font-size: 12.5px; display: inline-block; transform: scale(0.8); -webkit-transform: scale(0.8); transform-origin: left; -webkit-transform-origin: left;}\n.bt-text {font-size: 12px;margin: 1.5em 0 0 0}\n.bt-text p {margin: 0}\n</style>\n</head>\n<body>\n<div class=\"wrapper\">\n<header>\n<h2 class=\"title\">\nNetflix Stock: Company Looking To Adjust Longstanding Strategies As Rival Streamers Gain Ground\n</h2>\n\n<h4 class=\"meta\">\n\n\n2021-04-16 11:10 GMT+8&nbsp;&nbsp;&nbsp;<a href=https://seekingalpha.com/article/4419132-netflix-stock-strategies-disney-plus-hbo-max>seekingalpha</a>\n\n\n</h4>\n\n</header>\n<article>\n<div>\nSummary\n\nNetflix has seen its streaming rivals continually gain ground in the past few months prompting the company to re-evaluate a number of long-standing strategies.\nThis isn’t Netflix’s first time...\n\n<a href=\"https://seekingalpha.com/article/4419132-netflix-stock-strategies-disney-plus-hbo-max\">Web Link</a>\n\n</div>\n\n\n</article>\n</div>\n</body>\n</html>\n","type":0,"thumbnail":"","relate_stocks":{"NFLX":"奈飞"},"source_url":"https://seekingalpha.com/article/4419132-netflix-stock-strategies-disney-plus-hbo-max","is_english":true,"share_image_url":"https://static.laohu8.com/5a36db9d73b4222bc376d24ccc48c8a4","article_id":"1119241855","content_text":"Summary\n\nNetflix has seen its streaming rivals continually gain ground in the past few months prompting the company to re-evaluate a number of long-standing strategies.\nThis isn’t Netflix’s first time fending off challengers and the company is acutely aware it will have to consistently make moves to stay on top.\nNetflix recently negotiated a deal with Sony that will result in it receiving more content sooner than before and also open the door to new partnerships with the studio.\nThe streamer also utilized another “win-now” technique when it comes to its original films as instead of solely focusing on trying to create a new “it” franchise, it bought one.\nNetflix is also making moves on the TV side by adjusting its iconic “all-at-once” model and testing weekly batch drops of two popular reality shows – despite past pushback from subscribers.\n\nPhoto by Christopher Ames/iStock Unreleased via Getty Images\nNever say never – even if you are Netflix (NASDAQ:NFLX)\nThe streaming leader has come under heavy competition in the last few months from upstart rivals Disney+ (NYSE:DIS) and HBO Max (NYSE:T), while at the same time battling a newly revitalized Amazon Prime (NASDAQ:AMZN). However, this isn’t Netflix’s first time fending off challengers and let’s be realistic, it wasn’t like Netflix wasn’t aware it was going to have to consistently make moves to stay on top.\nThis time though it’s a bit different because of the collective nature of the shifts and how they represent a direct change to the streamer’s roadmap and business/programming model. While separately all these moves are impactful in their own right, but when looking at them as part of a bigger picture – it is sending a clear message to investors that the service can be nimble, even in areas were for a while it was seemingly the opposite.\nFirst as always, some background.\nIncreasing Netflix's Market Share\nI want to look at three specific moves and their importance.\nLet’s kick it off with the one that has the biggest paradigm shift in the industry – the Sony deal.\nCredit: Sony\nLast week Netflix made a deal with Sony (NYSE:SONY) to acquire first-run pay TV rights for its theatrical releases. In other words, after theater and home video, it’s onto Netflix. This is a big step for the streamer as previously it would look to make deals for specific films, whereas now it a steady flow of features in play.\nLet me back up for a second though to explain a little more in depth…and keep in mind this is tied directly the traditional model (and pre-COVID). As mentioned, the usual route for a movie is theaters, home entertainment, pay TV, cable, broadcast, etc…where streaming comes in has always been somewhat fluid past pay TV.\nThis deal targets that “pay TV” window. The premium channels – i.e. HBO, Showtime, Starz, Epix – all have deals with studios for their outputs. For example, Warner Bros. films go to HBO, A24 films go to Showtime and so on. In some cases it’s a natural fit among corporate siblings or a separate deal worked out to help both parties.\nPreviously Sony films went to Starz – but starting in 2022 when that deal expires, Netflix takes over.\nWhat that means is that Netflix just slipped into a window where traditional TV had a solid foothold.\nPart of the reason these networks had been able to pull in subscribers in the first place was that steady pipeline of theatricals. Those blockbusters were the draw to get you to subscribe with the ideas being those network’s originals would then get you further hooked. At the same time those movies - which then became part of an ever-growing film library - are the backbone of any premium movie network’s linear schedule.\nWhile this will be a noticeable loss for Starz, for Netflix and Sony it’s a win and one that should have both sets of investors thrilled.\nSony, which doesn’t have a streaming service, basically was able to use Netflix as a much-needed financial lifeline following the COVID-induced shutdown of theaters. In addition, the streamer will have the ability to invest in some of the studio’s upcoming projects. The pair had already seen success prior from a similar separate previousdealworked out for Sony’s animated fare.\nCredit: Sony\nNetflix'sCompetitors Gain Ground\nSticking with the Sony deal a bit further (as there is a lot to unpack) - on the other side of the coin, Netflix now gets a fresh influx of content to make up for what competitors such as HBO Max, Disney+ and Peacock pulled back for their own services OR the content competitors such as Amazon or Apple outbid them on. That cannot be over-started enough, however on the positive side what investors have seen is Netflix's subscribers pivoting in turn to similar content.\nFor example Netflix's most popular series for a while was Friends and when that left,The Office took over. Now with Office gone,Schitt's Creek is in front. Netflix is a large part of the reason why Schitt's Creek exploded towards the end of its runs so it's unlikely that show will slip off the servers, but should it - the point is Netflix viewers will just go down the line.\nIt's also interesting to note the addition of Friends to HBO Max and Office to Peacock have been very successful for those networks - which speaks a lot to the value of IP overall versus just where it was available.\nSpeaking of IP, another reason why the Sony deal is important is because it has marquee franchises such as theSpider-Manuniverse. This is one of the rare non-Disney owned Marvel IP’s and this puts the streamer right back in the super-hero space that has performed so well for it prior.\nAll together the deal was a welcome sign of relief to some shareholders as it’s been rumored Comcast’s Universal division will soon begin pulling its content from Netflix soon to give exclusively to Peacock – similar to what the company did withThe Office earlier this year.\nThis is further protection for that type of a mass content exodus.\nOn it is own this is a big deal because of its far-reaching industry impacts – but where I’m looking it (and investors should also) is two-fold. One, it is a clear example of how Netflix is pivoting to stay competitive and somehow always finds a dance partner in need of its special set of skills.\nGoing Outside The Netflix Family\nThe other aspect is it’s also fascinating to see how Netflix has further infiltrated the film world – including by leaning into more traditional methods. And that takes us to the second piece of news which I touched on in a previous piece… theKnives Outdeal.\nAs a reminder Netflix bought the rights to the two sequels to the 2019 murder mystery hit (originally distributed by Lionsgate) for over $450 million…a stunning sum of money in its own right, let alone for such new IP. However, again looking at the bigger picture, it makes sense.\nNetflix is trying to further its film reach, even going so far as to produce over 70 originals in 2021 – including at least one new one a week. The problem is that approach could actually dilute the overall product and cannibalizes its success.\nWe are also a few years into the Netflix film division and the studio has yet to find its AAA tier film franchise. It’s had individual successes and its won Oscars but it hasn’t had that film series that would be akin to one a traditional studio would leverage a theatrical trilogy out of…and its noticeable.\nSo Netflix did the next best thing – it bought one.\nKnives Outwas also a great choice.\nIt boasts Daniel Craig as the lead, comes from a well-regarded writer/director in Rian Johnson and also was an awards player. Plus the original packed together a stunning ensemble of A-list talent and the news ones will likely follow the same pattern.\nIt’s a safe and smart play for Netflix that will also get the attention and buzz they are looking for in that space. It’s also another example of Netflix’s “win-now” mentality.\nSo to recap – Netflix in the past few weeks went out and bought a new “it” franchise AND jumped to the front of the line for new “A-tier” content from a top-flight studio.\nBoth of these moves are in direct response to having their rivals step up their game.\nAnd to be clear, some of this may be reactionary, but that’s the point. It’s not knee-jerk in the least, it’s a calculated reaction that makes fiscal sense. Just as Netflix knew eventually studios/networks would wise up and stop feeding them content, its team knew its rivals would make gains and they’d have to adjust.\nThat’s business…there’s an ebb and flow.\nAs I mentioned earlier, Netflix smartly turned its attention to potential partners who could utilize their competitive advantage.\nNetflix's Biggest Risk May Come From Smallest Change\nTo me, the last move I want to touch on is the most interesting – it is also ironically the least headline-grabbing of the bunch. It ties to the TV side of the business, which has arguably come under just much of an attack from other streamers.\nIn the beginning, Netflix’s entry into streaming was built around being different, but the most well-known aspect of that build-up was its “all-at-once” pattern. While the traditional model had long relied on weekly episode drops, Netflix changed the game.\nIt was a refreshing approach.\nFor the “now” generation to have everything at their fingertips from the start was a big selling point. It also marked the beginning of “binge culture.” Of course, there were cons as well as pros, the problem with all-at-once is exactly that, it’s all-at-once.\nFor many people sitting for 10-12 hours to polish off a full season of a show is not realistic – even over a weekend it's hard. What that meant is while you can talk all you wanted online about the show’s twists and turns, it was harder to keep that conversation going with friends and family.\nCredit: Netflix\nWhile it’s worked tremendously for Netflix, it’s also proven to be a bit of a hinderance because fans never know where others are in the storyline. This stifles that type of watercooler conversation that helped build the legacy of many classic shows.\nThis was also a lot less complicated when Netflix’s core originals were limited to a handful of titles – but with countless new content flowing through its servers it is hard to keep track. Although many subscribers are quick to say the “all-at-once” model is a huge draw for them and a reason they love Netflix over other rivals.\nGranted after nearly a decade of use it makes sense as that type of access has become engrained and expected by its users. The difference is other streamers have found arguably the same type of success with the use of weekly drops – most notably Disney+.\nWhile Netflix gets a lot of bang for its buck for its own titles, normally it is mainly limited to about a three-week period – the week prior to launch, the week of launch and the week after launch. Beyond that you can notice a sizable dip in the chatter, conversely Disney’s weekly model has a longer impact.\nBy dropping new episodes on Fridays, Disney invites new conversation over the entire weekend, that are repeated over a period of months. That repetition has helped elevate the profile of its Star Wars and Marvel-centric series (and in turn the brands). With each of which usually clocking in around 30 mins long, it makes it easier for people to watch without a huge time commitment.\nThat has seemingly caught the attention of Netflix which looks like it wants to switch things up – and I think the reaction by subscribers is going to be interesting to shareholders.\nTwo of Netflix’s reality franchises –The CircleandToo Hot To Handle– will now NOT be all-at-once drops. The batch model still holds, in that multiple episodes will still drop per week – but it won’t be the whole thing.\nCredit: Netflix\nThe Circlepremieres this week and will wrap May 5th, whileToo Hot To Handlewill debut in June – both on Wednesdays, which is also telling to me. In effect Netflix is trying to own that day of the week, which is a very traditional model approach to take.\nSo why am I so interested in this approach?\nThe main reason is because it represents a huge shift to their overall model that if successful could lead to future scripted series potentially getting the same treatment. I’ve often argued the one thing keeping Netflix’s originals back is the all-at-once approach.\nRememberThe Witcher?\nYes, it’s a hit for Netflix but it’s notGame of Thrones– and it was designed specifically to beGame of Thrones. Now hadWitcherbeen a weekly release and gotten all the buzz and added media attention that comes with it, it is very possible the series could have seen a substantial boost in popularity.\nEspecially with scripted shows that are heavily serialized having that added time to digest the material is incredibly important. With reality series, not so much – but they are still a great test case because there is still a payoff at the end.\nIt’s also telling because Netflix tried this before, but then quicky said it was a one-off move.\nWhenRhythm + Flowpremiered the other year, it took the weekly model approach in an attempt to preserve the identity of the winner as long as possible. However seemingly from the start Netflix essentially began apologizing for the decision.\nIt was kind of whiplash inducing as in one breath it was quick to tout a new creative approach and then just as fast say it was essentially a one-time thing.\nTo some it looked like Netflix felt like it had to go out of itswayto say it was an aberration to not upset the apple cart with its subscribers – which is why I’m very interested to see the response when it happens with two of its top franchises. I’ll be even more interested to see if this is the approach taken withLove Is Blindwhen it returns later this year.\nAs I said, never say never – even with Netflix.\nConclusion\nI have to give the streamer credit as its moves to shore up its base are further examples of company “firsts” and for Netflix to still have “firsts” this many years into its innovative run says something that should be encouraging to investors.\nStreaming remains the Wild Wild West and Netflix is ensuring nobody can get too comfortable – not even themselves.","news_type":1},"isVote":1,"likeStatus":false,"favoriteStatus":false,"reportStatus":false,"tweetType":1,"comments":[{"id":4050447,"gmtCreate":1618548246000,"gmtModify":1680784292525,"authorId":3573721781255613,"author":{"id":3573721781255613,"authorId":3573721781255613,"name":"szueyann","avatar":"https://static.tigerbbs.com/cba9c6b1e785a9cf7301a7e6a2ff2354","vip":1,"crmLevel":2,"crmLevelSwitch":0,"individualDisplayBadges":[]},"repliedAuthorId":0,"objectId":370979832,"type":1,"supId":0,"prevId":0,"content":"done.","text":"done.","html":"done."}],"langContent":"EN"},{"id":370945447,"gmtCreate":1618547149089,"gmtModify":1704712552015,"author":{"id":"3572842681963833","authorId":"3572842681963833","authorIdStr":"3572842681963833","name":"Monstertoto","avatar":"https://static.tigerbbs.com/472e8cd2f835826508f9c1c016f846f8","vip":1,"crmLevel":2,"crmLevelSwitch":0,"idStr":"3572842681963833"},"htmlText":"Wow","listText":"Wow","text":"Wow","images":[],"top":1,"highlighted":1,"essential":1,"paper":1,"likeSize":1,"commentSize":0,"repostSize":0,"link":"https://ttm.financial/post/370945447","repostId":1119241855,"repostType":4,"repost":{"id":"1119241855","pubTimestamp":1618542634,"share":"https://ttm.financial/m/news/1119241855?lang=&edition=fundamental","pubTime":"2021-04-16 11:10","market":"us","language":"en","title":"Netflix Stock: Company Looking To Adjust Longstanding Strategies As Rival Streamers Gain Ground","url":"https://stock-news.laohu8.com/highlight/detail?id=1119241855","media":"seekingalpha","summary":"Summary\n\nNetflix has seen its streaming rivals continually gain ground in the past few months prompt","content":"Summary\n<ul>\n <li>Netflix has seen its streaming rivals continually gain ground in the past few months prompting the company to re-evaluate a number of long-standing strategies.</li>\n <li>This isn’t Netflix’s first time fending off challengers and the company is acutely aware it will have to consistently make moves to stay on top.</li>\n <li>Netflix recently negotiated a deal with Sony that will result in it receiving more content sooner than before and also open the door to new partnerships with the studio.</li>\n <li>The streamer also utilized another “win-now” technique when it comes to its original films as instead of solely focusing on trying to create a new “it” franchise, it bought one.</li>\n <li>Netflix is also making moves on the TV side by adjusting its iconic “all-at-once” model and testing weekly batch drops of two popular reality shows – despite past pushback from subscribers.</li>\n</ul>\n<img src=\"https://static.tigerbbs.com/85c5bcbd94b754eab4b27fa6819cac61\" tg-width=\"768\" tg-height=\"509\">Photo by Christopher Ames/iStock Unreleased via Getty Images\nNever say never – even if you are Netflix (NASDAQ:NFLX)\nThe streaming leader has come under heavy competition in the last few months from upstart rivals Disney+ (NYSE:DIS) and HBO Max (NYSE:T), while at the same time battling a newly revitalized Amazon Prime (NASDAQ:AMZN). However, this isn’t Netflix’s first time fending off challengers and let’s be realistic, it wasn’t like Netflix wasn’t aware it was going to have to consistently make moves to stay on top.\nThis time though it’s a bit different because of the collective nature of the shifts and how they represent a direct change to the streamer’s roadmap and business/programming model. While separately all these moves are impactful in their own right, but when looking at them as part of a bigger picture – it is sending a clear message to investors that the service can be nimble, even in areas were for a while it was seemingly the opposite.\nFirst as always, some background.\nIncreasing Netflix's Market Share\nI want to look at three specific moves and their importance.\nLet’s kick it off with the one that has the biggest paradigm shift in the industry – the Sony deal.\n<img src=\"https://static.tigerbbs.com/9a75991f04f5078fe686afa0638322f6\" tg-width=\"934\" tg-height=\"488\">Credit: Sony\nLast week Netflix made a&nbsp;deal&nbsp;with Sony (NYSE:SONY) to acquire first-run pay TV rights for its theatrical releases. In other words, after theater and home video, it’s onto Netflix. This is a big step for the streamer as previously it would look to make deals for specific films, whereas now it a steady flow of features in play.\nLet me back up for a second though to explain a little more in depth…and keep in mind this is tied directly the traditional model (and pre-COVID). As mentioned, the usual route for a movie is theaters, home entertainment, pay TV, cable, broadcast, etc…where streaming comes in has always been somewhat fluid past pay TV.\nThis deal targets that “pay TV” window. The premium channels – i.e. HBO, Showtime, Starz, Epix – all have deals with studios for their outputs. For example, Warner Bros. films go to HBO, A24&nbsp;films&nbsp;go to Showtime and so on. In some cases it’s a natural fit among corporate siblings or a separate deal worked out to help both parties.\nPreviously Sony films went to Starz – but starting in 2022 when that deal expires, Netflix takes over.\nWhat that means is that Netflix just slipped into a window where traditional TV had a solid foothold.\nPart of the reason these networks had been able to pull in subscribers in the first place was that steady pipeline of theatricals. Those blockbusters were the draw to get you to subscribe with the ideas being those network’s originals would then get you further hooked. At the same time those movies - which then became part of an ever-growing film library - are the backbone of any premium movie network’s linear schedule.\nWhile this will be a noticeable loss for Starz, for Netflix and Sony it’s a win and one that should have both sets of investors thrilled.\nSony, which doesn’t have a streaming service, basically was able to use Netflix as a much-needed financial lifeline following the COVID-induced shutdown of theaters. In addition, the streamer will have the ability to invest in some of the studio’s upcoming projects. The pair had already seen success prior from a similar separate previousdealworked out for Sony’s animated fare.\n<img src=\"https://static.tigerbbs.com/7e7955071fa9cb7465c0265e4600ccd5\" tg-width=\"750\" tg-height=\"562\">Credit: Sony\nNetflix'sCompetitors Gain Ground\nSticking with the Sony deal a bit further (as there is a lot to unpack) - on the other side of the coin, Netflix now gets a fresh influx of content to make up for what competitors such as HBO Max, Disney+ and Peacock pulled back for their own services OR the content competitors such as Amazon or Apple outbid them on. That cannot be over-started enough, however on the positive side what investors have seen is Netflix's subscribers pivoting in turn to similar content.\nFor example Netflix's most popular series for a while was&nbsp;Friends&nbsp;and when that left,The Office&nbsp;took over. Now with&nbsp;Office&nbsp;gone,Schitt's Creek&nbsp;is in front. Netflix is a large part of the reason why&nbsp;Schitt's Creek&nbsp;exploded towards the end of its runs so it's unlikely that show will slip off the servers, but should it - the point is Netflix viewers will just go down the line.\nIt's also interesting to note the addition of&nbsp;Friends&nbsp;to HBO Max and&nbsp;Office&nbsp;to Peacock have been very successful for those networks - which speaks a lot to the value of IP overall versus just where it was available.\nSpeaking of IP, another reason why the Sony deal is important is because it has marquee franchises such as theSpider-Manuniverse. This is one of the rare non-Disney owned Marvel IP’s and this puts the streamer right back in the super-hero space that has performed so well for it prior.\nAll together the deal was a welcome sign of relief to some shareholders as it’s been&nbsp;rumored&nbsp;Comcast’s Universal division will soon begin pulling its content from Netflix soon to give exclusively to Peacock – similar to what the company did withThe Office&nbsp;earlier this year.\nThis is further protection for that type of a mass content exodus.\nOn it is own this is a big deal because of its far-reaching industry impacts – but where I’m looking it (and investors should also) is two-fold. One, it is a clear example of how Netflix is pivoting to stay competitive and somehow always finds a dance partner in need of its special set of skills.\nGoing Outside The Netflix Family\nThe other aspect is it’s also fascinating to see how Netflix has further infiltrated the film world – including by leaning into more traditional methods. And that takes us to the second piece of news which I touched on in a previous&nbsp;piece… theKnives Outdeal.\nAs a reminder Netflix&nbsp;bought&nbsp;the rights to the two sequels to the 2019 murder mystery hit (originally distributed by Lionsgate) for over $450 million…a stunning sum of money in its own right, let alone for such new IP. However, again looking at the bigger picture, it makes sense.\nNetflix is trying to further its film reach, even going so far as to produce&nbsp;over&nbsp;70 originals in 2021 – including at least one new one a week. The problem is that approach could actually dilute the overall product and cannibalizes its success.\nWe are also a few years into the Netflix film division and the studio has yet to find its AAA tier film franchise. It’s had individual successes and its won Oscars but it hasn’t had that film series that would be akin to one a traditional studio would leverage a theatrical trilogy out of…and its noticeable.\nSo Netflix did the next best thing – it bought one.\nKnives Outwas also a great choice.\nIt boasts Daniel Craig as the lead, comes from a well-regarded writer/director in Rian Johnson and also was an awards player. Plus the original packed together a stunning ensemble of A-list talent and the news ones will likely follow the same pattern.\nIt’s a safe and smart play for Netflix that will also get the attention and buzz they are looking for in that space. It’s also another example of Netflix’s “win-now” mentality.\nSo to recap – Netflix in the past few weeks went out and bought a new “it” franchise AND jumped to the front of the line for new “A-tier” content from a top-flight studio.\nBoth of these moves are in direct response to having their rivals step up their game.\nAnd to be clear, some of this may be reactionary, but that’s the point. It’s not knee-jerk in the least, it’s a calculated reaction that makes fiscal sense. Just as Netflix knew eventually studios/networks would wise up and stop feeding them content, its team knew its rivals would make gains and they’d have to adjust.\nThat’s business…there’s an ebb and flow.\nAs I mentioned earlier, Netflix smartly turned its attention to potential partners who could utilize their competitive advantage.\nNetflix's Biggest Risk May Come From Smallest Change\nTo me, the last move I want to touch on is the most interesting – it is also ironically the least headline-grabbing of the bunch. It ties to the TV side of the business, which has arguably come under just much of an attack from other streamers.\nIn the beginning, Netflix’s entry into streaming was built around being different, but the most well-known aspect of that build-up was its “all-at-once” pattern. While the traditional model had long relied on weekly episode drops, Netflix changed the game.\nIt was a refreshing approach.\nFor the “now” generation to have everything at their fingertips from the start was a big selling point. It also marked the beginning of “binge culture.” Of course, there were cons as well as pros, the problem with all-at-once is exactly that, it’s all-at-once.\nFor many people sitting for 10-12 hours to polish off a full season of a show is not realistic – even over a weekend it's hard. What that meant is while you can talk all you wanted online about the show’s twists and turns, it was harder to keep that conversation going with friends and family.\n<img src=\"https://static.tigerbbs.com/051370349a483fcd05ac4945cdcfb588\" tg-width=\"800\" tg-height=\"444\">Credit: Netflix\nWhile it’s worked tremendously for Netflix, it’s also proven to be a bit of a hinderance because fans never know where others are in the storyline. This stifles that type of watercooler conversation that helped build the legacy of many classic shows.\nThis was also a lot less complicated when Netflix’s core originals were limited to a handful of titles – but with countless new content flowing through its servers it is hard to keep track. Although many subscribers are quick to say the “all-at-once” model is a huge draw for them and a reason they love Netflix over other rivals.\nGranted after nearly a decade of use it makes sense as that type of access has become engrained and expected by its users. The difference is other streamers have found arguably the same type of success with the use of weekly drops – most notably Disney+.\nWhile Netflix gets a lot of bang for its buck for its own titles, normally it is mainly limited to about a three-week period – the week prior to launch, the week of launch and the week after launch. Beyond that you can notice a sizable dip in the chatter, conversely Disney’s weekly model has a longer impact.\nBy dropping new episodes on Fridays, Disney invites new conversation over the entire weekend, that are repeated over a period of months. That&nbsp;repetition&nbsp;has helped elevate the profile of its&nbsp;Star Wars&nbsp;and Marvel-centric series (and in turn the brands). With each of which usually clocking in around 30 mins long, it makes it easier for people to watch without a huge time commitment.\nThat has seemingly caught the attention of Netflix which looks like it wants to switch things up – and I think the reaction by subscribers is going to be interesting to shareholders.\nTwo of Netflix’s reality franchises –The CircleandToo Hot To Handle– will now&nbsp;NOT&nbsp;be all-at-once drops. The batch model still holds, in that multiple episodes will still drop per week – but it won’t be the whole thing.\n<img src=\"https://static.tigerbbs.com/90bb70897890d7ac296671b75837af4c\" tg-width=\"1024\" tg-height=\"576\">Credit: Netflix\nThe Circlepremieres this week and will wrap May 5th, whileToo Hot To Handlewill debut in June – both on Wednesdays, which is also telling to me. In effect Netflix is trying to own that day of the week, which is a very traditional model approach to take.\nSo why am I so interested in this approach?\nThe main reason is because it represents a huge shift to their overall model that if successful could lead to future scripted series potentially getting the same treatment. I’ve often argued the one thing keeping Netflix’s originals back is the all-at-once approach.\nRememberThe Witcher?\nYes, it’s a hit for Netflix but it’s notGame of Thrones– and it was designed specifically to beGame of Thrones. Now hadWitcherbeen a weekly release and gotten all the buzz and added media attention that comes with it, it is very possible the series could have seen a substantial boost in popularity.\nEspecially with scripted shows that are heavily serialized having that added time to digest the material is incredibly important. With reality series, not so much – but they are still a great test case because there is still a payoff at the end.\nIt’s also telling because Netflix tried this before, but then quicky said it was a one-off move.\nWhenRhythm + Flowpremiered the other year, it took the weekly model approach in an attempt to preserve the identity of the winner as long as possible. However seemingly from the start Netflix essentially began apologizing for the decision.\nIt was kind of whiplash inducing as in one breath it was quick to tout a new creative approach and then just as fast say it was essentially a one-time&nbsp;thing.\nTo some it looked like Netflix felt like it had to go out of itswayto say it was an aberration to not upset the apple cart with its subscribers – which is why I’m very interested to see the response when it happens with two of its top franchises. I’ll be even more interested to see if this is the approach taken withLove Is Blindwhen it returns later this year.\nAs I said, never say never – even with Netflix.\nConclusion\nI have to give the streamer credit as its moves to shore up its base are further examples of company “firsts” and for Netflix to still have “firsts” this many years into its innovative run says something that should be encouraging to investors.\nStreaming remains the Wild Wild West and Netflix is ensuring nobody can get too comfortable – not even themselves.","source":"seekingalpha","collect":0,"html":"<!DOCTYPE html>\n<html>\n<head>\n<meta http-equiv=\"Content-Type\" content=\"text/html; charset=utf-8\" />\n<meta name=\"viewport\" content=\"width=device-width,initial-scale=1.0,minimum-scale=1.0,maximum-scale=1.0,user-scalable=no\"/>\n<meta name=\"format-detection\" content=\"telephone=no,email=no,address=no\" />\n<title>Netflix Stock: Company Looking To Adjust Longstanding Strategies As Rival Streamers Gain Ground</title>\n<style type=\"text/css\">\na,abbr,acronym,address,applet,article,aside,audio,b,big,blockquote,body,canvas,caption,center,cite,code,dd,del,details,dfn,div,dl,dt,\nem,embed,fieldset,figcaption,figure,footer,form,h1,h2,h3,h4,h5,h6,header,hgroup,html,i,iframe,img,ins,kbd,label,legend,li,mark,menu,nav,\nobject,ol,output,p,pre,q,ruby,s,samp,section,small,span,strike,strong,sub,summary,sup,table,tbody,td,tfoot,th,thead,time,tr,tt,u,ul,var,video{ font:inherit;margin:0;padding:0;vertical-align:baseline;border:0 }\nbody{ font-size:16px; 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}\n.meta {color:#5e5c6d;font-size:13px;margin:0 0 .5em; }\na{text-decoration:none; color:#2a4b87;}\n.meta .head { display: inline-block; overflow: hidden}\n.head .h-thumb { width: 30px; height: 30px; margin: 0; padding: 0; border-radius: 50%; float: left;}\n.head .h-content { margin: 0; padding: 0 0 0 9px; float: left;}\n.head .h-name {font-size: 13px; color: #eee; margin: 0;}\n.head .h-time {font-size: 11px; color: #7E829C; margin: 0;line-height: 11px;}\n.small {font-size: 12.5px; display: inline-block; transform: scale(0.9); -webkit-transform: scale(0.9); transform-origin: left; -webkit-transform-origin: left;}\n.smaller {font-size: 12.5px; display: inline-block; transform: scale(0.8); -webkit-transform: scale(0.8); transform-origin: left; -webkit-transform-origin: left;}\n.bt-text {font-size: 12px;margin: 1.5em 0 0 0}\n.bt-text p {margin: 0}\n</style>\n</head>\n<body>\n<div class=\"wrapper\">\n<header>\n<h2 class=\"title\">\nNetflix Stock: Company Looking To Adjust Longstanding Strategies As Rival Streamers Gain Ground\n</h2>\n\n<h4 class=\"meta\">\n\n\n2021-04-16 11:10 GMT+8&nbsp;&nbsp;&nbsp;<a href=https://seekingalpha.com/article/4419132-netflix-stock-strategies-disney-plus-hbo-max>seekingalpha</a>\n\n\n</h4>\n\n</header>\n<article>\n<div>\nSummary\n\nNetflix has seen its streaming rivals continually gain ground in the past few months prompting the company to re-evaluate a number of long-standing strategies.\nThis isn’t Netflix’s first time...\n\n<a href=\"https://seekingalpha.com/article/4419132-netflix-stock-strategies-disney-plus-hbo-max\">Web Link</a>\n\n</div>\n\n\n</article>\n</div>\n</body>\n</html>\n","type":0,"thumbnail":"","relate_stocks":{"NFLX":"奈飞"},"source_url":"https://seekingalpha.com/article/4419132-netflix-stock-strategies-disney-plus-hbo-max","is_english":true,"share_image_url":"https://static.laohu8.com/5a36db9d73b4222bc376d24ccc48c8a4","article_id":"1119241855","content_text":"Summary\n\nNetflix has seen its streaming rivals continually gain ground in the past few months prompting the company to re-evaluate a number of long-standing strategies.\nThis isn’t Netflix’s first time fending off challengers and the company is acutely aware it will have to consistently make moves to stay on top.\nNetflix recently negotiated a deal with Sony that will result in it receiving more content sooner than before and also open the door to new partnerships with the studio.\nThe streamer also utilized another “win-now” technique when it comes to its original films as instead of solely focusing on trying to create a new “it” franchise, it bought one.\nNetflix is also making moves on the TV side by adjusting its iconic “all-at-once” model and testing weekly batch drops of two popular reality shows – despite past pushback from subscribers.\n\nPhoto by Christopher Ames/iStock Unreleased via Getty Images\nNever say never – even if you are Netflix (NASDAQ:NFLX)\nThe streaming leader has come under heavy competition in the last few months from upstart rivals Disney+ (NYSE:DIS) and HBO Max (NYSE:T), while at the same time battling a newly revitalized Amazon Prime (NASDAQ:AMZN). However, this isn’t Netflix’s first time fending off challengers and let’s be realistic, it wasn’t like Netflix wasn’t aware it was going to have to consistently make moves to stay on top.\nThis time though it’s a bit different because of the collective nature of the shifts and how they represent a direct change to the streamer’s roadmap and business/programming model. While separately all these moves are impactful in their own right, but when looking at them as part of a bigger picture – it is sending a clear message to investors that the service can be nimble, even in areas were for a while it was seemingly the opposite.\nFirst as always, some background.\nIncreasing Netflix's Market Share\nI want to look at three specific moves and their importance.\nLet’s kick it off with the one that has the biggest paradigm shift in the industry – the Sony deal.\nCredit: Sony\nLast week Netflix made a deal with Sony (NYSE:SONY) to acquire first-run pay TV rights for its theatrical releases. In other words, after theater and home video, it’s onto Netflix. This is a big step for the streamer as previously it would look to make deals for specific films, whereas now it a steady flow of features in play.\nLet me back up for a second though to explain a little more in depth…and keep in mind this is tied directly the traditional model (and pre-COVID). As mentioned, the usual route for a movie is theaters, home entertainment, pay TV, cable, broadcast, etc…where streaming comes in has always been somewhat fluid past pay TV.\nThis deal targets that “pay TV” window. The premium channels – i.e. HBO, Showtime, Starz, Epix – all have deals with studios for their outputs. For example, Warner Bros. films go to HBO, A24 films go to Showtime and so on. In some cases it’s a natural fit among corporate siblings or a separate deal worked out to help both parties.\nPreviously Sony films went to Starz – but starting in 2022 when that deal expires, Netflix takes over.\nWhat that means is that Netflix just slipped into a window where traditional TV had a solid foothold.\nPart of the reason these networks had been able to pull in subscribers in the first place was that steady pipeline of theatricals. Those blockbusters were the draw to get you to subscribe with the ideas being those network’s originals would then get you further hooked. At the same time those movies - which then became part of an ever-growing film library - are the backbone of any premium movie network’s linear schedule.\nWhile this will be a noticeable loss for Starz, for Netflix and Sony it’s a win and one that should have both sets of investors thrilled.\nSony, which doesn’t have a streaming service, basically was able to use Netflix as a much-needed financial lifeline following the COVID-induced shutdown of theaters. In addition, the streamer will have the ability to invest in some of the studio’s upcoming projects. The pair had already seen success prior from a similar separate previousdealworked out for Sony’s animated fare.\nCredit: Sony\nNetflix'sCompetitors Gain Ground\nSticking with the Sony deal a bit further (as there is a lot to unpack) - on the other side of the coin, Netflix now gets a fresh influx of content to make up for what competitors such as HBO Max, Disney+ and Peacock pulled back for their own services OR the content competitors such as Amazon or Apple outbid them on. That cannot be over-started enough, however on the positive side what investors have seen is Netflix's subscribers pivoting in turn to similar content.\nFor example Netflix's most popular series for a while was Friends and when that left,The Office took over. Now with Office gone,Schitt's Creek is in front. Netflix is a large part of the reason why Schitt's Creek exploded towards the end of its runs so it's unlikely that show will slip off the servers, but should it - the point is Netflix viewers will just go down the line.\nIt's also interesting to note the addition of Friends to HBO Max and Office to Peacock have been very successful for those networks - which speaks a lot to the value of IP overall versus just where it was available.\nSpeaking of IP, another reason why the Sony deal is important is because it has marquee franchises such as theSpider-Manuniverse. This is one of the rare non-Disney owned Marvel IP’s and this puts the streamer right back in the super-hero space that has performed so well for it prior.\nAll together the deal was a welcome sign of relief to some shareholders as it’s been rumored Comcast’s Universal division will soon begin pulling its content from Netflix soon to give exclusively to Peacock – similar to what the company did withThe Office earlier this year.\nThis is further protection for that type of a mass content exodus.\nOn it is own this is a big deal because of its far-reaching industry impacts – but where I’m looking it (and investors should also) is two-fold. One, it is a clear example of how Netflix is pivoting to stay competitive and somehow always finds a dance partner in need of its special set of skills.\nGoing Outside The Netflix Family\nThe other aspect is it’s also fascinating to see how Netflix has further infiltrated the film world – including by leaning into more traditional methods. And that takes us to the second piece of news which I touched on in a previous piece… theKnives Outdeal.\nAs a reminder Netflix bought the rights to the two sequels to the 2019 murder mystery hit (originally distributed by Lionsgate) for over $450 million…a stunning sum of money in its own right, let alone for such new IP. However, again looking at the bigger picture, it makes sense.\nNetflix is trying to further its film reach, even going so far as to produce over 70 originals in 2021 – including at least one new one a week. The problem is that approach could actually dilute the overall product and cannibalizes its success.\nWe are also a few years into the Netflix film division and the studio has yet to find its AAA tier film franchise. It’s had individual successes and its won Oscars but it hasn’t had that film series that would be akin to one a traditional studio would leverage a theatrical trilogy out of…and its noticeable.\nSo Netflix did the next best thing – it bought one.\nKnives Outwas also a great choice.\nIt boasts Daniel Craig as the lead, comes from a well-regarded writer/director in Rian Johnson and also was an awards player. Plus the original packed together a stunning ensemble of A-list talent and the news ones will likely follow the same pattern.\nIt’s a safe and smart play for Netflix that will also get the attention and buzz they are looking for in that space. It’s also another example of Netflix’s “win-now” mentality.\nSo to recap – Netflix in the past few weeks went out and bought a new “it” franchise AND jumped to the front of the line for new “A-tier” content from a top-flight studio.\nBoth of these moves are in direct response to having their rivals step up their game.\nAnd to be clear, some of this may be reactionary, but that’s the point. It’s not knee-jerk in the least, it’s a calculated reaction that makes fiscal sense. Just as Netflix knew eventually studios/networks would wise up and stop feeding them content, its team knew its rivals would make gains and they’d have to adjust.\nThat’s business…there’s an ebb and flow.\nAs I mentioned earlier, Netflix smartly turned its attention to potential partners who could utilize their competitive advantage.\nNetflix's Biggest Risk May Come From Smallest Change\nTo me, the last move I want to touch on is the most interesting – it is also ironically the least headline-grabbing of the bunch. It ties to the TV side of the business, which has arguably come under just much of an attack from other streamers.\nIn the beginning, Netflix’s entry into streaming was built around being different, but the most well-known aspect of that build-up was its “all-at-once” pattern. While the traditional model had long relied on weekly episode drops, Netflix changed the game.\nIt was a refreshing approach.\nFor the “now” generation to have everything at their fingertips from the start was a big selling point. It also marked the beginning of “binge culture.” Of course, there were cons as well as pros, the problem with all-at-once is exactly that, it’s all-at-once.\nFor many people sitting for 10-12 hours to polish off a full season of a show is not realistic – even over a weekend it's hard. What that meant is while you can talk all you wanted online about the show’s twists and turns, it was harder to keep that conversation going with friends and family.\nCredit: Netflix\nWhile it’s worked tremendously for Netflix, it’s also proven to be a bit of a hinderance because fans never know where others are in the storyline. This stifles that type of watercooler conversation that helped build the legacy of many classic shows.\nThis was also a lot less complicated when Netflix’s core originals were limited to a handful of titles – but with countless new content flowing through its servers it is hard to keep track. Although many subscribers are quick to say the “all-at-once” model is a huge draw for them and a reason they love Netflix over other rivals.\nGranted after nearly a decade of use it makes sense as that type of access has become engrained and expected by its users. The difference is other streamers have found arguably the same type of success with the use of weekly drops – most notably Disney+.\nWhile Netflix gets a lot of bang for its buck for its own titles, normally it is mainly limited to about a three-week period – the week prior to launch, the week of launch and the week after launch. Beyond that you can notice a sizable dip in the chatter, conversely Disney’s weekly model has a longer impact.\nBy dropping new episodes on Fridays, Disney invites new conversation over the entire weekend, that are repeated over a period of months. That repetition has helped elevate the profile of its Star Wars and Marvel-centric series (and in turn the brands). With each of which usually clocking in around 30 mins long, it makes it easier for people to watch without a huge time commitment.\nThat has seemingly caught the attention of Netflix which looks like it wants to switch things up – and I think the reaction by subscribers is going to be interesting to shareholders.\nTwo of Netflix’s reality franchises –The CircleandToo Hot To Handle– will now NOT be all-at-once drops. The batch model still holds, in that multiple episodes will still drop per week – but it won’t be the whole thing.\nCredit: Netflix\nThe Circlepremieres this week and will wrap May 5th, whileToo Hot To Handlewill debut in June – both on Wednesdays, which is also telling to me. In effect Netflix is trying to own that day of the week, which is a very traditional model approach to take.\nSo why am I so interested in this approach?\nThe main reason is because it represents a huge shift to their overall model that if successful could lead to future scripted series potentially getting the same treatment. I’ve often argued the one thing keeping Netflix’s originals back is the all-at-once approach.\nRememberThe Witcher?\nYes, it’s a hit for Netflix but it’s notGame of Thrones– and it was designed specifically to beGame of Thrones. Now hadWitcherbeen a weekly release and gotten all the buzz and added media attention that comes with it, it is very possible the series could have seen a substantial boost in popularity.\nEspecially with scripted shows that are heavily serialized having that added time to digest the material is incredibly important. With reality series, not so much – but they are still a great test case because there is still a payoff at the end.\nIt’s also telling because Netflix tried this before, but then quicky said it was a one-off move.\nWhenRhythm + Flowpremiered the other year, it took the weekly model approach in an attempt to preserve the identity of the winner as long as possible. However seemingly from the start Netflix essentially began apologizing for the decision.