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A PROJECT ON

A STUDY ON MARKETING TOOLS OPTED BY NETFLIX

A PROJECT SUBMITTED TO
UNIVERSITY OF MUMBAI

FOR THE PARTIAL COMPLETION OF THE DEGREE OF


BACHELOR OF MANAGEMENT STUDIES UNDER THE
FACULTY OF COMMERCE
(SEMESTER – VI)

SUBMITTED BY
ARUSA ARIF BALBALE

UNDER THE GUIDANCE OF


PROF. SHEFALI SHARMA

S.K.COLLEGE OF SCIENCE AND COMMERCE


NERUL – EAST, NAVI MUMBAI – 400706

ACADEMIC YEAR 2019-2020

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A PROJECT ON
A STUDY ON MARKETING TOOLS OPTED BY NETFLIX

UNIVERSITY OF MUMBAI

SUBMITTED BY: PROJECT GUIDE:


PROF. SHEFALI SHARMA
Student Registration No: 2017030141

IN PARTIAL FULFILLMENT FOR THE AWARD OF THE


DEGREE OF “BACHELOR OF MANAGEMENT STUDIES
TYBMS”
SEMESTER- VI

S.K. COLLEGE OF SCIENCE AND COMMERCE NERUL,


NAVI MUMBAI 400706
COLLEGE CODE – 874

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DECLARATION

I the undersigned Miss Arusa Balbale hereby, declare that the work embodied in this
project work titled “A study on marketing tools opted by Netflix” forms my own
contribution to the research work carried out under the guidance of Prof Shefali Sharma
is a result of my own research work and has not been previously submitted to any other
University for any other Degree/ Diploma to this or any other University.
Wherever reference has been made to previous works of others, it has been clearly
indicated as such and included in the bibliography.
I will abide and take all responsibility of all issues related to plagiarism/self-
plagiarism under UNIVERSITY GRANTS COMMISSION (PROMOTION OF
ACADEMIC INTEGRITY AND PREVENTION OF PLAGIARISM IN
HIGHER EDUCATIONAL INSTITUTIONS) REGULATIONS, 2018
I, here by further declare that all information of this document has been obtained and
presented in accordance with academic rules and ethical conduct.

SIGNATURE OF LEARNER
Certified by
INTERNAL GUIDE

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ACKNOWLEDGEMENT

To list who all have helped me is difficult because they are so numerous and the depth
is so enormous.

I would like to acknowledge the following as being idealistic channels and fresh
dimensions in the completion of this project.

I take this opportunity to thank the University of Mumbai for giving me chance to do
this project.

I would like to thank my Principal, DR. AJIT KURUP for providing the necessary
facilities required for completion of this project.

I take this opportunity to thank our Coordinator MRS. SHIKHA PANDEY, for her
moral support and guidance.

I would also like to express my sincere gratitude towards my Project Guide PROF.
SHEFALI SHARMA whose guidance and care made the project successful.

I would like to thank my College Library, for having provided various reference books
and magazines related to my project.

Lastly, I would like to thank each and every person who directly or indirectly helped
me in the completion of the project especially my Parents and Peers who supported me
throughout my project.

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A STUDY ON MARKETING
TOOLS OPTED BY

NETFLIX

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INDEX PAGE

SR NO. DESCRIPTION PAGE


NO

1. CHAPTER-1
INTRODUCTION 8
1.1 Abstract/Executive Summary 9
1.2 Purpose/ Objective of the Study 10
1.3 Scope and Limitations 11
1.4 Conceptual Model 13

2. CHAPTER-2
LITERATURE REVIEW 14
2.1 About Industry 15
2.2 About the company 25
2.3 SWOT Analysis 36

3. CHAPTER-3
RESEARCH DESIGN 40
3.1Type of Research 41
3.2 Research Method 41
3.3 Types of Data 41
3.4 Sample Size 42
3.5 Sample Method 42
3.6 Data collection Method 42

4. CHAPTER-4 43
Classification & Tabulation of Data 44

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5. CHAPTER – 5 51
Analysis & Interpretation of Data 52

6. CHAPTER - 6 73
6.1 Findings 74
6.2 Conclusions 76
6.3 Recommendations 79

7. ANNEXURE - 7 82
Questionnaire

8. BIBLIOGRAPHY 87

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CHAPTER-1

INTRODUCTION

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EXECUTIVE SUMMARY

Netflix is a media service provider which allows people to use subscription based
streaming service. As it was started in 1997, it has over 154 million subscriptions
excluding the unpaid trials. Netflix has managed to have net worth of 16 billion. It
actually targets youngsters and has its own series.

