The fate line of streaming.
Editor’s note: This article comes from WeChat public account “East and West Entertainment” (ID: EW-Entertainment) < / a>, author East-West Stream Research Group.
Guide
After the overall structural fluctuations, both external and internal, a more accurate definition of the streaming media platform or domestic is how the video website platform should go in the future, which is a question that many people are thinking about.
In fact, the fluctuations in the past year have not made some of the previous issues about the inflection point of content investment and returns clearer, but made the future situation more subtle and difficult to judge.
At the UBS Global TMT Conference, Ted Sarandos, the chief content officer of Netflix, answered some questions on the spot, and we extracted the key questions for reference.
Ted Sarandos ’answer does not give any specific answer, but at least it gives some guidelines, such as for streaming platforms, insisting on original investment and enriching the content library is still the first. However, on the basis of adhering to original content and maintaining a predetermined amount of content, the way to go is the genes and choices of each family.
We divide the content up and down. East and West BIG this week. Because some of the questions were very large and we reduced them, we deleted the questions directly and made clear the direction of the answer with a subtitle.
In the past year’s competition, Ted Sarandos’s noteworthy point is that although the number of players has increased and the market segmentation concept has emerged, the business has finally converged and there is still a lot of space for content. Netflix will continue to integrate Direction, content investment will also continue.
In the establishment of the content database, Ted Sarandos said that international investment in content will not change and will continue to invest in the Indian market. At the same time, in terms of content creation, foreign cooperation will maintain flexibility and avoid IP conflicts.
In terms of content strategy, Netflix’s performance on TV shows is more and more forward-looking, and movies or Internet universities will have some breakthrough gameplay. In addition, Ted Sarandos focused on the investment in animation, Ted Sarandos When referring to the animation investment, the term cinema-level animation was used, and it was mentioned that it will be online next year, Oriental DreamWorks’ “Over the Moon”.
The text is
. The next article will focus on Netflix’s movie strategy. This may also become a point of the top three gunpowder PKs in China next year.
Last year’s competition: About Segmentation, price, content cost
1) Understanding of segmentation in the past year
Ted Sarandos: The changes in the past year are exactly the same as we expected long ago. Many people ask why we started to be original 8 years ago. I said that because we realized, Entertainment enters every household through the network streaming media service. Now cable television networks have also begun to launch their own streaming media services and are unwilling to sell content to us, so we better start to be good at originality.
Under the trend of unsubscribing to wired services, thousands of new players entering this field seem to feel very crowded. Indeed, the market is changing, each has its own strengths, and it is becoming more and more segmented. , But the content of the segment is also constantly converging.
Actually, the market segments are all big businesses. They want to win back users. For us, we give users what they like, provide applications that users cannot do without, and realize seamless delivery of content. It has been our mission from the beginning, so this year ’s changes are not much different for Netflix internals, and our content has always been integrated.
2) Price is the most direct manifestation of competition
Ted Sarandos: Currently, Netflix is at a certain stage and there are barriers, so you will feel relatively stable in the market. After all, these new companies have previously produced or licensed content for others, so ( They are moving towards streaming media. It is not an earth-shaking change. The most intuitive manifestation of competitiveness is price, because there is no “recommended retail price” for performances or movies, but it is very competitive. What you do and how you do it will determine the price.
At that time, we were doing “House of Cards” and many people said that we disrupted the market and caused huge inflation. In general, the market is still stable. High-priced explosive dramas are competitive and have great commercial impact. Power, we should buy, it is also worth this price, but we are not at anyThe project is a desperate one, and the price will not be too high, otherwise a work will fluctuate the overall content cost.
3) Changes in content costs
Ted Sarandos: I think the cost of content is relatively stable. There are many projects in full swing. For us, it has not changed the general situation of content investment. In contrast, the success of investment Whether or not, should think more about the impact of investment on the increase in net users and ARPU, rather than what users can watch that single explosive program or a program can promote.
It’s as if we are thinking about whether to increase the viewing time of users. We pay attention to the viewing time internally because we think this corresponds to pricing power, reduces user churn, etc. We have not yet seen that we should Reduce the inflection point of content investment, so we will continue to maintain content investment until there are some signs.