\nIt was kind of whiplash inducing as in one breath it was quick to tout a new creative approach and then just as fast say it was essentially a one-time thing.\nTo some it looked like Netflix felt like it had to go out of itswayto say it was an aberration to not upset the apple cart with its subscribers – which is why I’m very interested to see the response when it happens with two of its top franchises. I’ll be even more interested to see if this is the approach taken withLove Is Blindwhen it returns later this year.\nAs I said, never say never – even with Netflix.\nConclusion\nI have to give the streamer credit as its moves to shore up its base are further examples of company “firsts” and for Netflix to still have “firsts” this many years into its innovative run says something that should be encouraging to investors.\nStreaming remains the Wild Wild West and Netflix is ensuring nobody can get too comfortable – not even themselves.","news_type":1},"isVote":1,"likeStatus":false,"favoriteStatus":false,"reportStatus":false,"tweetType":1,"langContent":"EN"},{"id":370941538,"gmtCreate":1618546829824,"gmtModify":1704712546008,"author":{"id":"3575345755723136","authorId":"3575345755723136","authorIdStr":"3575345755723136","name":"JayD","avatar":"https://static.tigerbbs.com/351a615bb9b62fee1934015c7f6d857b","vip":1,"crmLevel":5,"crmLevelSwitch":0,"idStr":"3575345755723136"},"htmlText":"Wondering about shifting my position now ..","listText":"Wondering about shifting my position now ..","text":"Wondering about shifting my position now ..","images":[],"top":1,"highlighted":1,"essential":1,"paper":1,"likeSize":3,"commentSize":0,"repostSize":0,"link":"https://ttm.financial/post/370941538","repostId":1119241855,"repostType":4,"repost":{"id":"1119241855","pubTimestamp":1618542634,"share":"https://ttm.financial/m/news/1119241855?lang=&edition=fundamental","pubTime":"2021-04-16 11:10","market":"us","language":"en","title":"Netflix Stock: Company Looking To Adjust Longstanding Strategies As Rival Streamers Gain Ground","url":"https://stock-news.laohu8.com/highlight/detail?id=1119241855","media":"seekingalpha","summary":"Summary\n\nNetflix has seen its streaming rivals continually gain ground in the past few months prompt","content":"Summary\n<ul>\n <li>Netflix has seen its streaming rivals continually gain ground in the past few months prompting the company to re-evaluate a number of long-standing strategies.</li>\n <li>This isn’t Netflix’s first time fending off challengers and the company is acutely aware it will have to consistently make moves to stay on top.</li>\n <li>Netflix recently negotiated a deal with Sony that will result in it receiving more content sooner than before and also open the door to new partnerships with the studio.</li>\n <li>The streamer also utilized another “win-now” technique when it comes to its original films as instead of solely focusing on trying to create a new “it” franchise, it bought one.</li>\n <li>Netflix is also making moves on the TV side by adjusting its iconic “all-at-once” model and testing weekly batch drops of two popular reality shows – despite past pushback from subscribers.</li>\n</ul>\n<img src=\"https://static.tigerbbs.com/85c5bcbd94b754eab4b27fa6819cac61\" tg-width=\"768\" tg-height=\"509\">Photo by Christopher Ames/iStock Unreleased via Getty Images\nNever say never – even if you are Netflix (NASDAQ:NFLX)\nThe streaming leader has come under heavy competition in the last few months from upstart rivals Disney+ (NYSE:DIS) and HBO Max (NYSE:T), while at the same time battling a newly revitalized Amazon Prime (NASDAQ:AMZN). However, this isn’t Netflix’s first time fending off challengers and let’s be realistic, it wasn’t like Netflix wasn’t aware it was going to have to consistently make moves to stay on top.\nThis time though it’s a bit different because of the collective nature of the shifts and how they represent a direct change to the streamer’s roadmap and business/programming model. While separately all these moves are impactful in their own right, but when looking at them as part of a bigger picture – it is sending a clear message to investors that the service can be nimble, even in areas were for a while it was seemingly the opposite.\nFirst as always, some background.\nIncreasing Netflix's Market Share\nI want to look at three specific moves and their importance.\nLet’s kick it off with the one that has the biggest paradigm shift in the industry – the Sony deal.\n<img src=\"https://static.tigerbbs.com/9a75991f04f5078fe686afa0638322f6\" tg-width=\"934\" tg-height=\"488\">Credit: Sony\nLast week Netflix made a&nbsp;deal&nbsp;with Sony (NYSE:SONY) to acquire first-run pay TV rights for its theatrical releases. In other words, after theater and home video, it’s onto Netflix. This is a big step for the streamer as previously it would look to make deals for specific films, whereas now it a steady flow of features in play.\nLet me back up for a second though to explain a little more in depth…and keep in mind this is tied directly the traditional model (and pre-COVID). As mentioned, the usual route for a movie is theaters, home entertainment, pay TV, cable, broadcast, etc…where streaming comes in has always been somewhat fluid past pay TV.\nThis deal targets that “pay TV” window. The premium channels – i.e. HBO, Showtime, Starz, Epix – all have deals with studios for their outputs. For example, Warner Bros. films go to HBO, A24&nbsp;films&nbsp;go to Showtime and so on. In some cases it’s a natural fit among corporate siblings or a separate deal worked out to help both parties.\nPreviously Sony films went to Starz – but starting in 2022 when that deal expires, Netflix takes over.\nWhat that means is that Netflix just slipped into a window where traditional TV had a solid foothold.\nPart of the reason these networks had been able to pull in subscribers in the first place was that steady pipeline of theatricals. Those blockbusters were the draw to get you to subscribe with the ideas being those network’s originals would then get you further hooked. At the same time those movies - which then became part of an ever-growing film library - are the backbone of any premium movie network’s linear schedule.\nWhile this will be a noticeable loss for Starz, for Netflix and Sony it’s a win and one that should have both sets of investors thrilled.\nSony, which doesn’t have a streaming service, basically was able to use Netflix as a much-needed financial lifeline following the COVID-induced shutdown of theaters. In addition, the streamer will have the ability to invest in some of the studio’s upcoming projects. The pair had already seen success prior from a similar separate previousdealworked out for Sony’s animated fare.\n<img src=\"https://static.tigerbbs.com/7e7955071fa9cb7465c0265e4600ccd5\" tg-width=\"750\" tg-height=\"562\">Credit: Sony\nNetflix'sCompetitors Gain Ground\nSticking with the Sony deal a bit further (as there is a lot to unpack) - on the other side of the coin, Netflix now gets a fresh influx of content to make up for what competitors such as HBO Max, Disney+ and Peacock pulled back for their own services OR the content competitors such as Amazon or Apple outbid them on. That cannot be over-started enough, however on the positive side what investors have seen is Netflix's subscribers pivoting in turn to similar content.\nFor example Netflix's most popular series for a while was&nbsp;Friends&nbsp;and when that left,The Office&nbsp;took over. Now with&nbsp;Office&nbsp;gone,Schitt's Creek&nbsp;is in front. Netflix is a large part of the reason why&nbsp;Schitt's Creek&nbsp;exploded towards the end of its runs so it's unlikely that show will slip off the servers, but should it - the point is Netflix viewers will just go down the line.\nIt's also interesting to note the addition of&nbsp;Friends&nbsp;to HBO Max and&nbsp;Office&nbsp;to Peacock have been very successful for those networks - which speaks a lot to the value of IP overall versus just where it was available.\nSpeaking of IP, another reason why the Sony deal is important is because it has marquee franchises such as theSpider-Manuniverse. This is one of the rare non-Disney owned Marvel IP’s and this puts the streamer right back in the super-hero space that has performed so well for it prior.\nAll together the deal was a welcome sign of relief to some shareholders as it’s been&nbsp;rumored&nbsp;Comcast’s Universal division will soon begin pulling its content from Netflix soon to give exclusively to Peacock – similar to what the company did withThe Office&nbsp;earlier this year.\nThis is further protection for that type of a mass content exodus.\nOn it is own this is a big deal because of its far-reaching industry impacts – but where I’m looking it (and investors should also) is two-fold. One, it is a clear example of how Netflix is pivoting to stay competitive and somehow always finds a dance partner in need of its special set of skills.\nGoing Outside The Netflix Family\nThe other aspect is it’s also fascinating to see how Netflix has further infiltrated the film world – including by leaning into more traditional methods. And that takes us to the second piece of news which I touched on in a previous&nbsp;piece… theKnives Outdeal.\nAs a reminder Netflix&nbsp;bought&nbsp;the rights to the two sequels to the 2019 murder mystery hit (originally distributed by Lionsgate) for over $450 million…a stunning sum of money in its own right, let alone for such new IP. However, again looking at the bigger picture, it makes sense.\nNetflix is trying to further its film reach, even going so far as to produce&nbsp;over&nbsp;70 originals in 2021 – including at least one new one a week. The problem is that approach could actually dilute the overall product and cannibalizes its success.\nWe are also a few years into the Netflix film division and the studio has yet to find its AAA tier film franchise. It’s had individual successes and its won Oscars but it hasn’t had that film series that would be akin to one a traditional studio would leverage a theatrical trilogy out of…and its noticeable.\nSo Netflix did the next best thing – it bought one.\nKnives Outwas also a great choice.\nIt boasts Daniel Craig as the lead, comes from a well-regarded writer/director in Rian Johnson and also was an awards player. Plus the original packed together a stunning ensemble of A-list talent and the news ones will likely follow the same pattern.\nIt’s a safe and smart play for Netflix that will also get the attention and buzz they are looking for in that space. It’s also another example of Netflix’s “win-now” mentality.\nSo to recap – Netflix in the past few weeks went out and bought a new “it” franchise AND jumped to the front of the line for new “A-tier” content from a top-flight studio.\nBoth of these moves are in direct response to having their rivals step up their game.\nAnd to be clear, some of this may be reactionary, but that’s the point. It’s not knee-jerk in the least, it’s a calculated reaction that makes fiscal sense. Just as Netflix knew eventually studios/networks would wise up and stop feeding them content, its team knew its rivals would make gains and they’d have to adjust.\nThat’s business…there’s an ebb and flow.\nAs I mentioned earlier, Netflix smartly turned its attention to potential partners who could utilize their competitive advantage.\nNetflix's Biggest Risk May Come From Smallest Change\nTo me, the last move I want to touch on is the most interesting – it is also ironically the least headline-grabbing of the bunch. It ties to the TV side of the business, which has arguably come under just much of an attack from other streamers.\nIn the beginning, Netflix’s entry into streaming was built around being different, but the most well-known aspect of that build-up was its “all-at-once” pattern. While the traditional model had long relied on weekly episode drops, Netflix changed the game.\nIt was a refreshing approach.\nFor the “now” generation to have everything at their fingertips from the start was a big selling point. It also marked the beginning of “binge culture.” Of course, there were cons as well as pros, the problem with all-at-once is exactly that, it’s all-at-once.\nFor many people sitting for 10-12 hours to polish off a full season of a show is not realistic – even over a weekend it's hard. What that meant is while you can talk all you wanted online about the show’s twists and turns, it was harder to keep that conversation going with friends and family.\n<img src=\"https://static.tigerbbs.com/051370349a483fcd05ac4945cdcfb588\" tg-width=\"800\" tg-height=\"444\">Credit: Netflix\nWhile it’s worked tremendously for Netflix, it’s also proven to be a bit of a hinderance because fans never know where others are in the storyline. This stifles that type of watercooler conversation that helped build the legacy of many classic shows.\nThis was also a lot less complicated when Netflix’s core originals were limited to a handful of titles – but with countless new content flowing through its servers it is hard to keep track. Although many subscribers are quick to say the “all-at-once” model is a huge draw for them and a reason they love Netflix over other rivals.\nGranted after nearly a decade of use it makes sense as that type of access has become engrained and expected by its users. The difference is other streamers have found arguably the same type of success with the use of weekly drops – most notably Disney+.\nWhile Netflix gets a lot of bang for its buck for its own titles, normally it is mainly limited to about a three-week period – the week prior to launch, the week of launch and the week after launch. Beyond that you can notice a sizable dip in the chatter, conversely Disney’s weekly model has a longer impact.\nBy dropping new episodes on Fridays, Disney invites new conversation over the entire weekend, that are repeated over a period of months. That&nbsp;repetition&nbsp;has helped elevate the profile of its&nbsp;Star Wars&nbsp;and Marvel-centric series (and in turn the brands). With each of which usually clocking in around 30 mins long, it makes it easier for people to watch without a huge time commitment.\nThat has seemingly caught the attention of Netflix which looks like it wants to switch things up – and I think the reaction by subscribers is going to be interesting to shareholders.\nTwo of Netflix’s reality franchises –The CircleandToo Hot To Handle– will now&nbsp;NOT&nbsp;be all-at-once drops. The batch model still holds, in that multiple episodes will still drop per week – but it won’t be the whole thing.\n<img src=\"https://static.tigerbbs.com/90bb70897890d7ac296671b75837af4c\" tg-width=\"1024\" tg-height=\"576\">Credit: Netflix\nThe Circlepremieres this week and will wrap May 5th, whileToo Hot To Handlewill debut in June – both on Wednesdays, which is also telling to me. In effect Netflix is trying to own that day of the week, which is a very traditional model approach to take.\nSo why am I so interested in this approach?\nThe main reason is because it represents a huge shift to their overall model that if successful could lead to future scripted series potentially getting the same treatment. I’ve often argued the one thing keeping Netflix’s originals back is the all-at-once approach.\nRememberThe Witcher?\nYes, it’s a hit for Netflix but it’s notGame of Thrones– and it was designed specifically to beGame of Thrones. Now hadWitcherbeen a weekly release and gotten all the buzz and added media attention that comes with it, it is very possible the series could have seen a substantial boost in popularity.\nEspecially with scripted shows that are heavily serialized having that added time to digest the material is incredibly important. With reality series, not so much – but they are still a great test case because there is still a payoff at the end.\nIt’s also telling because Netflix tried this before, but then quicky said it was a one-off move.\nWhenRhythm + Flowpremiered the other year, it took the weekly model approach in an attempt to preserve the identity of the winner as long as possible. However seemingly from the start Netflix essentially began apologizing for the decision.\nIt was kind of whiplash inducing as in one breath it was quick to tout a new creative approach and then just as fast say it was essentially a one-time&nbsp;thing.\nTo some it looked like Netflix felt like it had to go out of itswayto say it was an aberration to not upset the apple cart with its subscribers – which is why I’m very interested to see the response when it happens with two of its top franchises. I’ll be even more interested to see if this is the approach taken withLove Is Blindwhen it returns later this year.\nAs I said, never say never – even with Netflix.\nConclusion\nI have to give the streamer credit as its moves to shore up its base are further examples of company “firsts” and for Netflix to still have “firsts” this many years into its innovative run says something that should be encouraging to investors.\nStreaming remains the Wild Wild West and Netflix is ensuring nobody can get too comfortable – not even themselves.","source":"seekingalpha","collect":0,"html":"<!DOCTYPE html>\n<html>\n<head>\n<meta http-equiv=\"Content-Type\" content=\"text/html; charset=utf-8\" />\n<meta name=\"viewport\" content=\"width=device-width,initial-scale=1.0,minimum-scale=1.0,maximum-scale=1.0,user-scalable=no\"/>\n<meta name=\"format-detection\" content=\"telephone=no,email=no,address=no\" />\n<title>Netflix Stock: Company Looking To Adjust Longstanding Strategies As Rival Streamers Gain Ground</title>\n<style type=\"text/css\">\na,abbr,acronym,address,applet,article,aside,audio,b,big,blockquote,body,canvas,caption,center,cite,code,dd,del,details,dfn,div,dl,dt,\nem,embed,fieldset,figcaption,figure,footer,form,h1,h2,h3,h4,h5,h6,header,hgroup,html,i,iframe,img,ins,kbd,label,legend,li,mark,menu,nav,\nobject,ol,output,p,pre,q,ruby,s,samp,section,small,span,strike,strong,sub,summary,sup,table,tbody,td,tfoot,th,thead,time,tr,tt,u,ul,var,video{ font:inherit;margin:0;padding:0;vertical-align:baseline;border:0 }\nbody{ font-size:16px; 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}\n.meta {color:#5e5c6d;font-size:13px;margin:0 0 .5em; }\na{text-decoration:none; color:#2a4b87;}\n.meta .head { display: inline-block; overflow: hidden}\n.head .h-thumb { width: 30px; height: 30px; margin: 0; padding: 0; border-radius: 50%; float: left;}\n.head .h-content { margin: 0; padding: 0 0 0 9px; float: left;}\n.head .h-name {font-size: 13px; color: #eee; margin: 0;}\n.head .h-time {font-size: 11px; color: #7E829C; margin: 0;line-height: 11px;}\n.small {font-size: 12.5px; display: inline-block; transform: scale(0.9); -webkit-transform: scale(0.9); transform-origin: left; -webkit-transform-origin: left;}\n.smaller {font-size: 12.5px; display: inline-block; transform: scale(0.8); -webkit-transform: scale(0.8); transform-origin: left; -webkit-transform-origin: left;}\n.bt-text {font-size: 12px;margin: 1.5em 0 0 0}\n.bt-text p {margin: 0}\n</style>\n</head>\n<body>\n<div class=\"wrapper\">\n<header>\n<h2 class=\"title\">\nNetflix Stock: Company Looking To Adjust Longstanding Strategies As Rival Streamers Gain Ground\n</h2>\n\n<h4 class=\"meta\">\n\n\n2021-04-16 11:10 GMT+8&nbsp;&nbsp;&nbsp;<a href=https://seekingalpha.com/article/4419132-netflix-stock-strategies-disney-plus-hbo-max>seekingalpha</a>\n\n\n</h4>\n\n</header>\n<article>\n<div>\nSummary\n\nNetflix has seen its streaming rivals continually gain ground in the past few months prompting the company to re-evaluate a number of long-standing strategies.\nThis isn’t Netflix’s first time...\n\n<a href=\"https://seekingalpha.com/article/4419132-netflix-stock-strategies-disney-plus-hbo-max\">Web Link</a>\n\n</div>\n\n\n</article>\n</div>\n</body>\n</html>\n","type":0,"thumbnail":"","relate_stocks":{"NFLX":"奈飞"},"source_url":"https://seekingalpha.com/article/4419132-netflix-stock-strategies-disney-plus-hbo-max","is_english":true,"share_image_url":"https://static.laohu8.com/5a36db9d73b4222bc376d24ccc48c8a4","article_id":"1119241855","content_text":"Summary\n\nNetflix has seen its streaming rivals continually gain ground in the past few months prompting the company to re-evaluate a number of long-standing strategies.\nThis isn’t Netflix’s first time fending off challengers and the company is acutely aware it will have to consistently make moves to stay on top.\nNetflix recently negotiated a deal with Sony that will result in it receiving more content sooner than before and also open the door to new partnerships with the studio.\nThe streamer also utilized another “win-now” technique when it comes to its original films as instead of solely focusing on trying to create a new “it” franchise, it bought one.\nNetflix is also making moves on the TV side by adjusting its iconic “all-at-once” model and testing weekly batch drops of two popular reality shows – despite past pushback from subscribers.\n\nPhoto by Christopher Ames/iStock Unreleased via Getty Images\nNever say never – even if you are Netflix (NASDAQ:NFLX)\nThe streaming leader has come under heavy competition in the last few months from upstart rivals Disney+ (NYSE:DIS) and HBO Max (NYSE:T), while at the same time battling a newly revitalized Amazon Prime (NASDAQ:AMZN). However, this isn’t Netflix’s first time fending off challengers and let’s be realistic, it wasn’t like Netflix wasn’t aware it was going to have to consistently make moves to stay on top.\nThis time though it’s a bit different because of the collective nature of the shifts and how they represent a direct change to the streamer’s roadmap and business/programming model. While separately all these moves are impactful in their own right, but when looking at them as part of a bigger picture – it is sending a clear message to investors that the service can be nimble, even in areas were for a while it was seemingly the opposite.\nFirst as always, some background.\nIncreasing Netflix's Market Share\nI want to look at three specific moves and their importance.\nLet’s kick it off with the one that has the biggest paradigm shift in the industry – the Sony deal.\nCredit: Sony\nLast week Netflix made a deal with Sony (NYSE:SONY) to acquire first-run pay TV rights for its theatrical releases. In other words, after theater and home video, it’s onto Netflix. This is a big step for the streamer as previously it would look to make deals for specific films, whereas now it a steady flow of features in play.\nLet me back up for a second though to explain a little more in depth…and keep in mind this is tied directly the traditional model (and pre-COVID). As mentioned, the usual route for a movie is theaters, home entertainment, pay TV, cable, broadcast, etc…where streaming comes in has always been somewhat fluid past pay TV.\nThis deal targets that “pay TV” window. The premium channels – i.e. HBO, Showtime, Starz, Epix – all have deals with studios for their outputs. For example, Warner Bros. films go to HBO, A24 films go to Showtime and so on. In some cases it’s a natural fit among corporate siblings or a separate deal worked out to help both parties.\nPreviously Sony films went to Starz – but starting in 2022 when that deal expires, Netflix takes over.\nWhat that means is that Netflix just slipped into a window where traditional TV had a solid foothold.\nPart of the reason these networks had been able to pull in subscribers in the first place was that steady pipeline of theatricals. Those blockbusters were the draw to get you to subscribe with the ideas being those network’s originals would then get you further hooked. At the same time those movies - which then became part of an ever-growing film library - are the backbone of any premium movie network’s linear schedule.\nWhile this will be a noticeable loss for Starz, for Netflix and Sony it’s a win and one that should have both sets of investors thrilled.\nSony, which doesn’t have a streaming service, basically was able to use Netflix as a much-needed financial lifeline following the COVID-induced shutdown of theaters. In addition, the streamer will have the ability to invest in some of the studio’s upcoming projects. The pair had already seen success prior from a similar separate previousdealworked out for Sony’s animated fare.\nCredit: Sony\nNetflix'sCompetitors Gain Ground\nSticking with the Sony deal a bit further (as there is a lot to unpack) - on the other side of the coin, Netflix now gets a fresh influx of content to make up for what competitors such as HBO Max, Disney+ and Peacock pulled back for their own services OR the content competitors such as Amazon or Apple outbid them on. That cannot be over-started enough, however on the positive side what investors have seen is Netflix's subscribers pivoting in turn to similar content.\nFor example Netflix's most popular series for a while was Friends and when that left,The Office took over. Now with Office gone,Schitt's Creek is in front. Netflix is a large part of the reason why Schitt's Creek exploded towards the end of its runs so it's unlikely that show will slip off the servers, but should it - the point is Netflix viewers will just go down the line.\nIt's also interesting to note the addition of Friends to HBO Max and Office to Peacock have been very successful for those networks - which speaks a lot to the value of IP overall versus just where it was available.\nSpeaking of IP, another reason why the Sony deal is important is because it has marquee franchises such as theSpider-Manuniverse. This is one of the rare non-Disney owned Marvel IP’s and this puts the streamer right back in the super-hero space that has performed so well for it prior.\nAll together the deal was a welcome sign of relief to some shareholders as it’s been rumored Comcast’s Universal division will soon begin pulling its content from Netflix soon to give exclusively to Peacock – similar to what the company did withThe Office earlier this year.\nThis is further protection for that type of a mass content exodus.\nOn it is own this is a big deal because of its far-reaching industry impacts – but where I’m looking it (and investors should also) is two-fold. One, it is a clear example of how Netflix is pivoting to stay competitive and somehow always finds a dance partner in need of its special set of skills.\nGoing Outside The Netflix Family\nThe other aspect is it’s also fascinating to see how Netflix has further infiltrated the film world – including by leaning into more traditional methods. And that takes us to the second piece of news which I touched on in a previous piece… theKnives Outdeal.\nAs a reminder Netflix bought the rights to the two sequels to the 2019 murder mystery hit (originally distributed by Lionsgate) for over $450 million…a stunning sum of money in its own right, let alone for such new IP. However, again looking at the bigger picture, it makes sense.\nNetflix is trying to further its film reach, even going so far as to produce over 70 originals in 2021 – including at least one new one a week. The problem is that approach could actually dilute the overall product and cannibalizes its success.\nWe are also a few years into the Netflix film division and the studio has yet to find its AAA tier film franchise. It’s had individual successes and its won Oscars but it hasn’t had that film series that would be akin to one a traditional studio would leverage a theatrical trilogy out of…and its noticeable.\nSo Netflix did the next best thing – it bought one.\nKnives Outwas also a great choice.\nIt boasts Daniel Craig as the lead, comes from a well-regarded writer/director in Rian Johnson and also was an awards player. Plus the original packed together a stunning ensemble of A-list talent and the news ones will likely follow the same pattern.\nIt’s a safe and smart play for Netflix that will also get the attention and buzz they are looking for in that space. It’s also another example of Netflix’s “win-now” mentality.\nSo to recap – Netflix in the past few weeks went out and bought a new “it” franchise AND jumped to the front of the line for new “A-tier” content from a top-flight studio.\nBoth of these moves are in direct response to having their rivals step up their game.\nAnd to be clear, some of this may be reactionary, but that’s the point. It’s not knee-jerk in the least, it’s a calculated reaction that makes fiscal sense. Just as Netflix knew eventually studios/networks would wise up and stop feeding them content, its team knew its rivals would make gains and they’d have to adjust.\nThat’s business…there’s an ebb and flow.\nAs I mentioned earlier, Netflix smartly turned its attention to potential partners who could utilize their competitive advantage.\nNetflix's Biggest Risk May Come From Smallest Change\nTo me, the last move I want to touch on is the most interesting – it is also ironically the least headline-grabbing of the bunch. It ties to the TV side of the business, which has arguably come under just much of an attack from other streamers.\nIn the beginning, Netflix’s entry into streaming was built around being different, but the most well-known aspect of that build-up was its “all-at-once” pattern. While the traditional model had long relied on weekly episode drops, Netflix changed the game.\nIt was a refreshing approach.\nFor the “now” generation to have everything at their fingertips from the start was a big selling point. It also marked the beginning of “binge culture.” Of course, there were cons as well as pros, the problem with all-at-once is exactly that, it’s all-at-once.\nFor many people sitting for 10-12 hours to polish off a full season of a show is not realistic – even over a weekend it's hard. What that meant is while you can talk all you wanted online about the show’s twists and turns, it was harder to keep that conversation going with friends and family.\nCredit: Netflix\nWhile it’s worked tremendously for Netflix, it’s also proven to be a bit of a hinderance because fans never know where others are in the storyline. This stifles that type of watercooler conversation that helped build the legacy of many classic shows.\nThis was also a lot less complicated when Netflix’s core originals were limited to a handful of titles – but with countless new content flowing through its servers it is hard to keep track. Although many subscribers are quick to say the “all-at-once” model is a huge draw for them and a reason they love Netflix over other rivals.\nGranted after nearly a decade of use it makes sense as that type of access has become engrained and expected by its users. The difference is other streamers have found arguably the same type of success with the use of weekly drops – most notably Disney+.\nWhile Netflix gets a lot of bang for its buck for its own titles, normally it is mainly limited to about a three-week period – the week prior to launch, the week of launch and the week after launch. Beyond that you can notice a sizable dip in the chatter, conversely Disney’s weekly model has a longer impact.\nBy dropping new episodes on Fridays, Disney invites new conversation over the entire weekend, that are repeated over a period of months. That repetition has helped elevate the profile of its Star Wars and Marvel-centric series (and in turn the brands). With each of which usually clocking in around 30 mins long, it makes it easier for people to watch without a huge time commitment.\nThat has seemingly caught the attention of Netflix which looks like it wants to switch things up – and I think the reaction by subscribers is going to be interesting to shareholders.\nTwo of Netflix’s reality franchises –The CircleandToo Hot To Handle– will now NOT be all-at-once drops. The batch model still holds, in that multiple episodes will still drop per week – but it won’t be the whole thing.\nCredit: Netflix\nThe Circlepremieres this week and will wrap May 5th, whileToo Hot To Handlewill debut in June – both on Wednesdays, which is also telling to me. In effect Netflix is trying to own that day of the week, which is a very traditional model approach to take.\nSo why am I so interested in this approach?\nThe main reason is because it represents a huge shift to their overall model that if successful could lead to future scripted series potentially getting the same treatment. I’ve often argued the one thing keeping Netflix’s originals back is the all-at-once approach.\nRememberThe Witcher?\nYes, it’s a hit for Netflix but it’s notGame of Thrones– and it was designed specifically to beGame of Thrones. Now hadWitcherbeen a weekly release and gotten all the buzz and added media attention that comes with it, it is very possible the series could have seen a substantial boost in popularity.\nEspecially with scripted shows that are heavily serialized having that added time to digest the material is incredibly important. With reality series, not so much – but they are still a great test case because there is still a payoff at the end.\nIt’s also telling because Netflix tried this before, but then quicky said it was a one-off move.\nWhenRhythm + Flowpremiered the other year, it took the weekly model approach in an attempt to preserve the identity of the winner as long as possible. However seemingly from the start Netflix essentially began apologizing for the decision.\nIt was kind of whiplash inducing as in one breath it was quick to tout a new creative approach and then just as fast say it was essentially a one-time thing.\nTo some it looked like Netflix felt like it had to go out of itswayto say it was an aberration to not upset the apple cart with its subscribers – which is why I’m very interested to see the response when it happens with two of its top franchises. I’ll be even more interested to see if this is the approach taken withLove Is Blindwhen it returns later this year.\nAs I said, never say never – even with Netflix.\nConclusion\nI have to give the streamer credit as its moves to shore up its base are further examples of company “firsts” and for Netflix to still have “firsts” this many years into its innovative run says something that should be encouraging to investors.\nStreaming remains the Wild Wild West and Netflix is ensuring nobody can get too comfortable – not even themselves.","news_type":1},"isVote":1,"likeStatus":false,"favoriteStatus":false,"reportStatus":false,"tweetType":1,"langContent":"EN"},{"id":370943954,"gmtCreate":1618546730378,"gmtModify":1704712544228,"author":{"id":"3576073706150567","authorId":"3576073706150567","authorIdStr":"3576073706150567","name":"axecap","avatar":"https://static.tigerbbs.com/4ad02a51bd9534336be93a5c1e4902fe","vip":1,"crmLevel":2,"crmLevelSwitch":0,"idStr":"3576073706150567"},"htmlText":"wow","listText":"wow","text":"wow","images":[],"top":1,"highlighted":1,"essential":1,"paper":1,"likeSize":2,"commentSize":0,"repostSize":0,"link":"https://ttm.financial/post/370943954","repostId":1119241855,"repostType":4,"repost":{"id":"1119241855","pubTimestamp":1618542634,"share":"https://ttm.financial/m/news/1119241855?lang=&edition=fundamental","pubTime":"2021-04-16 11:10","market":"us","language":"en","title":"Netflix Stock: Company Looking To Adjust Longstanding Strategies As Rival Streamers Gain Ground","url":"https://stock-news.laohu8.com/highlight/detail?id=1119241855","media":"seekingalpha","summary":"Summary\n\nNetflix has seen its streaming rivals continually gain ground in the past few months prompt","content":"Summary\n<ul>\n <li>Netflix has seen its streaming rivals continually gain ground in the past few months prompting the company to re-evaluate a number of long-standing strategies.</li>\n <li>This isn’t Netflix’s first time fending off challengers and the company is acutely aware it will have to consistently make moves to stay on top.</li>\n <li>Netflix recently negotiated a deal with Sony that will result in it receiving more content sooner than before and also open the door to new partnerships with the studio.</li>\n <li>The streamer also utilized another “win-now” technique when it comes to its original films as instead of solely focusing on trying to create a new “it” franchise, it bought one.</li>\n <li>Netflix is also making moves on the TV side by adjusting its iconic “all-at-once” model and testing weekly batch drops of two popular reality shows – despite past pushback from subscribers.</li>\n</ul>\n<img src=\"https://static.tigerbbs.com/85c5bcbd94b754eab4b27fa6819cac61\" tg-width=\"768\" tg-height=\"509\">Photo by Christopher Ames/iStock Unreleased via Getty Images\nNever say never – even if you are Netflix (NASDAQ:NFLX)\nThe streaming leader has come under heavy competition in the last few months from upstart rivals Disney+ (NYSE:DIS) and HBO Max (NYSE:T), while at the same time battling a newly revitalized Amazon Prime (NASDAQ:AMZN). However, this isn’t Netflix’s first time fending off challengers and let’s be realistic, it wasn’t like Netflix wasn’t aware it was going to have to consistently make moves to stay on top.\nThis time though it’s a bit different because of the collective nature of the shifts and how they represent a direct change to the streamer’s roadmap and business/programming model. While separately all these moves are impactful in their own right, but when looking at them as part of a bigger picture – it is sending a clear message to investors that the service can be nimble, even in areas were for a while it was seemingly the opposite.\nFirst as always, some background.\nIncreasing Netflix's Market Share\nI want to look at three specific moves and their importance.\nLet’s kick it off with the one that has the biggest paradigm shift in the industry – the Sony deal.\n<img src=\"https://static.tigerbbs.com/9a75991f04f5078fe686afa0638322f6\" tg-width=\"934\" tg-height=\"488\">Credit: Sony\nLast week Netflix made a&nbsp;deal&nbsp;with Sony (NYSE:SONY) to acquire first-run pay TV rights for its theatrical releases. In other words, after theater and home video, it’s onto Netflix. This is a big step for the streamer as previously it would look to make deals for specific films, whereas now it a steady flow of features in play.\nLet me back up for a second though to explain a little more in depth…and keep in mind this is tied directly the traditional model (and pre-COVID). As mentioned, the usual route for a movie is theaters, home entertainment, pay TV, cable, broadcast, etc…where streaming comes in has always been somewhat fluid past pay TV.\nThis deal targets that “pay TV” window. The premium channels – i.e. HBO, Showtime, Starz, Epix – all have deals with studios for their outputs. For example, Warner Bros. films go to HBO, A24&nbsp;films&nbsp;go to Showtime and so on. In some cases it’s a natural fit among corporate siblings or a separate deal worked out to help both parties.\nPreviously Sony films went to Starz – but starting in 2022 when that deal expires, Netflix takes over.\nWhat that means is that Netflix just slipped into a window where traditional TV had a solid foothold.\nPart of the reason these networks had been able to pull in subscribers in the first place was that steady pipeline of theatricals. Those blockbusters were the draw to get you to subscribe with the ideas being those network’s originals would then get you further hooked. At the same time those movies - which then became part of an ever-growing film library - are the backbone of any premium movie network’s linear schedule.\nWhile this will be a noticeable loss for Starz, for Netflix and Sony it’s a win and one that should have both sets of investors thrilled.\nSony, which doesn’t have a streaming service, basically was able to use Netflix as a much-needed financial lifeline following the COVID-induced shutdown of theaters. In addition, the streamer will have the ability to invest in some of the studio’s upcoming projects. The pair had already seen success prior from a similar separate previousdealworked out for Sony’s animated fare.\n<img src=\"https://static.tigerbbs.com/7e7955071fa9cb7465c0265e4600ccd5\" tg-width=\"750\" tg-height=\"562\">Credit: Sony\nNetflix'sCompetitors Gain Ground\nSticking with the Sony deal a bit further (as there is a lot to unpack) - on the other side of the coin, Netflix now gets a fresh influx of content to make up for what competitors such as HBO Max, Disney+ and Peacock pulled back for their own services OR the content competitors such as Amazon or Apple outbid them on. That cannot be over-started enough, however on the positive side what investors have seen is Netflix's subscribers pivoting in turn to similar content.\nFor example Netflix's most popular series for a while was&nbsp;Friends&nbsp;and when that left,The Office&nbsp;took over. Now with&nbsp;Office&nbsp;gone,Schitt's Creek&nbsp;is in front. Netflix is a large part of the reason why&nbsp;Schitt's Creek&nbsp;exploded towards the end of its runs so it's unlikely that show will slip off the servers, but should it - the point is Netflix viewers will just go down the line.\nIt's also interesting to note the addition of&nbsp;Friends&nbsp;to HBO Max and&nbsp;Office&nbsp;to Peacock have been very successful for those networks - which speaks a lot to the value of IP overall versus just where it was available.\nSpeaking of IP, another reason why the Sony deal is important is because it has marquee franchises such as theSpider-Manuniverse. This is one of the rare non-Disney owned Marvel IP’s and this puts the streamer right back in the super-hero space that has performed so well for it prior.\nAll together the deal was a welcome sign of relief to some shareholders as it’s been&nbsp;rumored&nbsp;Comcast’s Universal division will soon begin pulling its content from Netflix soon to give exclusively to Peacock – similar to what the company did withThe Office&nbsp;earlier this year.\nThis is further protection for that type of a mass content exodus.\nOn it is own this is a big deal because of its far-reaching industry impacts – but where I’m looking it (and investors should also) is two-fold. One, it is a clear example of how Netflix is pivoting to stay competitive and somehow always finds a dance partner in need of its special set of skills.\nGoing Outside The Netflix Family\nThe other aspect is it’s also fascinating to see how Netflix has further infiltrated the film world – including by leaning into more traditional methods. And that takes us to the second piece of news which I touched on in a previous&nbsp;piece… theKnives Outdeal.\nAs a reminder Netflix&nbsp;bought&nbsp;the rights to the two sequels to the 2019 murder mystery hit (originally distributed by Lionsgate) for over $450 million…a stunning sum of money in its own right, let alone for such new IP. However, again looking at the bigger picture, it makes sense.\nNetflix is trying to further its film reach, even going so far as to produce&nbsp;over&nbsp;70 originals in 2021 – including at least one new one a week. The problem is that approach could actually dilute the overall product and cannibalizes its success.\nWe are also a few years into the Netflix film division and the studio has yet to find its AAA tier film franchise. It’s had individual successes and its won Oscars but it hasn’t had that film series that would be akin to one a traditional studio would leverage a theatrical trilogy out of…and its noticeable.\nSo Netflix did the next best thing – it bought one.\nKnives Outwas also a great choice.\nIt boasts Daniel Craig as the lead, comes from a well-regarded writer/director in Rian Johnson and also was an awards player. Plus the original packed together a stunning ensemble of A-list talent and the news ones will likely follow the same pattern.\nIt’s a safe and smart play for Netflix that will also get the attention and buzz they are looking for in that space. It’s also another example of Netflix’s “win-now” mentality.\nSo to recap – Netflix in the past few weeks went out and bought a new “it” franchise AND jumped to the front of the line for new “A-tier” content from a top-flight studio.\nBoth of these moves are in direct response to having their rivals step up their game.\nAnd to be clear, some of this may be reactionary, but that’s the point. It’s not knee-jerk in the least, it’s a calculated reaction that makes fiscal sense. Just as Netflix knew eventually studios/networks would wise up and stop feeding them content, its team knew its rivals would make gains and they’d have to adjust.\nThat’s business…there’s an ebb and flow.\nAs I mentioned earlier, Netflix smartly turned its attention to potential partners who could utilize their competitive advantage.\nNetflix's Biggest Risk May Come From Smallest Change\nTo me, the last move I want to touch on is the most interesting – it is also ironically the least headline-grabbing of the bunch. It ties to the TV side of the business, which has arguably come under just much of an attack from other streamers.\nIn the beginning, Netflix’s entry into streaming was built around being different, but the most well-known aspect of that build-up was its “all-at-once” pattern. While the traditional model had long relied on weekly episode drops, Netflix changed the game.\nIt was a refreshing approach.\nFor the “now” generation to have everything at their fingertips from the start was a big selling point. It also marked the beginning of “binge culture.” Of course, there were cons as well as pros, the problem with all-at-once is exactly that, it’s all-at-once.\nFor many people sitting for 10-12 hours to polish off a full season of a show is not realistic – even over a weekend it's hard. What that meant is while you can talk all you wanted online about the show’s twists and turns, it was harder to keep that conversation going with friends and family.\n<img src=\"https://static.tigerbbs.com/051370349a483fcd05ac4945cdcfb588\" tg-width=\"800\" tg-height=\"444\">Credit: Netflix\nWhile it’s worked tremendously for Netflix, it’s also proven to be a bit of a hinderance because fans never know where others are in the storyline. This stifles that type of watercooler conversation that helped build the legacy of many classic shows.\nThis was also a lot less complicated when Netflix’s core originals were limited to a handful of titles – but with countless new content flowing through its servers it is hard to keep track. Although many subscribers are quick to say the “all-at-once” model is a huge draw for them and a reason they love Netflix over other rivals.\nGranted after nearly a decade of use it makes sense as that type of access has become engrained and expected by its users. The difference is other streamers have found arguably the same type of success with the use of weekly drops – most notably Disney+.\nWhile Netflix gets a lot of bang for its buck for its own titles, normally it is mainly limited to about a three-week period – the week prior to launch, the week of launch and the week after launch. Beyond that you can notice a sizable dip in the chatter, conversely Disney’s weekly model has a longer impact.\nBy dropping new episodes on Fridays, Disney invites new conversation over the entire weekend, that are repeated over a period of months. That&nbsp;repetition&nbsp;has helped elevate the profile of its&nbsp;Star Wars&nbsp;and Marvel-centric series (and in turn the brands). With each of which usually clocking in around 30 mins long, it makes it easier for people to watch without a huge time commitment.\nThat has seemingly caught the attention of Netflix which looks like it wants to switch things up – and I think the reaction by subscribers is going to be interesting to shareholders.\nTwo of Netflix’s reality franchises –The CircleandToo Hot To Handle– will now&nbsp;NOT&nbsp;be all-at-once drops. The batch model still holds, in that multiple episodes will still drop per week – but it won’t be the whole thing.\n<img src=\"https://static.tigerbbs.com/90bb70897890d7ac296671b75837af4c\" tg-width=\"1024\" tg-height=\"576\">Credit: Netflix\nThe Circlepremieres this week and will wrap May 5th, whileToo Hot To Handlewill debut in June – both on Wednesdays, which is also telling to me. In effect Netflix is trying to own that day of the week, which is a very traditional model approach to take.