Through this project an attempt has been made to study the level of awareness of Netflix
among people today.

An attempt is also made in order to determine how is it actually affecting today’s world.
There has been various impacts that needs to be studied and through this study how
much are youth impacted will be studies

An attempt is also made to analyze its growth in India since introduction. This will help
us to analyze the growing market in India.

There is an attempt to study the promotional and pricing strategies used by the brand in
order to gain more subscribers.

There is an attempt of studying Marketing done by Netflix altogether.

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OBJECTIVE OF THE STUDY

The main aim of the study is to study about the marketing tools opted by Netflix.

 To study the level of awareness of Netflix among people.


 To determine how much youth has been effected in today’s world by
Netflix.
 To analyze market growth of Netflix since its introduction in India.
 To learn about promotional and pricing strategies opted by Netflix.

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SCOPE OF THE STUDY

 The scope of research will help us to understand the marketing tools that are
used by Netflix by using various questionnaire, surveys, people’s opinions, our
perception and knowledge.
 The survey was confined to people staying in Navi Mumbai. So the report
prepared is based on area wise.
 The study covers the information about
a) The marketing tools opted by Netflix.
b) The sample size is 100.

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LIMITATION OF THE STUDY

While preparing the report the problem faced were:

 Many people were not interested.


 The recommendations made are outcome of an analysis made individually.
 The data in this study is taken from the primary sources at maximum and hence,
these data is not fully exact.
 There was a hurdle in the collection of data from primary sources i.e. risky as
well as incomplete.
 The results and conclusions of the project cannot be generalized in all area of
an organization.
 Because of lesser people knowing about the industry, it is difficult to collect
appropriate data.
 Time was major constraint.
 Proper secondary data was not available

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CONCEPTUAL MODEL

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CHAPTER-2

LITERATURE REVIEW

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ABOUT THE ENTERTAINMENT AND

CONTENT STREAMING

INDUSTRY

EVOLUTION OF ENTERTAINMENT INDUSTRY:

Over the past twenty years, the entertainment industry has evolved to get advantage of
the many technical trends and innovations, together with the transition from analog to
digital content, growth in broadband speed and subscriber base, a rise within the forms
of devices supporting content playback, and therefore the transition from physical
media to network delivery via streaming and downloading. The mobilization of content
consumption permits for entertainment on the go — anytime, anywhere, on any device.

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ENTERTAINMENT INDUSTRY:

Media (M&E) business is in a transformation section as each previous and new


continues to be. The Media and amusement (M&E) trade has multiple segments like
Movies/Cinema, Television, Music, Publishing, Radio, Internet, Advertising and
diversion. Moreover, trends and drivers for each of the segments vary. The industry has
successfully adapted around these developments in every generation.

Since 90’s, digitization of content has modified creation and delivery of music. Another
disruption in 2000s, the increase of the web was a game changer for all the sub-verticals
of the trade. Presently, social media has been instrumental in shaping this media. The
M&E sector was valued at Rs. 2,64,588 crore in 2018.

Traditionally, content creators decided about what to supply. The new age client not
solely demands what they like, however conjointly within the format they like, in
addition, they also want to customize the content to their preferences.

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TYPES OF ENTERTAINMENT INDUSTRY:

The radio and tv broadcasting trade consists of 2 differing types of firms. There are
public service broadcasters, wherever the funding is through public cash, and
commercial broadcasters, which are funded through advertisement spots

Other varieties of broadcasters are cable and subscription or fee-based programs that
have a a lot of slim focus, such as sports, education, and youth-oriented programming.

CONTENT STREAMING INDUSTRY:

Streaming media services means that multimedia services provided by the internet
service provider given to the end-user. Streaming media services facilitate on-demand
or time period presentation and distribution of audio, video, and multimedia content
across a communications route such as Internet or a dedicated IP network managed by
a service provider. Streaming media services allows end-user to receive audio, video,
and multimedia content without downloading the files to their systems. In the past few
years, the streaming media services has evolved as a significant section of the web
expertise for each enterprise users and customers. First introduced in 1995, streaming
media was designed with a goal to get rid of the long wait times involved in
downloading digital media content. (as the streamed media, audio and video, are played
as soon as the data connection is commenced). The prevailing handiness of high speed

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web access has accelerated the adoption of streaming media services, further reducing
the lag time in content delivery and thus improving the user's overall experience.