Net user growth is a key indicator of our concern. It is calculated based on data such as user churn and new subscribers. According to our current user base, it is not easy to accurately find the factors that drive subscriber growth because users occur. There are complex factors when draining, and we cannot judge by just one factor.
02. Method of platform content reserve: Creative mode, creative style, international original content, external cooperation, India
1) Creative mode pursued internally
Ted Sarandos: If you want to implement a model that can be viewed anytime, anywhere, and without ads, you also need to have no trial episodes and no multi-season subscriptions (the two are interdependent); we have always been Because the creators have been given a lot of praise for providing them with great creative freedom, the earliest reason is that there are few people in the company and no one can interfere with the creators, so it goes without saying that they have given creators a lot of freedom.
Now that the company is large, in terms of corporate philosophy and talent recruitment, we always hope to find the best people, give them the best tools, and let them achieve the best quality of work. So Netflix has a good Of executive teams collaborate with creators, as long as the right people are selectedIf you choose the right project, there is no problem. This is the way my team does things. Do n’t give too many comments. I always insist that the process of invitation to creators is to get their maximum output.
2) On how to attract good content creators
Ted Sarandos: We have recently been nominated for 34 Golden Globe Awards, 17 films and 17 TV series, and four of them have been nominated for the first prize “Best Movie Award”. For us, Great encouragement, especially since we started making original films three years ago, our creators have gained peer recognition in the film community …
For the industry and consumers, it means that the works of Wangda have a better quality. (The rise of Wangda) happened in the United States and the world … Although Netflix is still very small in Asia, it has already “Delhi Crime” and other works have a huge influence and have helped us attract a lot of creators. I believe that it is platform culture that really attracts creators. Netflix has nothing to add in this regard.
3) About Proportion and investment of international original content
Ted Sarandos: The key is to continuously improve the quality of international programs … It is also necessary to think about whether people ’s viewing behavior will change when people can access global content, but it is actually a cultural difference Sexually, betting on viewing behavior, but also betting on content investment … The localization of many overseas works is not very good, dubbing and subtitles have not been valued and invested …
Ten years later, the audience watching overseas content may be twice as today. Our goal is never to export Hollywood stories to the world, but to stand on one point and tell stories all over the world.
4) Native original strategy in the Indian market
Ted Sarandos: The Indian market has huge potential. We are still in its infancy in India. Currently, the original content investment in India is about 400 million US dollars, which is within the budget. When we first entered this market, the market itself evolved in many ways.
When we enter a new market, we first look for the taste of local culture, and then we check to see if the program is in line with cultural taste, whether the service is running well under different network conditions, and whether the infrastructure is running well. The Indian market is very Unique is the heavy mobile market, we must plan it from the perspective of economy and service.
We found that India is “tax neutral” (ie: Tax policy does not change the total government tax revenue), it is a positive tax (independently collected, no additional tax), That is to say, we can get a wider distribution in India, so we will get better and better in this market, which has many similarities with the service we launched in Latin America 3 years ago.
5) Principle of external content cooperation
Ted Sarandos: First and foremost is to remain creatively driven. The projects we push to the audience are all high-quality. We should not overthink the business model that should be matched, or whether it should be compatible with other business models. Platforms with rich content stay in touch, so we need to be flexible in the choice of creative talents, be able to own IP, and produce content that the platform never had before to avoid IP conflicts. In general, we need to remain creative-driven and flexible in business cooperation.
03. Overall consideration of content investment and growth: Return on investment, key indicators of user growth, content strategy
1) About content return on investment
Ted Sarandos: It ’s more complicated. Compared with movies and TV shows, it ’s true that the broadcast time of movies is shorter, but I think audiences understand the value proposition of movies. New movies are more important than TV shows. It looks good and knows what the movie is worth.
In my opinion, the audience ’s understanding of the value proposition of Netflix ’s popular movies will also translate into their understanding of the value of Netflix; but television is different. In everyone ’s mind, television seems to be free, I I think it ’s a good thing to “ritualize” a movie, just like what we did with The Irishman (a special screening at Broadway Theatre for a month), unlike TV—restricted by the schedule, and viewing is almost normal Into.