\nSo why am I so interested in this approach?\nThe main reason is because it represents a huge shift to their overall model that if successful could lead to future scripted series potentially getting the same treatment. I’ve often argued the one thing keeping Netflix’s originals back is the all-at-once approach.\nRememberThe Witcher?\nYes, it’s a hit for Netflix but it’s notGame of Thrones– and it was designed specifically to beGame of Thrones. Now hadWitcherbeen a weekly release and gotten all the buzz and added media attention that comes with it, it is very possible the series could have seen a substantial boost in popularity.\nEspecially with scripted shows that are heavily serialized having that added time to digest the material is incredibly important. With reality series, not so much – but they are still a great test case because there is still a payoff at the end.\nIt’s also telling because Netflix tried this before, but then quicky said it was a one-off move.\nWhenRhythm + Flowpremiered the other year, it took the weekly model approach in an attempt to preserve the identity of the winner as long as possible. However seemingly from the start Netflix essentially began apologizing for the decision.\nIt was kind of whiplash inducing as in one breath it was quick to tout a new creative approach and then just as fast say it was essentially a one-time&nbsp;thing.\nTo some it looked like Netflix felt like it had to go out of itswayto say it was an aberration to not upset the apple cart with its subscribers – which is why I’m very interested to see the response when it happens with two of its top franchises. I’ll be even more interested to see if this is the approach taken withLove Is Blindwhen it returns later this year.\nAs I said, never say never – even with Netflix.\nConclusion\nI have to give the streamer credit as its moves to shore up its base are further examples of company “firsts” and for Netflix to still have “firsts” this many years into its innovative run says something that should be encouraging to investors.\nStreaming remains the Wild Wild West and Netflix is ensuring nobody can get too comfortable – not even themselves.","source":"seekingalpha","collect":0,"html":"<!DOCTYPE html>\n<html>\n<head>\n<meta http-equiv=\"Content-Type\" content=\"text/html; charset=utf-8\" />\n<meta name=\"viewport\" content=\"width=device-width,initial-scale=1.0,minimum-scale=1.0,maximum-scale=1.0,user-scalable=no\"/>\n<meta name=\"format-detection\" content=\"telephone=no,email=no,address=no\" />\n<title>Netflix Stock: Company Looking To Adjust Longstanding Strategies As Rival Streamers Gain Ground</title>\n<style type=\"text/css\">\na,abbr,acronym,address,applet,article,aside,audio,b,big,blockquote,body,canvas,caption,center,cite,code,dd,del,details,dfn,div,dl,dt,\nem,embed,fieldset,figcaption,figure,footer,form,h1,h2,h3,h4,h5,h6,header,hgroup,html,i,iframe,img,ins,kbd,label,legend,li,mark,menu,nav,\nobject,ol,output,p,pre,q,ruby,s,samp,section,small,span,strike,strong,sub,summary,sup,table,tbody,td,tfoot,th,thead,time,tr,tt,u,ul,var,video{ font:inherit;margin:0;padding:0;vertical-align:baseline;border:0 }\nbody{ font-size:16px; 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}\n.meta {color:#5e5c6d;font-size:13px;margin:0 0 .5em; }\na{text-decoration:none; color:#2a4b87;}\n.meta .head { display: inline-block; overflow: hidden}\n.head .h-thumb { width: 30px; height: 30px; margin: 0; padding: 0; border-radius: 50%; float: left;}\n.head .h-content { margin: 0; padding: 0 0 0 9px; float: left;}\n.head .h-name {font-size: 13px; color: #eee; margin: 0;}\n.head .h-time {font-size: 11px; color: #7E829C; margin: 0;line-height: 11px;}\n.small {font-size: 12.5px; display: inline-block; transform: scale(0.9); -webkit-transform: scale(0.9); transform-origin: left; -webkit-transform-origin: left;}\n.smaller {font-size: 12.5px; display: inline-block; transform: scale(0.8); -webkit-transform: scale(0.8); transform-origin: left; -webkit-transform-origin: left;}\n.bt-text {font-size: 12px;margin: 1.5em 0 0 0}\n.bt-text p {margin: 0}\n</style>\n</head>\n<body>\n<div class=\"wrapper\">\n<header>\n<h2 class=\"title\">\nNetflix Stock: Company Looking To Adjust Longstanding Strategies As Rival Streamers Gain Ground\n</h2>\n\n<h4 class=\"meta\">\n\n\n2021-04-16 11:10 GMT+8&nbsp;&nbsp;&nbsp;<a href=https://seekingalpha.com/article/4419132-netflix-stock-strategies-disney-plus-hbo-max>seekingalpha</a>\n\n\n</h4>\n\n</header>\n<article>\n<div>\nSummary\n\nNetflix has seen its streaming rivals continually gain ground in the past few months prompting the company to re-evaluate a number of long-standing strategies.\nThis isn’t Netflix’s first time...\n\n<a href=\"https://seekingalpha.com/article/4419132-netflix-stock-strategies-disney-plus-hbo-max\">Web Link</a>\n\n</div>\n\n\n</article>\n</div>\n</body>\n</html>\n","type":0,"thumbnail":"","relate_stocks":{"NFLX":"奈飞"},"source_url":"https://seekingalpha.com/article/4419132-netflix-stock-strategies-disney-plus-hbo-max","is_english":true,"share_image_url":"https://static.laohu8.com/5a36db9d73b4222bc376d24ccc48c8a4","article_id":"1119241855","content_text":"Summary\n\nNetflix has seen its streaming rivals continually gain ground in the past few months prompting the company to re-evaluate a number of long-standing strategies.\nThis isn’t Netflix’s first time fending off challengers and the company is acutely aware it will have to consistently make moves to stay on top.\nNetflix recently negotiated a deal with Sony that will result in it receiving more content sooner than before and also open the door to new partnerships with the studio.\nThe streamer also utilized another “win-now” technique when it comes to its original films as instead of solely focusing on trying to create a new “it” franchise, it bought one.\nNetflix is also making moves on the TV side by adjusting its iconic “all-at-once” model and testing weekly batch drops of two popular reality shows – despite past pushback from subscribers.\n\nPhoto by Christopher Ames/iStock Unreleased via Getty Images\nNever say never – even if you are Netflix (NASDAQ:NFLX)\nThe streaming leader has come under heavy competition in the last few months from upstart rivals Disney+ (NYSE:DIS) and HBO Max (NYSE:T), while at the same time battling a newly revitalized Amazon Prime (NASDAQ:AMZN). However, this isn’t Netflix’s first time fending off challengers and let’s be realistic, it wasn’t like Netflix wasn’t aware it was going to have to consistently make moves to stay on top.\nThis time though it’s a bit different because of the collective nature of the shifts and how they represent a direct change to the streamer’s roadmap and business/programming model. While separately all these moves are impactful in their own right, but when looking at them as part of a bigger picture – it is sending a clear message to investors that the service can be nimble, even in areas were for a while it was seemingly the opposite.\nFirst as always, some background.\nIncreasing Netflix's Market Share\nI want to look at three specific moves and their importance.\nLet’s kick it off with the one that has the biggest paradigm shift in the industry – the Sony deal.\nCredit: Sony\nLast week Netflix made a deal with Sony (NYSE:SONY) to acquire first-run pay TV rights for its theatrical releases. In other words, after theater and home video, it’s onto Netflix. This is a big step for the streamer as previously it would look to make deals for specific films, whereas now it a steady flow of features in play.\nLet me back up for a second though to explain a little more in depth…and keep in mind this is tied directly the traditional model (and pre-COVID). As mentioned, the usual route for a movie is theaters, home entertainment, pay TV, cable, broadcast, etc…where streaming comes in has always been somewhat fluid past pay TV.\nThis deal targets that “pay TV” window. The premium channels – i.e. HBO, Showtime, Starz, Epix – all have deals with studios for their outputs. For example, Warner Bros. films go to HBO, A24 films go to Showtime and so on. In some cases it’s a natural fit among corporate siblings or a separate deal worked out to help both parties.\nPreviously Sony films went to Starz – but starting in 2022 when that deal expires, Netflix takes over.\nWhat that means is that Netflix just slipped into a window where traditional TV had a solid foothold.\nPart of the reason these networks had been able to pull in subscribers in the first place was that steady pipeline of theatricals. Those blockbusters were the draw to get you to subscribe with the ideas being those network’s originals would then get you further hooked. At the same time those movies - which then became part of an ever-growing film library - are the backbone of any premium movie network’s linear schedule.\nWhile this will be a noticeable loss for Starz, for Netflix and Sony it’s a win and one that should have both sets of investors thrilled.\nSony, which doesn’t have a streaming service, basically was able to use Netflix as a much-needed financial lifeline following the COVID-induced shutdown of theaters. In addition, the streamer will have the ability to invest in some of the studio’s upcoming projects. The pair had already seen success prior from a similar separate previousdealworked out for Sony’s animated fare.\nCredit: Sony\nNetflix'sCompetitors Gain Ground\nSticking with the Sony deal a bit further (as there is a lot to unpack) - on the other side of the coin, Netflix now gets a fresh influx of content to make up for what competitors such as HBO Max, Disney+ and Peacock pulled back for their own services OR the content competitors such as Amazon or Apple outbid them on. That cannot be over-started enough, however on the positive side what investors have seen is Netflix's subscribers pivoting in turn to similar content.\nFor example Netflix's most popular series for a while was Friends and when that left,The Office took over. Now with Office gone,Schitt's Creek is in front. Netflix is a large part of the reason why Schitt's Creek exploded towards the end of its runs so it's unlikely that show will slip off the servers, but should it - the point is Netflix viewers will just go down the line.\nIt's also interesting to note the addition of Friends to HBO Max and Office to Peacock have been very successful for those networks - which speaks a lot to the value of IP overall versus just where it was available.\nSpeaking of IP, another reason why the Sony deal is important is because it has marquee franchises such as theSpider-Manuniverse. This is one of the rare non-Disney owned Marvel IP’s and this puts the streamer right back in the super-hero space that has performed so well for it prior.\nAll together the deal was a welcome sign of relief to some shareholders as it’s been rumored Comcast’s Universal division will soon begin pulling its content from Netflix soon to give exclusively to Peacock – similar to what the company did withThe Office earlier this year.\nThis is further protection for that type of a mass content exodus.\nOn it is own this is a big deal because of its far-reaching industry impacts – but where I’m looking it (and investors should also) is two-fold. One, it is a clear example of how Netflix is pivoting to stay competitive and somehow always finds a dance partner in need of its special set of skills.\nGoing Outside The Netflix Family\nThe other aspect is it’s also fascinating to see how Netflix has further infiltrated the film world – including by leaning into more traditional methods. And that takes us to the second piece of news which I touched on in a previous piece… theKnives Outdeal.\nAs a reminder Netflix bought the rights to the two sequels to the 2019 murder mystery hit (originally distributed by Lionsgate) for over $450 million…a stunning sum of money in its own right, let alone for such new IP. However, again looking at the bigger picture, it makes sense.\nNetflix is trying to further its film reach, even going so far as to produce over 70 originals in 2021 – including at least one new one a week. The problem is that approach could actually dilute the overall product and cannibalizes its success.\nWe are also a few years into the Netflix film division and the studio has yet to find its AAA tier film franchise. It’s had individual successes and its won Oscars but it hasn’t had that film series that would be akin to one a traditional studio would leverage a theatrical trilogy out of…and its noticeable.\nSo Netflix did the next best thing – it bought one.\nKnives Outwas also a great choice.\nIt boasts Daniel Craig as the lead, comes from a well-regarded writer/director in Rian Johnson and also was an awards player. Plus the original packed together a stunning ensemble of A-list talent and the news ones will likely follow the same pattern.\nIt’s a safe and smart play for Netflix that will also get the attention and buzz they are looking for in that space. It’s also another example of Netflix’s “win-now” mentality.\nSo to recap – Netflix in the past few weeks went out and bought a new “it” franchise AND jumped to the front of the line for new “A-tier” content from a top-flight studio.\nBoth of these moves are in direct response to having their rivals step up their game.\nAnd to be clear, some of this may be reactionary, but that’s the point. It’s not knee-jerk in the least, it’s a calculated reaction that makes fiscal sense. Just as Netflix knew eventually studios/networks would wise up and stop feeding them content, its team knew its rivals would make gains and they’d have to adjust.\nThat’s business…there’s an ebb and flow.\nAs I mentioned earlier, Netflix smartly turned its attention to potential partners who could utilize their competitive advantage.\nNetflix's Biggest Risk May Come From Smallest Change\nTo me, the last move I want to touch on is the most interesting – it is also ironically the least headline-grabbing of the bunch. It ties to the TV side of the business, which has arguably come under just much of an attack from other streamers.\nIn the beginning, Netflix’s entry into streaming was built around being different, but the most well-known aspect of that build-up was its “all-at-once” pattern. While the traditional model had long relied on weekly episode drops, Netflix changed the game.\nIt was a refreshing approach.\nFor the “now” generation to have everything at their fingertips from the start was a big selling point. It also marked the beginning of “binge culture.” Of course, there were cons as well as pros, the problem with all-at-once is exactly that, it’s all-at-once.\nFor many people sitting for 10-12 hours to polish off a full season of a show is not realistic – even over a weekend it's hard. What that meant is while you can talk all you wanted online about the show’s twists and turns, it was harder to keep that conversation going with friends and family.\nCredit: Netflix\nWhile it’s worked tremendously for Netflix, it’s also proven to be a bit of a hinderance because fans never know where others are in the storyline. This stifles that type of watercooler conversation that helped build the legacy of many classic shows.\nThis was also a lot less complicated when Netflix’s core originals were limited to a handful of titles – but with countless new content flowing through its servers it is hard to keep track. Although many subscribers are quick to say the “all-at-once” model is a huge draw for them and a reason they love Netflix over other rivals.\nGranted after nearly a decade of use it makes sense as that type of access has become engrained and expected by its users. The difference is other streamers have found arguably the same type of success with the use of weekly drops – most notably Disney+.\nWhile Netflix gets a lot of bang for its buck for its own titles, normally it is mainly limited to about a three-week period – the week prior to launch, the week of launch and the week after launch. Beyond that you can notice a sizable dip in the chatter, conversely Disney’s weekly model has a longer impact.\nBy dropping new episodes on Fridays, Disney invites new conversation over the entire weekend, that are repeated over a period of months. That repetition has helped elevate the profile of its Star Wars and Marvel-centric series (and in turn the brands). With each of which usually clocking in around 30 mins long, it makes it easier for people to watch without a huge time commitment.\nThat has seemingly caught the attention of Netflix which looks like it wants to switch things up – and I think the reaction by subscribers is going to be interesting to shareholders.\nTwo of Netflix’s reality franchises –The CircleandToo Hot To Handle– will now NOT be all-at-once drops. The batch model still holds, in that multiple episodes will still drop per week – but it won’t be the whole thing.\nCredit: Netflix\nThe Circlepremieres this week and will wrap May 5th, whileToo Hot To Handlewill debut in June – both on Wednesdays, which is also telling to me. In effect Netflix is trying to own that day of the week, which is a very traditional model approach to take.\nSo why am I so interested in this approach?\nThe main reason is because it represents a huge shift to their overall model that if successful could lead to future scripted series potentially getting the same treatment. I’ve often argued the one thing keeping Netflix’s originals back is the all-at-once approach.\nRememberThe Witcher?\nYes, it’s a hit for Netflix but it’s notGame of Thrones– and it was designed specifically to beGame of Thrones. Now hadWitcherbeen a weekly release and gotten all the buzz and added media attention that comes with it, it is very possible the series could have seen a substantial boost in popularity.\nEspecially with scripted shows that are heavily serialized having that added time to digest the material is incredibly important. With reality series, not so much – but they are still a great test case because there is still a payoff at the end.\nIt’s also telling because Netflix tried this before, but then quicky said it was a one-off move.\nWhenRhythm + Flowpremiered the other year, it took the weekly model approach in an attempt to preserve the identity of the winner as long as possible. However seemingly from the start Netflix essentially began apologizing for the decision.\nIt was kind of whiplash inducing as in one breath it was quick to tout a new creative approach and then just as fast say it was essentially a one-time thing.\nTo some it looked like Netflix felt like it had to go out of itswayto say it was an aberration to not upset the apple cart with its subscribers – which is why I’m very interested to see the response when it happens with two of its top franchises. I’ll be even more interested to see if this is the approach taken withLove Is Blindwhen it returns later this year.\nAs I said, never say never – even with Netflix.\nConclusion\nI have to give the streamer credit as its moves to shore up its base are further examples of company “firsts” and for Netflix to still have “firsts” this many years into its innovative run says something that should be encouraging to investors.\nStreaming remains the Wild Wild West and Netflix is ensuring nobody can get too comfortable – not even themselves.","news_type":1},"isVote":1,"likeStatus":false,"favoriteStatus":false,"reportStatus":false,"tweetType":1,"langContent":"EN"},{"id":370943063,"gmtCreate":1618546706852,"gmtModify":1704712543903,"author":{"id":"3571992769878529","authorId":"3571992769878529","authorIdStr":"3571992769878529","name":"Nisnivlek","avatar":"https://static.tigerbbs.com/da7e63ae933a3a94693af3ca8b29c972","vip":1,"crmLevel":3,"crmLevelSwitch":0,"idStr":"3571992769878529"},"htmlText":"Need more","listText":"Need more","text":"Need more","images":[],"top":1,"highlighted":1,"essential":1,"paper":1,"likeSize":3,"commentSize":0,"repostSize":0,"link":"https://ttm.financial/post/370943063","repostId":1119241855,"repostType":4,"repost":{"id":"1119241855","pubTimestamp":1618542634,"share":"https://ttm.financial/m/news/1119241855?lang=&edition=fundamental","pubTime":"2021-04-16 11:10","market":"us","language":"en","title":"Netflix Stock: Company Looking To Adjust Longstanding Strategies As Rival Streamers Gain Ground","url":"https://stock-news.laohu8.com/highlight/detail?id=1119241855","media":"seekingalpha","summary":"Summary\n\nNetflix has seen its streaming rivals continually gain ground in the past few months prompt","content":"Summary\n<ul>\n <li>Netflix has seen its streaming rivals continually gain ground in the past few months prompting the company to re-evaluate a number of long-standing strategies.</li>\n <li>This isn’t Netflix’s first time fending off challengers and the company is acutely aware it will have to consistently make moves to stay on top.</li>\n <li>Netflix recently negotiated a deal with Sony that will result in it receiving more content sooner than before and also open the door to new partnerships with the studio.</li>\n <li>The streamer also utilized another “win-now” technique when it comes to its original films as instead of solely focusing on trying to create a new “it” franchise, it bought one.</li>\n <li>Netflix is also making moves on the TV side by adjusting its iconic “all-at-once” model and testing weekly batch drops of two popular reality shows – despite past pushback from subscribers.</li>\n</ul>\n<img src=\"https://static.tigerbbs.com/85c5bcbd94b754eab4b27fa6819cac61\" tg-width=\"768\" tg-height=\"509\">Photo by Christopher Ames/iStock Unreleased via Getty Images\nNever say never – even if you are Netflix (NASDAQ:NFLX)\nThe streaming leader has come under heavy competition in the last few months from upstart rivals Disney+ (NYSE:DIS) and HBO Max (NYSE:T), while at the same time battling a newly revitalized Amazon Prime (NASDAQ:AMZN). However, this isn’t Netflix’s first time fending off challengers and let’s be realistic, it wasn’t like Netflix wasn’t aware it was going to have to consistently make moves to stay on top.\nThis time though it’s a bit different because of the collective nature of the shifts and how they represent a direct change to the streamer’s roadmap and business/programming model. While separately all these moves are impactful in their own right, but when looking at them as part of a bigger picture – it is sending a clear message to investors that the service can be nimble, even in areas were for a while it was seemingly the opposite.\nFirst as always, some background.\nIncreasing Netflix's Market Share\nI want to look at three specific moves and their importance.\nLet’s kick it off with the one that has the biggest paradigm shift in the industry – the Sony deal.\n<img src=\"https://static.tigerbbs.com/9a75991f04f5078fe686afa0638322f6\" tg-width=\"934\" tg-height=\"488\">Credit: Sony\nLast week Netflix made a&nbsp;deal&nbsp;with Sony (NYSE:SONY) to acquire first-run pay TV rights for its theatrical releases. In other words, after theater and home video, it’s onto Netflix. This is a big step for the streamer as previously it would look to make deals for specific films, whereas now it a steady flow of features in play.\nLet me back up for a second though to explain a little more in depth…and keep in mind this is tied directly the traditional model (and pre-COVID). As mentioned, the usual route for a movie is theaters, home entertainment, pay TV, cable, broadcast, etc…where streaming comes in has always been somewhat fluid past pay TV.\nThis deal targets that “pay TV” window. The premium channels – i.e. HBO, Showtime, Starz, Epix – all have deals with studios for their outputs. For example, Warner Bros. films go to HBO, A24&nbsp;films&nbsp;go to Showtime and so on. In some cases it’s a natural fit among corporate siblings or a separate deal worked out to help both parties.\nPreviously Sony films went to Starz – but starting in 2022 when that deal expires, Netflix takes over.\nWhat that means is that Netflix just slipped into a window where traditional TV had a solid foothold.\nPart of the reason these networks had been able to pull in subscribers in the first place was that steady pipeline of theatricals. Those blockbusters were the draw to get you to subscribe with the ideas being those network’s originals would then get you further hooked. At the same time those movies - which then became part of an ever-growing film library - are the backbone of any premium movie network’s linear schedule.\nWhile this will be a noticeable loss for Starz, for Netflix and Sony it’s a win and one that should have both sets of investors thrilled.\nSony, which doesn’t have a streaming service, basically was able to use Netflix as a much-needed financial lifeline following the COVID-induced shutdown of theaters. In addition, the streamer will have the ability to invest in some of the studio’s upcoming projects. The pair had already seen success prior from a similar separate previousdealworked out for Sony’s animated fare.\n<img src=\"https://static.tigerbbs.com/7e7955071fa9cb7465c0265e4600ccd5\" tg-width=\"750\" tg-height=\"562\">Credit: Sony\nNetflix'sCompetitors Gain Ground\nSticking with the Sony deal a bit further (as there is a lot to unpack) - on the other side of the coin, Netflix now gets a fresh influx of content to make up for what competitors such as HBO Max, Disney+ and Peacock pulled back for their own services OR the content competitors such as Amazon or Apple outbid them on. That cannot be over-started enough, however on the positive side what investors have seen is Netflix's subscribers pivoting in turn to similar content.\nFor example Netflix's most popular series for a while was&nbsp;Friends&nbsp;and when that left,The Office&nbsp;took over. Now with&nbsp;Office&nbsp;gone,Schitt's Creek&nbsp;is in front. Netflix is a large part of the reason why&nbsp;Schitt's Creek&nbsp;exploded towards the end of its runs so it's unlikely that show will slip off the servers, but should it - the point is Netflix viewers will just go down the line.\nIt's also interesting to note the addition of&nbsp;Friends&nbsp;to HBO Max and&nbsp;Office&nbsp;to Peacock have been very successful for those networks - which speaks a lot to the value of IP overall versus just where it was available.\nSpeaking of IP, another reason why the Sony deal is important is because it has marquee franchises such as theSpider-Manuniverse. This is one of the rare non-Disney owned Marvel IP’s and this puts the streamer right back in the super-hero space that has performed so well for it prior.\nAll together the deal was a welcome sign of relief to some shareholders as it’s been&nbsp;rumored&nbsp;Comcast’s Universal division will soon begin pulling its content from Netflix soon to give exclusively to Peacock – similar to what the company did withThe Office&nbsp;earlier this year.\nThis is further protection for that type of a mass content exodus.\nOn it is own this is a big deal because of its far-reaching industry impacts – but where I’m looking it (and investors should also) is two-fold. One, it is a clear example of how Netflix is pivoting to stay competitive and somehow always finds a dance partner in need of its special set of skills.\nGoing Outside The Netflix Family\nThe other aspect is it’s also fascinating to see how Netflix has further infiltrated the film world – including by leaning into more traditional methods. And that takes us to the second piece of news which I touched on in a previous&nbsp;piece… theKnives Outdeal.\nAs a reminder Netflix&nbsp;bought&nbsp;the rights to the two sequels to the 2019 murder mystery hit (originally distributed by Lionsgate) for over $450 million…a stunning sum of money in its own right, let alone for such new IP. However, again looking at the bigger picture, it makes sense.\nNetflix is trying to further its film reach, even going so far as to produce&nbsp;over&nbsp;70 originals in 2021 – including at least one new one a week. The problem is that approach could actually dilute the overall product and cannibalizes its success.\nWe are also a few years into the Netflix film division and the studio has yet to find its AAA tier film franchise. It’s had individual successes and its won Oscars but it hasn’t had that film series that would be akin to one a traditional studio would leverage a theatrical trilogy out of…and its noticeable.\nSo Netflix did the next best thing – it bought one.\nKnives Outwas also a great choice.\nIt boasts Daniel Craig as the lead, comes from a well-regarded writer/director in Rian Johnson and also was an awards player. Plus the original packed together a stunning ensemble of A-list talent and the news ones will likely follow the same pattern.\nIt’s a safe and smart play for Netflix that will also get the attention and buzz they are looking for in that space. It’s also another example of Netflix’s “win-now” mentality.\nSo to recap – Netflix in the past few weeks went out and bought a new “it” franchise AND jumped to the front of the line for new “A-tier” content from a top-flight studio.\nBoth of these moves are in direct response to having their rivals step up their game.\nAnd to be clear, some of this may be reactionary, but that’s the point. It’s not knee-jerk in the least, it’s a calculated reaction that makes fiscal sense. Just as Netflix knew eventually studios/networks would wise up and stop feeding them content, its team knew its rivals would make gains and they’d have to adjust.\nThat’s business…there’s an ebb and flow.\nAs I mentioned earlier, Netflix smartly turned its attention to potential partners who could utilize their competitive advantage.\nNetflix's Biggest Risk May Come From Smallest Change\nTo me, the last move I want to touch on is the most interesting – it is also ironically the least headline-grabbing of the bunch. It ties to the TV side of the business, which has arguably come under just much of an attack from other streamers.\nIn the beginning, Netflix’s entry into streaming was built around being different, but the most well-known aspect of that build-up was its “all-at-once” pattern. While the traditional model had long relied on weekly episode drops, Netflix changed the game.\nIt was a refreshing approach.\nFor the “now” generation to have everything at their fingertips from the start was a big selling point. It also marked the beginning of “binge culture.” Of course, there were cons as well as pros, the problem with all-at-once is exactly that, it’s all-at-once.\nFor many people sitting for 10-12 hours to polish off a full season of a show is not realistic – even over a weekend it's hard. What that meant is while you can talk all you wanted online about the show’s twists and turns, it was harder to keep that conversation going with friends and family.\n<img src=\"https://static.tigerbbs.com/051370349a483fcd05ac4945cdcfb588\" tg-width=\"800\" tg-height=\"444\">Credit: Netflix\nWhile it’s worked tremendously for Netflix, it’s also proven to be a bit of a hinderance because fans never know where others are in the storyline. This stifles that type of watercooler conversation that helped build the legacy of many classic shows.\nThis was also a lot less complicated when Netflix’s core originals were limited to a handful of titles – but with countless new content flowing through its servers it is hard to keep track. Although many subscribers are quick to say the “all-at-once” model is a huge draw for them and a reason they love Netflix over other rivals.\nGranted after nearly a decade of use it makes sense as that type of access has become engrained and expected by its users. The difference is other streamers have found arguably the same type of success with the use of weekly drops – most notably Disney+.\nWhile Netflix gets a lot of bang for its buck for its own titles, normally it is mainly limited to about a three-week period – the week prior to launch, the week of launch and the week after launch. Beyond that you can notice a sizable dip in the chatter, conversely Disney’s weekly model has a longer impact.\nBy dropping new episodes on Fridays, Disney invites new conversation over the entire weekend, that are repeated over a period of months. That&nbsp;repetition&nbsp;has helped elevate the profile of its&nbsp;Star Wars&nbsp;and Marvel-centric series (and in turn the brands). With each of which usually clocking in around 30 mins long, it makes it easier for people to watch without a huge time commitment.\nThat has seemingly caught the attention of Netflix which looks like it wants to switch things up – and I think the reaction by subscribers is going to be interesting to shareholders.\nTwo of Netflix’s reality franchises –The CircleandToo Hot To Handle– will now&nbsp;NOT&nbsp;be all-at-once drops. The batch model still holds, in that multiple episodes will still drop per week – but it won’t be the whole thing.\n<img src=\"https://static.tigerbbs.com/90bb70897890d7ac296671b75837af4c\" tg-width=\"1024\" tg-height=\"576\">Credit: Netflix\nThe Circlepremieres this week and will wrap May 5th, whileToo Hot To Handlewill debut in June – both on Wednesdays, which is also telling to me. In effect Netflix is trying to own that day of the week, which is a very traditional model approach to take.\nSo why am I so interested in this approach?\nThe main reason is because it represents a huge shift to their overall model that if successful could lead to future scripted series potentially getting the same treatment. I’ve often argued the one thing keeping Netflix’s originals back is the all-at-once approach.\nRememberThe Witcher?\nYes, it’s a hit for Netflix but it’s notGame of Thrones– and it was designed specifically to beGame of Thrones. Now hadWitcherbeen a weekly release and gotten all the buzz and added media attention that comes with it, it is very possible the series could have seen a substantial boost in popularity.\nEspecially with scripted shows that are heavily serialized having that added time to digest the material is incredibly important. With reality series, not so much – but they are still a great test case because there is still a payoff at the end.\nIt’s also telling because Netflix tried this before, but then quicky said it was a one-off move.\nWhenRhythm + Flowpremiered the other year, it took the weekly model approach in an attempt to preserve the identity of the winner as long as possible. However seemingly from the start Netflix essentially began apologizing for the decision.\nIt was kind of whiplash inducing as in one breath it was quick to tout a new creative approach and then just as fast say it was essentially a one-time&nbsp;thing.\nTo some it looked like Netflix felt like it had to go out of itswayto say it was an aberration to not upset the apple cart with its subscribers – which is why I’m very interested to see the response when it happens with two of its top franchises. I’ll be even more interested to see if this is the approach taken withLove Is Blindwhen it returns later this year.\nAs I said, never say never – even with Netflix.\nConclusion\nI have to give the streamer credit as its moves to shore up its base are further examples of company “firsts” and for Netflix to still have “firsts” this many years into its innovative run says something that should be encouraging to investors.\nStreaming remains the Wild Wild West and Netflix is ensuring nobody can get too comfortable – not even themselves.","source":"seekingalpha","collect":0,"html":"<!DOCTYPE html>\n<html>\n<head>\n<meta http-equiv=\"Content-Type\" content=\"text/html; charset=utf-8\" />\n<meta name=\"viewport\" content=\"width=device-width,initial-scale=1.0,minimum-scale=1.0,maximum-scale=1.0,user-scalable=no\"/>\n<meta name=\"format-detection\" content=\"telephone=no,email=no,address=no\" />\n<title>Netflix Stock: Company Looking To Adjust Longstanding Strategies As Rival Streamers Gain Ground</title>\n<style type=\"text/css\">\na,abbr,acronym,address,applet,article,aside,audio,b,big,blockquote,body,canvas,caption,center,cite,code,dd,del,details,dfn,div,dl,dt,\nem,embed,fieldset,figcaption,figure,footer,form,h1,h2,h3,h4,h5,h6,header,hgroup,html,i,iframe,img,ins,kbd,label,legend,li,mark,menu,nav,\nobject,ol,output,p,pre,q,ruby,s,samp,section,small,span,strike,strong,sub,summary,sup,table,tbody,td,tfoot,th,thead,time,tr,tt,u,ul,var,video{ font:inherit;margin:0;padding:0;vertical-align:baseline;border:0 }\nbody{ font-size:16px; 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}\n.meta {color:#5e5c6d;font-size:13px;margin:0 0 .5em; }\na{text-decoration:none; color:#2a4b87;}\n.meta .head { display: inline-block; overflow: hidden}\n.head .h-thumb { width: 30px; height: 30px; margin: 0; padding: 0; border-radius: 50%; float: left;}\n.head .h-content { margin: 0; padding: 0 0 0 9px; float: left;}\n.head .h-name {font-size: 13px; color: #eee; margin: 0;}\n.head .h-time {font-size: 11px; color: #7E829C; margin: 0;line-height: 11px;}\n.small {font-size: 12.5px; display: inline-block; transform: scale(0.9); -webkit-transform: scale(0.9); transform-origin: left; -webkit-transform-origin: left;}\n.smaller {font-size: 12.5px; display: inline-block; transform: scale(0.8); -webkit-transform: scale(0.8); transform-origin: left; -webkit-transform-origin: left;}\n.bt-text {font-size: 12px;margin: 1.5em 0 0 0}\n.bt-text p {margin: 0}\n</style>\n</head>\n<body>\n<div class=\"wrapper\">\n<header>\n<h2 class=\"title\">\nNetflix Stock: Company Looking To Adjust Longstanding Strategies As Rival Streamers Gain Ground\n</h2>\n\n<h4 class=\"meta\">\n\n\n2021-04-16 11:10 GMT+8&nbsp;&nbsp;&nbsp;<a href=https://seekingalpha.com/article/4419132-netflix-stock-strategies-disney-plus-hbo-max>seekingalpha</a>\n\n\n</h4>\n\n</header>\n<article>\n<div>\nSummary\n\nNetflix has seen its streaming rivals continually gain ground in the past few months prompting the company to re-evaluate a number of long-standing strategies.\nThis isn’t Netflix’s first time...\n\n<a href=\"https://seekingalpha.com/article/4419132-netflix-stock-strategies-disney-plus-hbo-max\">Web Link</a>\n\n</div>\n\n\n</article>\n</div>\n</body>\n</html>\n","type":0,"thumbnail":"","relate_stocks":{"NFLX":"奈飞"},"source_url":"https://seekingalpha.com/article/4419132-netflix-stock-strategies-disney-plus-hbo-max","is_english":true,"share_image_url":"https://static.laohu8.com/5a36db9d73b4222bc376d24ccc48c8a4","article_id":"1119241855","content_text":"Summary\n\nNetflix has seen its streaming rivals continually gain ground in the past few months prompting the company to re-evaluate a number of long-standing strategies.\nThis isn’t Netflix’s first time fending off challengers and the company is acutely aware it will have to consistently make moves to stay on top.\nNetflix recently negotiated a deal with Sony that will result in it receiving more content sooner than before and also open the door to new partnerships with the studio.\nThe streamer also utilized another “win-now” technique when it comes to its original films as instead of solely focusing on trying to create a new “it” franchise, it bought one.\nNetflix is also making moves on the TV side by adjusting its iconic “all-at-once” model and testing weekly batch drops of two popular reality shows – despite past pushback from subscribers.\n\nPhoto by Christopher Ames/iStock Unreleased via Getty Images\nNever say never – even if you are Netflix (NASDAQ:NFLX)\nThe streaming leader has come under heavy competition in the last few months from upstart rivals Disney+ (NYSE:DIS) and HBO Max (NYSE:T), while at the same time battling a newly revitalized Amazon Prime (NASDAQ:AMZN). However, this isn’t Netflix’s first time fending off challengers and let’s be realistic, it wasn’t like Netflix wasn’t aware it was going to have to consistently make moves to stay on top.\nThis time though it’s a bit different because of the collective nature of the shifts and how they represent a direct change to the streamer’s roadmap and business/programming model. While separately all these moves are impactful in their own right, but when looking at them as part of a bigger picture – it is sending a clear message to investors that the service can be nimble, even in areas were for a while it was seemingly the opposite.\nFirst as always, some background.\nIncreasing Netflix's Market Share\nI want to look at three specific moves and their importance.\nLet’s kick it off with the one that has the biggest paradigm shift in the industry – the Sony deal.\nCredit: Sony\nLast week Netflix made a deal with Sony (NYSE:SONY) to acquire first-run pay TV rights for its theatrical releases. In other words, after theater and home video, it’s onto Netflix. This is a big step for the streamer as previously it would look to make deals for specific films, whereas now it a steady flow of features in play.\nLet me back up for a second though to explain a little more in depth…and keep in mind this is tied directly the traditional model (and pre-COVID). As mentioned, the usual route for a movie is theaters, home entertainment, pay TV, cable, broadcast, etc…where streaming comes in has always been somewhat fluid past pay TV.\nThis deal targets that “pay TV” window. The premium channels – i.e. HBO, Showtime, Starz, Epix – all have deals with studios for their outputs. For example, Warner Bros. films go to HBO, A24 films go to Showtime and so on. In some cases it’s a natural fit among corporate siblings or a separate deal worked out to help both parties.\nPreviously Sony films went to Starz – but starting in 2022 when that deal expires, Netflix takes over.\nWhat that means is that Netflix just slipped into a window where traditional TV had a solid foothold.\nPart of the reason these networks had been able to pull in subscribers in the first place was that steady pipeline of theatricals. Those blockbusters were the draw to get you to subscribe with the ideas being those network’s originals would then get you further hooked. At the same time those movies - which then became part of an ever-growing film library - are the backbone of any premium movie network’s linear schedule.\nWhile this will be a noticeable loss for Starz, for Netflix and Sony it’s a win and one that should have both sets of investors thrilled.\nSony, which doesn’t have a streaming service, basically was able to use Netflix as a much-needed financial lifeline following the COVID-induced shutdown of theaters. In addition, the streamer will have the ability to invest in some of the studio’s upcoming projects. The pair had already seen success prior from a similar separate previousdealworked out for Sony’s animated fare.\nCredit: Sony\nNetflix'sCompetitors Gain Ground\nSticking with the Sony deal a bit further (as there is a lot to unpack) - on the other side of the coin, Netflix now gets a fresh influx of content to make up for what competitors such as HBO Max, Disney+ and Peacock pulled back for their own services OR the content competitors such as Amazon or Apple outbid them on. That cannot be over-started enough, however on the positive side what investors have seen is Netflix's subscribers pivoting in turn to similar content.\nFor example Netflix's most popular series for a while was Friends and when that left,The Office took over. Now with Office gone,Schitt's Creek is in front. Netflix is a large part of the reason why Schitt's Creek exploded towards the end of its runs so it's unlikely that show will slip off the servers, but should it - the point is Netflix viewers will just go down the line.\nIt's also interesting to note the addition of Friends to HBO Max and Office to Peacock have been very successful for those networks - which speaks a lot to the value of IP overall versus just where it was available.\nSpeaking of IP, another reason why the Sony deal is important is because it has marquee franchises such as theSpider-Manuniverse. This is one of the rare non-Disney owned Marvel IP’s and this puts the streamer right back in the super-hero space that has performed so well for it prior.\nAll together the deal was a welcome sign of relief to some shareholders as it’s been rumored Comcast’s Universal division will soon begin pulling its content from Netflix soon to give exclusively to Peacock – similar to what the company did withThe Office earlier this year.\nThis is further protection for that type of a mass content exodus.\nOn it is own this is a big deal because of its far-reaching industry impacts – but where I’m looking it (and investors should also) is two-fold. One, it is a clear example of how Netflix is pivoting to stay competitive and somehow always finds a dance partner in need of its special set of skills.\nGoing Outside The Netflix Family\nThe other aspect is it’s also fascinating to see how Netflix has further infiltrated the film world – including by leaning into more traditional methods. And that takes us to the second piece of news which I touched on in a previous piece… theKnives Outdeal.\nAs a reminder Netflix bought the rights to the two sequels to the 2019 murder mystery hit (originally distributed by Lionsgate) for over $450 million…a stunning sum of money in its own right, let alone for such new IP. However, again looking at the bigger picture, it makes sense.\nNetflix is trying to further its film reach, even going so far as to produce over 70 originals in 2021 – including at least one new one a week. The problem is that approach could actually dilute the overall product and cannibalizes its success.\nWe are also a few years into the Netflix film division and the studio has yet to find its AAA tier film franchise. It’s had individual successes and its won Oscars but it hasn’t had that film series that would be akin to one a traditional studio would leverage a theatrical trilogy out of…and its noticeable.\nSo Netflix did the next best thing – it bought one.\nKnives Outwas also a great choice.\nIt boasts Daniel Craig as the lead, comes from a well-regarded writer/director in Rian Johnson and also was an awards player. Plus the original packed together a stunning ensemble of A-list talent and the news ones will likely follow the same pattern.\nIt’s a safe and smart play for Netflix that will also get the attention and buzz they are looking for in that space. It’s also another example of Netflix’s “win-now” mentality.\nSo to recap – Netflix in the past few weeks went out and bought a new “it” franchise AND jumped to the front of the line for new “A-tier” content from a top-flight studio.\nBoth of these moves are in direct response to having their rivals step up their game.\nAnd to be clear, some of this may be reactionary, but that’s the point. It’s not knee-jerk in the least, it’s a calculated reaction that makes fiscal sense. Just as Netflix knew eventually studios/networks would wise up and stop feeding them content, its team knew its rivals would make gains and they’d have to adjust.\nThat’s business…there’s an ebb and flow.\nAs I mentioned earlier, Netflix smartly turned its attention to potential partners who could utilize their competitive advantage.\nNetflix's Biggest Risk May Come From Smallest Change\nTo me, the last move I want to touch on is the most interesting – it is also ironically the least headline-grabbing of the bunch. It ties to the TV side of the business, which has arguably come under just much of an attack from other streamers.\nIn the beginning, Netflix’s entry into streaming was built around being different, but the most well-known aspect of that build-up was its “all-at-once” pattern. While the traditional model had long relied on weekly episode drops, Netflix changed the game.\nIt was a refreshing approach.\nFor the “now” generation to have everything at their fingertips from the start was a big selling point. It also marked the beginning of “binge culture.” Of course, there were cons as well as pros, the problem with all-at-once is exactly that, it’s all-at-once.