CONTENT STREAMING INDUSTRY IN INDIA:

India is that the quickest growing amusement and media market globally and is
predicted to stay that momentum. Our analysis shows that within the next 5 years Asian
nation can see important growth in immoderate (OTT), online gaming and Internet
advertising. Growth in these sub-sectors spurs from the growing trends around
personalization and accumulated medical care

Consumers control their own media consumption through an expanding range of smart
devices and personal selection of channels using OTT services. The soon to arrive 5G
networks will create further use cases, enhance user experiences and create disruptions
leading to newer business opportunities companies are finding that it makes sense to
give different options: all-you-can-eat offerings with unlimited usage in some areas,
tiers of payments for different services in less developed markets, and competing on
affordability. Content creators and distributors are devising new ways to appeal to
consumers as individuals and marketers are figuring out how to meet consumers at the
point of consumption and point them instantaneously towards purchase.

The Indian Media and amusement (M&E) trade could be a sunrise sector for the
economy and is creating high growth strides.

Indian media and entertainment (M&E) industry grew at a CAGR of 10.90 per cent
from FY17-18. As of 2018, Asian nation is that the tenth largest marketplace for OTT
within the world with overall revenue standing at Rs. 4,462 crore. Subscription-based
video-on-demand platforms are projected to grow at a CAGR of 23.33% to reach Rs.
10,712 crore between 2018-2023. The thirty four players gift within the untidy OTT
market comprise each yank platforms like Netflix and Amazon Prime Video
additionally as native Indian services like ZEE5, VOOT, Eros Now and ALTBalaji.

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Content today is being made major Indian languages besides Hindi and English.
Content creators will have to work towards creating narratives that cater to each of these
markets.

Several business organizations are utilizing streaming media services for delivering
displays, seminars, and training activities. Similarly, academic establishments are
promoting e-learning initiatives by providing on-line work to expand their academic
presence.

The business organizations and educational institutions are also witnessing a swift
adoption of streaming media services and are anticipated to continue adopting these
services during the forecast period.

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COMPETITORS

1. Amazon Prime Video

Platforms available: Web, Android, iOS, Xbox, PlayStation, Fire TV, etc.

Prime Video, the streaming service by the e-commerce large Amazon is another talked
regarding name among those that need Netflix alternatives in India.

The nature of the content on Prime Video is quite diverse with movies and TV shows
in English as well as in different regional Indian languages to watch titles on big

Screens, users will select Amazon fire TV, use Chromecast on a desktop, or mirror your
android phone.

Prices are INR 999/year (Included with Prime)

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2. Hotstar

Platforms available Web, Android, iOS, etc.

Ideal for watching Game of Thrones, streaming cricket matches, watch movies online,
Indian daily soaps.owned by Star India, Hotstar is one amongst the most effective
streaming sites in India that primarily options movie industry movies and television
shows.

But people also visit Hotstar to watch cricket matches online as the sports has wide-
spread reach across the country. The video streaming service offers something for users
loving International content. Hotstar includes nice titles from HBO, Showtime, ABC,
etc and also streams live sports and news channels.

Prices are Free for Most of the international content not included. Premium: 199/mo,
First month free. Offer: INR 1200 (for 12 months)

3. Jio Cinema

Platforms: Web, Android, iOS, etc. and Ideal for Streaming movies and music videos.

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As you might have already guessed, JioCinema is a streaming service run by the young
mobile carrier Jio which revolutionized the entire nation’s internet in just one year. The
video quality of the content is optimized according to the network speed, but it would
have been better if a dedicated option was present.

On mobile devices, users will build the films offline to avoid network-related irruptions.

Pricing: Free (included with Jio mobile plan)

4. Voot

Platforms are Web, Android, iOS and Ideal for Streaming Indian TV shows.

The streaming service owned by Viacom 18 provides on-line access to shows airy on
their TV channels together with colors, MTV, nickelodeon, etc.

