Introduction:

Marketing is the process of identifying, anticipating, and

satisfying customers’ requirements to make profits. This
process involves the marketing managers and
representatives, taking various marketing decisions to
make the operations profitable. They must identify
suitable combinations of marketing policies and
procedures to bring about the desired result. They have to
decide how elements of marketing can be combined to
make marketing profitable. They have to decide on a
marketing mix- a decision-making method, about the
product, price, promotion, and distribution (place).

The marketing mix was introduced by Neil H. Borden in

his article “Concept
of marketing mix”. In this study, he described a business
executive as a decider, an artist- a
mixer of ingredients who prepares his recipe and
sometimes experiments with ingredients that no one else
has tried.
According to Philip Kotler, the Marketing guru,
“Marketing mix is the combination of four elements
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called 4p’s –Product, Price, Promotion, and Place that
every company has the option of adding, subtracting or
modifying to create a desired marketing strategy”.
According to W.J. Stanton, “ Marketing mix is the term
used to describe the combination of four inputs which
constitute the core of a company’s marketing system: the
product, the price structure, the promotional activities,
and the distribution system”.

Objectives:
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I, Through my project, aim to express and present the
marketing mix strategy of a product selected for the
project. I have selected Netflix as a firm. I have further
researched the product regarding the other 4 elements of
the marketing mix which is further discussed in detail.

About Netflix:
Netflix was founded in August 1997 in Scotts Valley,
California by Reed Hastings and Marc Randolph. It has
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headquarters in Los Gatos, California, U.S. It is related to
the movie industry.
Its initial model included the seething telling of
DVDVDsnd and rental by mail. Netflix expanded its
business in 2007 when it was introduced while retaining
its current business the streaming media and in 2010 it
expanded internationally.
This article has been researched & authored by the
Content & Research Team. It has been reviewed &
published by the MBA Skool Team. The content on MBA
Skool has been created for educational & academic

purposes only.

Browse marketing strategy and 4Ps analysis of more

brands similar to Netflix. The Marketing Strategy & Mix
section covers the 4Ps and 7Ps of more than 800 brands in

2 categories.

News Reports:
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Data Analysis:
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Ranking
Website ranking helps evaluate the value of a business.
Over the last three months, netlix.com's global ranking
has decreased from 1,419,283 to 1,624,448.

Traffic and Engagement Analysis

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netlix.com's traffic has decreased by 17.70% compared to
last month.

Audience Demographics
Audience composition can reveal a site's current market share across various
audiences. netlix.com's audience is 56.31% male and 43.69% female. The largest age
group of visitors are 25 - 34 year olds (Desktop).

Marketing mix of Netflix:

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In 2021, Netflix recorded a revenue of about USD$29
million. Since Netflix first emerged back in 1997, the
brand's value has steadily risen with each passing year.
Today, Netflix stakes a claim as a leader in the mass
media, technology, & entertainment industry. One major
reason why Netflix is able to maintain a leading position
in the industry consistently is because of its well-
formulated marketing strategy.
This marketing plan consists of key elements that make
up the Netflix marketing mix. The financial success of
this subscription-based streaming platform can be
attributed to the way the 4Ps of Product, Price, Place, and
Promotion are properly coordinated.
The Netflix marketing mix (4Ps) analysis in this post
gives you an insight into those strategies adopted by this
US-based company that has given it a competitive edge
over its rivals.
Netflix Product Strategy
Netflix's product strategy is quite simple. Netflix is an
online streaming platform that gives individuals paid
access to a wide collection of TV programs and movies.
Netflix offers consumers an opportunity to watch TV
shows, documentaries, limited series, and films directly
from their desktop or mobile devices.
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Customers can view content from as many as four
different devices at a time and from a single monthly
subscription. Netflix offers three membership and
monthly subscription payments plans: Basic, Standard,
and Premium.
The beauty of Netflix is that consumers do not have to
worry about an advertisement or commercial interruptions
while viewing content on the platform. Also, Netflix
allows prospective subscribers to watch as many TV
programs or films as they want before making any
subscription payment.
Consumers do not sign any binding contract with Netflix.
This gives all subscribers a chance to opt out at any time.
Customers can come back to Netflix whenever they like
and continue enjoying content without worrying about
paying any cancellation or commitment fees, as is the
case with other similar platforms.