\nFor many people sitting for 10-12 hours to polish off a full season of a show is not realistic – even over a weekend it's hard. What that meant is while you can talk all you wanted online about the show’s twists and turns, it was harder to keep that conversation going with friends and family.\nCredit: Netflix\nWhile it’s worked tremendously for Netflix, it’s also proven to be a bit of a hinderance because fans never know where others are in the storyline. This stifles that type of watercooler conversation that helped build the legacy of many classic shows.\nThis was also a lot less complicated when Netflix’s core originals were limited to a handful of titles – but with countless new content flowing through its servers it is hard to keep track. Although many subscribers are quick to say the “all-at-once” model is a huge draw for them and a reason they love Netflix over other rivals.\nGranted after nearly a decade of use it makes sense as that type of access has become engrained and expected by its users. The difference is other streamers have found arguably the same type of success with the use of weekly drops – most notably Disney+.\nWhile Netflix gets a lot of bang for its buck for its own titles, normally it is mainly limited to about a three-week period – the week prior to launch, the week of launch and the week after launch. Beyond that you can notice a sizable dip in the chatter, conversely Disney’s weekly model has a longer impact.\nBy dropping new episodes on Fridays, Disney invites new conversation over the entire weekend, that are repeated over a period of months. That repetition has helped elevate the profile of its Star Wars and Marvel-centric series (and in turn the brands). With each of which usually clocking in around 30 mins long, it makes it easier for people to watch without a huge time commitment.\nThat has seemingly caught the attention of Netflix which looks like it wants to switch things up – and I think the reaction by subscribers is going to be interesting to shareholders.\nTwo of Netflix’s reality franchises –The CircleandToo Hot To Handle– will now NOT be all-at-once drops. The batch model still holds, in that multiple episodes will still drop per week – but it won’t be the whole thing.\nCredit: Netflix\nThe Circlepremieres this week and will wrap May 5th, whileToo Hot To Handlewill debut in June – both on Wednesdays, which is also telling to me. In effect Netflix is trying to own that day of the week, which is a very traditional model approach to take.\nSo why am I so interested in this approach?\nThe main reason is because it represents a huge shift to their overall model that if successful could lead to future scripted series potentially getting the same treatment. I’ve often argued the one thing keeping Netflix’s originals back is the all-at-once approach.\nRememberThe Witcher?\nYes, it’s a hit for Netflix but it’s notGame of Thrones– and it was designed specifically to beGame of Thrones. Now hadWitcherbeen a weekly release and gotten all the buzz and added media attention that comes with it, it is very possible the series could have seen a substantial boost in popularity.\nEspecially with scripted shows that are heavily serialized having that added time to digest the material is incredibly important. With reality series, not so much – but they are still a great test case because there is still a payoff at the end.\nIt’s also telling because Netflix tried this before, but then quicky said it was a one-off move.\nWhenRhythm + Flowpremiered the other year, it took the weekly model approach in an attempt to preserve the identity of the winner as long as possible. However seemingly from the start Netflix essentially began apologizing for the decision.\nIt was kind of whiplash inducing as in one breath it was quick to tout a new creative approach and then just as fast say it was essentially a one-time thing.\nTo some it looked like Netflix felt like it had to go out of itswayto say it was an aberration to not upset the apple cart with its subscribers – which is why I’m very interested to see the response when it happens with two of its top franchises. I’ll be even more interested to see if this is the approach taken withLove Is Blindwhen it returns later this year.\nAs I said, never say never – even with Netflix.\nConclusion\nI have to give the streamer credit as its moves to shore up its base are further examples of company “firsts” and for Netflix to still have “firsts” this many years into its innovative run says something that should be encouraging to investors.\nStreaming remains the Wild Wild West and Netflix is ensuring nobody can get too comfortable – not even themselves.","news_type":1},"isVote":1,"likeStatus":false,"favoriteStatus":false,"reportStatus":false,"tweetType":1,"langContent":"EN"},{"id":370949484,"gmtCreate":1618546690348,"gmtModify":1704712543742,"author":{"id":"3562500026354118","authorId":"3562500026354118","authorIdStr":"3562500026354118","name":"Cuterly","avatar":"https://static.tigerbbs.com/97a91a7e288139731d11df89ded4f5fe","vip":1,"crmLevel":5,"crmLevelSwitch":0,"idStr":"3562500026354118"},"htmlText":"Like and comments thanks&nbsp;","listText":"Like and comments thanks&nbsp;","text":"Like and comments thanks","images":[],"top":1,"highlighted":1,"essential":1,"paper":1,"likeSize":0,"commentSize":0,"repostSize":0,"link":"https://ttm.financial/post/370949484","repostId":1119241855,"repostType":4,"repost":{"id":"1119241855","pubTimestamp":1618542634,"share":"https://ttm.financial/m/news/1119241855?lang=&edition=fundamental","pubTime":"2021-04-16 11:10","market":"us","language":"en","title":"Netflix Stock: Company Looking To Adjust Longstanding Strategies As Rival Streamers Gain Ground","url":"https://stock-news.laohu8.com/highlight/detail?id=1119241855","media":"seekingalpha","summary":"Summary\n\nNetflix has seen its streaming rivals continually gain ground in the past few months prompt","content":"Summary\n<ul>\n <li>Netflix has seen its streaming rivals continually gain ground in the past few months prompting the company to re-evaluate a number of long-standing strategies.</li>\n <li>This isn’t Netflix’s first time fending off challengers and the company is acutely aware it will have to consistently make moves to stay on top.</li>\n <li>Netflix recently negotiated a deal with Sony that will result in it receiving more content sooner than before and also open the door to new partnerships with the studio.</li>\n <li>The streamer also utilized another “win-now” technique when it comes to its original films as instead of solely focusing on trying to create a new “it” franchise, it bought one.</li>\n <li>Netflix is also making moves on the TV side by adjusting its iconic “all-at-once” model and testing weekly batch drops of two popular reality shows – despite past pushback from subscribers.</li>\n</ul>\n<img src=\"https://static.tigerbbs.com/85c5bcbd94b754eab4b27fa6819cac61\" tg-width=\"768\" tg-height=\"509\">Photo by Christopher Ames/iStock Unreleased via Getty Images\nNever say never – even if you are Netflix (NASDAQ:NFLX)\nThe streaming leader has come under heavy competition in the last few months from upstart rivals Disney+ (NYSE:DIS) and HBO Max (NYSE:T), while at the same time battling a newly revitalized Amazon Prime (NASDAQ:AMZN). However, this isn’t Netflix’s first time fending off challengers and let’s be realistic, it wasn’t like Netflix wasn’t aware it was going to have to consistently make moves to stay on top.\nThis time though it’s a bit different because of the collective nature of the shifts and how they represent a direct change to the streamer’s roadmap and business/programming model. While separately all these moves are impactful in their own right, but when looking at them as part of a bigger picture – it is sending a clear message to investors that the service can be nimble, even in areas were for a while it was seemingly the opposite.\nFirst as always, some background.\nIncreasing Netflix's Market Share\nI want to look at three specific moves and their importance.\nLet’s kick it off with the one that has the biggest paradigm shift in the industry – the Sony deal.\n<img src=\"https://static.tigerbbs.com/9a75991f04f5078fe686afa0638322f6\" tg-width=\"934\" tg-height=\"488\">Credit: Sony\nLast week Netflix made a&nbsp;deal&nbsp;with Sony (NYSE:SONY) to acquire first-run pay TV rights for its theatrical releases. In other words, after theater and home video, it’s onto Netflix. This is a big step for the streamer as previously it would look to make deals for specific films, whereas now it a steady flow of features in play.\nLet me back up for a second though to explain a little more in depth…and keep in mind this is tied directly the traditional model (and pre-COVID). As mentioned, the usual route for a movie is theaters, home entertainment, pay TV, cable, broadcast, etc…where streaming comes in has always been somewhat fluid past pay TV.\nThis deal targets that “pay TV” window. The premium channels – i.e. HBO, Showtime, Starz, Epix – all have deals with studios for their outputs. For example, Warner Bros. films go to HBO, A24&nbsp;films&nbsp;go to Showtime and so on. In some cases it’s a natural fit among corporate siblings or a separate deal worked out to help both parties.\nPreviously Sony films went to Starz – but starting in 2022 when that deal expires, Netflix takes over.\nWhat that means is that Netflix just slipped into a window where traditional TV had a solid foothold.\nPart of the reason these networks had been able to pull in subscribers in the first place was that steady pipeline of theatricals. Those blockbusters were the draw to get you to subscribe with the ideas being those network’s originals would then get you further hooked. At the same time those movies - which then became part of an ever-growing film library - are the backbone of any premium movie network’s linear schedule.\nWhile this will be a noticeable loss for Starz, for Netflix and Sony it’s a win and one that should have both sets of investors thrilled.\nSony, which doesn’t have a streaming service, basically was able to use Netflix as a much-needed financial lifeline following the COVID-induced shutdown of theaters. In addition, the streamer will have the ability to invest in some of the studio’s upcoming projects. The pair had already seen success prior from a similar separate previousdealworked out for Sony’s animated fare.\n<img src=\"https://static.tigerbbs.com/7e7955071fa9cb7465c0265e4600ccd5\" tg-width=\"750\" tg-height=\"562\">Credit: Sony\nNetflix'sCompetitors Gain Ground\nSticking with the Sony deal a bit further (as there is a lot to unpack) - on the other side of the coin, Netflix now gets a fresh influx of content to make up for what competitors such as HBO Max, Disney+ and Peacock pulled back for their own services OR the content competitors such as Amazon or Apple outbid them on. That cannot be over-started enough, however on the positive side what investors have seen is Netflix's subscribers pivoting in turn to similar content.\nFor example Netflix's most popular series for a while was&nbsp;Friends&nbsp;and when that left,The Office&nbsp;took over. Now with&nbsp;Office&nbsp;gone,Schitt's Creek&nbsp;is in front. Netflix is a large part of the reason why&nbsp;Schitt's Creek&nbsp;exploded towards the end of its runs so it's unlikely that show will slip off the servers, but should it - the point is Netflix viewers will just go down the line.\nIt's also interesting to note the addition of&nbsp;Friends&nbsp;to HBO Max and&nbsp;Office&nbsp;to Peacock have been very successful for those networks - which speaks a lot to the value of IP overall versus just where it was available.\nSpeaking of IP, another reason why the Sony deal is important is because it has marquee franchises such as theSpider-Manuniverse. This is one of the rare non-Disney owned Marvel IP’s and this puts the streamer right back in the super-hero space that has performed so well for it prior.\nAll together the deal was a welcome sign of relief to some shareholders as it’s been&nbsp;rumored&nbsp;Comcast’s Universal division will soon begin pulling its content from Netflix soon to give exclusively to Peacock – similar to what the company did withThe Office&nbsp;earlier this year.\nThis is further protection for that type of a mass content exodus.\nOn it is own this is a big deal because of its far-reaching industry impacts – but where I’m looking it (and investors should also) is two-fold. One, it is a clear example of how Netflix is pivoting to stay competitive and somehow always finds a dance partner in need of its special set of skills.\nGoing Outside The Netflix Family\nThe other aspect is it’s also fascinating to see how Netflix has further infiltrated the film world – including by leaning into more traditional methods. And that takes us to the second piece of news which I touched on in a previous&nbsp;piece… theKnives Outdeal.\nAs a reminder Netflix&nbsp;bought&nbsp;the rights to the two sequels to the 2019 murder mystery hit (originally distributed by Lionsgate) for over $450 million…a stunning sum of money in its own right, let alone for such new IP. However, again looking at the bigger picture, it makes sense.\nNetflix is trying to further its film reach, even going so far as to produce&nbsp;over&nbsp;70 originals in 2021 – including at least one new one a week. The problem is that approach could actually dilute the overall product and cannibalizes its success.\nWe are also a few years into the Netflix film division and the studio has yet to find its AAA tier film franchise. It’s had individual successes and its won Oscars but it hasn’t had that film series that would be akin to one a traditional studio would leverage a theatrical trilogy out of…and its noticeable.\nSo Netflix did the next best thing – it bought one.\nKnives Outwas also a great choice.\nIt boasts Daniel Craig as the lead, comes from a well-regarded writer/director in Rian Johnson and also was an awards player. Plus the original packed together a stunning ensemble of A-list talent and the news ones will likely follow the same pattern.\nIt’s a safe and smart play for Netflix that will also get the attention and buzz they are looking for in that space. It’s also another example of Netflix’s “win-now” mentality.\nSo to recap – Netflix in the past few weeks went out and bought a new “it” franchise AND jumped to the front of the line for new “A-tier” content from a top-flight studio.\nBoth of these moves are in direct response to having their rivals step up their game.\nAnd to be clear, some of this may be reactionary, but that’s the point. It’s not knee-jerk in the least, it’s a calculated reaction that makes fiscal sense. Just as Netflix knew eventually studios/networks would wise up and stop feeding them content, its team knew its rivals would make gains and they’d have to adjust.\nThat’s business…there’s an ebb and flow.\nAs I mentioned earlier, Netflix smartly turned its attention to potential partners who could utilize their competitive advantage.\nNetflix's Biggest Risk May Come From Smallest Change\nTo me, the last move I want to touch on is the most interesting – it is also ironically the least headline-grabbing of the bunch. It ties to the TV side of the business, which has arguably come under just much of an attack from other streamers.\nIn the beginning, Netflix’s entry into streaming was built around being different, but the most well-known aspect of that build-up was its “all-at-once” pattern. While the traditional model had long relied on weekly episode drops, Netflix changed the game.\nIt was a refreshing approach.\nFor the “now” generation to have everything at their fingertips from the start was a big selling point. It also marked the beginning of “binge culture.” Of course, there were cons as well as pros, the problem with all-at-once is exactly that, it’s all-at-once.\nFor many people sitting for 10-12 hours to polish off a full season of a show is not realistic – even over a weekend it's hard. What that meant is while you can talk all you wanted online about the show’s twists and turns, it was harder to keep that conversation going with friends and family.\n<img src=\"https://static.tigerbbs.com/051370349a483fcd05ac4945cdcfb588\" tg-width=\"800\" tg-height=\"444\">Credit: Netflix\nWhile it’s worked tremendously for Netflix, it’s also proven to be a bit of a hinderance because fans never know where others are in the storyline. This stifles that type of watercooler conversation that helped build the legacy of many classic shows.\nThis was also a lot less complicated when Netflix’s core originals were limited to a handful of titles – but with countless new content flowing through its servers it is hard to keep track. Although many subscribers are quick to say the “all-at-once” model is a huge draw for them and a reason they love Netflix over other rivals.\nGranted after nearly a decade of use it makes sense as that type of access has become engrained and expected by its users. The difference is other streamers have found arguably the same type of success with the use of weekly drops – most notably Disney+.\nWhile Netflix gets a lot of bang for its buck for its own titles, normally it is mainly limited to about a three-week period – the week prior to launch, the week of launch and the week after launch. Beyond that you can notice a sizable dip in the chatter, conversely Disney’s weekly model has a longer impact.\nBy dropping new episodes on Fridays, Disney invites new conversation over the entire weekend, that are repeated over a period of months. That&nbsp;repetition&nbsp;has helped elevate the profile of its&nbsp;Star Wars&nbsp;and Marvel-centric series (and in turn the brands). With each of which usually clocking in around 30 mins long, it makes it easier for people to watch without a huge time commitment.\nThat has seemingly caught the attention of Netflix which looks like it wants to switch things up – and I think the reaction by subscribers is going to be interesting to shareholders.\nTwo of Netflix’s reality franchises –The CircleandToo Hot To Handle– will now&nbsp;NOT&nbsp;be all-at-once drops. The batch model still holds, in that multiple episodes will still drop per week – but it won’t be the whole thing.\n<img src=\"https://static.tigerbbs.com/90bb70897890d7ac296671b75837af4c\" tg-width=\"1024\" tg-height=\"576\">Credit: Netflix\nThe Circlepremieres this week and will wrap May 5th, whileToo Hot To Handlewill debut in June – both on Wednesdays, which is also telling to me. In effect Netflix is trying to own that day of the week, which is a very traditional model approach to take.\nSo why am I so interested in this approach?\nThe main reason is because it represents a huge shift to their overall model that if successful could lead to future scripted series potentially getting the same treatment. I’ve often argued the one thing keeping Netflix’s originals back is the all-at-once approach.\nRememberThe Witcher?\nYes, it’s a hit for Netflix but it’s notGame of Thrones– and it was designed specifically to beGame of Thrones. Now hadWitcherbeen a weekly release and gotten all the buzz and added media attention that comes with it, it is very possible the series could have seen a substantial boost in popularity.\nEspecially with scripted shows that are heavily serialized having that added time to digest the material is incredibly important. With reality series, not so much – but they are still a great test case because there is still a payoff at the end.\nIt’s also telling because Netflix tried this before, but then quicky said it was a one-off move.\nWhenRhythm + Flowpremiered the other year, it took the weekly model approach in an attempt to preserve the identity of the winner as long as possible. However seemingly from the start Netflix essentially began apologizing for the decision.\nIt was kind of whiplash inducing as in one breath it was quick to tout a new creative approach and then just as fast say it was essentially a one-time&nbsp;thing.\nTo some it looked like Netflix felt like it had to go out of itswayto say it was an aberration to not upset the apple cart with its subscribers – which is why I’m very interested to see the response when it happens with two of its top franchises. I’ll be even more interested to see if this is the approach taken withLove Is Blindwhen it returns later this year.\nAs I said, never say never – even with Netflix.\nConclusion\nI have to give the streamer credit as its moves to shore up its base are further examples of company “firsts” and for Netflix to still have “firsts” this many years into its innovative run says something that should be encouraging to investors.\nStreaming remains the Wild Wild West and Netflix is ensuring nobody can get too comfortable – not even themselves.","source":"seekingalpha","collect":0,"html":"<!DOCTYPE html>\n<html>\n<head>\n<meta http-equiv=\"Content-Type\" content=\"text/html; charset=utf-8\" />\n<meta name=\"viewport\" content=\"width=device-width,initial-scale=1.0,minimum-scale=1.0,maximum-scale=1.0,user-scalable=no\"/>\n<meta name=\"format-detection\" content=\"telephone=no,email=no,address=no\" />\n<title>Netflix Stock: Company Looking To Adjust Longstanding Strategies As Rival Streamers Gain Ground</title>\n<style type=\"text/css\">\na,abbr,acronym,address,applet,article,aside,audio,b,big,blockquote,body,canvas,caption,center,cite,code,dd,del,details,dfn,div,dl,dt,\nem,embed,fieldset,figcaption,figure,footer,form,h1,h2,h3,h4,h5,h6,header,hgroup,html,i,iframe,img,ins,kbd,label,legend,li,mark,menu,nav,\nobject,ol,output,p,pre,q,ruby,s,samp,section,small,span,strike,strong,sub,summary,sup,table,tbody,td,tfoot,th,thead,time,tr,tt,u,ul,var,video{ font:inherit;margin:0;padding:0;vertical-align:baseline;border:0 }\nbody{ font-size:16px; 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}\n.meta {color:#5e5c6d;font-size:13px;margin:0 0 .5em; }\na{text-decoration:none; color:#2a4b87;}\n.meta .head { display: inline-block; overflow: hidden}\n.head .h-thumb { width: 30px; height: 30px; margin: 0; padding: 0; border-radius: 50%; float: left;}\n.head .h-content { margin: 0; padding: 0 0 0 9px; float: left;}\n.head .h-name {font-size: 13px; color: #eee; margin: 0;}\n.head .h-time {font-size: 11px; color: #7E829C; margin: 0;line-height: 11px;}\n.small {font-size: 12.5px; display: inline-block; transform: scale(0.9); -webkit-transform: scale(0.9); transform-origin: left; -webkit-transform-origin: left;}\n.smaller {font-size: 12.5px; display: inline-block; transform: scale(0.8); -webkit-transform: scale(0.8); transform-origin: left; -webkit-transform-origin: left;}\n.bt-text {font-size: 12px;margin: 1.5em 0 0 0}\n.bt-text p {margin: 0}\n</style>\n</head>\n<body>\n<div class=\"wrapper\">\n<header>\n<h2 class=\"title\">\nNetflix Stock: Company Looking To Adjust Longstanding Strategies As Rival Streamers Gain Ground\n</h2>\n\n<h4 class=\"meta\">\n\n\n2021-04-16 11:10 GMT+8&nbsp;&nbsp;&nbsp;<a href=https://seekingalpha.com/article/4419132-netflix-stock-strategies-disney-plus-hbo-max>seekingalpha</a>\n\n\n</h4>\n\n</header>\n<article>\n<div>\nSummary\n\nNetflix has seen its streaming rivals continually gain ground in the past few months prompting the company to re-evaluate a number of long-standing strategies.\nThis isn’t Netflix’s first time...\n\n<a href=\"https://seekingalpha.com/article/4419132-netflix-stock-strategies-disney-plus-hbo-max\">Web Link</a>\n\n</div>\n\n\n</article>\n</div>\n</body>\n</html>\n","type":0,"thumbnail":"","relate_stocks":{"NFLX":"奈飞"},"source_url":"https://seekingalpha.com/article/4419132-netflix-stock-strategies-disney-plus-hbo-max","is_english":true,"share_image_url":"https://static.laohu8.com/5a36db9d73b4222bc376d24ccc48c8a4","article_id":"1119241855","content_text":"Summary\n\nNetflix has seen its streaming rivals continually gain ground in the past few months prompting the company to re-evaluate a number of long-standing strategies.\nThis isn’t Netflix’s first time fending off challengers and the company is acutely aware it will have to consistently make moves to stay on top.\nNetflix recently negotiated a deal with Sony that will result in it receiving more content sooner than before and also open the door to new partnerships with the studio.\nThe streamer also utilized another “win-now” technique when it comes to its original films as instead of solely focusing on trying to create a new “it” franchise, it bought one.\nNetflix is also making moves on the TV side by adjusting its iconic “all-at-once” model and testing weekly batch drops of two popular reality shows – despite past pushback from subscribers.\n\nPhoto by Christopher Ames/iStock Unreleased via Getty Images\nNever say never – even if you are Netflix (NASDAQ:NFLX)\nThe streaming leader has come under heavy competition in the last few months from upstart rivals Disney+ (NYSE:DIS) and HBO Max (NYSE:T), while at the same time battling a newly revitalized Amazon Prime (NASDAQ:AMZN). However, this isn’t Netflix’s first time fending off challengers and let’s be realistic, it wasn’t like Netflix wasn’t aware it was going to have to consistently make moves to stay on top.\nThis time though it’s a bit different because of the collective nature of the shifts and how they represent a direct change to the streamer’s roadmap and business/programming model. While separately all these moves are impactful in their own right, but when looking at them as part of a bigger picture – it is sending a clear message to investors that the service can be nimble, even in areas were for a while it was seemingly the opposite.\nFirst as always, some background.\nIncreasing Netflix's Market Share\nI want to look at three specific moves and their importance.\nLet’s kick it off with the one that has the biggest paradigm shift in the industry – the Sony deal.\nCredit: Sony\nLast week Netflix made a deal with Sony (NYSE:SONY) to acquire first-run pay TV rights for its theatrical releases. In other words, after theater and home video, it’s onto Netflix. This is a big step for the streamer as previously it would look to make deals for specific films, whereas now it a steady flow of features in play.\nLet me back up for a second though to explain a little more in depth…and keep in mind this is tied directly the traditional model (and pre-COVID). As mentioned, the usual route for a movie is theaters, home entertainment, pay TV, cable, broadcast, etc…where streaming comes in has always been somewhat fluid past pay TV.\nThis deal targets that “pay TV” window. The premium channels – i.e. HBO, Showtime, Starz, Epix – all have deals with studios for their outputs. For example, Warner Bros. films go to HBO, A24 films go to Showtime and so on. In some cases it’s a natural fit among corporate siblings or a separate deal worked out to help both parties.\nPreviously Sony films went to Starz – but starting in 2022 when that deal expires, Netflix takes over.\nWhat that means is that Netflix just slipped into a window where traditional TV had a solid foothold.\nPart of the reason these networks had been able to pull in subscribers in the first place was that steady pipeline of theatricals. Those blockbusters were the draw to get you to subscribe with the ideas being those network’s originals would then get you further hooked. At the same time those movies - which then became part of an ever-growing film library - are the backbone of any premium movie network’s linear schedule.\nWhile this will be a noticeable loss for Starz, for Netflix and Sony it’s a win and one that should have both sets of investors thrilled.\nSony, which doesn’t have a streaming service, basically was able to use Netflix as a much-needed financial lifeline following the COVID-induced shutdown of theaters. In addition, the streamer will have the ability to invest in some of the studio’s upcoming projects. The pair had already seen success prior from a similar separate previousdealworked out for Sony’s animated fare.\nCredit: Sony\nNetflix'sCompetitors Gain Ground\nSticking with the Sony deal a bit further (as there is a lot to unpack) - on the other side of the coin, Netflix now gets a fresh influx of content to make up for what competitors such as HBO Max, Disney+ and Peacock pulled back for their own services OR the content competitors such as Amazon or Apple outbid them on. That cannot be over-started enough, however on the positive side what investors have seen is Netflix's subscribers pivoting in turn to similar content.\nFor example Netflix's most popular series for a while was Friends and when that left,The Office took over. Now with Office gone,Schitt's Creek is in front. Netflix is a large part of the reason why Schitt's Creek exploded towards the end of its runs so it's unlikely that show will slip off the servers, but should it - the point is Netflix viewers will just go down the line.\nIt's also interesting to note the addition of Friends to HBO Max and Office to Peacock have been very successful for those networks - which speaks a lot to the value of IP overall versus just where it was available.\nSpeaking of IP, another reason why the Sony deal is important is because it has marquee franchises such as theSpider-Manuniverse. This is one of the rare non-Disney owned Marvel IP’s and this puts the streamer right back in the super-hero space that has performed so well for it prior.\nAll together the deal was a welcome sign of relief to some shareholders as it’s been rumored Comcast’s Universal division will soon begin pulling its content from Netflix soon to give exclusively to Peacock – similar to what the company did withThe Office earlier this year.\nThis is further protection for that type of a mass content exodus.\nOn it is own this is a big deal because of its far-reaching industry impacts – but where I’m looking it (and investors should also) is two-fold. One, it is a clear example of how Netflix is pivoting to stay competitive and somehow always finds a dance partner in need of its special set of skills.\nGoing Outside The Netflix Family\nThe other aspect is it’s also fascinating to see how Netflix has further infiltrated the film world – including by leaning into more traditional methods. And that takes us to the second piece of news which I touched on in a previous piece… theKnives Outdeal.\nAs a reminder Netflix bought the rights to the two sequels to the 2019 murder mystery hit (originally distributed by Lionsgate) for over $450 million…a stunning sum of money in its own right, let alone for such new IP. However, again looking at the bigger picture, it makes sense.\nNetflix is trying to further its film reach, even going so far as to produce over 70 originals in 2021 – including at least one new one a week. The problem is that approach could actually dilute the overall product and cannibalizes its success.\nWe are also a few years into the Netflix film division and the studio has yet to find its AAA tier film franchise. It’s had individual successes and its won Oscars but it hasn’t had that film series that would be akin to one a traditional studio would leverage a theatrical trilogy out of…and its noticeable.\nSo Netflix did the next best thing – it bought one.\nKnives Outwas also a great choice.\nIt boasts Daniel Craig as the lead, comes from a well-regarded writer/director in Rian Johnson and also was an awards player. Plus the original packed together a stunning ensemble of A-list talent and the news ones will likely follow the same pattern.\nIt’s a safe and smart play for Netflix that will also get the attention and buzz they are looking for in that space. It’s also another example of Netflix’s “win-now” mentality.\nSo to recap – Netflix in the past few weeks went out and bought a new “it” franchise AND jumped to the front of the line for new “A-tier” content from a top-flight studio.\nBoth of these moves are in direct response to having their rivals step up their game.\nAnd to be clear, some of this may be reactionary, but that’s the point. It’s not knee-jerk in the least, it’s a calculated reaction that makes fiscal sense. Just as Netflix knew eventually studios/networks would wise up and stop feeding them content, its team knew its rivals would make gains and they’d have to adjust.\nThat’s business…there’s an ebb and flow.\nAs I mentioned earlier, Netflix smartly turned its attention to potential partners who could utilize their competitive advantage.\nNetflix's Biggest Risk May Come From Smallest Change\nTo me, the last move I want to touch on is the most interesting – it is also ironically the least headline-grabbing of the bunch. It ties to the TV side of the business, which has arguably come under just much of an attack from other streamers.\nIn the beginning, Netflix’s entry into streaming was built around being different, but the most well-known aspect of that build-up was its “all-at-once” pattern. While the traditional model had long relied on weekly episode drops, Netflix changed the game.\nIt was a refreshing approach.\nFor the “now” generation to have everything at their fingertips from the start was a big selling point. It also marked the beginning of “binge culture.” Of course, there were cons as well as pros, the problem with all-at-once is exactly that, it’s all-at-once.\nFor many people sitting for 10-12 hours to polish off a full season of a show is not realistic – even over a weekend it's hard. What that meant is while you can talk all you wanted online about the show’s twists and turns, it was harder to keep that conversation going with friends and family.\nCredit: Netflix\nWhile it’s worked tremendously for Netflix, it’s also proven to be a bit of a hinderance because fans never know where others are in the storyline. This stifles that type of watercooler conversation that helped build the legacy of many classic shows.\nThis was also a lot less complicated when Netflix’s core originals were limited to a handful of titles – but with countless new content flowing through its servers it is hard to keep track. Although many subscribers are quick to say the “all-at-once” model is a huge draw for them and a reason they love Netflix over other rivals.\nGranted after nearly a decade of use it makes sense as that type of access has become engrained and expected by its users. The difference is other streamers have found arguably the same type of success with the use of weekly drops – most notably Disney+.\nWhile Netflix gets a lot of bang for its buck for its own titles, normally it is mainly limited to about a three-week period – the week prior to launch, the week of launch and the week after launch. Beyond that you can notice a sizable dip in the chatter, conversely Disney’s weekly model has a longer impact.\nBy dropping new episodes on Fridays, Disney invites new conversation over the entire weekend, that are repeated over a period of months. That repetition has helped elevate the profile of its Star Wars and Marvel-centric series (and in turn the brands). With each of which usually clocking in around 30 mins long, it makes it easier for people to watch without a huge time commitment.\nThat has seemingly caught the attention of Netflix which looks like it wants to switch things up – and I think the reaction by subscribers is going to be interesting to shareholders.\nTwo of Netflix’s reality franchises –The CircleandToo Hot To Handle– will now NOT be all-at-once drops. The batch model still holds, in that multiple episodes will still drop per week – but it won’t be the whole thing.\nCredit: Netflix\nThe Circlepremieres this week and will wrap May 5th, whileToo Hot To Handlewill debut in June – both on Wednesdays, which is also telling to me. In effect Netflix is trying to own that day of the week, which is a very traditional model approach to take.\nSo why am I so interested in this approach?\nThe main reason is because it represents a huge shift to their overall model that if successful could lead to future scripted series potentially getting the same treatment. I’ve often argued the one thing keeping Netflix’s originals back is the all-at-once approach.\nRememberThe Witcher?\nYes, it’s a hit for Netflix but it’s notGame of Thrones– and it was designed specifically to beGame of Thrones. Now hadWitcherbeen a weekly release and gotten all the buzz and added media attention that comes with it, it is very possible the series could have seen a substantial boost in popularity.\nEspecially with scripted shows that are heavily serialized having that added time to digest the material is incredibly important. With reality series, not so much – but they are still a great test case because there is still a payoff at the end.\nIt’s also telling because Netflix tried this before, but then quicky said it was a one-off move.\nWhenRhythm + Flowpremiered the other year, it took the weekly model approach in an attempt to preserve the identity of the winner as long as possible. However seemingly from the start Netflix essentially began apologizing for the decision.\nIt was kind of whiplash inducing as in one breath it was quick to tout a new creative approach and then just as fast say it was essentially a one-time thing.\nTo some it looked like Netflix felt like it had to go out of itswayto say it was an aberration to not upset the apple cart with its subscribers – which is why I’m very interested to see the response when it happens with two of its top franchises. I’ll be even more interested to see if this is the approach taken withLove Is Blindwhen it returns later this year.\nAs I said, never say never – even with Netflix.\nConclusion\nI have to give the streamer credit as its moves to shore up its base are further examples of company “firsts” and for Netflix to still have “firsts” this many years into its innovative run says something that should be encouraging to investors.\nStreaming remains the Wild Wild West and Netflix is ensuring nobody can get too comfortable – not even themselves.","news_type":1},"isVote":1,"likeStatus":false,"favoriteStatus":false,"reportStatus":false,"tweetType":1,"langContent":"EN"},{"id":370958966,"gmtCreate":1618546014455,"gmtModify":1704712533216,"author":{"id":"3574756159963132","authorId":"3574756159963132","authorIdStr":"3574756159963132","name":"TheZaiKia","avatar":"https://static.tigerbbs.com/d42f4341bc9f163ff10b836a7039e893","vip":1,"crmLevel":2,"crmLevelSwitch":0,"idStr":"3574756159963132"},"htmlText":"Like and comment :)","listText":"Like and comment :)","text":"Like and comment :)","images":[],"top":1,"highlighted":1,"essential":1,"paper":1,"likeSize":2,"commentSize":2,"repostSize":0,"link":"https://ttm.financial/post/370958966","repostId":1119241855,"repostType":4,"repost":{"id":"1119241855","pubTimestamp":1618542634,"share":"https://ttm.financial/m/news/1119241855?lang=&edition=fundamental","pubTime":"2021-04-16 11:10","market":"us","language":"en","title":"Netflix Stock: Company Looking To Adjust Longstanding Strategies As Rival Streamers Gain Ground","url":"https://stock-news.laohu8.com/highlight/detail?id=1119241855","media":"seekingalpha","summary":"Summary\n\nNetflix has seen its streaming rivals continually gain ground in the past few months prompt","content":"Summary\n<ul>\n <li>Netflix has seen its streaming rivals continually gain ground in the past few months prompting the company to re-evaluate a number of long-standing strategies.</li>\n <li>This isn’t Netflix’s first time fending off challengers and the company is acutely aware it will have to consistently make moves to stay on top.</li>\n <li>Netflix recently negotiated a deal with Sony that will result in it receiving more content sooner than before and also open the door to new partnerships with the studio.</li>\n <li>The streamer also utilized another “win-now” technique when it comes to its original films as instead of solely focusing on trying to create a new “it” franchise, it bought one.</li>\n <li>Netflix is also making moves on the TV side by adjusting its iconic “all-at-once” model and testing weekly batch drops of two popular reality shows – despite past pushback from subscribers.</li>\n</ul>\n<img src=\"https://static.tigerbbs.com/85c5bcbd94b754eab4b27fa6819cac61\" tg-width=\"768\" tg-height=\"509\">Photo by Christopher Ames/iStock Unreleased via Getty Images\nNever say never – even if you are Netflix (NASDAQ:NFLX)\nThe streaming leader has come under heavy competition in the last few months from upstart rivals Disney+ (NYSE:DIS) and HBO Max (NYSE:T), while at the same time battling a newly revitalized Amazon Prime (NASDAQ:AMZN). However, this isn’t Netflix’s first time fending off challengers and let’s be realistic, it wasn’t like Netflix wasn’t aware it was going to have to consistently make moves to stay on top.\nThis time though it’s a bit different because of the collective nature of the shifts and how they represent a direct change to the streamer’s roadmap and business/programming model. While separately all these moves are impactful in their own right, but when looking at them as part of a bigger picture – it is sending a clear message to investors that the service can be nimble, even in areas were for a while it was seemingly the opposite.\nFirst as always, some background.\nIncreasing Netflix's Market Share\nI want to look at three specific moves and their importance.\nLet’s kick it off with the one that has the biggest paradigm shift in the industry – the Sony deal.\n<img src=\"https://static.tigerbbs.com/9a75991f04f5078fe686afa0638322f6\" tg-width=\"934\" tg-height=\"488\">Credit: Sony\nLast week Netflix made a&nbsp;deal&nbsp;with Sony (NYSE:SONY) to acquire first-run pay TV rights for its theatrical releases. In other words, after theater and home video, it’s onto Netflix. This is a big step for the streamer as previously it would look to make deals for specific films, whereas now it a steady flow of features in play.\nLet me back up for a second though to explain a little more in depth…and keep in mind this is tied directly the traditional model (and pre-COVID). As mentioned, the usual route for a movie is theaters, home entertainment, pay TV, cable, broadcast, etc…where streaming comes in has always been somewhat fluid past pay TV.\nThis deal targets that “pay TV” window. The premium channels – i.e. HBO, Showtime, Starz, Epix – all have deals with studios for their outputs. For example, Warner Bros. films go to HBO, A24&nbsp;films&nbsp;go to Showtime and so on. In some cases it’s a natural fit among corporate siblings or a separate deal worked out to help both parties.\nPreviously Sony films went to Starz – but starting in 2022 when that deal expires, Netflix takes over.\nWhat that means is that Netflix just slipped into a window where traditional TV had a solid foothold.\nPart of the reason these networks had been able to pull in subscribers in the first place was that steady pipeline of theatricals. Those blockbusters were the draw to get you to subscribe with the ideas being those network’s originals would then get you further hooked. At the same time those movies - which then became part of an ever-growing film library - are the backbone of any premium movie network’s linear schedule.\nWhile this will be a noticeable loss for Starz, for Netflix and Sony it’s a win and one that should have both sets of investors thrilled.\nSony, which doesn’t have a streaming service, basically was able to use Netflix as a much-needed financial lifeline following the COVID-induced shutdown of theaters. In addition, the streamer will have the ability to invest in some of the studio’s upcoming projects. The pair had already seen success prior from a similar separate previousdealworked out for Sony’s animated fare.\n<img src=\"https://static.tigerbbs.com/7e7955071fa9cb7465c0265e4600ccd5\" tg-width=\"750\" tg-height=\"562\">Credit: Sony\nNetflix'sCompetitors Gain Ground\nSticking with the Sony deal a bit further (as there is a lot to unpack) - on the other side of the coin, Netflix now gets a fresh influx of content to make up for what competitors such as HBO Max, Disney+ and Peacock pulled back for their own services OR the content competitors such as Amazon or Apple outbid them on. That cannot be over-started enough, however on the positive side what investors have seen is Netflix's subscribers pivoting in turn to similar content.\nFor example Netflix's most popular series for a while was&nbsp;Friends&nbsp;and when that left,The Office&nbsp;took over. Now with&nbsp;Office&nbsp;gone,Schitt's Creek&nbsp;is in front. Netflix is a large part of the reason why&nbsp;Schitt's Creek&nbsp;exploded towards the end of its runs so it's unlikely that show will slip off the servers, but should it - the point is Netflix viewers will just go down the line.\nIt's also interesting to note the addition of&nbsp;Friends&nbsp;to HBO Max and&nbsp;Office&nbsp;to Peacock have been very successful for those networks - which speaks a lot to the value of IP overall versus just where it was available.\nSpeaking of IP, another reason why the Sony deal is important is because it has marquee franchises such as theSpider-Manuniverse. This is one of the rare non-Disney owned Marvel IP’s and this puts the streamer right back in the super-hero space that has performed so well for it prior.\nAll together the deal was a welcome sign of relief to some shareholders as it’s been&nbsp;rumored&nbsp;Comcast’s Universal division will soon begin pulling its content from Netflix soon to give exclusively to Peacock – similar to what the company did withThe Office&nbsp;earlier this year.\nThis is further protection for that type of a mass content exodus.\nOn it is own this is a big deal because of its far-reaching industry impacts – but where I’m looking it (and investors should also) is two-fold. One, it is a clear example of how Netflix is pivoting to stay competitive and somehow always finds a dance partner in need of its special set of skills.\nGoing Outside The Netflix Family\nThe other aspect is it’s also fascinating to see how Netflix has further infiltrated the film world – including by leaning into more traditional methods. And that takes us to the second piece of news which I touched on in a previous&nbsp;piece… theKnives Outdeal.\nAs a reminder Netflix&nbsp;bought&nbsp;the rights to the two sequels to the 2019 murder mystery hit (originally distributed by Lionsgate) for over $450 million…a stunning sum of money in its own right, let alone for such new IP. However, again looking at the bigger picture, it makes sense.\nNetflix is trying to further its film reach, even going so far as to produce&nbsp;over&nbsp;70 originals in 2021 – including at least one new one a week. The problem is that approach could actually dilute the overall product and cannibalizes its success.\nWe are also a few years into the Netflix film division and the studio has yet to find its AAA tier film franchise. It’s had individual successes and its won Oscars but it hasn’t had that film series that would be akin to one a traditional studio would leverage a theatrical trilogy out of…and its noticeable.\nSo Netflix did the next best thing – it bought one.\nKnives Outwas also a great choice.\nIt boasts Daniel Craig as the lead, comes from a well-regarded writer/director in Rian Johnson and also was an awards player. Plus the original packed together a stunning ensemble of A-list talent and the news ones will likely follow the same pattern.\nIt’s a safe and smart play for Netflix that will also get the attention and buzz they are looking for in that space. It’s also another example of Netflix’s “win-now” mentality.\nSo to recap – Netflix in the past few weeks went out and bought a new “it” franchise AND jumped to the front of the line for new “A-tier” content from a top-flight studio.\nBoth of these moves are in direct response to having their rivals step up their game.\nAnd to be clear, some of this may be reactionary, but that’s the point. It’s not knee-jerk in the least, it’s a calculated reaction that makes fiscal sense. Just as Netflix knew eventually studios/networks would wise up and stop feeding them content, its team knew its rivals would make gains and they’d have to adjust.\nThat’s business…there’s an ebb and flow.