The catalog any expands to incorporate varied Indian movies. Voot features a dedicated
youngsters section wherever it tries to take care of associate air of nostalgia by
providing shows like Powerpuff girls, Mr.Bean, Pokemon, etc.It conjointly provides its
own set of internet series underneath the brand Voot Originals.

Pricing: Free

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5. Sony liv

Platform: Web, Android, iOS and is Ideal for Streaming free movies and television
shows, streaming like cricket matches.

The TV shows aired on varied channels travel by Sony pictures Networks India notice
an area on the streaming service called SonyLiv.

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It gives various options sports content, many Indian-language movies, and international
movies in the streaming Regarding user experience, the service doesn’t stand in front
of big names like Netflix, but it’s a good deal if one wants to stick to the free content

Offered by a particular network.

Pricing are Free, INR 120 for 3 months, INR 399 for 1 year.

6. Alt Balaji

It has now emerged as one of the most popular online video streaming services in
India, credit goes to its youth-oriented content and the cheaper Internet plans in India.
These are the TV shows and movies that are generated by ALTBalaji originally. ALT
Balaji is a subsidiary of Balaji Telefilms Ltd. owned by Ekta Kapoor. Reliance
Industries conjointly features a 25th stake in Balaji Telefilms.

Prices are Rs.100 for 3 month subscriptions and Rs.300 for 12 months subscription.

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ABOUT NETFLIX

History

 Netflix is a media-services company which has headquarter in Los Gatos,


California and was founded in 1997 by Reed Hastings and Marc Randolph.
 The company's business is its subscription-based streaming service.
 In 2019 April, Netflix had more than 148 million paid subscriptions worldwide.
 Netflix expanded its business in 2010 with the introduction of streaming media
whereas retentive the dvd and Blu-ray rental business.

 Netflix entered the content-production business in 2012, debuting its initial


series Lilyhammer.Since 2012, Netflix has taken additional of a vigorous role
as producer and distributor for each film and tv series, and to it finish, it offers
a range of "NetflixOriginal" content through its online library.
 By Jan 2016, Netflix services operated in additional than one hundred ninety
countries. Netflix released around 126 original series and films in 2016 and still
counting, over the other network or cable channel.
 In Gregorian calendar month 2018, Netflix proclaimed it'd raise another $2
billion in debt to assist fund new content.

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Company Profile

By creating a loyal user base, this original content has been a huge key for its Success.
Around the same time, Netflix also started uploading entire seasons of established TV
series at once, essentially creating the binge-watching atmosphere, in contrast to

broadcast and cable TV's once-a-week programming model. Another innovation of


Netflix has been to mine for user knowledge sharply.

Basic information:

Found: August 29, 1997 i.e., 21 years ago in Scotts Valley, California

Headquarters: Los Gatos, California, U.S.

Area served: Worldwide except Mainland China, Syria, North Korea and Crimea

Founder(s): Reed Hasting and Marc Randolph

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Mission:

Our core strategy is to grow streaming subscription business domestically and globally
and we are continuously improving the customer experience with a focus on expanding
our streaming content, enhancing our user interface and extending our streaming
service to even more internet-connected devices, while staying within the parameters
of our consolidated net income and operating segment contribution profit targets.

Vision:

Becoming the best global entertainment distribution service. Licensing entertainment


content around the world, creating markets that are accessible to film makers and
helping content creators around the world to find a global audience.’ The brand promise
is a quest.

Values:

 Judgment
 Communication
 Curiosity
 Courage
 Passion
 Selflessness
 Innovation
 Inclusion
 Integrity
 Impact

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Growth of Netflix over years and its position:

 Netflix is currently the dominant company within the relatively young on-
demand media business. It was created in 1997.
 By providing on-demand content, creating compelling original programs,
exploitation user knowledge to raised serve customers and holding customers

consume content within the manner that they like.


 Netflix is that the first major disruption of tv, forcing cable companies to change
the way they do business.
 For a flat monthly fee of Rs 499, Rs 199, Rs 799 and Rs 650, subscribers can
consume any program at any time from whichever platform they prefer.
 Netflix started in 1997 as an internet site service, allowing people to rent DVDs
online and get them through the mail. It competed to some extent with TV for
people's entertainment time
 Later, Netflix came out with streaming services. This innovation helped finish
the video rental business and created it additional vital for cable corporations
and television networks to start giving on-demand content of their own.
 In 2013, Netflix had huge competition with TV networks and cable directly for
original content. Its terms were generous.
 Netflix started uploading complete seasons of established TV series at once.