In the new paradigm of consumption
The text is
1) Understanding of segmentation in the past year
Ted Sarandos: The changes in the past year are exactly the same as we expected long ago. Many people ask why we started to be original 8 years ago. I said that because we realized, Entertainment enters every household through the network streaming media service. Now cable television networks have also begun to launch their own streaming media services and are unwilling to sell content to us, so we better start to be good at originality.
Under the trend of unsubscribing to wired services, thousands of new players entering this field seem to feel very crowded. Indeed, the market is changing, each has its own strengths, and it is becoming more and more segmented. , But the content of the segment is also constantly converging.
Actually, the market segments are all big businesses. They want to win back users. For us, we give users what they like, provide applications that users cannot do without, and realize seamless delivery of content. It has been our mission from the beginning, so this year ’s changes are not much different for Netflix internals, and our content has always been integrated.
2) Price is the most direct manifestation of competition
Ted Sarandos: Currently, Netflix is at a certain stage and there are barriers, so you will feel relatively stable in the market. After all, these new companies have previously produced or licensed content for others, so ( They are moving towards streaming media. It is not an earth-shaking change. The most intuitive manifestation of competitiveness is price, because there is no “recommended retail price” for performances or movies, but it is very competitive. What you do and how you do it will determine the price.
At that time, we were doing “House of Cards” and many people said that we disrupted the market and caused huge inflation. In general, the market is still stable. High-priced explosive dramas are competitive and have great commercial impact. Power, we should buy, it is also worth this price, but we are not at anyThe project is a desperate one, and the price will not be too high, otherwise a work will fluctuate the overall content cost.
3) Changes in content costs
Ted Sarandos: I think the cost of content is relatively stable. There are many projects in full swing. For us, it has not changed the general situation of content investment. In contrast, the success of investment Whether or not, should think more about the impact of investment on the increase in net users and ARPU, rather than what users can watch that single explosive program or a program can promote.
It’s as if we are thinking about whether to increase the viewing time of users. We pay attention to the viewing time internally because we think this corresponds to pricing power, reduces user churn, etc. We have not yet seen that we should Reduce the inflection point of content investment, so we will continue to maintain content investment until there are some signs.
Net user growth is a key indicator of our concern. It is calculated based on data such as user churn and new subscribers. According to our current user base, it is not easy to accurately find the factors that drive subscriber growth because users occur. There are complex factors when draining, and we cannot judge by just one factor.
02. Method of platform content reserve: Creative mode, creative style, international original content, external cooperation, India
1) Creative mode pursued internally
Ted Sarandos: If you want to implement a model that can be viewed anytime, anywhere, and without ads, you also need to have no trial episodes and no multi-season subscriptions (the two are interdependent); we have always been Because the creators have been given a lot of praise for providing them with great creative freedom, the earliest reason is that there are few people in the company and no one can interfere with the creators, so it goes without saying that they have given creators a lot of freedom.
Now that the company is large, in terms of corporate philosophy and talent recruitment, we always hope to find the best people, give them the best tools, and let them achieve the best quality of work. So Netflix has a good Of executive teams collaborate with creators, as long as the right people are selectedIf you choose the right project, there is no problem. This is the way my team does things. Do n’t give too many comments. I always insist that the process of invitation to creators is to get their maximum output.
2) On how to attract good content creators
Ted Sarandos: We have recently been nominated for 34 Golden Globe Awards, 17 films and 17 TV series, and four of them have been nominated for the first prize “Best Movie Award”. For us, Great encouragement, especially since we started making original films three years ago, our creators have gained peer recognition in the film community …
For the industry and consumers, it means that the works of Wangda have a better quality. (The rise of Wangda) happened in the United States and the world … Although Netflix is still very small in Asia, it has already “Delhi Crime” and other works have a huge influence and have helped us attract a lot of creators. I believe that it is platform culture that really attracts creators. Netflix has nothing to add in this regard.