\nAs I mentioned earlier, Netflix smartly turned its attention to potential partners who could utilize their competitive advantage.\nNetflix's Biggest Risk May Come From Smallest Change\nTo me, the last move I want to touch on is the most interesting – it is also ironically the least headline-grabbing of the bunch. It ties to the TV side of the business, which has arguably come under just much of an attack from other streamers.\nIn the beginning, Netflix’s entry into streaming was built around being different, but the most well-known aspect of that build-up was its “all-at-once” pattern. While the traditional model had long relied on weekly episode drops, Netflix changed the game.\nIt was a refreshing approach.\nFor the “now” generation to have everything at their fingertips from the start was a big selling point. It also marked the beginning of “binge culture.” Of course, there were cons as well as pros, the problem with all-at-once is exactly that, it’s all-at-once.\nFor many people sitting for 10-12 hours to polish off a full season of a show is not realistic – even over a weekend it's hard. What that meant is while you can talk all you wanted online about the show’s twists and turns, it was harder to keep that conversation going with friends and family.\n<img src=\"https://static.tigerbbs.com/051370349a483fcd05ac4945cdcfb588\" tg-width=\"800\" tg-height=\"444\">Credit: Netflix\nWhile it’s worked tremendously for Netflix, it’s also proven to be a bit of a hinderance because fans never know where others are in the storyline. This stifles that type of watercooler conversation that helped build the legacy of many classic shows.\nThis was also a lot less complicated when Netflix’s core originals were limited to a handful of titles – but with countless new content flowing through its servers it is hard to keep track. Although many subscribers are quick to say the “all-at-once” model is a huge draw for them and a reason they love Netflix over other rivals.\nGranted after nearly a decade of use it makes sense as that type of access has become engrained and expected by its users. The difference is other streamers have found arguably the same type of success with the use of weekly drops – most notably Disney+.\nWhile Netflix gets a lot of bang for its buck for its own titles, normally it is mainly limited to about a three-week period – the week prior to launch, the week of launch and the week after launch. Beyond that you can notice a sizable dip in the chatter, conversely Disney’s weekly model has a longer impact.\nBy dropping new episodes on Fridays, Disney invites new conversation over the entire weekend, that are repeated over a period of months. That&nbsp;repetition&nbsp;has helped elevate the profile of its&nbsp;Star Wars&nbsp;and Marvel-centric series (and in turn the brands). With each of which usually clocking in around 30 mins long, it makes it easier for people to watch without a huge time commitment.\nThat has seemingly caught the attention of Netflix which looks like it wants to switch things up – and I think the reaction by subscribers is going to be interesting to shareholders.\nTwo of Netflix’s reality franchises –The CircleandToo Hot To Handle– will now&nbsp;NOT&nbsp;be all-at-once drops. The batch model still holds, in that multiple episodes will still drop per week – but it won’t be the whole thing.\n<img src=\"https://static.tigerbbs.com/90bb70897890d7ac296671b75837af4c\" tg-width=\"1024\" tg-height=\"576\">Credit: Netflix\nThe Circlepremieres this week and will wrap May 5th, whileToo Hot To Handlewill debut in June – both on Wednesdays, which is also telling to me. In effect Netflix is trying to own that day of the week, which is a very traditional model approach to take.\nSo why am I so interested in this approach?\nThe main reason is because it represents a huge shift to their overall model that if successful could lead to future scripted series potentially getting the same treatment. I’ve often argued the one thing keeping Netflix’s originals back is the all-at-once approach.\nRememberThe Witcher?\nYes, it’s a hit for Netflix but it’s notGame of Thrones– and it was designed specifically to beGame of Thrones. Now hadWitcherbeen a weekly release and gotten all the buzz and added media attention that comes with it, it is very possible the series could have seen a substantial boost in popularity.\nEspecially with scripted shows that are heavily serialized having that added time to digest the material is incredibly important. With reality series, not so much – but they are still a great test case because there is still a payoff at the end.\nIt’s also telling because Netflix tried this before, but then quicky said it was a one-off move.\nWhenRhythm + Flowpremiered the other year, it took the weekly model approach in an attempt to preserve the identity of the winner as long as possible. However seemingly from the start Netflix essentially began apologizing for the decision.\nIt was kind of whiplash inducing as in one breath it was quick to tout a new creative approach and then just as fast say it was essentially a one-time&nbsp;thing.\nTo some it looked like Netflix felt like it had to go out of itswayto say it was an aberration to not upset the apple cart with its subscribers – which is why I’m very interested to see the response when it happens with two of its top franchises. I’ll be even more interested to see if this is the approach taken withLove Is Blindwhen it returns later this year.\nAs I said, never say never – even with Netflix.\nConclusion\nI have to give the streamer credit as its moves to shore up its base are further examples of company “firsts” and for Netflix to still have “firsts” this many years into its innovative run says something that should be encouraging to investors.\nStreaming remains the Wild Wild West and Netflix is ensuring nobody can get too comfortable – not even themselves.","source":"seekingalpha","collect":0,"html":"<!DOCTYPE html>\n<html>\n<head>\n<meta http-equiv=\"Content-Type\" content=\"text/html; charset=utf-8\" />\n<meta name=\"viewport\" content=\"width=device-width,initial-scale=1.0,minimum-scale=1.0,maximum-scale=1.0,user-scalable=no\"/>\n<meta name=\"format-detection\" content=\"telephone=no,email=no,address=no\" />\n<title>Netflix Stock: Company Looking To Adjust Longstanding Strategies As Rival Streamers Gain Ground</title>\n<style type=\"text/css\">\na,abbr,acronym,address,applet,article,aside,audio,b,big,blockquote,body,canvas,caption,center,cite,code,dd,del,details,dfn,div,dl,dt,\nem,embed,fieldset,figcaption,figure,footer,form,h1,h2,h3,h4,h5,h6,header,hgroup,html,i,iframe,img,ins,kbd,label,legend,li,mark,menu,nav,\nobject,ol,output,p,pre,q,ruby,s,samp,section,small,span,strike,strong,sub,summary,sup,table,tbody,td,tfoot,th,thead,time,tr,tt,u,ul,var,video{ font:inherit;margin:0;padding:0;vertical-align:baseline;border:0 }\nbody{ font-size:16px; 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}\n.meta {color:#5e5c6d;font-size:13px;margin:0 0 .5em; }\na{text-decoration:none; color:#2a4b87;}\n.meta .head { display: inline-block; overflow: hidden}\n.head .h-thumb { width: 30px; height: 30px; margin: 0; padding: 0; border-radius: 50%; float: left;}\n.head .h-content { margin: 0; padding: 0 0 0 9px; float: left;}\n.head .h-name {font-size: 13px; color: #eee; margin: 0;}\n.head .h-time {font-size: 11px; color: #7E829C; margin: 0;line-height: 11px;}\n.small {font-size: 12.5px; display: inline-block; transform: scale(0.9); -webkit-transform: scale(0.9); transform-origin: left; -webkit-transform-origin: left;}\n.smaller {font-size: 12.5px; display: inline-block; transform: scale(0.8); -webkit-transform: scale(0.8); transform-origin: left; -webkit-transform-origin: left;}\n.bt-text {font-size: 12px;margin: 1.5em 0 0 0}\n.bt-text p {margin: 0}\n</style>\n</head>\n<body>\n<div class=\"wrapper\">\n<header>\n<h2 class=\"title\">\nNetflix Stock: Company Looking To Adjust Longstanding Strategies As Rival Streamers Gain Ground\n</h2>\n\n<h4 class=\"meta\">\n\n\n2021-04-16 11:10 GMT+8&nbsp;&nbsp;&nbsp;<a href=https://seekingalpha.com/article/4419132-netflix-stock-strategies-disney-plus-hbo-max>seekingalpha</a>\n\n\n</h4>\n\n</header>\n<article>\n<div>\nSummary\n\nNetflix has seen its streaming rivals continually gain ground in the past few months prompting the company to re-evaluate a number of long-standing strategies.\nThis isn’t Netflix’s first time...\n\n<a href=\"https://seekingalpha.com/article/4419132-netflix-stock-strategies-disney-plus-hbo-max\">Web Link</a>\n\n</div>\n\n\n</article>\n</div>\n</body>\n</html>\n","type":0,"thumbnail":"","relate_stocks":{"NFLX":"奈飞"},"source_url":"https://seekingalpha.com/article/4419132-netflix-stock-strategies-disney-plus-hbo-max","is_english":true,"share_image_url":"https://static.laohu8.com/5a36db9d73b4222bc376d24ccc48c8a4","article_id":"1119241855","content_text":"Summary\n\nNetflix has seen its streaming rivals continually gain ground in the past few months prompting the company to re-evaluate a number of long-standing strategies.\nThis isn’t Netflix’s first time fending off challengers and the company is acutely aware it will have to consistently make moves to stay on top.\nNetflix recently negotiated a deal with Sony that will result in it receiving more content sooner than before and also open the door to new partnerships with the studio.\nThe streamer also utilized another “win-now” technique when it comes to its original films as instead of solely focusing on trying to create a new “it” franchise, it bought one.\nNetflix is also making moves on the TV side by adjusting its iconic “all-at-once” model and testing weekly batch drops of two popular reality shows – despite past pushback from subscribers.\n\nPhoto by Christopher Ames/iStock Unreleased via Getty Images\nNever say never – even if you are Netflix (NASDAQ:NFLX)\nThe streaming leader has come under heavy competition in the last few months from upstart rivals Disney+ (NYSE:DIS) and HBO Max (NYSE:T), while at the same time battling a newly revitalized Amazon Prime (NASDAQ:AMZN). However, this isn’t Netflix’s first time fending off challengers and let’s be realistic, it wasn’t like Netflix wasn’t aware it was going to have to consistently make moves to stay on top.\nThis time though it’s a bit different because of the collective nature of the shifts and how they represent a direct change to the streamer’s roadmap and business/programming model. While separately all these moves are impactful in their own right, but when looking at them as part of a bigger picture – it is sending a clear message to investors that the service can be nimble, even in areas were for a while it was seemingly the opposite.\nFirst as always, some background.\nIncreasing Netflix's Market Share\nI want to look at three specific moves and their importance.\nLet’s kick it off with the one that has the biggest paradigm shift in the industry – the Sony deal.\nCredit: Sony\nLast week Netflix made a deal with Sony (NYSE:SONY) to acquire first-run pay TV rights for its theatrical releases. In other words, after theater and home video, it’s onto Netflix. This is a big step for the streamer as previously it would look to make deals for specific films, whereas now it a steady flow of features in play.\nLet me back up for a second though to explain a little more in depth…and keep in mind this is tied directly the traditional model (and pre-COVID). As mentioned, the usual route for a movie is theaters, home entertainment, pay TV, cable, broadcast, etc…where streaming comes in has always been somewhat fluid past pay TV.\nThis deal targets that “pay TV” window. The premium channels – i.e. HBO, Showtime, Starz, Epix – all have deals with studios for their outputs. For example, Warner Bros. films go to HBO, A24 films go to Showtime and so on. In some cases it’s a natural fit among corporate siblings or a separate deal worked out to help both parties.\nPreviously Sony films went to Starz – but starting in 2022 when that deal expires, Netflix takes over.\nWhat that means is that Netflix just slipped into a window where traditional TV had a solid foothold.\nPart of the reason these networks had been able to pull in subscribers in the first place was that steady pipeline of theatricals. Those blockbusters were the draw to get you to subscribe with the ideas being those network’s originals would then get you further hooked. At the same time those movies - which then became part of an ever-growing film library - are the backbone of any premium movie network’s linear schedule.\nWhile this will be a noticeable loss for Starz, for Netflix and Sony it’s a win and one that should have both sets of investors thrilled.\nSony, which doesn’t have a streaming service, basically was able to use Netflix as a much-needed financial lifeline following the COVID-induced shutdown of theaters. In addition, the streamer will have the ability to invest in some of the studio’s upcoming projects. The pair had already seen success prior from a similar separate previousdealworked out for Sony’s animated fare.\nCredit: Sony\nNetflix'sCompetitors Gain Ground\nSticking with the Sony deal a bit further (as there is a lot to unpack) - on the other side of the coin, Netflix now gets a fresh influx of content to make up for what competitors such as HBO Max, Disney+ and Peacock pulled back for their own services OR the content competitors such as Amazon or Apple outbid them on. That cannot be over-started enough, however on the positive side what investors have seen is Netflix's subscribers pivoting in turn to similar content.\nFor example Netflix's most popular series for a while was Friends and when that left,The Office took over. Now with Office gone,Schitt's Creek is in front. Netflix is a large part of the reason why Schitt's Creek exploded towards the end of its runs so it's unlikely that show will slip off the servers, but should it - the point is Netflix viewers will just go down the line.\nIt's also interesting to note the addition of Friends to HBO Max and Office to Peacock have been very successful for those networks - which speaks a lot to the value of IP overall versus just where it was available.\nSpeaking of IP, another reason why the Sony deal is important is because it has marquee franchises such as theSpider-Manuniverse. This is one of the rare non-Disney owned Marvel IP’s and this puts the streamer right back in the super-hero space that has performed so well for it prior.\nAll together the deal was a welcome sign of relief to some shareholders as it’s been rumored Comcast’s Universal division will soon begin pulling its content from Netflix soon to give exclusively to Peacock – similar to what the company did withThe Office earlier this year.\nThis is further protection for that type of a mass content exodus.\nOn it is own this is a big deal because of its far-reaching industry impacts – but where I’m looking it (and investors should also) is two-fold. One, it is a clear example of how Netflix is pivoting to stay competitive and somehow always finds a dance partner in need of its special set of skills.\nGoing Outside The Netflix Family\nThe other aspect is it’s also fascinating to see how Netflix has further infiltrated the film world – including by leaning into more traditional methods. And that takes us to the second piece of news which I touched on in a previous piece… theKnives Outdeal.\nAs a reminder Netflix bought the rights to the two sequels to the 2019 murder mystery hit (originally distributed by Lionsgate) for over $450 million…a stunning sum of money in its own right, let alone for such new IP. However, again looking at the bigger picture, it makes sense.\nNetflix is trying to further its film reach, even going so far as to produce over 70 originals in 2021 – including at least one new one a week. The problem is that approach could actually dilute the overall product and cannibalizes its success.\nWe are also a few years into the Netflix film division and the studio has yet to find its AAA tier film franchise. It’s had individual successes and its won Oscars but it hasn’t had that film series that would be akin to one a traditional studio would leverage a theatrical trilogy out of…and its noticeable.\nSo Netflix did the next best thing – it bought one.\nKnives Outwas also a great choice.\nIt boasts Daniel Craig as the lead, comes from a well-regarded writer/director in Rian Johnson and also was an awards player. Plus the original packed together a stunning ensemble of A-list talent and the news ones will likely follow the same pattern.\nIt’s a safe and smart play for Netflix that will also get the attention and buzz they are looking for in that space. It’s also another example of Netflix’s “win-now” mentality.\nSo to recap – Netflix in the past few weeks went out and bought a new “it” franchise AND jumped to the front of the line for new “A-tier” content from a top-flight studio.\nBoth of these moves are in direct response to having their rivals step up their game.\nAnd to be clear, some of this may be reactionary, but that’s the point. It’s not knee-jerk in the least, it’s a calculated reaction that makes fiscal sense. Just as Netflix knew eventually studios/networks would wise up and stop feeding them content, its team knew its rivals would make gains and they’d have to adjust.\nThat’s business…there’s an ebb and flow.\nAs I mentioned earlier, Netflix smartly turned its attention to potential partners who could utilize their competitive advantage.\nNetflix's Biggest Risk May Come From Smallest Change\nTo me, the last move I want to touch on is the most interesting – it is also ironically the least headline-grabbing of the bunch. It ties to the TV side of the business, which has arguably come under just much of an attack from other streamers.\nIn the beginning, Netflix’s entry into streaming was built around being different, but the most well-known aspect of that build-up was its “all-at-once” pattern. While the traditional model had long relied on weekly episode drops, Netflix changed the game.\nIt was a refreshing approach.\nFor the “now” generation to have everything at their fingertips from the start was a big selling point. It also marked the beginning of “binge culture.” Of course, there were cons as well as pros, the problem with all-at-once is exactly that, it’s all-at-once.\nFor many people sitting for 10-12 hours to polish off a full season of a show is not realistic – even over a weekend it's hard. What that meant is while you can talk all you wanted online about the show’s twists and turns, it was harder to keep that conversation going with friends and family.\nCredit: Netflix\nWhile it’s worked tremendously for Netflix, it’s also proven to be a bit of a hinderance because fans never know where others are in the storyline. This stifles that type of watercooler conversation that helped build the legacy of many classic shows.\nThis was also a lot less complicated when Netflix’s core originals were limited to a handful of titles – but with countless new content flowing through its servers it is hard to keep track. Although many subscribers are quick to say the “all-at-once” model is a huge draw for them and a reason they love Netflix over other rivals.\nGranted after nearly a decade of use it makes sense as that type of access has become engrained and expected by its users. The difference is other streamers have found arguably the same type of success with the use of weekly drops – most notably Disney+.\nWhile Netflix gets a lot of bang for its buck for its own titles, normally it is mainly limited to about a three-week period – the week prior to launch, the week of launch and the week after launch. Beyond that you can notice a sizable dip in the chatter, conversely Disney’s weekly model has a longer impact.\nBy dropping new episodes on Fridays, Disney invites new conversation over the entire weekend, that are repeated over a period of months. That repetition has helped elevate the profile of its Star Wars and Marvel-centric series (and in turn the brands). With each of which usually clocking in around 30 mins long, it makes it easier for people to watch without a huge time commitment.\nThat has seemingly caught the attention of Netflix which looks like it wants to switch things up – and I think the reaction by subscribers is going to be interesting to shareholders.\nTwo of Netflix’s reality franchises –The CircleandToo Hot To Handle– will now NOT be all-at-once drops. The batch model still holds, in that multiple episodes will still drop per week – but it won’t be the whole thing.\nCredit: Netflix\nThe Circlepremieres this week and will wrap May 5th, whileToo Hot To Handlewill debut in June – both on Wednesdays, which is also telling to me. In effect Netflix is trying to own that day of the week, which is a very traditional model approach to take.\nSo why am I so interested in this approach?\nThe main reason is because it represents a huge shift to their overall model that if successful could lead to future scripted series potentially getting the same treatment. I’ve often argued the one thing keeping Netflix’s originals back is the all-at-once approach.\nRememberThe Witcher?\nYes, it’s a hit for Netflix but it’s notGame of Thrones– and it was designed specifically to beGame of Thrones. Now hadWitcherbeen a weekly release and gotten all the buzz and added media attention that comes with it, it is very possible the series could have seen a substantial boost in popularity.\nEspecially with scripted shows that are heavily serialized having that added time to digest the material is incredibly important. With reality series, not so much – but they are still a great test case because there is still a payoff at the end.\nIt’s also telling because Netflix tried this before, but then quicky said it was a one-off move.\nWhenRhythm + Flowpremiered the other year, it took the weekly model approach in an attempt to preserve the identity of the winner as long as possible. However seemingly from the start Netflix essentially began apologizing for the decision.\nIt was kind of whiplash inducing as in one breath it was quick to tout a new creative approach and then just as fast say it was essentially a one-time thing.\nTo some it looked like Netflix felt like it had to go out of itswayto say it was an aberration to not upset the apple cart with its subscribers – which is why I’m very interested to see the response when it happens with two of its top franchises. I’ll be even more interested to see if this is the approach taken withLove Is Blindwhen it returns later this year.\nAs I said, never say never – even with Netflix.\nConclusion\nI have to give the streamer credit as its moves to shore up its base are further examples of company “firsts” and for Netflix to still have “firsts” this many years into its innovative run says something that should be encouraging to investors.\nStreaming remains the Wild Wild West and Netflix is ensuring nobody can get too comfortable – not even themselves.","news_type":1},"isVote":1,"likeStatus":false,"favoriteStatus":false,"reportStatus":false,"tweetType":1,"comments":[{"id":4050358,"gmtCreate":1618547374157,"gmtModify":1680784296197,"authorId":3571345352614779,"author":{"id":3571345352614779,"authorId":3571345352614779,"name":"xiaobaii","avatar":"https://static.laohu8.com/default-avatar.jpg","vip":1,"crmLevel":2,"crmLevelSwitch":0,"individualDisplayBadges":[]},"repliedAuthorId":0,"objectId":370958966,"type":1,"supId":0,"prevId":0,"content":"kindly give me a like &amp; a comment please, thank you very much.","text":"kindly give me a like &amp; a comment please, thank you very much.","html":"kindly give me a like &amp; a comment please, thank you very much."},{"id":4050316,"gmtCreate":1618546964283,"gmtModify":1680784295430,"authorId":3578904826776116,"author":{"id":3578904826776116,"authorId":3578904826776116,"name":"TJW1991","avatar":"https://static.tigerbbs.com/c1d13fbb3feb6459408472fb351d6fe0","vip":1,"crmLevel":5,"crmLevelSwitch":0,"individualDisplayBadges":[]},"repliedAuthorId":0,"objectId":370958966,"type":1,"supId":0,"prevId":0,"content":"repond my comment","text":"repond my comment","html":"repond my comment"}],"langContent":"EN"},{"id":370953401,"gmtCreate":1618545922603,"gmtModify":1704712530950,"author":{"id":"3574861007165664","authorId":"3574861007165664","authorIdStr":"3574861007165664","name":"SivaSG","avatar":"https://static.tigerbbs.com/abc19d5eaf387477e73f540838a168b1","vip":1,"crmLevel":2,"crmLevelSwitch":0,"idStr":"3574861007165664"},"htmlText":"Goodluck&nbsp;","listText":"Goodluck&nbsp;","text":"Goodluck","images":[],"top":1,"highlighted":1,"essential":1,"paper":1,"likeSize":1,"commentSize":0,"repostSize":0,"link":"https://ttm.financial/post/370953401","repostId":1119241855,"repostType":4,"repost":{"id":"1119241855","pubTimestamp":1618542634,"share":"https://ttm.financial/m/news/1119241855?lang=&edition=fundamental","pubTime":"2021-04-16 11:10","market":"us","language":"en","title":"Netflix Stock: Company Looking To Adjust Longstanding Strategies As Rival Streamers Gain Ground","url":"https://stock-news.laohu8.com/highlight/detail?id=1119241855","media":"seekingalpha","summary":"Summary\n\nNetflix has seen its streaming rivals continually gain ground in the past few months prompt","content":"Summary\n<ul>\n <li>Netflix has seen its streaming rivals continually gain ground in the past few months prompting the company to re-evaluate a number of long-standing strategies.</li>\n <li>This isn’t Netflix’s first time fending off challengers and the company is acutely aware it will have to consistently make moves to stay on top.</li>\n <li>Netflix recently negotiated a deal with Sony that will result in it receiving more content sooner than before and also open the door to new partnerships with the studio.</li>\n <li>The streamer also utilized another “win-now” technique when it comes to its original films as instead of solely focusing on trying to create a new “it” franchise, it bought one.</li>\n <li>Netflix is also making moves on the TV side by adjusting its iconic “all-at-once” model and testing weekly batch drops of two popular reality shows – despite past pushback from subscribers.</li>\n</ul>\n<img src=\"https://static.tigerbbs.com/85c5bcbd94b754eab4b27fa6819cac61\" tg-width=\"768\" tg-height=\"509\">Photo by Christopher Ames/iStock Unreleased via Getty Images\nNever say never – even if you are Netflix (NASDAQ:NFLX)\nThe streaming leader has come under heavy competition in the last few months from upstart rivals Disney+ (NYSE:DIS) and HBO Max (NYSE:T), while at the same time battling a newly revitalized Amazon Prime (NASDAQ:AMZN). However, this isn’t Netflix’s first time fending off challengers and let’s be realistic, it wasn’t like Netflix wasn’t aware it was going to have to consistently make moves to stay on top.\nThis time though it’s a bit different because of the collective nature of the shifts and how they represent a direct change to the streamer’s roadmap and business/programming model. While separately all these moves are impactful in their own right, but when looking at them as part of a bigger picture – it is sending a clear message to investors that the service can be nimble, even in areas were for a while it was seemingly the opposite.\nFirst as always, some background.\nIncreasing Netflix's Market Share\nI want to look at three specific moves and their importance.\nLet’s kick it off with the one that has the biggest paradigm shift in the industry – the Sony deal.\n<img src=\"https://static.tigerbbs.com/9a75991f04f5078fe686afa0638322f6\" tg-width=\"934\" tg-height=\"488\">Credit: Sony\nLast week Netflix made a&nbsp;deal&nbsp;with Sony (NYSE:SONY) to acquire first-run pay TV rights for its theatrical releases. In other words, after theater and home video, it’s onto Netflix. This is a big step for the streamer as previously it would look to make deals for specific films, whereas now it a steady flow of features in play.\nLet me back up for a second though to explain a little more in depth…and keep in mind this is tied directly the traditional model (and pre-COVID). As mentioned, the usual route for a movie is theaters, home entertainment, pay TV, cable, broadcast, etc…where streaming comes in has always been somewhat fluid past pay TV.\nThis deal targets that “pay TV” window. The premium channels – i.e. HBO, Showtime, Starz, Epix – all have deals with studios for their outputs. For example, Warner Bros. films go to HBO, A24&nbsp;films&nbsp;go to Showtime and so on. In some cases it’s a natural fit among corporate siblings or a separate deal worked out to help both parties.\nPreviously Sony films went to Starz – but starting in 2022 when that deal expires, Netflix takes over.\nWhat that means is that Netflix just slipped into a window where traditional TV had a solid foothold.\nPart of the reason these networks had been able to pull in subscribers in the first place was that steady pipeline of theatricals. Those blockbusters were the draw to get you to subscribe with the ideas being those network’s originals would then get you further hooked. At the same time those movies - which then became part of an ever-growing film library - are the backbone of any premium movie network’s linear schedule.\nWhile this will be a noticeable loss for Starz, for Netflix and Sony it’s a win and one that should have both sets of investors thrilled.\nSony, which doesn’t have a streaming service, basically was able to use Netflix as a much-needed financial lifeline following the COVID-induced shutdown of theaters. In addition, the streamer will have the ability to invest in some of the studio’s upcoming projects. The pair had already seen success prior from a similar separate previousdealworked out for Sony’s animated fare.\n<img src=\"https://static.tigerbbs.com/7e7955071fa9cb7465c0265e4600ccd5\" tg-width=\"750\" tg-height=\"562\">Credit: Sony\nNetflix'sCompetitors Gain Ground\nSticking with the Sony deal a bit further (as there is a lot to unpack) - on the other side of the coin, Netflix now gets a fresh influx of content to make up for what competitors such as HBO Max, Disney+ and Peacock pulled back for their own services OR the content competitors such as Amazon or Apple outbid them on. That cannot be over-started enough, however on the positive side what investors have seen is Netflix's subscribers pivoting in turn to similar content.\nFor example Netflix's most popular series for a while was&nbsp;Friends&nbsp;and when that left,The Office&nbsp;took over. Now with&nbsp;Office&nbsp;gone,Schitt's Creek&nbsp;is in front. Netflix is a large part of the reason why&nbsp;Schitt's Creek&nbsp;exploded towards the end of its runs so it's unlikely that show will slip off the servers, but should it - the point is Netflix viewers will just go down the line.\nIt's also interesting to note the addition of&nbsp;Friends&nbsp;to HBO Max and&nbsp;Office&nbsp;to Peacock have been very successful for those networks - which speaks a lot to the value of IP overall versus just where it was available.\nSpeaking of IP, another reason why the Sony deal is important is because it has marquee franchises such as theSpider-Manuniverse. This is one of the rare non-Disney owned Marvel IP’s and this puts the streamer right back in the super-hero space that has performed so well for it prior.\nAll together the deal was a welcome sign of relief to some shareholders as it’s been&nbsp;rumored&nbsp;Comcast’s Universal division will soon begin pulling its content from Netflix soon to give exclusively to Peacock – similar to what the company did withThe Office&nbsp;earlier this year.\nThis is further protection for that type of a mass content exodus.\nOn it is own this is a big deal because of its far-reaching industry impacts – but where I’m looking it (and investors should also) is two-fold. One, it is a clear example of how Netflix is pivoting to stay competitive and somehow always finds a dance partner in need of its special set of skills.\nGoing Outside The Netflix Family\nThe other aspect is it’s also fascinating to see how Netflix has further infiltrated the film world – including by leaning into more traditional methods. And that takes us to the second piece of news which I touched on in a previous&nbsp;piece… theKnives Outdeal.\nAs a reminder Netflix&nbsp;bought&nbsp;the rights to the two sequels to the 2019 murder mystery hit (originally distributed by Lionsgate) for over $450 million…a stunning sum of money in its own right, let alone for such new IP. However, again looking at the bigger picture, it makes sense.\nNetflix is trying to further its film reach, even going so far as to produce&nbsp;over&nbsp;70 originals in 2021 – including at least one new one a week. The problem is that approach could actually dilute the overall product and cannibalizes its success.\nWe are also a few years into the Netflix film division and the studio has yet to find its AAA tier film franchise. It’s had individual successes and its won Oscars but it hasn’t had that film series that would be akin to one a traditional studio would leverage a theatrical trilogy out of…and its noticeable.\nSo Netflix did the next best thing – it bought one.\nKnives Outwas also a great choice.\nIt boasts Daniel Craig as the lead, comes from a well-regarded writer/director in Rian Johnson and also was an awards player. Plus the original packed together a stunning ensemble of A-list talent and the news ones will likely follow the same pattern.\nIt’s a safe and smart play for Netflix that will also get the attention and buzz they are looking for in that space. It’s also another example of Netflix’s “win-now” mentality.\nSo to recap – Netflix in the past few weeks went out and bought a new “it” franchise AND jumped to the front of the line for new “A-tier” content from a top-flight studio.\nBoth of these moves are in direct response to having their rivals step up their game.\nAnd to be clear, some of this may be reactionary, but that’s the point. It’s not knee-jerk in the least, it’s a calculated reaction that makes fiscal sense. Just as Netflix knew eventually studios/networks would wise up and stop feeding them content, its team knew its rivals would make gains and they’d have to adjust.\nThat’s business…there’s an ebb and flow.\nAs I mentioned earlier, Netflix smartly turned its attention to potential partners who could utilize their competitive advantage.\nNetflix's Biggest Risk May Come From Smallest Change\nTo me, the last move I want to touch on is the most interesting – it is also ironically the least headline-grabbing of the bunch. It ties to the TV side of the business, which has arguably come under just much of an attack from other streamers.\nIn the beginning, Netflix’s entry into streaming was built around being different, but the most well-known aspect of that build-up was its “all-at-once” pattern. While the traditional model had long relied on weekly episode drops, Netflix changed the game.\nIt was a refreshing approach.\nFor the “now” generation to have everything at their fingertips from the start was a big selling point. It also marked the beginning of “binge culture.” Of course, there were cons as well as pros, the problem with all-at-once is exactly that, it’s all-at-once.\nFor many people sitting for 10-12 hours to polish off a full season of a show is not realistic – even over a weekend it's hard. What that meant is while you can talk all you wanted online about the show’s twists and turns, it was harder to keep that conversation going with friends and family.\n<img src=\"https://static.tigerbbs.com/051370349a483fcd05ac4945cdcfb588\" tg-width=\"800\" tg-height=\"444\">Credit: Netflix\nWhile it’s worked tremendously for Netflix, it’s also proven to be a bit of a hinderance because fans never know where others are in the storyline. This stifles that type of watercooler conversation that helped build the legacy of many classic shows.\nThis was also a lot less complicated when Netflix’s core originals were limited to a handful of titles – but with countless new content flowing through its servers it is hard to keep track. Although many subscribers are quick to say the “all-at-once” model is a huge draw for them and a reason they love Netflix over other rivals.\nGranted after nearly a decade of use it makes sense as that type of access has become engrained and expected by its users. The difference is other streamers have found arguably the same type of success with the use of weekly drops – most notably Disney+.\nWhile Netflix gets a lot of bang for its buck for its own titles, normally it is mainly limited to about a three-week period – the week prior to launch, the week of launch and the week after launch. Beyond that you can notice a sizable dip in the chatter, conversely Disney’s weekly model has a longer impact.\nBy dropping new episodes on Fridays, Disney invites new conversation over the entire weekend, that are repeated over a period of months. That&nbsp;repetition&nbsp;has helped elevate the profile of its&nbsp;Star Wars&nbsp;and Marvel-centric series (and in turn the brands). With each of which usually clocking in around 30 mins long, it makes it easier for people to watch without a huge time commitment.\nThat has seemingly caught the attention of Netflix which looks like it wants to switch things up – and I think the reaction by subscribers is going to be interesting to shareholders.\nTwo of Netflix’s reality franchises –The CircleandToo Hot To Handle– will now&nbsp;NOT&nbsp;be all-at-once drops. The batch model still holds, in that multiple episodes will still drop per week – but it won’t be the whole thing.\n<img src=\"https://static.tigerbbs.com/90bb70897890d7ac296671b75837af4c\" tg-width=\"1024\" tg-height=\"576\">Credit: Netflix\nThe Circlepremieres this week and will wrap May 5th, whileToo Hot To Handlewill debut in June – both on Wednesdays, which is also telling to me. In effect Netflix is trying to own that day of the week, which is a very traditional model approach to take.\nSo why am I so interested in this approach?\nThe main reason is because it represents a huge shift to their overall model that if successful could lead to future scripted series potentially getting the same treatment. I’ve often argued the one thing keeping Netflix’s originals back is the all-at-once approach.\nRememberThe Witcher?\nYes, it’s a hit for Netflix but it’s notGame of Thrones– and it was designed specifically to beGame of Thrones. Now hadWitcherbeen a weekly release and gotten all the buzz and added media attention that comes with it, it is very possible the series could have seen a substantial boost in popularity.\nEspecially with scripted shows that are heavily serialized having that added time to digest the material is incredibly important. With reality series, not so much – but they are still a great test case because there is still a payoff at the end.\nIt’s also telling because Netflix tried this before, but then quicky said it was a one-off move.\nWhenRhythm + Flowpremiered the other year, it took the weekly model approach in an attempt to preserve the identity of the winner as long as possible. However seemingly from the start Netflix essentially began apologizing for the decision.\nIt was kind of whiplash inducing as in one breath it was quick to tout a new creative approach and then just as fast say it was essentially a one-time&nbsp;thing.\nTo some it looked like Netflix felt like it had to go out of itswayto say it was an aberration to not upset the apple cart with its subscribers – which is why I’m very interested to see the response when it happens with two of its top franchises. I’ll be even more interested to see if this is the approach taken withLove Is Blindwhen it returns later this year.\nAs I said, never say never – even with Netflix.\nConclusion\nI have to give the streamer credit as its moves to shore up its base are further examples of company “firsts” and for Netflix to still have “firsts” this many years into its innovative run says something that should be encouraging to investors.\nStreaming remains the Wild Wild West and Netflix is ensuring nobody can get too comfortable – not even themselves.","source":"seekingalpha","collect":0,"html":"<!DOCTYPE html>\n<html>\n<head>\n<meta http-equiv=\"Content-Type\" content=\"text/html; charset=utf-8\" />\n<meta name=\"viewport\" content=\"width=device-width,initial-scale=1.0,minimum-scale=1.0,maximum-scale=1.0,user-scalable=no\"/>\n<meta name=\"format-detection\" content=\"telephone=no,email=no,address=no\" />\n<title>Netflix Stock: Company Looking To Adjust Longstanding Strategies As Rival Streamers Gain Ground</title>\n<style type=\"text/css\">\na,abbr,acronym,address,applet,article,aside,audio,b,big,blockquote,body,canvas,caption,center,cite,code,dd,del,details,dfn,div,dl,dt,\nem,embed,fieldset,figcaption,figure,footer,form,h1,h2,h3,h4,h5,h6,header,hgroup,html,i,iframe,img,ins,kbd,label,legend,li,mark,menu,nav,\nobject,ol,output,p,pre,q,ruby,s,samp,section,small,span,strike,strong,sub,summary,sup,table,tbody,td,tfoot,th,thead,time,tr,tt,u,ul,var,video{ font:inherit;margin:0;padding:0;vertical-align:baseline;border:0 }\nbody{ font-size:16px; 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}\n.meta {color:#5e5c6d;font-size:13px;margin:0 0 .5em; }\na{text-decoration:none; color:#2a4b87;}\n.meta .head { display: inline-block; overflow: hidden}\n.head .h-thumb { width: 30px; height: 30px; margin: 0; padding: 0; border-radius: 50%; float: left;}\n.head .h-content { margin: 0; padding: 0 0 0 9px; float: left;}\n.head .h-name {font-size: 13px; color: #eee; margin: 0;}\n.head .h-time {font-size: 11px; color: #7E829C; margin: 0;line-height: 11px;}\n.small {font-size: 12.5px; display: inline-block; transform: scale(0.9); -webkit-transform: scale(0.9); transform-origin: left; -webkit-transform-origin: left;}\n.smaller {font-size: 12.5px; display: inline-block; transform: scale(0.8); -webkit-transform: scale(0.8); transform-origin: left; -webkit-transform-origin: left;}\n.bt-text {font-size: 12px;margin: 1.5em 0 0 0}\n.bt-text p {margin: 0}\n</style>\n</head>\n<body>\n<div class=\"wrapper\">\n<header>\n<h2 class=\"title\">\nNetflix Stock: Company Looking To Adjust Longstanding Strategies As Rival Streamers Gain Ground\n</h2>\n\n<h4 class=\"meta\">\n\n\n2021-04-16 11:10 GMT+8&nbsp;&nbsp;&nbsp;<a href=https://seekingalpha.com/article/4419132-netflix-stock-strategies-disney-plus-hbo-max>seekingalpha</a>\n\n\n</h4>\n\n</header>\n<article>\n<div>\nSummary\n\nNetflix has seen its streaming rivals continually gain ground in the past few months prompting the company to re-evaluate a number of long-standing strategies.\nThis isn’t Netflix’s first time...\n\n<a href=\"https://seekingalpha.com/article/4419132-netflix-stock-strategies-disney-plus-hbo-max\">Web Link</a>\n\n</div>\n\n\n</article>\n</div>\n</body>\n</html>\n","type":0,"thumbnail":"","relate_stocks":{"NFLX":"奈飞"},"source_url":"https://seekingalpha.com/article/4419132-netflix-stock-strategies-disney-plus-hbo-max","is_english":true,"share_image_url":"https://static.laohu8.com/5a36db9d73b4222bc376d24ccc48c8a4","article_id":"1119241855","content_text":"Summary\n\nNetflix has seen its streaming rivals continually gain ground in the past few months prompting the company to re-evaluate a number of long-standing strategies.\nThis isn’t Netflix’s first time fending off challengers and the company is acutely aware it will have to consistently make moves to stay on top.\nNetflix recently negotiated a deal with Sony that will result in it receiving more content sooner than before and also open the door to new partnerships with the studio.\nThe streamer also utilized another “win-now” technique when it comes to its original films as instead of solely focusing on trying to create a new “it” franchise, it bought one.\nNetflix is also making moves on the TV side by adjusting its iconic “all-at-once” model and testing weekly batch drops of two popular reality shows – despite past pushback from subscribers.\n\nPhoto by Christopher Ames/iStock Unreleased via Getty Images\nNever say never – even if you are Netflix (NASDAQ:NFLX)\nThe streaming leader has come under heavy competition in the last few months from upstart rivals Disney+ (NYSE:DIS) and HBO Max (NYSE:T), while at the same time battling a newly revitalized Amazon Prime (NASDAQ:AMZN). However, this isn’t Netflix’s first time fending off challengers and let’s be realistic, it wasn’t like Netflix wasn’t aware it was going to have to consistently make moves to stay on top.\nThis time though it’s a bit different because of the collective nature of the shifts and how they represent a direct change to the streamer’s roadmap and business/programming model. While separately all these moves are impactful in their own right, but when looking at them as part of a bigger picture – it is sending a clear message to investors that the service can be nimble, even in areas were for a while it was seemingly the opposite.\nFirst as always, some background.\nIncreasing Netflix's Market Share\nI want to look at three specific moves and their importance.\nLet’s kick it off with the one that has the biggest paradigm shift in the industry – the Sony deal.\nCredit: Sony\nLast week Netflix made a deal with Sony (NYSE:SONY) to acquire first-run pay TV rights for its theatrical releases. In other words, after theater and home video, it’s onto Netflix. This is a big step for the streamer as previously it would look to make deals for specific films, whereas now it a steady flow of features in play.\nLet me back up for a second though to explain a little more in depth…and keep in mind this is tied directly the traditional model (and pre-COVID). As mentioned, the usual route for a movie is theaters, home entertainment, pay TV, cable, broadcast, etc…where streaming comes in has always been somewhat fluid past pay TV.\nThis deal targets that “pay TV” window. The premium channels – i.e. HBO, Showtime, Starz, Epix – all have deals with studios for their outputs. For example, Warner Bros. films go to HBO, A24 films go to Showtime and so on. In some cases it’s a natural fit among corporate siblings or a separate deal worked out to help both parties.\nPreviously Sony films went to Starz – but starting in 2022 when that deal expires, Netflix takes over.\nWhat that means is that Netflix just slipped into a window where traditional TV had a solid foothold.\nPart of the reason these networks had been able to pull in subscribers in the first place was that steady pipeline of theatricals. Those blockbusters were the draw to get you to subscribe with the ideas being those network’s originals would then get you further hooked. At the same time those movies - which then became part of an ever-growing film library - are the backbone of any premium movie network’s linear schedule.\nWhile this will be a noticeable loss for Starz, for Netflix and Sony it’s a win and one that should have both sets of investors thrilled.\nSony, which doesn’t have a streaming service, basically was able to use Netflix as a much-needed financial lifeline following the COVID-induced shutdown of theaters. In addition, the streamer will have the ability to invest in some of the studio’s upcoming projects. The pair had already seen success prior from a similar separate previousdealworked out for Sony’s animated fare.\nCredit: Sony\nNetflix'sCompetitors Gain Ground\nSticking with the Sony deal a bit further (as there is a lot to unpack) - on the other side of the coin, Netflix now gets a fresh influx of content to make up for what competitors such as HBO Max, Disney+ and Peacock pulled back for their own services OR the content competitors such as Amazon or Apple outbid them on. That cannot be over-started enough, however on the positive side what investors have seen is Netflix's subscribers pivoting in turn to similar content.\nFor example Netflix's most popular series for a while was Friends and when that left,The Office took over. Now with Office gone,Schitt's Creek is in front. Netflix is a large part of the reason why Schitt's Creek exploded towards the end of its runs so it's unlikely that show will slip off the servers, but should it - the point is Netflix viewers will just go down the line.