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 Another innovation of Netflix has been to mine for user knowledge sharply.
 Netflix conjointly uses this knowledge to see what style of original content the
corporate ought to produce, and what genres and talents it should pursue.
 This has crystal rectifier to Netflix having a high success rate in producing hits.
Netflix conjointly forced the TV trade to vary its ways in which by giving
customers the flexibleness to consume content within the precise means they
need supported their wants.
 This has modified for the most part because of Netflix, whose success has been
deemed an existential threat for the TV industry.

 Many customers have already cut the wire from existing cable, as the cost of a
Netflix subscription is about 20% of that of most cable packages.
 Further, there are no annoying ads.Many area unit operating to overtake Netflix,
and the company faces competition from other digital operators like Amazon
and Google. But that is more proof that Netflix has broken the mould for the
way tv is created, watched, rated – and the way ratings it influences..

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Marketing in Netflix:

 Product:

Product is actually based on the offerings by Netflix. It provides various


Movies, Tv Titles, Kids show, etc. It has been expanding it’s collection ever
since. It is actually known for amazing contents and also provides easy option
of payments. They have options of downloading offline videos too for those
who do not have internet. They have increase in house production content and
releases seasons in less than 12 months all together.

 Price:

Netflix offers a free month trial offer and asks for various subscriptions pack
later. There is a pack of 199 (1 screen) per month only for mobiles which is an
new introduction to the packages lately. Earlier it was 599 (1 screen) per month,
650 (2 screens) per month and 799 (4 screens) per month. This new introduction
of 199 pack has lead to growth. It doesn’t follow differential pricing techniques
but it follows mass media.

 Promotion:

These trial subscriptions are a way of promoting Netflix and hence they aimed
at high customer value and loyalty. It helps in deciding them if they would like

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to continue to the party. It paced various ads, banners, apps like Inshorts etc. It
also contacts through social and interests marketing.

 Place :

It provides a place to the youngsters, kids and Adults. They are receive their
products in a process through various channels like Tv, banners, etc.
All the content is easily available on Pc, Amazon fire stick, mobile

Thus this is the marketing strategy of Netflix.

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Advantages of Netflix:

 It is simple and easy:

Netflix is so simple to use. We do not have to set up anything. If you're on


Netflix on your laptop, you can move to netflix.com and log in. On the opposite
hand, if you want to watch movies and TV shows on your phone or tablet,
download Netflix app for Android or Netflix app for iOS. Then, open the app,
log in and you are ready to go. You can browse by genres, or by name and it is
all very easy.

 No commercials:

Its annoying than a bunch of commercials that interrupt the movie or a TV show
you are watching. Netflix is commercial free and it means that when you find
a film or a show you want to watch and click Play, you will watch it without
being interrupted by ads.

 Original program:

If you're keen on to look at TV shows and films and you will love what Netflix
has to offer. There is standard video content within the library and a lot of.
Netflix has distributed a good vary of original TV shows, movies and
documentaries. When you sign on for a free-trial amount, make sure to watch
some of the Netflix’s original program. You will find true gems there, and
maybe some of the movies or tv shows will become your favorites.
You can transfer the content and watch it offline

 Netflix currently permits users to transfer the content and watch it offline:

This is such a great option, especially if you are planning to go on a road trip
with friends or on a vacation. Perhaps you won’t have a great internet
connection, so you won’t be able to stream the shows and movies. Netflix
created positive that you just get to relish notwithstanding wherever you're.

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 Different membership plans:

Another advantage of Netflix is that you just will opt for a membership set up
that's ideal for you. You can downgrade or upgrade anytime you want. There
are three plans: basic, standard and premium. Each plan comes with different

options. For instance, Ultra HD is available only with the Premium membership
plan. The first month is free for all the plans and you can cancel the membership
whenever you want. membership set up that's ideal for you.