3) About Proportion and investment of international original content
Ted Sarandos: The key is to continuously improve the quality of international programs … It is also necessary to think about whether people ’s viewing behavior will change when people can access global content, but it is actually a cultural difference Sexually, betting on viewing behavior, but also betting on content investment … The localization of many overseas works is not very good, dubbing and subtitles have not been valued and invested …
Ten years later, the audience watching overseas content may be twice as today. Our goal is never to export Hollywood stories to the world, but to stand on one point and tell stories all over the world.
4) Native original strategy in the Indian market
Ted Sarandos: The Indian market has huge potential. We are still in its infancy in India. Currently, the original content investment in India is about 400 million US dollars, which is within the budget. When we first entered this market, the market itself evolved in many ways.
When we enter a new market, we first look for the taste of local culture, and then we check to see if the program is in line with cultural taste, whether the service is running well under different network conditions, and whether the infrastructure is running well. The Indian market is very Unique is the heavy mobile market, we must plan it from the perspective of economy and service.
We found that India is “tax neutral” (ie: Tax policy does not change the total government tax revenue), it is a positive tax (independently collected, no additional tax), That is to say, we can get a wider distribution in India, so we will get better and better in this market, which has many similarities with the service we launched in Latin America 3 years ago.
5) Principle of external content cooperation
Ted Sarandos: First and foremost is to remain creatively driven. The projects we push to the audience are all high-quality. We should not overthink the business model that should be matched, or whether it should be compatible with other business models. Platforms with rich content stay in touch, so we need to be flexible in the choice of creative talents, be able to own IP, and produce content that the platform never had before to avoid IP conflicts. In general, we need to remain creative-driven and flexible in business cooperation.
03. Overall consideration of content investment and growth: Return on investment, key indicators of user growth, content strategy
1) About content return on investment
Ted Sarandos: It ’s more complicated. Compared with movies and TV shows, it ’s true that the broadcast time of movies is shorter, but I think audiences understand the value proposition of movies. New movies are more important than TV shows. It looks good and knows what the movie is worth.
In my opinion, the audience ’s understanding of the value proposition of Netflix ’s popular movies will also translate into their understanding of the value of Netflix; but television is different. In everyone ’s mind, television seems to be free, I I think it ’s a good thing to “ritualize” a movie, just like what we did with The Irishman (a special screening at Broadway Theatre for a month), unlike TV—restricted by the schedule, and viewing is almost normal Into.
In the new paradigm of consumption
Ted Sarandos: Currently, Netflix is at a certain stage and there are barriers, so you will feel relatively stable in the market. After all, these new companies have previously produced or licensed content for others, so ( They are moving towards streaming media. It is not an earth-shaking change. The most intuitive manifestation of competitiveness is price, because there is no “recommended retail price” for performances or movies, but it is very competitive. What you do and how you do it will determine the price.
At that time, we were doing “House of Cards” and many people said that we disrupted the market and caused huge inflation. In general, the market is still stable. High-priced explosive dramas are competitive and have great commercial impact. Power, we should buy, it is also worth this price, but we are not at anyThe project is a desperate one, and the price will not be too high, otherwise a work will fluctuate the overall content cost.
3) Changes in content costs
Ted Sarandos: I think the cost of content is relatively stable. There are many projects in full swing. For us, it has not changed the general situation of content investment. In contrast, the success of investment Whether or not, should think more about the impact of investment on the increase in net users and ARPU, rather than what users can watch that single explosive program or a program can promote.
It’s as if we are thinking about whether to increase the viewing time of users. We pay attention to the viewing time internally because we think this corresponds to pricing power, reduces user churn, etc. We have not yet seen that we should Reduce the inflection point of content investment, so we will continue to maintain content investment until there are some signs.
Net user growth is a key indicator of our concern. It is calculated based on data such as user churn and new subscribers. According to our current user base, it is not easy to accurately find the factors that drive subscriber growth because users occur. There are complex factors when draining, and we cannot judge by just one factor.
02. Method of platform content reserve: Creative mode, creative style, international original content, external cooperation, India
1) Creative mode pursued internally
Ted Sarandos: If you want to implement a model that can be viewed anytime, anywhere, and without ads, you also need to have no trial episodes and no multi-season subscriptions (the two are interdependent); we have always been Because the creators have been given a lot of praise for providing them with great creative freedom, the earliest reason is that there are few people in the company and no one can interfere with the creators, so it goes without saying that they have given creators a lot of freedom.