\nIt's also interesting to note the addition of Friends to HBO Max and Office to Peacock have been very successful for those networks - which speaks a lot to the value of IP overall versus just where it was available.\nSpeaking of IP, another reason why the Sony deal is important is because it has marquee franchises such as theSpider-Manuniverse. This is one of the rare non-Disney owned Marvel IP’s and this puts the streamer right back in the super-hero space that has performed so well for it prior.\nAll together the deal was a welcome sign of relief to some shareholders as it’s been rumored Comcast’s Universal division will soon begin pulling its content from Netflix soon to give exclusively to Peacock – similar to what the company did withThe Office earlier this year.\nThis is further protection for that type of a mass content exodus.\nOn it is own this is a big deal because of its far-reaching industry impacts – but where I’m looking it (and investors should also) is two-fold. One, it is a clear example of how Netflix is pivoting to stay competitive and somehow always finds a dance partner in need of its special set of skills.\nGoing Outside The Netflix Family\nThe other aspect is it’s also fascinating to see how Netflix has further infiltrated the film world – including by leaning into more traditional methods. And that takes us to the second piece of news which I touched on in a previous piece… theKnives Outdeal.\nAs a reminder Netflix bought the rights to the two sequels to the 2019 murder mystery hit (originally distributed by Lionsgate) for over $450 million…a stunning sum of money in its own right, let alone for such new IP. However, again looking at the bigger picture, it makes sense.\nNetflix is trying to further its film reach, even going so far as to produce over 70 originals in 2021 – including at least one new one a week. The problem is that approach could actually dilute the overall product and cannibalizes its success.\nWe are also a few years into the Netflix film division and the studio has yet to find its AAA tier film franchise. It’s had individual successes and its won Oscars but it hasn’t had that film series that would be akin to one a traditional studio would leverage a theatrical trilogy out of…and its noticeable.\nSo Netflix did the next best thing – it bought one.\nKnives Outwas also a great choice.\nIt boasts Daniel Craig as the lead, comes from a well-regarded writer/director in Rian Johnson and also was an awards player. Plus the original packed together a stunning ensemble of A-list talent and the news ones will likely follow the same pattern.\nIt’s a safe and smart play for Netflix that will also get the attention and buzz they are looking for in that space. It’s also another example of Netflix’s “win-now” mentality.\nSo to recap – Netflix in the past few weeks went out and bought a new “it” franchise AND jumped to the front of the line for new “A-tier” content from a top-flight studio.\nBoth of these moves are in direct response to having their rivals step up their game.\nAnd to be clear, some of this may be reactionary, but that’s the point. It’s not knee-jerk in the least, it’s a calculated reaction that makes fiscal sense. Just as Netflix knew eventually studios/networks would wise up and stop feeding them content, its team knew its rivals would make gains and they’d have to adjust.\nThat’s business…there’s an ebb and flow.\nAs I mentioned earlier, Netflix smartly turned its attention to potential partners who could utilize their competitive advantage.\nNetflix's Biggest Risk May Come From Smallest Change\nTo me, the last move I want to touch on is the most interesting – it is also ironically the least headline-grabbing of the bunch. It ties to the TV side of the business, which has arguably come under just much of an attack from other streamers.\nIn the beginning, Netflix’s entry into streaming was built around being different, but the most well-known aspect of that build-up was its “all-at-once” pattern. While the traditional model had long relied on weekly episode drops, Netflix changed the game.\nIt was a refreshing approach.\nFor the “now” generation to have everything at their fingertips from the start was a big selling point. It also marked the beginning of “binge culture.” Of course, there were cons as well as pros, the problem with all-at-once is exactly that, it’s all-at-once.\nFor many people sitting for 10-12 hours to polish off a full season of a show is not realistic – even over a weekend it's hard. What that meant is while you can talk all you wanted online about the show’s twists and turns, it was harder to keep that conversation going with friends and family.\nCredit: Netflix\nWhile it’s worked tremendously for Netflix, it’s also proven to be a bit of a hinderance because fans never know where others are in the storyline. This stifles that type of watercooler conversation that helped build the legacy of many classic shows.\nThis was also a lot less complicated when Netflix’s core originals were limited to a handful of titles – but with countless new content flowing through its servers it is hard to keep track. Although many subscribers are quick to say the “all-at-once” model is a huge draw for them and a reason they love Netflix over other rivals.\nGranted after nearly a decade of use it makes sense as that type of access has become engrained and expected by its users. The difference is other streamers have found arguably the same type of success with the use of weekly drops – most notably Disney+.\nWhile Netflix gets a lot of bang for its buck for its own titles, normally it is mainly limited to about a three-week period – the week prior to launch, the week of launch and the week after launch. Beyond that you can notice a sizable dip in the chatter, conversely Disney’s weekly model has a longer impact.\nBy dropping new episodes on Fridays, Disney invites new conversation over the entire weekend, that are repeated over a period of months. That repetition has helped elevate the profile of its Star Wars and Marvel-centric series (and in turn the brands). With each of which usually clocking in around 30 mins long, it makes it easier for people to watch without a huge time commitment.\nThat has seemingly caught the attention of Netflix which looks like it wants to switch things up – and I think the reaction by subscribers is going to be interesting to shareholders.\nTwo of Netflix’s reality franchises –The CircleandToo Hot To Handle– will now NOT be all-at-once drops. The batch model still holds, in that multiple episodes will still drop per week – but it won’t be the whole thing.\nCredit: Netflix\nThe Circlepremieres this week and will wrap May 5th, whileToo Hot To Handlewill debut in June – both on Wednesdays, which is also telling to me. In effect Netflix is trying to own that day of the week, which is a very traditional model approach to take.\nSo why am I so interested in this approach?\nThe main reason is because it represents a huge shift to their overall model that if successful could lead to future scripted series potentially getting the same treatment. I’ve often argued the one thing keeping Netflix’s originals back is the all-at-once approach.\nRememberThe Witcher?\nYes, it’s a hit for Netflix but it’s notGame of Thrones– and it was designed specifically to beGame of Thrones. Now hadWitcherbeen a weekly release and gotten all the buzz and added media attention that comes with it, it is very possible the series could have seen a substantial boost in popularity.\nEspecially with scripted shows that are heavily serialized having that added time to digest the material is incredibly important. With reality series, not so much – but they are still a great test case because there is still a payoff at the end.\nIt’s also telling because Netflix tried this before, but then quicky said it was a one-off move.\nWhenRhythm + Flowpremiered the other year, it took the weekly model approach in an attempt to preserve the identity of the winner as long as possible. However seemingly from the start Netflix essentially began apologizing for the decision.\nIt was kind of whiplash inducing as in one breath it was quick to tout a new creative approach and then just as fast say it was essentially a one-time thing.\nTo some it looked like Netflix felt like it had to go out of itswayto say it was an aberration to not upset the apple cart with its subscribers – which is why I’m very interested to see the response when it happens with two of its top franchises. I’ll be even more interested to see if this is the approach taken withLove Is Blindwhen it returns later this year.\nAs I said, never say never – even with Netflix.\nConclusion\nI have to give the streamer credit as its moves to shore up its base are further examples of company “firsts” and for Netflix to still have “firsts” this many years into its innovative run says something that should be encouraging to investors.\nStreaming remains the Wild Wild West and Netflix is ensuring nobody can get too comfortable – not even themselves.","news_type":1},"isVote":1,"likeStatus":false,"favoriteStatus":false,"reportStatus":false,"tweetType":1,"langContent":"EN"},{"id":370953520,"gmtCreate":1618545920360,"gmtModify":1704712531435,"author":{"id":"3579550471744274","authorId":"3579550471744274","authorIdStr":"3579550471744274","name":"Eljin","avatar":"https://static.laohu8.com/default-avatar.jpg","vip":1,"crmLevel":2,"crmLevelSwitch":0,"idStr":"3579550471744274"},"htmlText":"wow","listText":"wow","text":"wow","images":[],"top":1,"highlighted":1,"essential":1,"paper":1,"likeSize":1,"commentSize":0,"repostSize":0,"link":"https://ttm.financial/post/370953520","repostId":1119241855,"repostType":4,"repost":{"id":"1119241855","pubTimestamp":1618542634,"share":"https://ttm.financial/m/news/1119241855?lang=&edition=fundamental","pubTime":"2021-04-16 11:10","market":"us","language":"en","title":"Netflix Stock: Company Looking To Adjust Longstanding Strategies As Rival Streamers Gain Ground","url":"https://stock-news.laohu8.com/highlight/detail?id=1119241855","media":"seekingalpha","summary":"Summary\n\nNetflix has seen its streaming rivals continually gain ground in the past few months prompt","content":"Summary\n<ul>\n <li>Netflix has seen its streaming rivals continually gain ground in the past few months prompting the company to re-evaluate a number of long-standing strategies.</li>\n <li>This isn’t Netflix’s first time fending off challengers and the company is acutely aware it will have to consistently make moves to stay on top.</li>\n <li>Netflix recently negotiated a deal with Sony that will result in it receiving more content sooner than before and also open the door to new partnerships with the studio.</li>\n <li>The streamer also utilized another “win-now” technique when it comes to its original films as instead of solely focusing on trying to create a new “it” franchise, it bought one.</li>\n <li>Netflix is also making moves on the TV side by adjusting its iconic “all-at-once” model and testing weekly batch drops of two popular reality shows – despite past pushback from subscribers.</li>\n</ul>\n<img src=\"https://static.tigerbbs.com/85c5bcbd94b754eab4b27fa6819cac61\" tg-width=\"768\" tg-height=\"509\">Photo by Christopher Ames/iStock Unreleased via Getty Images\nNever say never – even if you are Netflix (NASDAQ:NFLX)\nThe streaming leader has come under heavy competition in the last few months from upstart rivals Disney+ (NYSE:DIS) and HBO Max (NYSE:T), while at the same time battling a newly revitalized Amazon Prime (NASDAQ:AMZN). However, this isn’t Netflix’s first time fending off challengers and let’s be realistic, it wasn’t like Netflix wasn’t aware it was going to have to consistently make moves to stay on top.\nThis time though it’s a bit different because of the collective nature of the shifts and how they represent a direct change to the streamer’s roadmap and business/programming model. While separately all these moves are impactful in their own right, but when looking at them as part of a bigger picture – it is sending a clear message to investors that the service can be nimble, even in areas were for a while it was seemingly the opposite.\nFirst as always, some background.\nIncreasing Netflix's Market Share\nI want to look at three specific moves and their importance.\nLet’s kick it off with the one that has the biggest paradigm shift in the industry – the Sony deal.\n<img src=\"https://static.tigerbbs.com/9a75991f04f5078fe686afa0638322f6\" tg-width=\"934\" tg-height=\"488\">Credit: Sony\nLast week Netflix made a&nbsp;deal&nbsp;with Sony (NYSE:SONY) to acquire first-run pay TV rights for its theatrical releases. In other words, after theater and home video, it’s onto Netflix. This is a big step for the streamer as previously it would look to make deals for specific films, whereas now it a steady flow of features in play.\nLet me back up for a second though to explain a little more in depth…and keep in mind this is tied directly the traditional model (and pre-COVID). As mentioned, the usual route for a movie is theaters, home entertainment, pay TV, cable, broadcast, etc…where streaming comes in has always been somewhat fluid past pay TV.\nThis deal targets that “pay TV” window. The premium channels – i.e. HBO, Showtime, Starz, Epix – all have deals with studios for their outputs. For example, Warner Bros. films go to HBO, A24&nbsp;films&nbsp;go to Showtime and so on. In some cases it’s a natural fit among corporate siblings or a separate deal worked out to help both parties.\nPreviously Sony films went to Starz – but starting in 2022 when that deal expires, Netflix takes over.\nWhat that means is that Netflix just slipped into a window where traditional TV had a solid foothold.\nPart of the reason these networks had been able to pull in subscribers in the first place was that steady pipeline of theatricals. Those blockbusters were the draw to get you to subscribe with the ideas being those network’s originals would then get you further hooked. At the same time those movies - which then became part of an ever-growing film library - are the backbone of any premium movie network’s linear schedule.\nWhile this will be a noticeable loss for Starz, for Netflix and Sony it’s a win and one that should have both sets of investors thrilled.\nSony, which doesn’t have a streaming service, basically was able to use Netflix as a much-needed financial lifeline following the COVID-induced shutdown of theaters. In addition, the streamer will have the ability to invest in some of the studio’s upcoming projects. The pair had already seen success prior from a similar separate previousdealworked out for Sony’s animated fare.\n<img src=\"https://static.tigerbbs.com/7e7955071fa9cb7465c0265e4600ccd5\" tg-width=\"750\" tg-height=\"562\">Credit: Sony\nNetflix'sCompetitors Gain Ground\nSticking with the Sony deal a bit further (as there is a lot to unpack) - on the other side of the coin, Netflix now gets a fresh influx of content to make up for what competitors such as HBO Max, Disney+ and Peacock pulled back for their own services OR the content competitors such as Amazon or Apple outbid them on. That cannot be over-started enough, however on the positive side what investors have seen is Netflix's subscribers pivoting in turn to similar content.\nFor example Netflix's most popular series for a while was&nbsp;Friends&nbsp;and when that left,The Office&nbsp;took over. Now with&nbsp;Office&nbsp;gone,Schitt's Creek&nbsp;is in front. Netflix is a large part of the reason why&nbsp;Schitt's Creek&nbsp;exploded towards the end of its runs so it's unlikely that show will slip off the servers, but should it - the point is Netflix viewers will just go down the line.\nIt's also interesting to note the addition of&nbsp;Friends&nbsp;to HBO Max and&nbsp;Office&nbsp;to Peacock have been very successful for those networks - which speaks a lot to the value of IP overall versus just where it was available.\nSpeaking of IP, another reason why the Sony deal is important is because it has marquee franchises such as theSpider-Manuniverse. This is one of the rare non-Disney owned Marvel IP’s and this puts the streamer right back in the super-hero space that has performed so well for it prior.\nAll together the deal was a welcome sign of relief to some shareholders as it’s been&nbsp;rumored&nbsp;Comcast’s Universal division will soon begin pulling its content from Netflix soon to give exclusively to Peacock – similar to what the company did withThe Office&nbsp;earlier this year.\nThis is further protection for that type of a mass content exodus.\nOn it is own this is a big deal because of its far-reaching industry impacts – but where I’m looking it (and investors should also) is two-fold. One, it is a clear example of how Netflix is pivoting to stay competitive and somehow always finds a dance partner in need of its special set of skills.\nGoing Outside The Netflix Family\nThe other aspect is it’s also fascinating to see how Netflix has further infiltrated the film world – including by leaning into more traditional methods. And that takes us to the second piece of news which I touched on in a previous&nbsp;piece… theKnives Outdeal.\nAs a reminder Netflix&nbsp;bought&nbsp;the rights to the two sequels to the 2019 murder mystery hit (originally distributed by Lionsgate) for over $450 million…a stunning sum of money in its own right, let alone for such new IP. However, again looking at the bigger picture, it makes sense.\nNetflix is trying to further its film reach, even going so far as to produce&nbsp;over&nbsp;70 originals in 2021 – including at least one new one a week. The problem is that approach could actually dilute the overall product and cannibalizes its success.\nWe are also a few years into the Netflix film division and the studio has yet to find its AAA tier film franchise. It’s had individual successes and its won Oscars but it hasn’t had that film series that would be akin to one a traditional studio would leverage a theatrical trilogy out of…and its noticeable.\nSo Netflix did the next best thing – it bought one.\nKnives Outwas also a great choice.\nIt boasts Daniel Craig as the lead, comes from a well-regarded writer/director in Rian Johnson and also was an awards player. Plus the original packed together a stunning ensemble of A-list talent and the news ones will likely follow the same pattern.\nIt’s a safe and smart play for Netflix that will also get the attention and buzz they are looking for in that space. It’s also another example of Netflix’s “win-now” mentality.\nSo to recap – Netflix in the past few weeks went out and bought a new “it” franchise AND jumped to the front of the line for new “A-tier” content from a top-flight studio.\nBoth of these moves are in direct response to having their rivals step up their game.\nAnd to be clear, some of this may be reactionary, but that’s the point. It’s not knee-jerk in the least, it’s a calculated reaction that makes fiscal sense. Just as Netflix knew eventually studios/networks would wise up and stop feeding them content, its team knew its rivals would make gains and they’d have to adjust.\nThat’s business…there’s an ebb and flow.\nAs I mentioned earlier, Netflix smartly turned its attention to potential partners who could utilize their competitive advantage.\nNetflix's Biggest Risk May Come From Smallest Change\nTo me, the last move I want to touch on is the most interesting – it is also ironically the least headline-grabbing of the bunch. It ties to the TV side of the business, which has arguably come under just much of an attack from other streamers.\nIn the beginning, Netflix’s entry into streaming was built around being different, but the most well-known aspect of that build-up was its “all-at-once” pattern. While the traditional model had long relied on weekly episode drops, Netflix changed the game.\nIt was a refreshing approach.\nFor the “now” generation to have everything at their fingertips from the start was a big selling point. It also marked the beginning of “binge culture.” Of course, there were cons as well as pros, the problem with all-at-once is exactly that, it’s all-at-once.\nFor many people sitting for 10-12 hours to polish off a full season of a show is not realistic – even over a weekend it's hard. What that meant is while you can talk all you wanted online about the show’s twists and turns, it was harder to keep that conversation going with friends and family.\n<img src=\"https://static.tigerbbs.com/051370349a483fcd05ac4945cdcfb588\" tg-width=\"800\" tg-height=\"444\">Credit: Netflix\nWhile it’s worked tremendously for Netflix, it’s also proven to be a bit of a hinderance because fans never know where others are in the storyline. This stifles that type of watercooler conversation that helped build the legacy of many classic shows.\nThis was also a lot less complicated when Netflix’s core originals were limited to a handful of titles – but with countless new content flowing through its servers it is hard to keep track. Although many subscribers are quick to say the “all-at-once” model is a huge draw for them and a reason they love Netflix over other rivals.\nGranted after nearly a decade of use it makes sense as that type of access has become engrained and expected by its users. The difference is other streamers have found arguably the same type of success with the use of weekly drops – most notably Disney+.\nWhile Netflix gets a lot of bang for its buck for its own titles, normally it is mainly limited to about a three-week period – the week prior to launch, the week of launch and the week after launch. Beyond that you can notice a sizable dip in the chatter, conversely Disney’s weekly model has a longer impact.\nBy dropping new episodes on Fridays, Disney invites new conversation over the entire weekend, that are repeated over a period of months. That&nbsp;repetition&nbsp;has helped elevate the profile of its&nbsp;Star Wars&nbsp;and Marvel-centric series (and in turn the brands). With each of which usually clocking in around 30 mins long, it makes it easier for people to watch without a huge time commitment.\nThat has seemingly caught the attention of Netflix which looks like it wants to switch things up – and I think the reaction by subscribers is going to be interesting to shareholders.\nTwo of Netflix’s reality franchises –The CircleandToo Hot To Handle– will now&nbsp;NOT&nbsp;be all-at-once drops. The batch model still holds, in that multiple episodes will still drop per week – but it won’t be the whole thing.\n<img src=\"https://static.tigerbbs.com/90bb70897890d7ac296671b75837af4c\" tg-width=\"1024\" tg-height=\"576\">Credit: Netflix\nThe Circlepremieres this week and will wrap May 5th, whileToo Hot To Handlewill debut in June – both on Wednesdays, which is also telling to me. In effect Netflix is trying to own that day of the week, which is a very traditional model approach to take.\nSo why am I so interested in this approach?\nThe main reason is because it represents a huge shift to their overall model that if successful could lead to future scripted series potentially getting the same treatment. I’ve often argued the one thing keeping Netflix’s originals back is the all-at-once approach.\nRememberThe Witcher?\nYes, it’s a hit for Netflix but it’s notGame of Thrones– and it was designed specifically to beGame of Thrones. Now hadWitcherbeen a weekly release and gotten all the buzz and added media attention that comes with it, it is very possible the series could have seen a substantial boost in popularity.\nEspecially with scripted shows that are heavily serialized having that added time to digest the material is incredibly important. With reality series, not so much – but they are still a great test case because there is still a payoff at the end.\nIt’s also telling because Netflix tried this before, but then quicky said it was a one-off move.\nWhenRhythm + Flowpremiered the other year, it took the weekly model approach in an attempt to preserve the identity of the winner as long as possible. However seemingly from the start Netflix essentially began apologizing for the decision.\nIt was kind of whiplash inducing as in one breath it was quick to tout a new creative approach and then just as fast say it was essentially a one-time&nbsp;thing.\nTo some it looked like Netflix felt like it had to go out of itswayto say it was an aberration to not upset the apple cart with its subscribers – which is why I’m very interested to see the response when it happens with two of its top franchises. I’ll be even more interested to see if this is the approach taken withLove Is Blindwhen it returns later this year.\nAs I said, never say never – even with Netflix.\nConclusion\nI have to give the streamer credit as its moves to shore up its base are further examples of company “firsts” and for Netflix to still have “firsts” this many years into its innovative run says something that should be encouraging to investors.\nStreaming remains the Wild Wild West and Netflix is ensuring nobody can get too comfortable – not even themselves.","source":"seekingalpha","collect":0,"html":"<!DOCTYPE html>\n<html>\n<head>\n<meta http-equiv=\"Content-Type\" content=\"text/html; charset=utf-8\" />\n<meta name=\"viewport\" content=\"width=device-width,initial-scale=1.0,minimum-scale=1.0,maximum-scale=1.0,user-scalable=no\"/>\n<meta name=\"format-detection\" content=\"telephone=no,email=no,address=no\" />\n<title>Netflix Stock: Company Looking To Adjust Longstanding Strategies As Rival Streamers Gain Ground</title>\n<style type=\"text/css\">\na,abbr,acronym,address,applet,article,aside,audio,b,big,blockquote,body,canvas,caption,center,cite,code,dd,del,details,dfn,div,dl,dt,\nem,embed,fieldset,figcaption,figure,footer,form,h1,h2,h3,h4,h5,h6,header,hgroup,html,i,iframe,img,ins,kbd,label,legend,li,mark,menu,nav,\nobject,ol,output,p,pre,q,ruby,s,samp,section,small,span,strike,strong,sub,summary,sup,table,tbody,td,tfoot,th,thead,time,tr,tt,u,ul,var,video{ font:inherit;margin:0;padding:0;vertical-align:baseline;border:0 }\nbody{ font-size:16px; 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}\n.meta {color:#5e5c6d;font-size:13px;margin:0 0 .5em; }\na{text-decoration:none; color:#2a4b87;}\n.meta .head { display: inline-block; overflow: hidden}\n.head .h-thumb { width: 30px; height: 30px; margin: 0; padding: 0; border-radius: 50%; float: left;}\n.head .h-content { margin: 0; padding: 0 0 0 9px; float: left;}\n.head .h-name {font-size: 13px; color: #eee; margin: 0;}\n.head .h-time {font-size: 11px; color: #7E829C; margin: 0;line-height: 11px;}\n.small {font-size: 12.5px; display: inline-block; transform: scale(0.9); -webkit-transform: scale(0.9); transform-origin: left; -webkit-transform-origin: left;}\n.smaller {font-size: 12.5px; display: inline-block; transform: scale(0.8); -webkit-transform: scale(0.8); transform-origin: left; -webkit-transform-origin: left;}\n.bt-text {font-size: 12px;margin: 1.5em 0 0 0}\n.bt-text p {margin: 0}\n</style>\n</head>\n<body>\n<div class=\"wrapper\">\n<header>\n<h2 class=\"title\">\nNetflix Stock: Company Looking To Adjust Longstanding Strategies As Rival Streamers Gain Ground\n</h2>\n\n<h4 class=\"meta\">\n\n\n2021-04-16 11:10 GMT+8&nbsp;&nbsp;&nbsp;<a href=https://seekingalpha.com/article/4419132-netflix-stock-strategies-disney-plus-hbo-max>seekingalpha</a>\n\n\n</h4>\n\n</header>\n<article>\n<div>\nSummary\n\nNetflix has seen its streaming rivals continually gain ground in the past few months prompting the company to re-evaluate a number of long-standing strategies.\nThis isn’t Netflix’s first time...\n\n<a href=\"https://seekingalpha.com/article/4419132-netflix-stock-strategies-disney-plus-hbo-max\">Web Link</a>\n\n</div>\n\n\n</article>\n</div>\n</body>\n</html>\n","type":0,"thumbnail":"","relate_stocks":{"NFLX":"奈飞"},"source_url":"https://seekingalpha.com/article/4419132-netflix-stock-strategies-disney-plus-hbo-max","is_english":true,"share_image_url":"https://static.laohu8.com/5a36db9d73b4222bc376d24ccc48c8a4","article_id":"1119241855","content_text":"Summary\n\nNetflix has seen its streaming rivals continually gain ground in the past few months prompting the company to re-evaluate a number of long-standing strategies.\nThis isn’t Netflix’s first time fending off challengers and the company is acutely aware it will have to consistently make moves to stay on top.\nNetflix recently negotiated a deal with Sony that will result in it receiving more content sooner than before and also open the door to new partnerships with the studio.\nThe streamer also utilized another “win-now” technique when it comes to its original films as instead of solely focusing on trying to create a new “it” franchise, it bought one.\nNetflix is also making moves on the TV side by adjusting its iconic “all-at-once” model and testing weekly batch drops of two popular reality shows – despite past pushback from subscribers.\n\nPhoto by Christopher Ames/iStock Unreleased via Getty Images\nNever say never – even if you are Netflix (NASDAQ:NFLX)\nThe streaming leader has come under heavy competition in the last few months from upstart rivals Disney+ (NYSE:DIS) and HBO Max (NYSE:T), while at the same time battling a newly revitalized Amazon Prime (NASDAQ:AMZN). However, this isn’t Netflix’s first time fending off challengers and let’s be realistic, it wasn’t like Netflix wasn’t aware it was going to have to consistently make moves to stay on top.\nThis time though it’s a bit different because of the collective nature of the shifts and how they represent a direct change to the streamer’s roadmap and business/programming model. While separately all these moves are impactful in their own right, but when looking at them as part of a bigger picture – it is sending a clear message to investors that the service can be nimble, even in areas were for a while it was seemingly the opposite.\nFirst as always, some background.\nIncreasing Netflix's Market Share\nI want to look at three specific moves and their importance.\nLet’s kick it off with the one that has the biggest paradigm shift in the industry – the Sony deal.\nCredit: Sony\nLast week Netflix made a deal with Sony (NYSE:SONY) to acquire first-run pay TV rights for its theatrical releases. In other words, after theater and home video, it’s onto Netflix. This is a big step for the streamer as previously it would look to make deals for specific films, whereas now it a steady flow of features in play.\nLet me back up for a second though to explain a little more in depth…and keep in mind this is tied directly the traditional model (and pre-COVID). As mentioned, the usual route for a movie is theaters, home entertainment, pay TV, cable, broadcast, etc…where streaming comes in has always been somewhat fluid past pay TV.\nThis deal targets that “pay TV” window. The premium channels – i.e. HBO, Showtime, Starz, Epix – all have deals with studios for their outputs. For example, Warner Bros. films go to HBO, A24 films go to Showtime and so on. In some cases it’s a natural fit among corporate siblings or a separate deal worked out to help both parties.\nPreviously Sony films went to Starz – but starting in 2022 when that deal expires, Netflix takes over.\nWhat that means is that Netflix just slipped into a window where traditional TV had a solid foothold.\nPart of the reason these networks had been able to pull in subscribers in the first place was that steady pipeline of theatricals. Those blockbusters were the draw to get you to subscribe with the ideas being those network’s originals would then get you further hooked. At the same time those movies - which then became part of an ever-growing film library - are the backbone of any premium movie network’s linear schedule.\nWhile this will be a noticeable loss for Starz, for Netflix and Sony it’s a win and one that should have both sets of investors thrilled.\nSony, which doesn’t have a streaming service, basically was able to use Netflix as a much-needed financial lifeline following the COVID-induced shutdown of theaters. In addition, the streamer will have the ability to invest in some of the studio’s upcoming projects. The pair had already seen success prior from a similar separate previousdealworked out for Sony’s animated fare.\nCredit: Sony\nNetflix'sCompetitors Gain Ground\nSticking with the Sony deal a bit further (as there is a lot to unpack) - on the other side of the coin, Netflix now gets a fresh influx of content to make up for what competitors such as HBO Max, Disney+ and Peacock pulled back for their own services OR the content competitors such as Amazon or Apple outbid them on. That cannot be over-started enough, however on the positive side what investors have seen is Netflix's subscribers pivoting in turn to similar content.\nFor example Netflix's most popular series for a while was Friends and when that left,The Office took over. Now with Office gone,Schitt's Creek is in front. Netflix is a large part of the reason why Schitt's Creek exploded towards the end of its runs so it's unlikely that show will slip off the servers, but should it - the point is Netflix viewers will just go down the line.\nIt's also interesting to note the addition of Friends to HBO Max and Office to Peacock have been very successful for those networks - which speaks a lot to the value of IP overall versus just where it was available.\nSpeaking of IP, another reason why the Sony deal is important is because it has marquee franchises such as theSpider-Manuniverse. This is one of the rare non-Disney owned Marvel IP’s and this puts the streamer right back in the super-hero space that has performed so well for it prior.\nAll together the deal was a welcome sign of relief to some shareholders as it’s been rumored Comcast’s Universal division will soon begin pulling its content from Netflix soon to give exclusively to Peacock – similar to what the company did withThe Office earlier this year.\nThis is further protection for that type of a mass content exodus.\nOn it is own this is a big deal because of its far-reaching industry impacts – but where I’m looking it (and investors should also) is two-fold. One, it is a clear example of how Netflix is pivoting to stay competitive and somehow always finds a dance partner in need of its special set of skills.\nGoing Outside The Netflix Family\nThe other aspect is it’s also fascinating to see how Netflix has further infiltrated the film world – including by leaning into more traditional methods. And that takes us to the second piece of news which I touched on in a previous piece… theKnives Outdeal.\nAs a reminder Netflix bought the rights to the two sequels to the 2019 murder mystery hit (originally distributed by Lionsgate) for over $450 million…a stunning sum of money in its own right, let alone for such new IP. However, again looking at the bigger picture, it makes sense.\nNetflix is trying to further its film reach, even going so far as to produce over 70 originals in 2021 – including at least one new one a week. The problem is that approach could actually dilute the overall product and cannibalizes its success.\nWe are also a few years into the Netflix film division and the studio has yet to find its AAA tier film franchise. It’s had individual successes and its won Oscars but it hasn’t had that film series that would be akin to one a traditional studio would leverage a theatrical trilogy out of…and its noticeable.\nSo Netflix did the next best thing – it bought one.\nKnives Outwas also a great choice.\nIt boasts Daniel Craig as the lead, comes from a well-regarded writer/director in Rian Johnson and also was an awards player. Plus the original packed together a stunning ensemble of A-list talent and the news ones will likely follow the same pattern.\nIt’s a safe and smart play for Netflix that will also get the attention and buzz they are looking for in that space. It’s also another example of Netflix’s “win-now” mentality.\nSo to recap – Netflix in the past few weeks went out and bought a new “it” franchise AND jumped to the front of the line for new “A-tier” content from a top-flight studio.\nBoth of these moves are in direct response to having their rivals step up their game.\nAnd to be clear, some of this may be reactionary, but that’s the point. It’s not knee-jerk in the least, it’s a calculated reaction that makes fiscal sense. Just as Netflix knew eventually studios/networks would wise up and stop feeding them content, its team knew its rivals would make gains and they’d have to adjust.\nThat’s business…there’s an ebb and flow.\nAs I mentioned earlier, Netflix smartly turned its attention to potential partners who could utilize their competitive advantage.\nNetflix's Biggest Risk May Come From Smallest Change\nTo me, the last move I want to touch on is the most interesting – it is also ironically the least headline-grabbing of the bunch. It ties to the TV side of the business, which has arguably come under just much of an attack from other streamers.\nIn the beginning, Netflix’s entry into streaming was built around being different, but the most well-known aspect of that build-up was its “all-at-once” pattern. While the traditional model had long relied on weekly episode drops, Netflix changed the game.\nIt was a refreshing approach.\nFor the “now” generation to have everything at their fingertips from the start was a big selling point. It also marked the beginning of “binge culture.” Of course, there were cons as well as pros, the problem with all-at-once is exactly that, it’s all-at-once.\nFor many people sitting for 10-12 hours to polish off a full season of a show is not realistic – even over a weekend it's hard. What that meant is while you can talk all you wanted online about the show’s twists and turns, it was harder to keep that conversation going with friends and family.\nCredit: Netflix\nWhile it’s worked tremendously for Netflix, it’s also proven to be a bit of a hinderance because fans never know where others are in the storyline. This stifles that type of watercooler conversation that helped build the legacy of many classic shows.\nThis was also a lot less complicated when Netflix’s core originals were limited to a handful of titles – but with countless new content flowing through its servers it is hard to keep track. Although many subscribers are quick to say the “all-at-once” model is a huge draw for them and a reason they love Netflix over other rivals.\nGranted after nearly a decade of use it makes sense as that type of access has become engrained and expected by its users. The difference is other streamers have found arguably the same type of success with the use of weekly drops – most notably Disney+.\nWhile Netflix gets a lot of bang for its buck for its own titles, normally it is mainly limited to about a three-week period – the week prior to launch, the week of launch and the week after launch. Beyond that you can notice a sizable dip in the chatter, conversely Disney’s weekly model has a longer impact.\nBy dropping new episodes on Fridays, Disney invites new conversation over the entire weekend, that are repeated over a period of months. That repetition has helped elevate the profile of its Star Wars and Marvel-centric series (and in turn the brands). With each of which usually clocking in around 30 mins long, it makes it easier for people to watch without a huge time commitment.\nThat has seemingly caught the attention of Netflix which looks like it wants to switch things up – and I think the reaction by subscribers is going to be interesting to shareholders.\nTwo of Netflix’s reality franchises –The CircleandToo Hot To Handle– will now NOT be all-at-once drops. The batch model still holds, in that multiple episodes will still drop per week – but it won’t be the whole thing.\nCredit: Netflix\nThe Circlepremieres this week and will wrap May 5th, whileToo Hot To Handlewill debut in June – both on Wednesdays, which is also telling to me. In effect Netflix is trying to own that day of the week, which is a very traditional model approach to take.\nSo why am I so interested in this approach?\nThe main reason is because it represents a huge shift to their overall model that if successful could lead to future scripted series potentially getting the same treatment. I’ve often argued the one thing keeping Netflix’s originals back is the all-at-once approach.\nRememberThe Witcher?\nYes, it’s a hit for Netflix but it’s notGame of Thrones– and it was designed specifically to beGame of Thrones. Now hadWitcherbeen a weekly release and gotten all the buzz and added media attention that comes with it, it is very possible the series could have seen a substantial boost in popularity.\nEspecially with scripted shows that are heavily serialized having that added time to digest the material is incredibly important. With reality series, not so much – but they are still a great test case because there is still a payoff at the end.\nIt’s also telling because Netflix tried this before, but then quicky said it was a one-off move.\nWhenRhythm + Flowpremiered the other year, it took the weekly model approach in an attempt to preserve the identity of the winner as long as possible. However seemingly from the start Netflix essentially began apologizing for the decision.\nIt was kind of whiplash inducing as in one breath it was quick to tout a new creative approach and then just as fast say it was essentially a one-time thing.\nTo some it looked like Netflix felt like it had to go out of itswayto say it was an aberration to not upset the apple cart with its subscribers – which is why I’m very interested to see the response when it happens with two of its top franchises. I’ll be even more interested to see if this is the approach taken withLove Is Blindwhen it returns later this year.\nAs I said, never say never – even with Netflix.\nConclusion\nI have to give the streamer credit as its moves to shore up its base are further examples of company “firsts” and for Netflix to still have “firsts” this many years into its innovative run says something that should be encouraging to investors.\nStreaming remains the Wild Wild West and Netflix is ensuring nobody can get too comfortable – not even themselves.","news_type":1},"isVote":1,"likeStatus":false,"favoriteStatus":false,"reportStatus":false,"tweetType":1,"langContent":"EN"},{"id":370923401,"gmtCreate":1618545150403,"gmtModify":1704712517125,"author":{"id":"3578647329384410","authorId":"3578647329384410","authorIdStr":"3578647329384410","name":"0seven","avatar":"https://static.tigerbbs.com/8280ec4c010fb64e3c4ed0d68976ff05","vip":1,"crmLevel":2,"crmLevelSwitch":0,"idStr":"3578647329384410"},"htmlText":"[微笑]&nbsp;","listText":"[微笑]&nbsp;","text":"[微笑]","images":[],"top":1,"highlighted":1,"essential":1,"paper":1,"likeSize":1,"commentSize":0,"repostSize":0,"link":"https://ttm.financial/post/370923401","repostId":1119241855,"repostType":4,"repost":{"id":"1119241855","pubTimestamp":1618542634,"share":"https://ttm.financial/m/news/1119241855?lang=&edition=fundamental","pubTime":"2021-04-16 11:10","market":"us","language":"en","title":"Netflix Stock: Company Looking To Adjust Longstanding Strategies As Rival Streamers Gain Ground","url":"https://stock-news.laohu8.com/highlight/detail?id=1119241855","media":"seekingalpha","summary":"Summary\n\nNetflix has seen its streaming rivals continually gain ground in the past few months prompt","content":"Summary\n<ul>\n <li>Netflix has seen its streaming rivals continually gain ground in the past few months prompting the company to re-evaluate a number of long-standing strategies.</li>\n <li>This isn’t Netflix’s first time fending off challengers and the company is acutely aware it will have to consistently make moves to stay on top.</li>\n <li>Netflix recently negotiated a deal with Sony that will result in it receiving more content sooner than before and also open the door to new partnerships with the studio.</li>\n <li>The streamer also utilized another “win-now” technique when it comes to its original films as instead of solely focusing on trying to create a new “it” franchise, it bought one.</li>\n <li>Netflix is also making moves on the TV side by adjusting its iconic “all-at-once” model and testing weekly batch drops of two popular reality shows – despite past pushback from subscribers.</li>\n</ul>\n<img src=\"https://static.tigerbbs.com/85c5bcbd94b754eab4b27fa6819cac61\" tg-width=\"768\" tg-height=\"509\">Photo by Christopher Ames/iStock Unreleased via Getty Images\nNever say never – even if you are Netflix (NASDAQ:NFLX)\nThe streaming leader has come under heavy competition in the last few months from upstart rivals Disney+ (NYSE:DIS) and HBO Max (NYSE:T), while at the same time battling a newly revitalized Amazon Prime (NASDAQ:AMZN). However, this isn’t Netflix’s first time fending off challengers and let’s be realistic, it wasn’t like Netflix wasn’t aware it was going to have to consistently make moves to stay on top.\nThis time though it’s a bit different because of the collective nature of the shifts and how they represent a direct change to the streamer’s roadmap and business/programming model. While separately all these moves are impactful in their own right, but when looking at them as part of a bigger picture – it is sending a clear message to investors that the service can be nimble, even in areas were for a while it was seemingly the opposite.\nFirst as always, some background.\nIncreasing Netflix's Market Share\nI want to look at three specific moves and their importance.\nLet’s kick it off with the one that has the biggest paradigm shift in the industry – the Sony deal.\n<img src=\"https://static.tigerbbs.com/9a75991f04f5078fe686afa0638322f6\" tg-width=\"934\" tg-height=\"488\">Credit: Sony\nLast week Netflix made a&nbsp;deal&nbsp;with Sony (NYSE:SONY) to acquire first-run pay TV rights for its theatrical releases. In other words, after theater and home video, it’s onto Netflix. This is a big step for the streamer as previously it would look to make deals for specific films, whereas now it a steady flow of features in play.\nLet me back up for a second though to explain a little more in depth…and keep in mind this is tied directly the traditional model (and pre-COVID). As mentioned, the usual route for a movie is theaters, home entertainment, pay TV, cable, broadcast, etc…where streaming comes in has always been somewhat fluid past pay TV.\nThis deal targets that “pay TV” window. The premium channels – i.e. HBO, Showtime, Starz, Epix – all have deals with studios for their outputs. For example, Warner Bros. films go to HBO, A24&nbsp;films&nbsp;go to Showtime and so on. In some cases it’s a natural fit among corporate siblings or a separate deal worked out to help both parties.\nPreviously Sony films went to Starz – but starting in 2022 when that deal expires, Netflix takes over.\nWhat that means is that Netflix just slipped into a window where traditional TV had a solid foothold.\nPart of the reason these networks had been able to pull in subscribers in the first place was that steady pipeline of theatricals. Those blockbusters were the draw to get you to subscribe with the ideas being those network’s originals would then get you further hooked. At the same time those movies - which then became part of an ever-growing film library - are the backbone of any premium movie network’s linear schedule.\nWhile this will be a noticeable loss for Starz, for Netflix and Sony it’s a win and one that should have both sets of investors thrilled.\nSony, which doesn’t have a streaming service, basically was able to use Netflix as a much-needed financial lifeline following the COVID-induced shutdown of theaters. In addition, the streamer will have the ability to invest in some of the studio’s upcoming projects. The pair had already seen success prior from a similar separate previousdealworked out for Sony’s animated fare.