The Netflix software is always up-to-date, ensuring a

smooth, seamless, and fast streaming of content at all
times. Netflix also engages in movie and TV series
production. Some of the popular Netflix Originals, as they
are known as include Orange Is the New Black, Narcos,

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Thirteen Reasons Why, Two Distant Strangers, Cops and
Robbers, and so on.
Netflix offers a myriad of content under different
categories. These categories include Action, Anime,
Children & Family, Comedies, Crime, Documentaries,
Dramas, Earth Day, Fantasy, Horror, Music & Musicals,
Reality, Romance, Sci-Fi, Stand-Up, and Thrillers.
In addition to providing paid TV and film content, Netflix
has broadcasting rights to provide online distribution
services. Netflix delivers DVD rentals to customers while
also ensuring that its online platform is updated with new
content to meet the needs of a broad target audience.
Netflix Price/Pricing Strategy
Netflix adopts a Psychographic pricing strategy.
Subscribers can opt for any one of three membership and
subscription plans. As mentioned before, these include the
Basic Plan, Standard Plan, and Premium Plan. The
average monthly subscription payment for all three plans
ranges from USD$7 to about USD$12.
The good news with Netflix is that customers are given a
non-commitment one-month trial period. Within this time,
prospective subscribers select a plan and provide their
payment details. They will then be able to watch content
and take advantage of all the benefits attached to their
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chosen plan. Payment for this plan does not occur until
after a full month has expired.
Prospective customers can decide to opt out from
subscribing before the month comes to an end, even after
enjoying the services of Netflix. No customer is forced to
pay for a subscription plan either by a commitment levy
or mandatory cancellation fee. Netflix is affordable even
to low-income earners, and payment is made in local
currency at prevailing exchange rates (i.e., USD to local
currency rate).
Netflix Place & Distribution Strategy
Netflix is available to virtually every country on the
planet, with a few exceptions. Currently, over 190 nations
worldwide are accessible to the audio-video content
streaming services of Netflix.

Some of the restricted countries are North Korea, Russia,

Syria, and Kosovo. You can access Netflix content on
your Smart TV, PC, smartphone, or tablet device.
All you need is a good internet speed and access to
Netflix via their website or app. With online access to
Netflix, subscribers can avail themselves of all the
services that this brand has to offer, depending on the
membership plan subscribed to.
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The internet offers no physical barriers or limitations.
Also, Netflix no longer uses Geographic segmentation,
which means that its subscribers around the world can
have access to similar content at any point in time.
Netflix Promotion & Advertising Strategy
Promotion is an important element of Netflix's marketing
mix. Currently, Netflix promotes its content and services
using various media channels. For starters, Netflix allows
anyone to try out its services for a full month for free
without having to pay any commitment or cancellation
fees.

Also, people can cancel proposed subscriptions (without

paying anything) before the end of the trial period, even
after test-running the TV/film content streaming site to
their satisfaction. This is a policy that has endeared many
people to Netflix.
Netflix uses several social media outlets like Twitter and
Facebook (now Meta) to promote its brand. Online ads
are also in play with new movies and TV shows
advertised to attract new subscribers.
Outdoor commercial billboards and posters are also used
by Netflix in some cases, especially when they want to
promote Netflix Original content. For existing
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subscribers, Netflix machine learning and AI technology
are able to recommend film and TV shows based on the
peculiar demands of each customer.

Netflix 4Ps include Product, Price, Place, and Promotion.

This online TV and film streaming platform provide
customers with value-added content paid for via a
monthly subscription plan. Customers get a free one-
month trial period with an opt-out option that can be
implemented at any time. Netflix uses a Psychographic
pricing strategy offering user-friendly pricing to
consumers in more than 190 countries around the world.
Streaming can be done anywhere and at any time on
Smart TVs, smartphones, PC, and tablets. 
You can easily download this Netflix Marketing Mix
(4Ps) Analysis report in PDF format using a one-of-a-
kind PDF file reading app known as ‘PDF Agile.’
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PDF Agile is available for download directly to your
Windows desktop computer. This app offers you several
benefits, including different editing features, a redact
function, PDF direct to print, and document conversion
options.