Now that the company is large, in terms of corporate philosophy and talent recruitment, we always hope to find the best people, give them the best tools, and let them achieve the best quality of work. So Netflix has a good Of executive teams collaborate with creators, as long as the right people are selectedIf you choose the right project, there is no problem. This is the way my team does things. Do n’t give too many comments. I always insist that the process of invitation to creators is to get their maximum output.
2) On how to attract good content creators
Ted Sarandos: We have recently been nominated for 34 Golden Globe Awards, 17 films and 17 TV series, and four of them have been nominated for the first prize “Best Movie Award”. For us, Great encouragement, especially since we started making original films three years ago, our creators have gained peer recognition in the film community …
For the industry and consumers, it means that the works of Wangda have a better quality. (The rise of Wangda) happened in the United States and the world … Although Netflix is still very small in Asia, it has already “Delhi Crime” and other works have a huge influence and have helped us attract a lot of creators. I believe that it is platform culture that really attracts creators. Netflix has nothing to add in this regard.
3) About Proportion and investment of international original content
Ted Sarandos: The key is to continuously improve the quality of international programs … It is also necessary to think about whether people ’s viewing behavior will change when people can access global content, but it is actually a cultural difference Sexually, betting on viewing behavior, but also betting on content investment … The localization of many overseas works is not very good, dubbing and subtitles have not been valued and invested …
Ten years later, the audience watching overseas content may be twice as today. Our goal is never to export Hollywood stories to the world, but to stand on one point and tell stories all over the world.
4) Native original strategy in the Indian market
Ted Sarandos: The Indian market has huge potential. We are still in its infancy in India. Currently, the original content investment in India is about 400 million US dollars, which is within the budget. When we first entered this market, the market itself evolved in many ways.
When we enter a new market, we first look for the taste of local culture, and then we check to see if the program is in line with cultural taste, whether the service is running well under different network conditions, and whether the infrastructure is running well. The Indian market is very Unique is the heavy mobile market, we must plan it from the perspective of economy and service.
We found that India is “tax neutral” (ie: Tax policy does not change the total government tax revenue), it is a positive tax (independently collected, no additional tax), That is to say, we can get a wider distribution in India, so we will get better and better in this market, which has many similarities with the service we launched in Latin America 3 years ago.
5) Principle of external content cooperation
Ted Sarandos: First and foremost is to remain creatively driven. The projects we push to the audience are all high-quality. We should not overthink the business model that should be matched, or whether it should be compatible with other business models. Platforms with rich content stay in touch, so we need to be flexible in the choice of creative talents, be able to own IP, and produce content that the platform never had before to avoid IP conflicts. In general, we need to remain creative-driven and flexible in business cooperation.
03. Overall consideration of content investment and growth: Return on investment, key indicators of user growth, content strategy
1) About content return on investment
Ted Sarandos: It ’s more complicated. Compared with movies and TV shows, it ’s true that the broadcast time of movies is shorter, but I think audiences understand the value proposition of movies. New movies are more important than TV shows. It looks good and knows what the movie is worth.
In my opinion, the audience ’s understanding of the value proposition of Netflix ’s popular movies will also translate into their understanding of the value of Netflix; but television is different. In everyone ’s mind, television seems to be free, I I think it ’s a good thing to “ritualize” a movie, just like what we did with The Irishman (a special screening at Broadway Theatre for a month), unlike TV—restricted by the schedule, and viewing is almost normal Into.
In the new paradigm of consumption
1) Creative mode pursued internally
Ted Sarandos: If you want to implement a model that can be viewed anytime, anywhere, and without ads, you also need to have no trial episodes and no multi-season subscriptions (the two are interdependent); we have always been Because the creators have been given a lot of praise for providing them with great creative freedom, the earliest reason is that there are few people in the company and no one can interfere with the creators, so it goes without saying that they have given creators a lot of freedom.