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 It is affordable:

Netflix really is affordable. The price of the fundamental set up with Coyote
State resolution is $8, basic (HD) is $10, and premium (HD and Ultra HD) is
$12. For instance, with the premium plan, you can watch on 4 screens at the
same time, which makes this plan ideal for families

 Fantastic experience:

Once you are trying Netflix, you'll come back to the conclusion it very offers
an incredible expertise. You won’t have to wait for the specific part to load. All
this with a decent internet connection. Moreover, you add and create a list of
your favorite movies and shows. You also get to explore new content.

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SWOT Analysis

SWOT analysis is a strategic planning method used to evaluate the Strengths,


Weaknesses, Opportunities and Threats involved in a project or in a business venture.
It involves specifying the objective of the business venture or project and identifying
the internal and external factors that are favorable and unfavorable to achieve that

objective. A SWOT analysis may be incorporated into the strategic planning model.

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1. Strengths

 Brand Name: 10 years and Netflix has become the only real brand for on-line
streaming content with a share increment of over 6000% since 2007.
 Giant client base: Through serving a hundred ninety countries, Netflix has
access to over a hundred million subscribers.
 Original content: Netflix have secured numerous original shows that have
appealed to audiences which has created a buzz.
 Global presence: Netflix started increasing globally in 2016. Within just a
couple of years, its network and parsec has grown to quite 190 countries from
where quite 139 million users watch shows and films .
 Growing company with an excellent culture: Netflix is an innovative and fast
growing company that is enjoying high level popularity throughout the world.
The company has seen its revenue and customer base grow faster in the recent
years.
 Adaptability: Netflix adapted to various technologies instantly by providing
streaming on all internet-connected devices like personal computers, iPads,
mobile devices, and televisions. Due to this, their business grew immensely over
the years.
 Competitive Pricing: The pricing strategy of Netflix has given it more benefit
over its competitors. The plans that Netflix makes are affordable and offer great
value. Subscribers can watch unlimited movies for an affordable price.

2. Weakness

 Cost of original content: While its original content creates a competitive


advantage for the corporate , the value continues to grow to support this content.
In 2017, it's expected for Netflix to take a position $2.5 billion solely on
securing original content rights.
 Lack of rights to original content: Unlike many traditional television studios,
Netflix doesn't own most of their original programming. Due to this, usually
rights expire after a year and the original content can be shown on rival service.

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 Environmental cost: The D rank has garnered bad publicity for the corporate as
rival competitors Amazon and Facebook use over 40% renewable energy with
their services.
 Huge operating costs: To differentiate its products and services from its
competitors it has focused on creating more and more original content. While
this has led to growth in popularity and demand, producing original content is
overall a lot more expensive than licensing. This has led to higher operational
costs.
 Debt – Netflix is serving its diversified content in many countries round the
world which needs huge amounts of cash .

3. Opportunities

 Growing technology: With the expansion of VR and 4K UHD content, Netflix


has new ways to permit customers to access their content and supply further
competitive advantages.
 Low cost plans: While the number of international users of Netflix has grown
in the recent years, a main hurdle to making its services more accessible is the
pricing. Its HD and UHD plans are costlier than the traditional plan. Netflix can
expand the amount of choices its users have also as its number of users by
making its plans cheaper .
 Local content for emerging markets: Emerging markets can be a major source
of revenue for Netflix. These are fast growing markets and offer a large
audience which can help Netflix increase its revenue. The brand should seek to
grow its customer base in the emerging markets and Asian markets like India
and China. By creating local content for these markets it can attract local
customers from the emerging markets in larger numbers.
 Refresh Content library: Additionally, Netflix should refresh its content library
because it is now producing its original content.
 Alliances: It also can partner up with various telecom providers and offer bundle
packages in several countries. Alliances and partnerships can convince be
beneficial for Netflix. In the past, Netflix partnered with Channel 4. It can merge
with local broadcasters.

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 Niche Marketing: Niche marketing has been proven beneficial for Netflix to
give many language options. For example, it started an original TV series
‘Sacred Games’ in India, which is a massive hit.