SWOT Analysis of Netflix:

Netflix SWOT analysis discusses Netflix's strengths and
weaknesses, figuring out its future expansion strategies,
considering the current market’s opportunities and threats.
As one of the world's top streaming companies, it has
several strengths. The company can use the opportunities
to negate market threats on the business to continue its
growth.
Strength:
As an essential component of SWOT, a company's
strength is its asset to plan its expansion. Netflix has

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several strengths that make them one of the top streaming
services:

Netflix has a strong brand reputation and has become a

household name by substituting some top-rated television
programs. The company has also shown exponential
growth in recent years.
Netflix has a global presence and is affordable to many
Southeast Asian countries. It has given them an advantage
in the continually changing market scenario.
Netflix's original movies and TV shows offer ample
opportunities to budding filmmakers. The audience enjoys
the mode of the content presented by the platform as their
original content.
The company has high adaptability. Netflix continually
modifies its service, based on the market and the viewers'
choice. It is the reason Netflix is currently high on
demand.
Weakness:
Most companies have several weaknesses alongside their
strengths. The companies may take strategies based to
work on their weaknesses. Though Netflix is one of the

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top companies, there is a particular weakness that is
working as a hindrance to its growth:

Netflix has limited copyright, which tolls upon their

revenue. The debts of the company are also increasing.
There is a lack of original content in several countries.
Therefore they have less demand for high price
subscriptions in some countries.
The company mostly depends on its North American
customer base.
Netflix lacks sound customer care executives, which
harms customer service, leading to decreased customer
satisfaction.
Opportunities:
The market is continually changing with increased
demands, which helps any company aspiring for
substantial growth. The need for OTT platforms is also
rising, which is a good sign for Netflix. So, some of the
significant opportunities that the firm can grasp from the
current market are:

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As Netflix has a brand reputation, the great demand for
OTT platforms in the current market can allow the brand
to expand.
Since Netflix is signing up for exclusive Netflix-only
content, they can bring in other product lines, including
video games, comic books, and more.
Netflix is already a global presence. They can strengthen
their subscriber base by a strategic partnership with local
markets that will help them to capture the local market.
The company can choose to work on new concepts that
are better than other OTT platforms. Netflix has already
said no to the traditional advertising-based business
model, which is an opportunity for them to provide good
customer service.
Threats:
For all the companies in the market, there are specific
threats. The market has several OTT services, and the
customers may choose based on their parameters.
Therefore, excelling in almost all the possible parameters
can be a solution to retain the position as the best. Even in
that case, the companies may have to face the threats
posed in the way of their expansion. As one of the biggest
OTT companies, Netflix is not an exception. So, the
threats and risks that Netflix is exposed to are:
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COVID-19 has affected the reproduction of new original
shows and movies. Like most parts of the entertainment
industry, Netflix is also affected by the pandemic.
Gradually with normalization, the condition will improve.
The government regulations in certain countries can hold
them from expansion.
Netflix is suffering majorly from content piracy. Many
people choose to watch the pirated version of the original
series available without paying, threatening the company.
Another reason for fewer customers for Netflix is that
many people share one account simultaneously

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Why Netflix:
The streaming world has been expanding at a rapid pace
the last few years. With those extra options, however,
comes extra decisions to be made. Choosing the best
streaming service for your family has become quite a bit
more complicated.
Although Netflix has essentially been the default for
content streaming, it's slowly losing market share due to
increased competition -- and increased prices.
One of Netflix's biggest competitors, in terms of
subscriber numbers, is Amazon Prime Video. While not
as headline-grabbing as competitors, like Disney+, Prime
Video nonetheless is a solid streaming platform. And
when compared to Netflix, Prime Video does seem to
hold its own. Let's break it down.

Overall comparison

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When it comes to Netflix, what you get depends on how
much you're willing to pay. It has three service tiers, and
pretty much every feature changes depending on the tier:

Amazon Prime Video isn't so complicated. You can get

access to Amazon's Prime Video content by subscribing
directly to Prime Video. You also get access as a part of
a regular Amazon Prime membership. The video
playback features are the same either way:

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If we were sticking to a purely apples-to-apples
comparison, then we'd leave off the regular Amazon
Prime subscriptions, since you don't technically need
Amazon Prime to subscribe to Amazon Prime Video. But
given that the vast majority of Prime Video subscribers
are most likely Amazon Prime subscribers, it seemed fair
to include it in the chart.