\n<img src=\"https://static.tigerbbs.com/7e7955071fa9cb7465c0265e4600ccd5\" tg-width=\"750\" tg-height=\"562\">Credit: Sony\nNetflix'sCompetitors Gain Ground\nSticking with the Sony deal a bit further (as there is a lot to unpack) - on the other side of the coin, Netflix now gets a fresh influx of content to make up for what competitors such as HBO Max, Disney+ and Peacock pulled back for their own services OR the content competitors such as Amazon or Apple outbid them on. That cannot be over-started enough, however on the positive side what investors have seen is Netflix's subscribers pivoting in turn to similar content.\nFor example Netflix's most popular series for a while was&nbsp;Friends&nbsp;and when that left,The Office&nbsp;took over. Now with&nbsp;Office&nbsp;gone,Schitt's Creek&nbsp;is in front. Netflix is a large part of the reason why&nbsp;Schitt's Creek&nbsp;exploded towards the end of its runs so it's unlikely that show will slip off the servers, but should it - the point is Netflix viewers will just go down the line.\nIt's also interesting to note the addition of&nbsp;Friends&nbsp;to HBO Max and&nbsp;Office&nbsp;to Peacock have been very successful for those networks - which speaks a lot to the value of IP overall versus just where it was available.\nSpeaking of IP, another reason why the Sony deal is important is because it has marquee franchises such as theSpider-Manuniverse. This is one of the rare non-Disney owned Marvel IP’s and this puts the streamer right back in the super-hero space that has performed so well for it prior.\nAll together the deal was a welcome sign of relief to some shareholders as it’s been&nbsp;rumored&nbsp;Comcast’s Universal division will soon begin pulling its content from Netflix soon to give exclusively to Peacock – similar to what the company did withThe Office&nbsp;earlier this year.\nThis is further protection for that type of a mass content exodus.\nOn it is own this is a big deal because of its far-reaching industry impacts – but where I’m looking it (and investors should also) is two-fold. One, it is a clear example of how Netflix is pivoting to stay competitive and somehow always finds a dance partner in need of its special set of skills.\nGoing Outside The Netflix Family\nThe other aspect is it’s also fascinating to see how Netflix has further infiltrated the film world – including by leaning into more traditional methods. And that takes us to the second piece of news which I touched on in a previous&nbsp;piece… theKnives Outdeal.\nAs a reminder Netflix&nbsp;bought&nbsp;the rights to the two sequels to the 2019 murder mystery hit (originally distributed by Lionsgate) for over $450 million…a stunning sum of money in its own right, let alone for such new IP. However, again looking at the bigger picture, it makes sense.\nNetflix is trying to further its film reach, even going so far as to produce&nbsp;over&nbsp;70 originals in 2021 – including at least one new one a week. The problem is that approach could actually dilute the overall product and cannibalizes its success.\nWe are also a few years into the Netflix film division and the studio has yet to find its AAA tier film franchise. It’s had individual successes and its won Oscars but it hasn’t had that film series that would be akin to one a traditional studio would leverage a theatrical trilogy out of…and its noticeable.\nSo Netflix did the next best thing – it bought one.\nKnives Outwas also a great choice.\nIt boasts Daniel Craig as the lead, comes from a well-regarded writer/director in Rian Johnson and also was an awards player. Plus the original packed together a stunning ensemble of A-list talent and the news ones will likely follow the same pattern.\nIt’s a safe and smart play for Netflix that will also get the attention and buzz they are looking for in that space. It’s also another example of Netflix’s “win-now” mentality.\nSo to recap – Netflix in the past few weeks went out and bought a new “it” franchise AND jumped to the front of the line for new “A-tier” content from a top-flight studio.\nBoth of these moves are in direct response to having their rivals step up their game.\nAnd to be clear, some of this may be reactionary, but that’s the point. It’s not knee-jerk in the least, it’s a calculated reaction that makes fiscal sense. Just as Netflix knew eventually studios/networks would wise up and stop feeding them content, its team knew its rivals would make gains and they’d have to adjust.\nThat’s business…there’s an ebb and flow.\nAs I mentioned earlier, Netflix smartly turned its attention to potential partners who could utilize their competitive advantage.\nNetflix's Biggest Risk May Come From Smallest Change\nTo me, the last move I want to touch on is the most interesting – it is also ironically the least headline-grabbing of the bunch. It ties to the TV side of the business, which has arguably come under just much of an attack from other streamers.\nIn the beginning, Netflix’s entry into streaming was built around being different, but the most well-known aspect of that build-up was its “all-at-once” pattern. While the traditional model had long relied on weekly episode drops, Netflix changed the game.\nIt was a refreshing approach.\nFor the “now” generation to have everything at their fingertips from the start was a big selling point. It also marked the beginning of “binge culture.” Of course, there were cons as well as pros, the problem with all-at-once is exactly that, it’s all-at-once.\nFor many people sitting for 10-12 hours to polish off a full season of a show is not realistic – even over a weekend it's hard. What that meant is while you can talk all you wanted online about the show’s twists and turns, it was harder to keep that conversation going with friends and family.\n<img src=\"https://static.tigerbbs.com/051370349a483fcd05ac4945cdcfb588\" tg-width=\"800\" tg-height=\"444\">Credit: Netflix\nWhile it’s worked tremendously for Netflix, it’s also proven to be a bit of a hinderance because fans never know where others are in the storyline. This stifles that type of watercooler conversation that helped build the legacy of many classic shows.\nThis was also a lot less complicated when Netflix’s core originals were limited to a handful of titles – but with countless new content flowing through its servers it is hard to keep track. Although many subscribers are quick to say the “all-at-once” model is a huge draw for them and a reason they love Netflix over other rivals.\nGranted after nearly a decade of use it makes sense as that type of access has become engrained and expected by its users. The difference is other streamers have found arguably the same type of success with the use of weekly drops – most notably Disney+.\nWhile Netflix gets a lot of bang for its buck for its own titles, normally it is mainly limited to about a three-week period – the week prior to launch, the week of launch and the week after launch. Beyond that you can notice a sizable dip in the chatter, conversely Disney’s weekly model has a longer impact.\nBy dropping new episodes on Fridays, Disney invites new conversation over the entire weekend, that are repeated over a period of months. That&nbsp;repetition&nbsp;has helped elevate the profile of its&nbsp;Star Wars&nbsp;and Marvel-centric series (and in turn the brands). With each of which usually clocking in around 30 mins long, it makes it easier for people to watch without a huge time commitment.\nThat has seemingly caught the attention of Netflix which looks like it wants to switch things up – and I think the reaction by subscribers is going to be interesting to shareholders.\nTwo of Netflix’s reality franchises –The CircleandToo Hot To Handle– will now&nbsp;NOT&nbsp;be all-at-once drops. The batch model still holds, in that multiple episodes will still drop per week – but it won’t be the whole thing.\n<img src=\"https://static.tigerbbs.com/90bb70897890d7ac296671b75837af4c\" tg-width=\"1024\" tg-height=\"576\">Credit: Netflix\nThe Circlepremieres this week and will wrap May 5th, whileToo Hot To Handlewill debut in June – both on Wednesdays, which is also telling to me. In effect Netflix is trying to own that day of the week, which is a very traditional model approach to take.\nSo why am I so interested in this approach?\nThe main reason is because it represents a huge shift to their overall model that if successful could lead to future scripted series potentially getting the same treatment. I’ve often argued the one thing keeping Netflix’s originals back is the all-at-once approach.\nRememberThe Witcher?\nYes, it’s a hit for Netflix but it’s notGame of Thrones– and it was designed specifically to beGame of Thrones. Now hadWitcherbeen a weekly release and gotten all the buzz and added media attention that comes with it, it is very possible the series could have seen a substantial boost in popularity.\nEspecially with scripted shows that are heavily serialized having that added time to digest the material is incredibly important. With reality series, not so much – but they are still a great test case because there is still a payoff at the end.\nIt’s also telling because Netflix tried this before, but then quicky said it was a one-off move.\nWhenRhythm + Flowpremiered the other year, it took the weekly model approach in an attempt to preserve the identity of the winner as long as possible. However seemingly from the start Netflix essentially began apologizing for the decision.\nIt was kind of whiplash inducing as in one breath it was quick to tout a new creative approach and then just as fast say it was essentially a one-time&nbsp;thing.\nTo some it looked like Netflix felt like it had to go out of itswayto say it was an aberration to not upset the apple cart with its subscribers – which is why I’m very interested to see the response when it happens with two of its top franchises. I’ll be even more interested to see if this is the approach taken withLove Is Blindwhen it returns later this year.\nAs I said, never say never – even with Netflix.\nConclusion\nI have to give the streamer credit as its moves to shore up its base are further examples of company “firsts” and for Netflix to still have “firsts” this many years into its innovative run says something that should be encouraging to investors.\nStreaming remains the Wild Wild West and Netflix is ensuring nobody can get too comfortable – not even themselves.","source":"seekingalpha","collect":0,"html":"<!DOCTYPE html>\n<html>\n<head>\n<meta http-equiv=\"Content-Type\" content=\"text/html; charset=utf-8\" />\n<meta name=\"viewport\" content=\"width=device-width,initial-scale=1.0,minimum-scale=1.0,maximum-scale=1.0,user-scalable=no\"/>\n<meta name=\"format-detection\" content=\"telephone=no,email=no,address=no\" />\n<title>Netflix Stock: Company Looking To Adjust Longstanding Strategies As Rival Streamers Gain Ground</title>\n<style type=\"text/css\">\na,abbr,acronym,address,applet,article,aside,audio,b,big,blockquote,body,canvas,caption,center,cite,code,dd,del,details,dfn,div,dl,dt,\nem,embed,fieldset,figcaption,figure,footer,form,h1,h2,h3,h4,h5,h6,header,hgroup,html,i,iframe,img,ins,kbd,label,legend,li,mark,menu,nav,\nobject,ol,output,p,pre,q,ruby,s,samp,section,small,span,strike,strong,sub,summary,sup,table,tbody,td,tfoot,th,thead,time,tr,tt,u,ul,var,video{ font:inherit;margin:0;padding:0;vertical-align:baseline;border:0 }\nbody{ font-size:16px; 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}\n.meta {color:#5e5c6d;font-size:13px;margin:0 0 .5em; }\na{text-decoration:none; color:#2a4b87;}\n.meta .head { display: inline-block; overflow: hidden}\n.head .h-thumb { width: 30px; height: 30px; margin: 0; padding: 0; border-radius: 50%; float: left;}\n.head .h-content { margin: 0; padding: 0 0 0 9px; float: left;}\n.head .h-name {font-size: 13px; color: #eee; margin: 0;}\n.head .h-time {font-size: 11px; color: #7E829C; margin: 0;line-height: 11px;}\n.small {font-size: 12.5px; display: inline-block; transform: scale(0.9); -webkit-transform: scale(0.9); transform-origin: left; -webkit-transform-origin: left;}\n.smaller {font-size: 12.5px; display: inline-block; transform: scale(0.8); -webkit-transform: scale(0.8); transform-origin: left; -webkit-transform-origin: left;}\n.bt-text {font-size: 12px;margin: 1.5em 0 0 0}\n.bt-text p {margin: 0}\n</style>\n</head>\n<body>\n<div class=\"wrapper\">\n<header>\n<h2 class=\"title\">\nNetflix Stock: Company Looking To Adjust Longstanding Strategies As Rival Streamers Gain Ground\n</h2>\n\n<h4 class=\"meta\">\n\n\n2021-04-16 11:10 GMT+8&nbsp;&nbsp;&nbsp;<a href=https://seekingalpha.com/article/4419132-netflix-stock-strategies-disney-plus-hbo-max>seekingalpha</a>\n\n\n</h4>\n\n</header>\n<article>\n<div>\nSummary\n\nNetflix has seen its streaming rivals continually gain ground in the past few months prompting the company to re-evaluate a number of long-standing strategies.\nThis isn’t Netflix’s first time...\n\n<a href=\"https://seekingalpha.com/article/4419132-netflix-stock-strategies-disney-plus-hbo-max\">Web Link</a>\n\n</div>\n\n\n</article>\n</div>\n</body>\n</html>\n","type":0,"thumbnail":"","relate_stocks":{"NFLX":"奈飞"},"source_url":"https://seekingalpha.com/article/4419132-netflix-stock-strategies-disney-plus-hbo-max","is_english":true,"share_image_url":"https://static.laohu8.com/5a36db9d73b4222bc376d24ccc48c8a4","article_id":"1119241855","content_text":"Summary\n\nNetflix has seen its streaming rivals continually gain ground in the past few months prompting the company to re-evaluate a number of long-standing strategies.\nThis isn’t Netflix’s first time fending off challengers and the company is acutely aware it will have to consistently make moves to stay on top.\nNetflix recently negotiated a deal with Sony that will result in it receiving more content sooner than before and also open the door to new partnerships with the studio.\nThe streamer also utilized another “win-now” technique when it comes to its original films as instead of solely focusing on trying to create a new “it” franchise, it bought one.\nNetflix is also making moves on the TV side by adjusting its iconic “all-at-once” model and testing weekly batch drops of two popular reality shows – despite past pushback from subscribers.\n\nPhoto by Christopher Ames/iStock Unreleased via Getty Images\nNever say never – even if you are Netflix (NASDAQ:NFLX)\nThe streaming leader has come under heavy competition in the last few months from upstart rivals Disney+ (NYSE:DIS) and HBO Max (NYSE:T), while at the same time battling a newly revitalized Amazon Prime (NASDAQ:AMZN). However, this isn’t Netflix’s first time fending off challengers and let’s be realistic, it wasn’t like Netflix wasn’t aware it was going to have to consistently make moves to stay on top.\nThis time though it’s a bit different because of the collective nature of the shifts and how they represent a direct change to the streamer’s roadmap and business/programming model. While separately all these moves are impactful in their own right, but when looking at them as part of a bigger picture – it is sending a clear message to investors that the service can be nimble, even in areas were for a while it was seemingly the opposite.\nFirst as always, some background.\nIncreasing Netflix's Market Share\nI want to look at three specific moves and their importance.\nLet’s kick it off with the one that has the biggest paradigm shift in the industry – the Sony deal.\nCredit: Sony\nLast week Netflix made a deal with Sony (NYSE:SONY) to acquire first-run pay TV rights for its theatrical releases. In other words, after theater and home video, it’s onto Netflix. This is a big step for the streamer as previously it would look to make deals for specific films, whereas now it a steady flow of features in play.\nLet me back up for a second though to explain a little more in depth…and keep in mind this is tied directly the traditional model (and pre-COVID). As mentioned, the usual route for a movie is theaters, home entertainment, pay TV, cable, broadcast, etc…where streaming comes in has always been somewhat fluid past pay TV.\nThis deal targets that “pay TV” window. The premium channels – i.e. HBO, Showtime, Starz, Epix – all have deals with studios for their outputs. For example, Warner Bros. films go to HBO, A24 films go to Showtime and so on. In some cases it’s a natural fit among corporate siblings or a separate deal worked out to help both parties.\nPreviously Sony films went to Starz – but starting in 2022 when that deal expires, Netflix takes over.\nWhat that means is that Netflix just slipped into a window where traditional TV had a solid foothold.\nPart of the reason these networks had been able to pull in subscribers in the first place was that steady pipeline of theatricals. Those blockbusters were the draw to get you to subscribe with the ideas being those network’s originals would then get you further hooked. At the same time those movies - which then became part of an ever-growing film library - are the backbone of any premium movie network’s linear schedule.\nWhile this will be a noticeable loss for Starz, for Netflix and Sony it’s a win and one that should have both sets of investors thrilled.\nSony, which doesn’t have a streaming service, basically was able to use Netflix as a much-needed financial lifeline following the COVID-induced shutdown of theaters. In addition, the streamer will have the ability to invest in some of the studio’s upcoming projects. The pair had already seen success prior from a similar separate previousdealworked out for Sony’s animated fare.\nCredit: Sony\nNetflix'sCompetitors Gain Ground\nSticking with the Sony deal a bit further (as there is a lot to unpack) - on the other side of the coin, Netflix now gets a fresh influx of content to make up for what competitors such as HBO Max, Disney+ and Peacock pulled back for their own services OR the content competitors such as Amazon or Apple outbid them on. That cannot be over-started enough, however on the positive side what investors have seen is Netflix's subscribers pivoting in turn to similar content.\nFor example Netflix's most popular series for a while was Friends and when that left,The Office took over. Now with Office gone,Schitt's Creek is in front. Netflix is a large part of the reason why Schitt's Creek exploded towards the end of its runs so it's unlikely that show will slip off the servers, but should it - the point is Netflix viewers will just go down the line.\nIt's also interesting to note the addition of Friends to HBO Max and Office to Peacock have been very successful for those networks - which speaks a lot to the value of IP overall versus just where it was available.\nSpeaking of IP, another reason why the Sony deal is important is because it has marquee franchises such as theSpider-Manuniverse. This is one of the rare non-Disney owned Marvel IP’s and this puts the streamer right back in the super-hero space that has performed so well for it prior.\nAll together the deal was a welcome sign of relief to some shareholders as it’s been rumored Comcast’s Universal division will soon begin pulling its content from Netflix soon to give exclusively to Peacock – similar to what the company did withThe Office earlier this year.\nThis is further protection for that type of a mass content exodus.\nOn it is own this is a big deal because of its far-reaching industry impacts – but where I’m looking it (and investors should also) is two-fold. One, it is a clear example of how Netflix is pivoting to stay competitive and somehow always finds a dance partner in need of its special set of skills.\nGoing Outside The Netflix Family\nThe other aspect is it’s also fascinating to see how Netflix has further infiltrated the film world – including by leaning into more traditional methods. And that takes us to the second piece of news which I touched on in a previous piece… theKnives Outdeal.\nAs a reminder Netflix bought the rights to the two sequels to the 2019 murder mystery hit (originally distributed by Lionsgate) for over $450 million…a stunning sum of money in its own right, let alone for such new IP. However, again looking at the bigger picture, it makes sense.\nNetflix is trying to further its film reach, even going so far as to produce over 70 originals in 2021 – including at least one new one a week. The problem is that approach could actually dilute the overall product and cannibalizes its success.\nWe are also a few years into the Netflix film division and the studio has yet to find its AAA tier film franchise. It’s had individual successes and its won Oscars but it hasn’t had that film series that would be akin to one a traditional studio would leverage a theatrical trilogy out of…and its noticeable.\nSo Netflix did the next best thing – it bought one.\nKnives Outwas also a great choice.\nIt boasts Daniel Craig as the lead, comes from a well-regarded writer/director in Rian Johnson and also was an awards player. Plus the original packed together a stunning ensemble of A-list talent and the news ones will likely follow the same pattern.\nIt’s a safe and smart play for Netflix that will also get the attention and buzz they are looking for in that space. It’s also another example of Netflix’s “win-now” mentality.\nSo to recap – Netflix in the past few weeks went out and bought a new “it” franchise AND jumped to the front of the line for new “A-tier” content from a top-flight studio.\nBoth of these moves are in direct response to having their rivals step up their game.\nAnd to be clear, some of this may be reactionary, but that’s the point. It’s not knee-jerk in the least, it’s a calculated reaction that makes fiscal sense. Just as Netflix knew eventually studios/networks would wise up and stop feeding them content, its team knew its rivals would make gains and they’d have to adjust.\nThat’s business…there’s an ebb and flow.\nAs I mentioned earlier, Netflix smartly turned its attention to potential partners who could utilize their competitive advantage.\nNetflix's Biggest Risk May Come From Smallest Change\nTo me, the last move I want to touch on is the most interesting – it is also ironically the least headline-grabbing of the bunch. It ties to the TV side of the business, which has arguably come under just much of an attack from other streamers.\nIn the beginning, Netflix’s entry into streaming was built around being different, but the most well-known aspect of that build-up was its “all-at-once” pattern. While the traditional model had long relied on weekly episode drops, Netflix changed the game.\nIt was a refreshing approach.\nFor the “now” generation to have everything at their fingertips from the start was a big selling point. It also marked the beginning of “binge culture.” Of course, there were cons as well as pros, the problem with all-at-once is exactly that, it’s all-at-once.\nFor many people sitting for 10-12 hours to polish off a full season of a show is not realistic – even over a weekend it's hard. What that meant is while you can talk all you wanted online about the show’s twists and turns, it was harder to keep that conversation going with friends and family.\nCredit: Netflix\nWhile it’s worked tremendously for Netflix, it’s also proven to be a bit of a hinderance because fans never know where others are in the storyline. This stifles that type of watercooler conversation that helped build the legacy of many classic shows.\nThis was also a lot less complicated when Netflix’s core originals were limited to a handful of titles – but with countless new content flowing through its servers it is hard to keep track. Although many subscribers are quick to say the “all-at-once” model is a huge draw for them and a reason they love Netflix over other rivals.\nGranted after nearly a decade of use it makes sense as that type of access has become engrained and expected by its users. The difference is other streamers have found arguably the same type of success with the use of weekly drops – most notably Disney+.\nWhile Netflix gets a lot of bang for its buck for its own titles, normally it is mainly limited to about a three-week period – the week prior to launch, the week of launch and the week after launch. Beyond that you can notice a sizable dip in the chatter, conversely Disney’s weekly model has a longer impact.\nBy dropping new episodes on Fridays, Disney invites new conversation over the entire weekend, that are repeated over a period of months. That repetition has helped elevate the profile of its Star Wars and Marvel-centric series (and in turn the brands). With each of which usually clocking in around 30 mins long, it makes it easier for people to watch without a huge time commitment.\nThat has seemingly caught the attention of Netflix which looks like it wants to switch things up – and I think the reaction by subscribers is going to be interesting to shareholders.\nTwo of Netflix’s reality franchises –The CircleandToo Hot To Handle– will now NOT be all-at-once drops. The batch model still holds, in that multiple episodes will still drop per week – but it won’t be the whole thing.\nCredit: Netflix\nThe Circlepremieres this week and will wrap May 5th, whileToo Hot To Handlewill debut in June – both on Wednesdays, which is also telling to me. In effect Netflix is trying to own that day of the week, which is a very traditional model approach to take.\nSo why am I so interested in this approach?\nThe main reason is because it represents a huge shift to their overall model that if successful could lead to future scripted series potentially getting the same treatment. I’ve often argued the one thing keeping Netflix’s originals back is the all-at-once approach.\nRememberThe Witcher?\nYes, it’s a hit for Netflix but it’s notGame of Thrones– and it was designed specifically to beGame of Thrones. Now hadWitcherbeen a weekly release and gotten all the buzz and added media attention that comes with it, it is very possible the series could have seen a substantial boost in popularity.\nEspecially with scripted shows that are heavily serialized having that added time to digest the material is incredibly important. With reality series, not so much – but they are still a great test case because there is still a payoff at the end.\nIt’s also telling because Netflix tried this before, but then quicky said it was a one-off move.\nWhenRhythm + Flowpremiered the other year, it took the weekly model approach in an attempt to preserve the identity of the winner as long as possible. However seemingly from the start Netflix essentially began apologizing for the decision.\nIt was kind of whiplash inducing as in one breath it was quick to tout a new creative approach and then just as fast say it was essentially a one-time thing.\nTo some it looked like Netflix felt like it had to go out of itswayto say it was an aberration to not upset the apple cart with its subscribers – which is why I’m very interested to see the response when it happens with two of its top franchises. I’ll be even more interested to see if this is the approach taken withLove Is Blindwhen it returns later this year.\nAs I said, never say never – even with Netflix.\nConclusion\nI have to give the streamer credit as its moves to shore up its base are further examples of company “firsts” and for Netflix to still have “firsts” this many years into its innovative run says something that should be encouraging to investors.\nStreaming remains the Wild Wild West and Netflix is ensuring nobody can get too comfortable – not even themselves.","news_type":1},"isVote":1,"likeStatus":false,"favoriteStatus":false,"reportStatus":false,"tweetType":1,"langContent":"CN"},{"id":370920481,"gmtCreate":1618544998243,"gmtModify":1704712514051,"author":{"id":"3574037437125896","authorId":"3574037437125896","authorIdStr":"3574037437125896","name":"NYK_NYC","avatar":"https://static.laohu8.com/default-avatar.jpg","vip":1,"crmLevel":1,"crmLevelSwitch":0,"idStr":"3574037437125896"},"htmlText":"Like and comment","listText":"Like and comment","text":"Like and comment","images":[],"top":1,"highlighted":1,"essential":1,"paper":1,"likeSize":1,"commentSize":2,"repostSize":0,"link":"https://ttm.financial/post/370920481","repostId":1119241855,"repostType":4,"repost":{"id":"1119241855","pubTimestamp":1618542634,"share":"https://ttm.financial/m/news/1119241855?lang=&edition=fundamental","pubTime":"2021-04-16 11:10","market":"us","language":"en","title":"Netflix Stock: Company Looking To Adjust Longstanding Strategies As Rival Streamers Gain Ground","url":"https://stock-news.laohu8.com/highlight/detail?id=1119241855","media":"seekingalpha","summary":"Summary\n\nNetflix has seen its streaming rivals continually gain ground in the past few months prompt","content":"Summary\n<ul>\n <li>Netflix has seen its streaming rivals continually gain ground in the past few months prompting the company to re-evaluate a number of long-standing strategies.</li>\n <li>This isn’t Netflix’s first time fending off challengers and the company is acutely aware it will have to consistently make moves to stay on top.</li>\n <li>Netflix recently negotiated a deal with Sony that will result in it receiving more content sooner than before and also open the door to new partnerships with the studio.</li>\n <li>The streamer also utilized another “win-now” technique when it comes to its original films as instead of solely focusing on trying to create a new “it” franchise, it bought one.</li>\n <li>Netflix is also making moves on the TV side by adjusting its iconic “all-at-once” model and testing weekly batch drops of two popular reality shows – despite past pushback from subscribers.</li>\n</ul>\n<img src=\"https://static.tigerbbs.com/85c5bcbd94b754eab4b27fa6819cac61\" tg-width=\"768\" tg-height=\"509\">Photo by Christopher Ames/iStock Unreleased via Getty Images\nNever say never – even if you are Netflix (NASDAQ:NFLX)\nThe streaming leader has come under heavy competition in the last few months from upstart rivals Disney+ (NYSE:DIS) and HBO Max (NYSE:T), while at the same time battling a newly revitalized Amazon Prime (NASDAQ:AMZN). However, this isn’t Netflix’s first time fending off challengers and let’s be realistic, it wasn’t like Netflix wasn’t aware it was going to have to consistently make moves to stay on top.\nThis time though it’s a bit different because of the collective nature of the shifts and how they represent a direct change to the streamer’s roadmap and business/programming model. While separately all these moves are impactful in their own right, but when looking at them as part of a bigger picture – it is sending a clear message to investors that the service can be nimble, even in areas were for a while it was seemingly the opposite.\nFirst as always, some background.\nIncreasing Netflix's Market Share\nI want to look at three specific moves and their importance.\nLet’s kick it off with the one that has the biggest paradigm shift in the industry – the Sony deal.\n<img src=\"https://static.tigerbbs.com/9a75991f04f5078fe686afa0638322f6\" tg-width=\"934\" tg-height=\"488\">Credit: Sony\nLast week Netflix made a&nbsp;deal&nbsp;with Sony (NYSE:SONY) to acquire first-run pay TV rights for its theatrical releases. In other words, after theater and home video, it’s onto Netflix. This is a big step for the streamer as previously it would look to make deals for specific films, whereas now it a steady flow of features in play.\nLet me back up for a second though to explain a little more in depth…and keep in mind this is tied directly the traditional model (and pre-COVID). As mentioned, the usual route for a movie is theaters, home entertainment, pay TV, cable, broadcast, etc…where streaming comes in has always been somewhat fluid past pay TV.\nThis deal targets that “pay TV” window. The premium channels – i.e. HBO, Showtime, Starz, Epix – all have deals with studios for their outputs. For example, Warner Bros. films go to HBO, A24&nbsp;films&nbsp;go to Showtime and so on. In some cases it’s a natural fit among corporate siblings or a separate deal worked out to help both parties.\nPreviously Sony films went to Starz – but starting in 2022 when that deal expires, Netflix takes over.\nWhat that means is that Netflix just slipped into a window where traditional TV had a solid foothold.\nPart of the reason these networks had been able to pull in subscribers in the first place was that steady pipeline of theatricals. Those blockbusters were the draw to get you to subscribe with the ideas being those network’s originals would then get you further hooked. At the same time those movies - which then became part of an ever-growing film library - are the backbone of any premium movie network’s linear schedule.\nWhile this will be a noticeable loss for Starz, for Netflix and Sony it’s a win and one that should have both sets of investors thrilled.\nSony, which doesn’t have a streaming service, basically was able to use Netflix as a much-needed financial lifeline following the COVID-induced shutdown of theaters. In addition, the streamer will have the ability to invest in some of the studio’s upcoming projects. The pair had already seen success prior from a similar separate previousdealworked out for Sony’s animated fare.\n<img src=\"https://static.tigerbbs.com/7e7955071fa9cb7465c0265e4600ccd5\" tg-width=\"750\" tg-height=\"562\">Credit: Sony\nNetflix'sCompetitors Gain Ground\nSticking with the Sony deal a bit further (as there is a lot to unpack) - on the other side of the coin, Netflix now gets a fresh influx of content to make up for what competitors such as HBO Max, Disney+ and Peacock pulled back for their own services OR the content competitors such as Amazon or Apple outbid them on. That cannot be over-started enough, however on the positive side what investors have seen is Netflix's subscribers pivoting in turn to similar content.\nFor example Netflix's most popular series for a while was&nbsp;Friends&nbsp;and when that left,The Office&nbsp;took over. Now with&nbsp;Office&nbsp;gone,Schitt's Creek&nbsp;is in front. Netflix is a large part of the reason why&nbsp;Schitt's Creek&nbsp;exploded towards the end of its runs so it's unlikely that show will slip off the servers, but should it - the point is Netflix viewers will just go down the line.\nIt's also interesting to note the addition of&nbsp;Friends&nbsp;to HBO Max and&nbsp;Office&nbsp;to Peacock have been very successful for those networks - which speaks a lot to the value of IP overall versus just where it was available.\nSpeaking of IP, another reason why the Sony deal is important is because it has marquee franchises such as theSpider-Manuniverse. This is one of the rare non-Disney owned Marvel IP’s and this puts the streamer right back in the super-hero space that has performed so well for it prior.\nAll together the deal was a welcome sign of relief to some shareholders as it’s been&nbsp;rumored&nbsp;Comcast’s Universal division will soon begin pulling its content from Netflix soon to give exclusively to Peacock – similar to what the company did withThe Office&nbsp;earlier this year.\nThis is further protection for that type of a mass content exodus.\nOn it is own this is a big deal because of its far-reaching industry impacts – but where I’m looking it (and investors should also) is two-fold. One, it is a clear example of how Netflix is pivoting to stay competitive and somehow always finds a dance partner in need of its special set of skills.\nGoing Outside The Netflix Family\nThe other aspect is it’s also fascinating to see how Netflix has further infiltrated the film world – including by leaning into more traditional methods. And that takes us to the second piece of news which I touched on in a previous&nbsp;piece… theKnives Outdeal.\nAs a reminder Netflix&nbsp;bought&nbsp;the rights to the two sequels to the 2019 murder mystery hit (originally distributed by Lionsgate) for over $450 million…a stunning sum of money in its own right, let alone for such new IP. However, again looking at the bigger picture, it makes sense.\nNetflix is trying to further its film reach, even going so far as to produce&nbsp;over&nbsp;70 originals in 2021 – including at least one new one a week. The problem is that approach could actually dilute the overall product and cannibalizes its success.\nWe are also a few years into the Netflix film division and the studio has yet to find its AAA tier film franchise. It’s had individual successes and its won Oscars but it hasn’t had that film series that would be akin to one a traditional studio would leverage a theatrical trilogy out of…and its noticeable.\nSo Netflix did the next best thing – it bought one.\nKnives Outwas also a great choice.\nIt boasts Daniel Craig as the lead, comes from a well-regarded writer/director in Rian Johnson and also was an awards player. Plus the original packed together a stunning ensemble of A-list talent and the news ones will likely follow the same pattern.\nIt’s a safe and smart play for Netflix that will also get the attention and buzz they are looking for in that space. It’s also another example of Netflix’s “win-now” mentality.\nSo to recap – Netflix in the past few weeks went out and bought a new “it” franchise AND jumped to the front of the line for new “A-tier” content from a top-flight studio.\nBoth of these moves are in direct response to having their rivals step up their game.\nAnd to be clear, some of this may be reactionary, but that’s the point. It’s not knee-jerk in the least, it’s a calculated reaction that makes fiscal sense. Just as Netflix knew eventually studios/networks would wise up and stop feeding them content, its team knew its rivals would make gains and they’d have to adjust.\nThat’s business…there’s an ebb and flow.\nAs I mentioned earlier, Netflix smartly turned its attention to potential partners who could utilize their competitive advantage.\nNetflix's Biggest Risk May Come From Smallest Change\nTo me, the last move I want to touch on is the most interesting – it is also ironically the least headline-grabbing of the bunch. It ties to the TV side of the business, which has arguably come under just much of an attack from other streamers.\nIn the beginning, Netflix’s entry into streaming was built around being different, but the most well-known aspect of that build-up was its “all-at-once” pattern. While the traditional model had long relied on weekly episode drops, Netflix changed the game.\nIt was a refreshing approach.\nFor the “now” generation to have everything at their fingertips from the start was a big selling point. It also marked the beginning of “binge culture.” Of course, there were cons as well as pros, the problem with all-at-once is exactly that, it’s all-at-once.\nFor many people sitting for 10-12 hours to polish off a full season of a show is not realistic – even over a weekend it's hard. What that meant is while you can talk all you wanted online about the show’s twists and turns, it was harder to keep that conversation going with friends and family.\n<img src=\"https://static.tigerbbs.com/051370349a483fcd05ac4945cdcfb588\" tg-width=\"800\" tg-height=\"444\">Credit: Netflix\nWhile it’s worked tremendously for Netflix, it’s also proven to be a bit of a hinderance because fans never know where others are in the storyline. This stifles that type of watercooler conversation that helped build the legacy of many classic shows.\nThis was also a lot less complicated when Netflix’s core originals were limited to a handful of titles – but with countless new content flowing through its servers it is hard to keep track. Although many subscribers are quick to say the “all-at-once” model is a huge draw for them and a reason they love Netflix over other rivals.\nGranted after nearly a decade of use it makes sense as that type of access has become engrained and expected by its users. The difference is other streamers have found arguably the same type of success with the use of weekly drops – most notably Disney+.\nWhile Netflix gets a lot of bang for its buck for its own titles, normally it is mainly limited to about a three-week period – the week prior to launch, the week of launch and the week after launch. Beyond that you can notice a sizable dip in the chatter, conversely Disney’s weekly model has a longer impact.\nBy dropping new episodes on Fridays, Disney invites new conversation over the entire weekend, that are repeated over a period of months. That&nbsp;repetition&nbsp;has helped elevate the profile of its&nbsp;Star Wars&nbsp;and Marvel-centric series (and in turn the brands). With each of which usually clocking in around 30 mins long, it makes it easier for people to watch without a huge time commitment.\nThat has seemingly caught the attention of Netflix which looks like it wants to switch things up – and I think the reaction by subscribers is going to be interesting to shareholders.\nTwo of Netflix’s reality franchises –The CircleandToo Hot To Handle– will now&nbsp;NOT&nbsp;be all-at-once drops. The batch model still holds, in that multiple episodes will still drop per week – but it won’t be the whole thing.\n<img src=\"https://static.tigerbbs.com/90bb70897890d7ac296671b75837af4c\" tg-width=\"1024\" tg-height=\"576\">Credit: Netflix\nThe Circlepremieres this week and will wrap May 5th, whileToo Hot To Handlewill debut in June – both on Wednesdays, which is also telling to me. In effect Netflix is trying to own that day of the week, which is a very traditional model approach to take.\nSo why am I so interested in this approach?\nThe main reason is because it represents a huge shift to their overall model that if successful could lead to future scripted series potentially getting the same treatment. I’ve often argued the one thing keeping Netflix’s originals back is the all-at-once approach.\nRememberThe Witcher?\nYes, it’s a hit for Netflix but it’s notGame of Thrones– and it was designed specifically to beGame of Thrones. Now hadWitcherbeen a weekly release and gotten all the buzz and added media attention that comes with it, it is very possible the series could have seen a substantial boost in popularity.\nEspecially with scripted shows that are heavily serialized having that added time to digest the material is incredibly important. With reality series, not so much – but they are still a great test case because there is still a payoff at the end.\nIt’s also telling because Netflix tried this before, but then quicky said it was a one-off move.\nWhenRhythm + Flowpremiered the other year, it took the weekly model approach in an attempt to preserve the identity of the winner as long as possible. However seemingly from the start Netflix essentially began apologizing for the decision.\nIt was kind of whiplash inducing as in one breath it was quick to tout a new creative approach and then just as fast say it was essentially a one-time&nbsp;thing.\nTo some it looked like Netflix felt like it had to go out of itswayto say it was an aberration to not upset the apple cart with its subscribers – which is why I’m very interested to see the response when it happens with two of its top franchises. I’ll be even more interested to see if this is the approach taken withLove Is Blindwhen it returns later this year.\nAs I said, never say never – even with Netflix.\nConclusion\nI have to give the streamer credit as its moves to shore up its base are further examples of company “firsts” and for Netflix to still have “firsts” this many years into its innovative run says something that should be encouraging to investors.\nStreaming remains the Wild Wild West and Netflix is ensuring nobody can get too comfortable – not even themselves.","source":"seekingalpha","collect":0,"html":"<!DOCTYPE html>\n<html>\n<head>\n<meta http-equiv=\"Content-Type\" content=\"text/html; charset=utf-8\" />\n<meta name=\"viewport\" content=\"width=device-width,initial-scale=1.0,minimum-scale=1.0,maximum-scale=1.0,user-scalable=no\"/>\n<meta name=\"format-detection\" content=\"telephone=no,email=no,address=no\" />\n<title>Netflix Stock: Company Looking To Adjust Longstanding Strategies As Rival Streamers Gain Ground</title>\n<style type=\"text/css\">\na,abbr,acronym,address,applet,article,aside,audio,b,big,blockquote,body,canvas,caption,center,cite,code,dd,del,details,dfn,div,dl,dt,\nem,embed,fieldset,figcaption,figure,footer,form,h1,h2,h3,h4,h5,h6,header,hgroup,html,i,iframe,img,ins,kbd,label,legend,li,mark,menu,nav,\nobject,ol,output,p,pre,q,ruby,s,samp,section,small,span,strike,strong,sub,summary,sup,table,tbody,td,tfoot,th,thead,time,tr,tt,u,ul,var,video{ font:inherit;margin:0;padding:0;vertical-align:baseline;border:0 }\nbody{ font-size:16px; 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}\n.meta {color:#5e5c6d;font-size:13px;margin:0 0 .5em; }\na{text-decoration:none; color:#2a4b87;}\n.meta .head { display: inline-block; overflow: hidden}\n.head .h-thumb { width: 30px; height: 30px; margin: 0; padding: 0; border-radius: 50%; float: left;}\n.head .h-content { margin: 0; padding: 0 0 0 9px; float: left;}\n.head .h-name {font-size: 13px; color: #eee; margin: 0;}\n.head .h-time {font-size: 11px; color: #7E829C; margin: 0;line-height: 11px;}\n.small {font-size: 12.5px; display: inline-block; transform: scale(0.9); -webkit-transform: scale(0.9); transform-origin: left; -webkit-transform-origin: left;}\n.smaller {font-size: 12.5px; display: inline-block; transform: scale(0.8); -webkit-transform: scale(0.8); transform-origin: left; -webkit-transform-origin: left;}\n.bt-text {font-size: 12px;margin: 1.5em 0 0 0}\n.bt-text p {margin: 0}\n</style>\n</head>\n<body>\n<div class=\"wrapper\">\n<header>\n<h2 class=\"title\">\nNetflix Stock: Company Looking To Adjust Longstanding Strategies As Rival Streamers Gain Ground\n</h2>\n\n<h4 class=\"meta\">\n\n\n2021-04-16 11:10 GMT+8&nbsp;&nbsp;&nbsp;<a href=https://seekingalpha.com/article/4419132-netflix-stock-strategies-disney-plus-hbo-max>seekingalpha</a>\n\n\n</h4>\n\n</header>\n<article>\n<div>\nSummary\n\nNetflix has seen its streaming rivals continually gain ground in the past few months prompting the company to re-evaluate a number of long-standing strategies.\nThis isn’t Netflix’s first time...\n\n<a href=\"https://seekingalpha.com/article/4419132-netflix-stock-strategies-disney-plus-hbo-max\">Web Link</a>\n\n</div>\n\n\n</article>\n</div>\n</body>\n</html>\n","type":0,"thumbnail":"","relate_stocks":{"NFLX":"奈飞"},"source_url":"https://seekingalpha.com/article/4419132-netflix-stock-strategies-disney-plus-hbo-max","is_english":true,"share_image_url":"https://static.laohu8.com/5a36db9d73b4222bc376d24ccc48c8a4","article_id":"1119241855","content_text":"Summary\n\nNetflix has seen its streaming rivals continually gain ground in the past few months prompting the company to re-evaluate a number of long-standing strategies.\nThis isn’t Netflix’s first time fending off challengers and the company is acutely aware it will have to consistently make moves to stay on top.\nNetflix recently negotiated a deal with Sony that will result in it receiving more content sooner than before and also open the door to new partnerships with the studio.\nThe streamer also utilized another “win-now” technique when it comes to its original films as instead of solely focusing on trying to create a new “it” franchise, it bought one.\nNetflix is also making moves on the TV side by adjusting its iconic “all-at-once” model and testing weekly batch drops of two popular reality shows – despite past pushback from subscribers.\n\nPhoto by Christopher Ames/iStock Unreleased via Getty Images\nNever say never – even if you are Netflix (NASDAQ:NFLX)\nThe streaming leader has come under heavy competition in the last few months from upstart rivals Disney+ (NYSE:DIS) and HBO Max (NYSE:T), while at the same time battling a newly revitalized Amazon Prime (NASDAQ:AMZN). However, this isn’t Netflix’s first time fending off challengers and let’s be realistic, it wasn’t like Netflix wasn’t aware it was going to have to consistently make moves to stay on top.