Now that the company is large, in terms of corporate philosophy and talent recruitment, we always hope to find the best people, give them the best tools, and let them achieve the best quality of work. So Netflix has a good Of executive teams collaborate with creators, as long as the right people are selectedIf you choose the right project, there is no problem. This is the way my team does things. Do n’t give too many comments. I always insist that the process of invitation to creators is to get their maximum output.
2) On how to attract good content creators
Ted Sarandos: We have recently been nominated for 34 Golden Globe Awards, 17 films and 17 TV series, and four of them have been nominated for the first prize “Best Movie Award”. For us, Great encouragement, especially since we started making original films three years ago, our creators have gained peer recognition in the film community …
For the industry and consumers, it means that the works of Wangda have a better quality. (The rise of Wangda) happened in the United States and the world … Although Netflix is still very small in Asia, it has already “Delhi Crime” and other works have a huge influence and have helped us attract a lot of creators. I believe that it is platform culture that really attracts creators. Netflix has nothing to add in this regard.
3) About Proportion and investment of international original content
Ted Sarandos: The key is to continuously improve the quality of international programs … It is also necessary to think about whether people ’s viewing behavior will change when people can access global content, but it is actually a cultural difference Sexually, betting on viewing behavior, but also betting on content investment … The localization of many overseas works is not very good, dubbing and subtitles have not been valued and invested …
Ten years later, the audience watching overseas content may be twice as today. Our goal is never to export Hollywood stories to the world, but to stand on one point and tell stories all over the world.
4) Native original strategy in the Indian market
Ted Sarandos: The Indian market has huge potential. We are still in its infancy in India. Currently, the original content investment in India is about 400 million US dollars, which is within the budget. When we first entered this market, the market itself evolved in many ways.
When we enter a new market, we first look for the taste of local culture, and then we check to see if the program is in line with cultural taste, whether the service is running well under different network conditions, and whether the infrastructure is running well. The Indian market is very Unique is the heavy mobile market, we must plan it from the perspective of economy and service.
We found that India is “tax neutral” (ie: Tax policy does not change the total government tax revenue), it is a positive tax (independently collected, no additional tax), That is to say, we can get a wider distribution in India, so we will get better and better in this market, which has many similarities with the service we launched in Latin America 3 years ago.
5) Principle of external content cooperation
Ted Sarandos: First and foremost is to remain creatively driven. The projects we push to the audience are all high-quality. We should not overthink the business model that should be matched, or whether it should be compatible with other business models. Platforms with rich content stay in touch, so we need to be flexible in the choice of creative talents, be able to own IP, and produce content that the platform never had before to avoid IP conflicts. In general, we need to remain creative-driven and flexible in business cooperation.
03. Overall consideration of content investment and growth: Return on investment, key indicators of user growth, content strategy
1) About content return on investment
Ted Sarandos: It ’s more complicated. Compared with movies and TV shows, it ’s true that the broadcast time of movies is shorter, but I think audiences understand the value proposition of movies. New movies are more important than TV shows. It looks good and knows what the movie is worth.
In my opinion, the audience ’s understanding of the value proposition of Netflix ’s popular movies will also translate into their understanding of the value of Netflix; but television is different. In everyone ’s mind, television seems to be free, I I think it ’s a good thing to “ritualize” a movie, just like what we did with The Irishman (a special screening at Broadway Theatre for a month), unlike TV—restricted by the schedule, and viewing is almost normal Into.
In the new paradigm of consumption
Ted Sarandos: We have recently been nominated for 34 Golden Globe Awards, 17 films and 17 TV series, and four of them have been nominated for the first prize “Best Movie Award”. For us, Great encouragement, especially since we started making original films three years ago, our creators have gained peer recognition in the film community …
For the industry and consumers, it means that the works of Wangda have a better quality. (The rise of Wangda) happened in the United States and the world … Although Netflix is still very small in Asia, it has already “Delhi Crime” and other works have a huge influence and have helped us attract a lot of creators. I believe that it is platform culture that really attracts creators. Netflix has nothing to add in this regard.