Prices
Looking at the cost of each service, an Amazon Prime
Video subscription -- sans Amazon Prime -- is cheaper
than even the least expensive Netflix plan at $8.99 vs.
$9.99. You also get more features for your money,
including higher video quality and multiple streams.
For similar features with Netflix, you'd need a Standard or
Premium plan, which come in at $15.49 and $19.99,
respectively. Even the regular Amazon Prime
subscription, which includes Prime Video, costs $14.99 a
month, or $139 a year (that works out to an average cost
of $11.58 a month). So, it's fair to say Amazon comes out
ahead in the price battle on all levels.

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Number of simultaneous streams
Unless you're the only viewer in your household, having
the option to stream to multiple devices at once is a must-
have feature.
But if you're a Netflix fan, you'll need to spring for at
least the Standard plan to stream on more than one device.
And if you need more than two streams, be prepared to
fork over the big bucks for the $19.99 Premium plan.
With Prime Video, every plan comes with multiple
simultaneous streams. In fact, you can stream content
onto three devices at the same time, so long as it's
different content. You can stream the same content onto
two devices at once.

Video quality of content

Here's another non-negotiable feature for many folks.
Modern televisions -- and tablets, and phones, and
basically anything you can stream on -- all have displays
at a minimum of HD (720p to 1080p) quality. Many take
that up to the next level with 4K Ultra HD (2160p).

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If you have Amazon Prime Video, you're all good. You'll
get HD-quality content by default, with up to 4K quality
for content available in a higher resolution.
That's not the case with Netflix. If you have a Basic $9.99
Netflix plan, you're stuck with SD quality, which caps at
480p. On anything larger than a phone, SD simply isn't
going to cut it for most people. To get HD, you need to
upgrade to the $15.49 Standard plan. And if you want to
enjoy content in 4K, it's the Premium plan or bust.

Downloading for offline viewing

This is perhaps the area where the two services are most
comparable. Both Netflix and Amazon Prime Video let
you download content for offline viewing no matter your
plan type. The main difference is the number of devices
you can download to.
With Netflix, you're limited to the same number of
devices you can stream to. In other words, if you have the
Basic plan, you only stream to -- and download to -- one
device. With Amazon Prime Video, you can
download content onto multiple devices without paying
extra.

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Another place the two services vary is in how much
content you can download. Netflix lets you have up to
100 active downloads at a time, while Prime Video caps
out at 25. How long you have to watch them is the same
on both platforms, however. Unwatched downloads
expire after 30 days. Once you press play, you have 48
hours to finish watching before the download expires.

Library of content
Everything else aside, the content offered by a service is
likely how most people will choose where to subscribe.
Since content preferences are relative to the watcher,
however, this is a difficult thing to compare.
Amazon's Prime Video has a modest, but varied, content
catalog. You'll find a decent amount of popular shows and
movies, and a whole lot of niche or older content. Prime
Video's original content is one of its biggest appeals, and
several of Prime's shows have earned critical acclaim and
awards.

The stuff you can watch as a part of Prime Video changes

very regularly, and programs that were available as a part
of Prime Video one day may not be free to watch the
next. Additionally, you'll need to watch out for paid
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content. A huge amount of the streaming content on
Amazon will require you to purchase or rent it. If a show
or movie doesn't specifically have the "Prime" banner,
you'll need to pay extra to watch it.
Alternatively, Netflix has a very large content catalog --
although it has definitely been shrinking as contracts with
other content providers expire. (We're looking at you,
Marvel.) Like Amazon, Netflix has been focusing heavily
on its original content, and some of its original shows
have become very popular. Netflix is also big on featuring
foriegn content you might not find elsewhere in the U.S.

Conclusion:
It was a wonderful experience for me while working on
this project.
This project gave me a real insight about the maketing
mix strategy of a company. Through the project I learnt
more about. the brand with the marketing mix framework
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which covers the 4Ps (Product, Price, Place, Promotion).
There are several marketing strategies like product
innovation, pricing approach, promotion planning etc.
These business strategies, based on Netflix marketing
mix, help the brand succeed in the market.

Bibliography:
classroom.google.com
economictimes.indiatimes.com
mbaskool.com
Netflix.com

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