\nThis time though it’s a bit different because of the collective nature of the shifts and how they represent a direct change to the streamer’s roadmap and business/programming model. While separately all these moves are impactful in their own right, but when looking at them as part of a bigger picture – it is sending a clear message to investors that the service can be nimble, even in areas were for a while it was seemingly the opposite.\nFirst as always, some background.\nIncreasing Netflix's Market Share\nI want to look at three specific moves and their importance.\nLet’s kick it off with the one that has the biggest paradigm shift in the industry – the Sony deal.\nCredit: Sony\nLast week Netflix made a deal with Sony (NYSE:SONY) to acquire first-run pay TV rights for its theatrical releases. In other words, after theater and home video, it’s onto Netflix. This is a big step for the streamer as previously it would look to make deals for specific films, whereas now it a steady flow of features in play.\nLet me back up for a second though to explain a little more in depth…and keep in mind this is tied directly the traditional model (and pre-COVID). As mentioned, the usual route for a movie is theaters, home entertainment, pay TV, cable, broadcast, etc…where streaming comes in has always been somewhat fluid past pay TV.\nThis deal targets that “pay TV” window. The premium channels – i.e. HBO, Showtime, Starz, Epix – all have deals with studios for their outputs. For example, Warner Bros. films go to HBO, A24 films go to Showtime and so on. In some cases it’s a natural fit among corporate siblings or a separate deal worked out to help both parties.\nPreviously Sony films went to Starz – but starting in 2022 when that deal expires, Netflix takes over.\nWhat that means is that Netflix just slipped into a window where traditional TV had a solid foothold.\nPart of the reason these networks had been able to pull in subscribers in the first place was that steady pipeline of theatricals. Those blockbusters were the draw to get you to subscribe with the ideas being those network’s originals would then get you further hooked. At the same time those movies - which then became part of an ever-growing film library - are the backbone of any premium movie network’s linear schedule.\nWhile this will be a noticeable loss for Starz, for Netflix and Sony it’s a win and one that should have both sets of investors thrilled.\nSony, which doesn’t have a streaming service, basically was able to use Netflix as a much-needed financial lifeline following the COVID-induced shutdown of theaters. In addition, the streamer will have the ability to invest in some of the studio’s upcoming projects. The pair had already seen success prior from a similar separate previousdealworked out for Sony’s animated fare.\nCredit: Sony\nNetflix'sCompetitors Gain Ground\nSticking with the Sony deal a bit further (as there is a lot to unpack) - on the other side of the coin, Netflix now gets a fresh influx of content to make up for what competitors such as HBO Max, Disney+ and Peacock pulled back for their own services OR the content competitors such as Amazon or Apple outbid them on. That cannot be over-started enough, however on the positive side what investors have seen is Netflix's subscribers pivoting in turn to similar content.\nFor example Netflix's most popular series for a while was Friends and when that left,The Office took over. Now with Office gone,Schitt's Creek is in front. Netflix is a large part of the reason why Schitt's Creek exploded towards the end of its runs so it's unlikely that show will slip off the servers, but should it - the point is Netflix viewers will just go down the line.\nIt's also interesting to note the addition of Friends to HBO Max and Office to Peacock have been very successful for those networks - which speaks a lot to the value of IP overall versus just where it was available.\nSpeaking of IP, another reason why the Sony deal is important is because it has marquee franchises such as theSpider-Manuniverse. This is one of the rare non-Disney owned Marvel IP’s and this puts the streamer right back in the super-hero space that has performed so well for it prior.\nAll together the deal was a welcome sign of relief to some shareholders as it’s been rumored Comcast’s Universal division will soon begin pulling its content from Netflix soon to give exclusively to Peacock – similar to what the company did withThe Office earlier this year.\nThis is further protection for that type of a mass content exodus.\nOn it is own this is a big deal because of its far-reaching industry impacts – but where I’m looking it (and investors should also) is two-fold. One, it is a clear example of how Netflix is pivoting to stay competitive and somehow always finds a dance partner in need of its special set of skills.\nGoing Outside The Netflix Family\nThe other aspect is it’s also fascinating to see how Netflix has further infiltrated the film world – including by leaning into more traditional methods. And that takes us to the second piece of news which I touched on in a previous piece… theKnives Outdeal.\nAs a reminder Netflix bought the rights to the two sequels to the 2019 murder mystery hit (originally distributed by Lionsgate) for over $450 million…a stunning sum of money in its own right, let alone for such new IP. However, again looking at the bigger picture, it makes sense.\nNetflix is trying to further its film reach, even going so far as to produce over 70 originals in 2021 – including at least one new one a week. The problem is that approach could actually dilute the overall product and cannibalizes its success.\nWe are also a few years into the Netflix film division and the studio has yet to find its AAA tier film franchise. It’s had individual successes and its won Oscars but it hasn’t had that film series that would be akin to one a traditional studio would leverage a theatrical trilogy out of…and its noticeable.\nSo Netflix did the next best thing – it bought one.\nKnives Outwas also a great choice.\nIt boasts Daniel Craig as the lead, comes from a well-regarded writer/director in Rian Johnson and also was an awards player. Plus the original packed together a stunning ensemble of A-list talent and the news ones will likely follow the same pattern.\nIt’s a safe and smart play for Netflix that will also get the attention and buzz they are looking for in that space. It’s also another example of Netflix’s “win-now” mentality.\nSo to recap – Netflix in the past few weeks went out and bought a new “it” franchise AND jumped to the front of the line for new “A-tier” content from a top-flight studio.\nBoth of these moves are in direct response to having their rivals step up their game.\nAnd to be clear, some of this may be reactionary, but that’s the point. It’s not knee-jerk in the least, it’s a calculated reaction that makes fiscal sense. Just as Netflix knew eventually studios/networks would wise up and stop feeding them content, its team knew its rivals would make gains and they’d have to adjust.\nThat’s business…there’s an ebb and flow.\nAs I mentioned earlier, Netflix smartly turned its attention to potential partners who could utilize their competitive advantage.\nNetflix's Biggest Risk May Come From Smallest Change\nTo me, the last move I want to touch on is the most interesting – it is also ironically the least headline-grabbing of the bunch. It ties to the TV side of the business, which has arguably come under just much of an attack from other streamers.\nIn the beginning, Netflix’s entry into streaming was built around being different, but the most well-known aspect of that build-up was its “all-at-once” pattern. While the traditional model had long relied on weekly episode drops, Netflix changed the game.\nIt was a refreshing approach.\nFor the “now” generation to have everything at their fingertips from the start was a big selling point. It also marked the beginning of “binge culture.” Of course, there were cons as well as pros, the problem with all-at-once is exactly that, it’s all-at-once.\nFor many people sitting for 10-12 hours to polish off a full season of a show is not realistic – even over a weekend it's hard. What that meant is while you can talk all you wanted online about the show’s twists and turns, it was harder to keep that conversation going with friends and family.\nCredit: Netflix\nWhile it’s worked tremendously for Netflix, it’s also proven to be a bit of a hinderance because fans never know where others are in the storyline. This stifles that type of watercooler conversation that helped build the legacy of many classic shows.\nThis was also a lot less complicated when Netflix’s core originals were limited to a handful of titles – but with countless new content flowing through its servers it is hard to keep track. Although many subscribers are quick to say the “all-at-once” model is a huge draw for them and a reason they love Netflix over other rivals.\nGranted after nearly a decade of use it makes sense as that type of access has become engrained and expected by its users. The difference is other streamers have found arguably the same type of success with the use of weekly drops – most notably Disney+.\nWhile Netflix gets a lot of bang for its buck for its own titles, normally it is mainly limited to about a three-week period – the week prior to launch, the week of launch and the week after launch. Beyond that you can notice a sizable dip in the chatter, conversely Disney’s weekly model has a longer impact.\nBy dropping new episodes on Fridays, Disney invites new conversation over the entire weekend, that are repeated over a period of months. That repetition has helped elevate the profile of its Star Wars and Marvel-centric series (and in turn the brands). With each of which usually clocking in around 30 mins long, it makes it easier for people to watch without a huge time commitment.\nThat has seemingly caught the attention of Netflix which looks like it wants to switch things up – and I think the reaction by subscribers is going to be interesting to shareholders.\nTwo of Netflix’s reality franchises –The CircleandToo Hot To Handle– will now NOT be all-at-once drops. The batch model still holds, in that multiple episodes will still drop per week – but it won’t be the whole thing.\nCredit: Netflix\nThe Circlepremieres this week and will wrap May 5th, whileToo Hot To Handlewill debut in June – both on Wednesdays, which is also telling to me. In effect Netflix is trying to own that day of the week, which is a very traditional model approach to take.\nSo why am I so interested in this approach?\nThe main reason is because it represents a huge shift to their overall model that if successful could lead to future scripted series potentially getting the same treatment. I’ve often argued the one thing keeping Netflix’s originals back is the all-at-once approach.\nRememberThe Witcher?\nYes, it’s a hit for Netflix but it’s notGame of Thrones– and it was designed specifically to beGame of Thrones. Now hadWitcherbeen a weekly release and gotten all the buzz and added media attention that comes with it, it is very possible the series could have seen a substantial boost in popularity.\nEspecially with scripted shows that are heavily serialized having that added time to digest the material is incredibly important. With reality series, not so much – but they are still a great test case because there is still a payoff at the end.\nIt’s also telling because Netflix tried this before, but then quicky said it was a one-off move.\nWhenRhythm + Flowpremiered the other year, it took the weekly model approach in an attempt to preserve the identity of the winner as long as possible. However seemingly from the start Netflix essentially began apologizing for the decision.\nIt was kind of whiplash inducing as in one breath it was quick to tout a new creative approach and then just as fast say it was essentially a one-time thing.\nTo some it looked like Netflix felt like it had to go out of itswayto say it was an aberration to not upset the apple cart with its subscribers – which is why I’m very interested to see the response when it happens with two of its top franchises. I’ll be even more interested to see if this is the approach taken withLove Is Blindwhen it returns later this year.\nAs I said, never say never – even with Netflix.\nConclusion\nI have to give the streamer credit as its moves to shore up its base are further examples of company “firsts” and for Netflix to still have “firsts” this many years into its innovative run says something that should be encouraging to investors.\nStreaming remains the Wild Wild West and Netflix is ensuring nobody can get too comfortable – not even themselves.","news_type":1},"isVote":1,"likeStatus":false,"favoriteStatus":false,"reportStatus":false,"tweetType":1,"comments":[{"id":4054208,"gmtCreate":1618583696976,"gmtModify":1680784349544,"authorId":3574037437125896,"author":{"id":3574037437125896,"authorId":3574037437125896,"name":"NYK_NYC","avatar":"https://static.laohu8.com/default-avatar.jpg","vip":1,"crmLevel":1,"crmLevelSwitch":0,"individualDisplayBadges":[]},"repliedAuthorId":0,"objectId":370920481,"type":1,"supId":0,"prevId":0,"content":"reply","text":"reply","html":"reply"},{"id":4050071,"gmtCreate":1618545052127,"gmtModify":1680784283735,"authorId":3569214676869217,"author":{"id":3569214676869217,"authorId":3569214676869217,"name":"eda","avatar":"https://static.tigerbbs.com/909b8dea6c74db6f7d3a6a65052e290a","vip":1,"crmLevel":2,"crmLevelSwitch":0,"individualDisplayBadges":[]},"repliedAuthorId":0,"objectId":370920481,"type":1,"supId":0,"prevId":0,"content":"done. pls give a reply back","text":"done. pls give a reply back","html":"done. pls give a reply back"}],"langContent":"EN"},{"id":370964233,"gmtCreate":1618544815222,"gmtModify":1704712511621,"author":{"id":"3562707747643111","authorId":"3562707747643111","authorIdStr":"3562707747643111","name":"ValAly","avatar":"https://static.tigerbbs.com/9d97b7d80605b322b36bcb7e5b0dff4f","vip":1,"crmLevel":3,"crmLevelSwitch":0,"idStr":"3562707747643111"},"htmlText":"Support Netflix! Like and comment pls!&nbsp;","listText":"Support Netflix! Like and comment pls!&nbsp;","text":"Support Netflix! Like and comment pls!","images":[],"top":1,"highlighted":1,"essential":1,"paper":1,"likeSize":2,"commentSize":2,"repostSize":0,"link":"https://ttm.financial/post/370964233","repostId":1119241855,"repostType":4,"repost":{"id":"1119241855","pubTimestamp":1618542634,"share":"https://ttm.financial/m/news/1119241855?lang=&edition=fundamental","pubTime":"2021-04-16 11:10","market":"us","language":"en","title":"Netflix Stock: Company Looking To Adjust Longstanding Strategies As Rival Streamers Gain Ground","url":"https://stock-news.laohu8.com/highlight/detail?id=1119241855","media":"seekingalpha","summary":"Summary\n\nNetflix has seen its streaming rivals continually gain ground in the past few months prompt","content":"Summary\n<ul>\n <li>Netflix has seen its streaming rivals continually gain ground in the past few months prompting the company to re-evaluate a number of long-standing strategies.</li>\n <li>This isn’t Netflix’s first time fending off challengers and the company is acutely aware it will have to consistently make moves to stay on top.</li>\n <li>Netflix recently negotiated a deal with Sony that will result in it receiving more content sooner than before and also open the door to new partnerships with the studio.</li>\n <li>The streamer also utilized another “win-now” technique when it comes to its original films as instead of solely focusing on trying to create a new “it” franchise, it bought one.</li>\n <li>Netflix is also making moves on the TV side by adjusting its iconic “all-at-once” model and testing weekly batch drops of two popular reality shows – despite past pushback from subscribers.</li>\n</ul>\n<img src=\"https://static.tigerbbs.com/85c5bcbd94b754eab4b27fa6819cac61\" tg-width=\"768\" tg-height=\"509\">Photo by Christopher Ames/iStock Unreleased via Getty Images\nNever say never – even if you are Netflix (NASDAQ:NFLX)\nThe streaming leader has come under heavy competition in the last few months from upstart rivals Disney+ (NYSE:DIS) and HBO Max (NYSE:T), while at the same time battling a newly revitalized Amazon Prime (NASDAQ:AMZN). However, this isn’t Netflix’s first time fending off challengers and let’s be realistic, it wasn’t like Netflix wasn’t aware it was going to have to consistently make moves to stay on top.\nThis time though it’s a bit different because of the collective nature of the shifts and how they represent a direct change to the streamer’s roadmap and business/programming model. While separately all these moves are impactful in their own right, but when looking at them as part of a bigger picture – it is sending a clear message to investors that the service can be nimble, even in areas were for a while it was seemingly the opposite.\nFirst as always, some background.\nIncreasing Netflix's Market Share\nI want to look at three specific moves and their importance.\nLet’s kick it off with the one that has the biggest paradigm shift in the industry – the Sony deal.\n<img src=\"https://static.tigerbbs.com/9a75991f04f5078fe686afa0638322f6\" tg-width=\"934\" tg-height=\"488\">Credit: Sony\nLast week Netflix made a&nbsp;deal&nbsp;with Sony (NYSE:SONY) to acquire first-run pay TV rights for its theatrical releases. In other words, after theater and home video, it’s onto Netflix. This is a big step for the streamer as previously it would look to make deals for specific films, whereas now it a steady flow of features in play.\nLet me back up for a second though to explain a little more in depth…and keep in mind this is tied directly the traditional model (and pre-COVID). As mentioned, the usual route for a movie is theaters, home entertainment, pay TV, cable, broadcast, etc…where streaming comes in has always been somewhat fluid past pay TV.\nThis deal targets that “pay TV” window. The premium channels – i.e. HBO, Showtime, Starz, Epix – all have deals with studios for their outputs. For example, Warner Bros. films go to HBO, A24&nbsp;films&nbsp;go to Showtime and so on. In some cases it’s a natural fit among corporate siblings or a separate deal worked out to help both parties.\nPreviously Sony films went to Starz – but starting in 2022 when that deal expires, Netflix takes over.\nWhat that means is that Netflix just slipped into a window where traditional TV had a solid foothold.\nPart of the reason these networks had been able to pull in subscribers in the first place was that steady pipeline of theatricals. Those blockbusters were the draw to get you to subscribe with the ideas being those network’s originals would then get you further hooked. At the same time those movies - which then became part of an ever-growing film library - are the backbone of any premium movie network’s linear schedule.\nWhile this will be a noticeable loss for Starz, for Netflix and Sony it’s a win and one that should have both sets of investors thrilled.\nSony, which doesn’t have a streaming service, basically was able to use Netflix as a much-needed financial lifeline following the COVID-induced shutdown of theaters. In addition, the streamer will have the ability to invest in some of the studio’s upcoming projects. The pair had already seen success prior from a similar separate previousdealworked out for Sony’s animated fare.\n<img src=\"https://static.tigerbbs.com/7e7955071fa9cb7465c0265e4600ccd5\" tg-width=\"750\" tg-height=\"562\">Credit: Sony\nNetflix'sCompetitors Gain Ground\nSticking with the Sony deal a bit further (as there is a lot to unpack) - on the other side of the coin, Netflix now gets a fresh influx of content to make up for what competitors such as HBO Max, Disney+ and Peacock pulled back for their own services OR the content competitors such as Amazon or Apple outbid them on. That cannot be over-started enough, however on the positive side what investors have seen is Netflix's subscribers pivoting in turn to similar content.\nFor example Netflix's most popular series for a while was&nbsp;Friends&nbsp;and when that left,The Office&nbsp;took over. Now with&nbsp;Office&nbsp;gone,Schitt's Creek&nbsp;is in front. Netflix is a large part of the reason why&nbsp;Schitt's Creek&nbsp;exploded towards the end of its runs so it's unlikely that show will slip off the servers, but should it - the point is Netflix viewers will just go down the line.\nIt's also interesting to note the addition of&nbsp;Friends&nbsp;to HBO Max and&nbsp;Office&nbsp;to Peacock have been very successful for those networks - which speaks a lot to the value of IP overall versus just where it was available.\nSpeaking of IP, another reason why the Sony deal is important is because it has marquee franchises such as theSpider-Manuniverse. This is one of the rare non-Disney owned Marvel IP’s and this puts the streamer right back in the super-hero space that has performed so well for it prior.\nAll together the deal was a welcome sign of relief to some shareholders as it’s been&nbsp;rumored&nbsp;Comcast’s Universal division will soon begin pulling its content from Netflix soon to give exclusively to Peacock – similar to what the company did withThe Office&nbsp;earlier this year.\nThis is further protection for that type of a mass content exodus.\nOn it is own this is a big deal because of its far-reaching industry impacts – but where I’m looking it (and investors should also) is two-fold. One, it is a clear example of how Netflix is pivoting to stay competitive and somehow always finds a dance partner in need of its special set of skills.\nGoing Outside The Netflix Family\nThe other aspect is it’s also fascinating to see how Netflix has further infiltrated the film world – including by leaning into more traditional methods. And that takes us to the second piece of news which I touched on in a previous&nbsp;piece… theKnives Outdeal.\nAs a reminder Netflix&nbsp;bought&nbsp;the rights to the two sequels to the 2019 murder mystery hit (originally distributed by Lionsgate) for over $450 million…a stunning sum of money in its own right, let alone for such new IP. However, again looking at the bigger picture, it makes sense.\nNetflix is trying to further its film reach, even going so far as to produce&nbsp;over&nbsp;70 originals in 2021 – including at least one new one a week. The problem is that approach could actually dilute the overall product and cannibalizes its success.\nWe are also a few years into the Netflix film division and the studio has yet to find its AAA tier film franchise. It’s had individual successes and its won Oscars but it hasn’t had that film series that would be akin to one a traditional studio would leverage a theatrical trilogy out of…and its noticeable.\nSo Netflix did the next best thing – it bought one.\nKnives Outwas also a great choice.\nIt boasts Daniel Craig as the lead, comes from a well-regarded writer/director in Rian Johnson and also was an awards player. Plus the original packed together a stunning ensemble of A-list talent and the news ones will likely follow the same pattern.\nIt’s a safe and smart play for Netflix that will also get the attention and buzz they are looking for in that space. It’s also another example of Netflix’s “win-now” mentality.\nSo to recap – Netflix in the past few weeks went out and bought a new “it” franchise AND jumped to the front of the line for new “A-tier” content from a top-flight studio.\nBoth of these moves are in direct response to having their rivals step up their game.\nAnd to be clear, some of this may be reactionary, but that’s the point. It’s not knee-jerk in the least, it’s a calculated reaction that makes fiscal sense. Just as Netflix knew eventually studios/networks would wise up and stop feeding them content, its team knew its rivals would make gains and they’d have to adjust.\nThat’s business…there’s an ebb and flow.\nAs I mentioned earlier, Netflix smartly turned its attention to potential partners who could utilize their competitive advantage.\nNetflix's Biggest Risk May Come From Smallest Change\nTo me, the last move I want to touch on is the most interesting – it is also ironically the least headline-grabbing of the bunch. It ties to the TV side of the business, which has arguably come under just much of an attack from other streamers.\nIn the beginning, Netflix’s entry into streaming was built around being different, but the most well-known aspect of that build-up was its “all-at-once” pattern. While the traditional model had long relied on weekly episode drops, Netflix changed the game.\nIt was a refreshing approach.\nFor the “now” generation to have everything at their fingertips from the start was a big selling point. It also marked the beginning of “binge culture.” Of course, there were cons as well as pros, the problem with all-at-once is exactly that, it’s all-at-once.\nFor many people sitting for 10-12 hours to polish off a full season of a show is not realistic – even over a weekend it's hard. What that meant is while you can talk all you wanted online about the show’s twists and turns, it was harder to keep that conversation going with friends and family.\n<img src=\"https://static.tigerbbs.com/051370349a483fcd05ac4945cdcfb588\" tg-width=\"800\" tg-height=\"444\">Credit: Netflix\nWhile it’s worked tremendously for Netflix, it’s also proven to be a bit of a hinderance because fans never know where others are in the storyline. This stifles that type of watercooler conversation that helped build the legacy of many classic shows.\nThis was also a lot less complicated when Netflix’s core originals were limited to a handful of titles – but with countless new content flowing through its servers it is hard to keep track. Although many subscribers are quick to say the “all-at-once” model is a huge draw for them and a reason they love Netflix over other rivals.\nGranted after nearly a decade of use it makes sense as that type of access has become engrained and expected by its users. The difference is other streamers have found arguably the same type of success with the use of weekly drops – most notably Disney+.\nWhile Netflix gets a lot of bang for its buck for its own titles, normally it is mainly limited to about a three-week period – the week prior to launch, the week of launch and the week after launch. Beyond that you can notice a sizable dip in the chatter, conversely Disney’s weekly model has a longer impact.\nBy dropping new episodes on Fridays, Disney invites new conversation over the entire weekend, that are repeated over a period of months. That&nbsp;repetition&nbsp;has helped elevate the profile of its&nbsp;Star Wars&nbsp;and Marvel-centric series (and in turn the brands). With each of which usually clocking in around 30 mins long, it makes it easier for people to watch without a huge time commitment.\nThat has seemingly caught the attention of Netflix which looks like it wants to switch things up – and I think the reaction by subscribers is going to be interesting to shareholders.\nTwo of Netflix’s reality franchises –The CircleandToo Hot To Handle– will now&nbsp;NOT&nbsp;be all-at-once drops. The batch model still holds, in that multiple episodes will still drop per week – but it won’t be the whole thing.\n<img src=\"https://static.tigerbbs.com/90bb70897890d7ac296671b75837af4c\" tg-width=\"1024\" tg-height=\"576\">Credit: Netflix\nThe Circlepremieres this week and will wrap May 5th, whileToo Hot To Handlewill debut in June – both on Wednesdays, which is also telling to me. In effect Netflix is trying to own that day of the week, which is a very traditional model approach to take.\nSo why am I so interested in this approach?\nThe main reason is because it represents a huge shift to their overall model that if successful could lead to future scripted series potentially getting the same treatment. I’ve often argued the one thing keeping Netflix’s originals back is the all-at-once approach.\nRememberThe Witcher?\nYes, it’s a hit for Netflix but it’s notGame of Thrones– and it was designed specifically to beGame of Thrones. Now hadWitcherbeen a weekly release and gotten all the buzz and added media attention that comes with it, it is very possible the series could have seen a substantial boost in popularity.\nEspecially with scripted shows that are heavily serialized having that added time to digest the material is incredibly important. With reality series, not so much – but they are still a great test case because there is still a payoff at the end.\nIt’s also telling because Netflix tried this before, but then quicky said it was a one-off move.\nWhenRhythm + Flowpremiered the other year, it took the weekly model approach in an attempt to preserve the identity of the winner as long as possible. However seemingly from the start Netflix essentially began apologizing for the decision.\nIt was kind of whiplash inducing as in one breath it was quick to tout a new creative approach and then just as fast say it was essentially a one-time&nbsp;thing.\nTo some it looked like Netflix felt like it had to go out of itswayto say it was an aberration to not upset the apple cart with its subscribers – which is why I’m very interested to see the response when it happens with two of its top franchises. I’ll be even more interested to see if this is the approach taken withLove Is Blindwhen it returns later this year.\nAs I said, never say never – even with Netflix.\nConclusion\nI have to give the streamer credit as its moves to shore up its base are further examples of company “firsts” and for Netflix to still have “firsts” this many years into its innovative run says something that should be encouraging to investors.\nStreaming remains the Wild Wild West and Netflix is ensuring nobody can get too comfortable – not even themselves.","source":"seekingalpha","collect":0,"html":"<!DOCTYPE html>\n<html>\n<head>\n<meta http-equiv=\"Content-Type\" content=\"text/html; charset=utf-8\" />\n<meta name=\"viewport\" content=\"width=device-width,initial-scale=1.0,minimum-scale=1.0,maximum-scale=1.0,user-scalable=no\"/>\n<meta name=\"format-detection\" content=\"telephone=no,email=no,address=no\" />\n<title>Netflix Stock: Company Looking To Adjust Longstanding Strategies As Rival Streamers Gain Ground</title>\n<style type=\"text/css\">\na,abbr,acronym,address,applet,article,aside,audio,b,big,blockquote,body,canvas,caption,center,cite,code,dd,del,details,dfn,div,dl,dt,\nem,embed,fieldset,figcaption,figure,footer,form,h1,h2,h3,h4,h5,h6,header,hgroup,html,i,iframe,img,ins,kbd,label,legend,li,mark,menu,nav,\nobject,ol,output,p,pre,q,ruby,s,samp,section,small,span,strike,strong,sub,summary,sup,table,tbody,td,tfoot,th,thead,time,tr,tt,u,ul,var,video{ font:inherit;margin:0;padding:0;vertical-align:baseline;border:0 }\nbody{ font-size:16px; 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}\n.meta {color:#5e5c6d;font-size:13px;margin:0 0 .5em; }\na{text-decoration:none; color:#2a4b87;}\n.meta .head { display: inline-block; overflow: hidden}\n.head .h-thumb { width: 30px; height: 30px; margin: 0; padding: 0; border-radius: 50%; float: left;}\n.head .h-content { margin: 0; padding: 0 0 0 9px; float: left;}\n.head .h-name {font-size: 13px; color: #eee; margin: 0;}\n.head .h-time {font-size: 11px; color: #7E829C; margin: 0;line-height: 11px;}\n.small {font-size: 12.5px; display: inline-block; transform: scale(0.9); -webkit-transform: scale(0.9); transform-origin: left; -webkit-transform-origin: left;}\n.smaller {font-size: 12.5px; display: inline-block; transform: scale(0.8); -webkit-transform: scale(0.8); transform-origin: left; -webkit-transform-origin: left;}\n.bt-text {font-size: 12px;margin: 1.5em 0 0 0}\n.bt-text p {margin: 0}\n</style>\n</head>\n<body>\n<div class=\"wrapper\">\n<header>\n<h2 class=\"title\">\nNetflix Stock: Company Looking To Adjust Longstanding Strategies As Rival Streamers Gain Ground\n</h2>\n\n<h4 class=\"meta\">\n\n\n2021-04-16 11:10 GMT+8&nbsp;&nbsp;&nbsp;<a href=https://seekingalpha.com/article/4419132-netflix-stock-strategies-disney-plus-hbo-max>seekingalpha</a>\n\n\n</h4>\n\n</header>\n<article>\n<div>\nSummary\n\nNetflix has seen its streaming rivals continually gain ground in the past few months prompting the company to re-evaluate a number of long-standing strategies.\nThis isn’t Netflix’s first time...\n\n<a href=\"https://seekingalpha.com/article/4419132-netflix-stock-strategies-disney-plus-hbo-max\">Web Link</a>\n\n</div>\n\n\n</article>\n</div>\n</body>\n</html>\n","type":0,"thumbnail":"","relate_stocks":{"NFLX":"奈飞"},"source_url":"https://seekingalpha.com/article/4419132-netflix-stock-strategies-disney-plus-hbo-max","is_english":true,"share_image_url":"https://static.laohu8.com/5a36db9d73b4222bc376d24ccc48c8a4","article_id":"1119241855","content_text":"Summary\n\nNetflix has seen its streaming rivals continually gain ground in the past few months prompting the company to re-evaluate a number of long-standing strategies.\nThis isn’t Netflix’s first time fending off challengers and the company is acutely aware it will have to consistently make moves to stay on top.\nNetflix recently negotiated a deal with Sony that will result in it receiving more content sooner than before and also open the door to new partnerships with the studio.\nThe streamer also utilized another “win-now” technique when it comes to its original films as instead of solely focusing on trying to create a new “it” franchise, it bought one.\nNetflix is also making moves on the TV side by adjusting its iconic “all-at-once” model and testing weekly batch drops of two popular reality shows – despite past pushback from subscribers.\n\nPhoto by Christopher Ames/iStock Unreleased via Getty Images\nNever say never – even if you are Netflix (NASDAQ:NFLX)\nThe streaming leader has come under heavy competition in the last few months from upstart rivals Disney+ (NYSE:DIS) and HBO Max (NYSE:T), while at the same time battling a newly revitalized Amazon Prime (NASDAQ:AMZN). However, this isn’t Netflix’s first time fending off challengers and let’s be realistic, it wasn’t like Netflix wasn’t aware it was going to have to consistently make moves to stay on top.\nThis time though it’s a bit different because of the collective nature of the shifts and how they represent a direct change to the streamer’s roadmap and business/programming model. While separately all these moves are impactful in their own right, but when looking at them as part of a bigger picture – it is sending a clear message to investors that the service can be nimble, even in areas were for a while it was seemingly the opposite.\nFirst as always, some background.\nIncreasing Netflix's Market Share\nI want to look at three specific moves and their importance.\nLet’s kick it off with the one that has the biggest paradigm shift in the industry – the Sony deal.\nCredit: Sony\nLast week Netflix made a deal with Sony (NYSE:SONY) to acquire first-run pay TV rights for its theatrical releases. In other words, after theater and home video, it’s onto Netflix. This is a big step for the streamer as previously it would look to make deals for specific films, whereas now it a steady flow of features in play.\nLet me back up for a second though to explain a little more in depth…and keep in mind this is tied directly the traditional model (and pre-COVID). As mentioned, the usual route for a movie is theaters, home entertainment, pay TV, cable, broadcast, etc…where streaming comes in has always been somewhat fluid past pay TV.\nThis deal targets that “pay TV” window. The premium channels – i.e. HBO, Showtime, Starz, Epix – all have deals with studios for their outputs. For example, Warner Bros. films go to HBO, A24 films go to Showtime and so on. In some cases it’s a natural fit among corporate siblings or a separate deal worked out to help both parties.\nPreviously Sony films went to Starz – but starting in 2022 when that deal expires, Netflix takes over.\nWhat that means is that Netflix just slipped into a window where traditional TV had a solid foothold.\nPart of the reason these networks had been able to pull in subscribers in the first place was that steady pipeline of theatricals. Those blockbusters were the draw to get you to subscribe with the ideas being those network’s originals would then get you further hooked. At the same time those movies - which then became part of an ever-growing film library - are the backbone of any premium movie network’s linear schedule.\nWhile this will be a noticeable loss for Starz, for Netflix and Sony it’s a win and one that should have both sets of investors thrilled.\nSony, which doesn’t have a streaming service, basically was able to use Netflix as a much-needed financial lifeline following the COVID-induced shutdown of theaters. In addition, the streamer will have the ability to invest in some of the studio’s upcoming projects. The pair had already seen success prior from a similar separate previousdealworked out for Sony’s animated fare.\nCredit: Sony\nNetflix'sCompetitors Gain Ground\nSticking with the Sony deal a bit further (as there is a lot to unpack) - on the other side of the coin, Netflix now gets a fresh influx of content to make up for what competitors such as HBO Max, Disney+ and Peacock pulled back for their own services OR the content competitors such as Amazon or Apple outbid them on. That cannot be over-started enough, however on the positive side what investors have seen is Netflix's subscribers pivoting in turn to similar content.\nFor example Netflix's most popular series for a while was Friends and when that left,The Office took over. Now with Office gone,Schitt's Creek is in front. Netflix is a large part of the reason why Schitt's Creek exploded towards the end of its runs so it's unlikely that show will slip off the servers, but should it - the point is Netflix viewers will just go down the line.\nIt's also interesting to note the addition of Friends to HBO Max and Office to Peacock have been very successful for those networks - which speaks a lot to the value of IP overall versus just where it was available.\nSpeaking of IP, another reason why the Sony deal is important is because it has marquee franchises such as theSpider-Manuniverse. This is one of the rare non-Disney owned Marvel IP’s and this puts the streamer right back in the super-hero space that has performed so well for it prior.\nAll together the deal was a welcome sign of relief to some shareholders as it’s been rumored Comcast’s Universal division will soon begin pulling its content from Netflix soon to give exclusively to Peacock – similar to what the company did withThe Office earlier this year.\nThis is further protection for that type of a mass content exodus.\nOn it is own this is a big deal because of its far-reaching industry impacts – but where I’m looking it (and investors should also) is two-fold. One, it is a clear example of how Netflix is pivoting to stay competitive and somehow always finds a dance partner in need of its special set of skills.\nGoing Outside The Netflix Family\nThe other aspect is it’s also fascinating to see how Netflix has further infiltrated the film world – including by leaning into more traditional methods. And that takes us to the second piece of news which I touched on in a previous piece… theKnives Outdeal.\nAs a reminder Netflix bought the rights to the two sequels to the 2019 murder mystery hit (originally distributed by Lionsgate) for over $450 million…a stunning sum of money in its own right, let alone for such new IP. However, again looking at the bigger picture, it makes sense.\nNetflix is trying to further its film reach, even going so far as to produce over 70 originals in 2021 – including at least one new one a week. The problem is that approach could actually dilute the overall product and cannibalizes its success.\nWe are also a few years into the Netflix film division and the studio has yet to find its AAA tier film franchise. It’s had individual successes and its won Oscars but it hasn’t had that film series that would be akin to one a traditional studio would leverage a theatrical trilogy out of…and its noticeable.\nSo Netflix did the next best thing – it bought one.\nKnives Outwas also a great choice.\nIt boasts Daniel Craig as the lead, comes from a well-regarded writer/director in Rian Johnson and also was an awards player. Plus the original packed together a stunning ensemble of A-list talent and the news ones will likely follow the same pattern.\nIt’s a safe and smart play for Netflix that will also get the attention and buzz they are looking for in that space. It’s also another example of Netflix’s “win-now” mentality.\nSo to recap – Netflix in the past few weeks went out and bought a new “it” franchise AND jumped to the front of the line for new “A-tier” content from a top-flight studio.\nBoth of these moves are in direct response to having their rivals step up their game.\nAnd to be clear, some of this may be reactionary, but that’s the point. It’s not knee-jerk in the least, it’s a calculated reaction that makes fiscal sense. Just as Netflix knew eventually studios/networks would wise up and stop feeding them content, its team knew its rivals would make gains and they’d have to adjust.\nThat’s business…there’s an ebb and flow.\nAs I mentioned earlier, Netflix smartly turned its attention to potential partners who could utilize their competitive advantage.\nNetflix's Biggest Risk May Come From Smallest Change\nTo me, the last move I want to touch on is the most interesting – it is also ironically the least headline-grabbing of the bunch. It ties to the TV side of the business, which has arguably come under just much of an attack from other streamers.\nIn the beginning, Netflix’s entry into streaming was built around being different, but the most well-known aspect of that build-up was its “all-at-once” pattern. While the traditional model had long relied on weekly episode drops, Netflix changed the game.\nIt was a refreshing approach.\nFor the “now” generation to have everything at their fingertips from the start was a big selling point. It also marked the beginning of “binge culture.” Of course, there were cons as well as pros, the problem with all-at-once is exactly that, it’s all-at-once.\nFor many people sitting for 10-12 hours to polish off a full season of a show is not realistic – even over a weekend it's hard. What that meant is while you can talk all you wanted online about the show’s twists and turns, it was harder to keep that conversation going with friends and family.\nCredit: Netflix\nWhile it’s worked tremendously for Netflix, it’s also proven to be a bit of a hinderance because fans never know where others are in the storyline. This stifles that type of watercooler conversation that helped build the legacy of many classic shows.\nThis was also a lot less complicated when Netflix’s core originals were limited to a handful of titles – but with countless new content flowing through its servers it is hard to keep track. Although many subscribers are quick to say the “all-at-once” model is a huge draw for them and a reason they love Netflix over other rivals.\nGranted after nearly a decade of use it makes sense as that type of access has become engrained and expected by its users. The difference is other streamers have found arguably the same type of success with the use of weekly drops – most notably Disney+.\nWhile Netflix gets a lot of bang for its buck for its own titles, normally it is mainly limited to about a three-week period – the week prior to launch, the week of launch and the week after launch. Beyond that you can notice a sizable dip in the chatter, conversely Disney’s weekly model has a longer impact.\nBy dropping new episodes on Fridays, Disney invites new conversation over the entire weekend, that are repeated over a period of months. That repetition has helped elevate the profile of its Star Wars and Marvel-centric series (and in turn the brands). With each of which usually clocking in around 30 mins long, it makes it easier for people to watch without a huge time commitment.\nThat has seemingly caught the attention of Netflix which looks like it wants to switch things up – and I think the reaction by subscribers is going to be interesting to shareholders.\nTwo of Netflix’s reality franchises –The CircleandToo Hot To Handle– will now NOT be all-at-once drops. The batch model still holds, in that multiple episodes will still drop per week – but it won’t be the whole thing.\nCredit: Netflix\nThe Circlepremieres this week and will wrap May 5th, whileToo Hot To Handlewill debut in June – both on Wednesdays, which is also telling to me. In effect Netflix is trying to own that day of the week, which is a very traditional model approach to take.\nSo why am I so interested in this approach?\nThe main reason is because it represents a huge shift to their overall model that if successful could lead to future scripted series potentially getting the same treatment. I’ve often argued the one thing keeping Netflix’s originals back is the all-at-once approach.\nRememberThe Witcher?\nYes, it’s a hit for Netflix but it’s notGame of Thrones– and it was designed specifically to beGame of Thrones. Now hadWitcherbeen a weekly release and gotten all the buzz and added media attention that comes with it, it is very possible the series could have seen a substantial boost in popularity.\nEspecially with scripted shows that are heavily serialized having that added time to digest the material is incredibly important. With reality series, not so much – but they are still a great test case because there is still a payoff at the end.\nIt’s also telling because Netflix tried this before, but then quicky said it was a one-off move.\nWhenRhythm + Flowpremiered the other year, it took the weekly model approach in an attempt to preserve the identity of the winner as long as possible. However seemingly from the start Netflix essentially began apologizing for the decision.\nIt was kind of whiplash inducing as in one breath it was quick to tout a new creative approach and then just as fast say it was essentially a one-time thing.\nTo some it looked like Netflix felt like it had to go out of itswayto say it was an aberration to not upset the apple cart with its subscribers – which is why I’m very interested to see the response when it happens with two of its top franchises. I’ll be even more interested to see if this is the approach taken withLove Is Blindwhen it returns later this year.\nAs I said, never say never – even with Netflix.\nConclusion\nI have to give the streamer credit as its moves to shore up its base are further examples of company “firsts” and for Netflix to still have “firsts” this many years into its innovative run says something that should be encouraging to investors.\nStreaming remains the Wild Wild West and Netflix is ensuring nobody can get too comfortable – not even themselves.","news_type":1},"isVote":1,"likeStatus":false,"favoriteStatus":false,"reportStatus":false,"tweetType":1,"comments":[{"id":4053496,"gmtCreate":1618579677673,"gmtModify":1680784338557,"authorId":3562707747643111,"author":{"id":3562707747643111,"authorId":3562707747643111,"name":"ValAly","avatar":"https://static.tigerbbs.com/9d97b7d80605b322b36bcb7e5b0dff4f","vip":1,"crmLevel":3,"crmLevelSwitch":0,"individualDisplayBadges":[]},"repliedAuthorId":0,"objectId":370964233,"type":1,"supId":4050074,"prevId":0,"content":"Replied","text":"Replied","html":"Replied"},{"id":4050074,"gmtCreate":1618545079634,"gmtModify":1680784283854,"authorId":3569214676869217,"author":{"id":3569214676869217,"authorId":3569214676869217,"name":"eda","avatar":"https://static.tigerbbs.com/909b8dea6c74db6f7d3a6a65052e290a","vip":1,"crmLevel":2,"crmLevelSwitch":0,"individualDisplayBadges":[]},"repliedAuthorId":0,"objectId":370964233,"type":1,"supId":0,"prevId":0,"content":"done.pls reply back.","text":"done.pls reply back.","html":"done.pls reply back."}],"langContent":"EN"}],"hasMoreComments":true,"newsSizeData":{"likeSize":75,"commentSize":23,"repostSize":0,"favoriteSize":0,"likeStatus":false,"favoriteStatus":false}}