Key Performance Indicators For Netflix
Netflix is a streaming content provider that allows subscribers to watch TV shows, movies, documentaries and more on a wide range of Internet-connected devices. The company also provides DVD rental plans where it supplies the shows and movies on DVDs.
This video streaming on-demand company operates on a subscription based model. The users pay for a monthly subscription plan and are given access to stream shows, movies, documentaries and other content available on Netflix in the quality (SD, HD, Ultra HD) they pay for.
Netflix is the world’s leading internet television network with over 100 million members in over 190 countries enjoying more than 125 million hours of TV shows and movies per day. The company’s target market …show more content…
The service is supported on widest range of devices including PCs, TVs, mobiles, and gaming consoles. One of the differentiating factor of Netflix is that it releases new and exclusive series as full seasons and not one episode at a time which keeps its users hooked.
Analyze the goals key performance indicators (KPIs) specified in workplace business plan
The key performance indicators for Netflix are:
Ratio of new, paying users to churning users (sales/retention)- This would indicate how new customers are joining and how much are still part of the Netflix system and would help them decide whether they should work on customer acquisition or customer retention more.
Average hours watched per user (usage) – This is to measure how well the company is able to justify its purpose of entertaining people. They need to calculate how much time and how frequently within a week or month a user is on …show more content…
So Netflix needs to retain the rights to its star shows to keep its user base.
Affordable subscription for entire user base – Company should be ready to give flexible subscription fees for its user base in smaller countries to make it affordable for them and to highly increase its user base in those areas.
Technological advancement for better user experience – The company should start incorporating newer technological advancements in the video entertainment industry like IOT to highly improve its user experience.
Develop the contingency plan to address areas of non-conformance
We can develop a contingency plan for future risks for the company as-
All video entertainment :
Netflix has made its intention very clear which is long form video entertainment whether its original content, Blockbuster movies, Old movies or documentaries. And if it scale that and get to the success may be sufficient. However, multiple other platforms are not explored by Netflix.
What if Netflix is one stop shop for ALL ENTERTAINMENT that includes the following:
Online Game Streaming.
User Generated Videos.