3) About Proportion and investment of international original content
Ted Sarandos: The key is to continuously improve the quality of international programs … It is also necessary to think about whether people ’s viewing behavior will change when people can access global content, but it is actually a cultural difference Sexually, betting on viewing behavior, but also betting on content investment … The localization of many overseas works is not very good, dubbing and subtitles have not been valued and invested …
Ten years later, the audience watching overseas content may be twice as today. Our goal is never to export Hollywood stories to the world, but to stand on one point and tell stories all over the world.
4) Native original strategy in the Indian market
Ted Sarandos: The Indian market has huge potential. We are still in its infancy in India. Currently, the original content investment in India is about 400 million US dollars, which is within the budget. When we first entered this market, the market itself evolved in many ways.
When we enter a new market, we first look for the taste of local culture, and then we check to see if the program is in line with cultural taste, whether the service is running well under different network conditions, and whether the infrastructure is running well. The Indian market is very Unique is the heavy mobile market, we must plan it from the perspective of economy and service.
We found that India is “tax neutral” (ie: Tax policy does not change the total government tax revenue), it is a positive tax (independently collected, no additional tax), That is to say, we can get a wider distribution in India, so we will get better and better in this market, which has many similarities with the service we launched in Latin America 3 years ago.
5) Principle of external content cooperation
Ted Sarandos: First and foremost is to remain creatively driven. The projects we push to the audience are all high-quality. We should not overthink the business model that should be matched, or whether it should be compatible with other business models. Platforms with rich content stay in touch, so we need to be flexible in the choice of creative talents, be able to own IP, and produce content that the platform never had before to avoid IP conflicts. In general, we need to remain creative-driven and flexible in business cooperation.
03. Overall consideration of content investment and growth: Return on investment, key indicators of user growth, content strategy
1) About content return on investment
Ted Sarandos: It ’s more complicated. Compared with movies and TV shows, it ’s true that the broadcast time of movies is shorter, but I think audiences understand the value proposition of movies. New movies are more important than TV shows. It looks good and knows what the movie is worth.
In my opinion, the audience ’s understanding of the value proposition of Netflix ’s popular movies will also translate into their understanding of the value of Netflix; but television is different. In everyone ’s mind, television seems to be free, I I think it ’s a good thing to “ritualize” a movie, just like what we did with The Irishman (a special screening at Broadway Theatre for a month), unlike TV—restricted by the schedule, and viewing is almost normal Into.
In the new paradigm of consumption
Ted Sarandos: The Indian market has huge potential. We are still in its infancy in India. Currently, the original content investment in India is about 400 million US dollars, which is within the budget. When we first entered this market, the market itself evolved in many ways.
When we enter a new market, we first look for the taste of local culture, and then we check to see if the program is in line with cultural taste, whether the service is running well under different network conditions, and whether the infrastructure is running well. The Indian market is very Unique is the heavy mobile market, we must plan it from the perspective of economy and service.
We found that India is “tax neutral” (ie: Tax policy does not change the total government tax revenue), it is a positive tax (independently collected, no additional tax), That is to say, we can get a wider distribution in India, so we will get better and better in this market, which has many similarities with the service we launched in Latin America 3 years ago.
5) Principle of external content cooperation
Ted Sarandos: First and foremost is to remain creatively driven. The projects we push to the audience are all high-quality. We should not overthink the business model that should be matched, or whether it should be compatible with other business models. Platforms with rich content stay in touch, so we need to be flexible in the choice of creative talents, be able to own IP, and produce content that the platform never had before to avoid IP conflicts. In general, we need to remain creative-driven and flexible in business cooperation.
03. Overall consideration of content investment and growth: Return on investment, key indicators of user growth, content strategy
1) About content return on investment
Ted Sarandos: It ’s more complicated. Compared with movies and TV shows, it ’s true that the broadcast time of movies is shorter, but I think audiences understand the value proposition of movies. New movies are more important than TV shows. It looks good and knows what the movie is worth.
In my opinion, the audience ’s understanding of the value proposition of Netflix ’s popular movies will also translate into their understanding of the value of Netflix; but television is different. In everyone ’s mind, television seems to be free, I I think it ’s a good thing to “ritualize” a movie, just like what we did with The Irishman (a special screening at Broadway Theatre for a month), unlike TV—restricted by the schedule, and viewing is almost normal Into.
In the new paradigm of consumption