4. Threats

 Competition: Facebook is that the latest to undertake and combat traditional


media by launching its own original content. Amazon, Hulu, HBO, YouTube
are all competing for audiences to subscribe their platforms. For Netflix, this
may still develop as more companies seek to shop for the newest 'original
content' exclusively for his or her platform.
 Digital piracy: For more than 30 content providers (including Netflix), piracy
has led to 5.4 billion downloads of media content in 2016 alone. This threatens
the entire of Netflix's business model and skill to fund content within the future.
 Regulatory threats: Regulatory threats for technology brands and particularly
the internet companies has kept growing. Apart from user privacy and data
security there are several more areas where these brands face higher compliance
related pressures. Governments and legal agencies are tightening the noose
round the internet companies since the Facebook data scandal. Technology
industry itself is facing heavier pressure on growth thanks to increased oversight
and regulation.
 Economic fluctuations are also hurting the revenue and profits of Netflix. Apart
from a stringer dollar, economic fluctuations in key markets can hurt revenue
growth and profits. US is its biggest market. While US is enjoying an impressive
economic activity, the situation is not the same across the entire globe.
Economic declines can lead to educe consumer spending and can reduce
revenue and profits.
 Government Regulations: Strict governmental rules and regulations regarding
service providers like Netflix in many countries are often an enormous threat
for them. For example, Netflix expansion to China are going to be unlikely due
to its restriction on foreign content.

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CHAPTER-3

RESEARCH DESIGN

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3.1 Type of research:

Descriptive research

Descriptive research can be explained as a statement of affairs as they are at present


with the researcher having no control over variable. Moreover, “descriptive studies may
be characterized as simply the attempt to determine, describe or identify what is, while
analytical research attempts to establish why it is that way or how it came to be. It is
Random Research in which all the questionnaires are distributed among the customers
who have visited/used this product or service, by ensuring that all the answered answers
will be kept confidential. This type of Research was done so as to make easy for us to
analyze the results.

3.2 Research method:

Survey and Questionnaire

3.3 Type of data:

The sources of data include both primary and secondary data

 PRIMARY DATA: Primary data is collected with specific objective, especially


to address the research problem. The data is gathered by distributing a
questionnaire to the employees in the above mentioned company.

 SECONDARY DATA: Books, Journal & Internet.

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3.4 Sample size:

The sample size taken for the study is 100.

3.5 Sample Method:

To obtain the representative sample, a non probability sample can be drawn. In this
study the method of selecting sample is random i.e. it is non probable. Non-probability
sampling is a sampling technique where the samples are gathered in a process that does
not give all the individuals in the population equal chances of being selected.

3.6 Data Collection Method:

The tools used for analyzing data are rating method; graphs, pie chart etc. Questionnaire
was distributed to the individual respondent and special care was been taken to make
him/ her feel comfortable so that, he/she could answer all the questions. This method
was followed to get unbiased answers.

42
CHAPTER-4

Classification and Tabulation of


Data

43
1. Name

100 respondents

2. Age

Less than 18 6.9%

18 to 30 88.2%

30 to 40 4.7%

More than 40 0%

TOTAL 100%

3. Gender

Male 51%

Female 49%

TOTAL 100%

4. Occupation

Student 77.5%

Self employed 10.9%

Business 5.9%

Home maker 1%

Other 3.4%

TOTAL 100%

44
5. Income

Nil to 15000 79.4%

15000 to 30000 10.8%

30000 to 50000 6.9%

More than 50000 2.9%

TOTAL 100%

6. Do you watch television?

Yes 75.5%

No 24.5%

TOTAL 100%

7. Do you have access to any subscription based video streaming app like
Netflix, Amazon?

Yes 76.5%

No 23.5%

TOTAL 100%

8. Do you use Netflix?

Yes 71.6%

No 28.4%

TOTAL 100%

45
9. How did you come to know about Netflix?

Social media 82.4%

Television 5.9%

Banners and posters 1.9%

Newspaper 1%

Other 8.8%

TOTAL 100%

10. How long have you been using it?

Few months 59.8%

1year 16.7%

More than a year 23.5%

TOTAL 100%

11. What do you like watching in Netflix?

Series 84.3%

Movies 11.8%

Others 3.9%

TOTAL 100%

46
12. What was the recent show/ movie you saw?

Stranger things 3.8%

Sacred games 13.5%

13 reasons why 8.8%

Others 73.5%

TOTAL 100%

13. What do you use the most?

Netflix 55.9%

Hotstar 21.6%

Amazon 14.7%

Other 7.8%

TOTAL 100%

14. What is the average time you spend on Netflix?

About an hour 54.9%

More than an hour 45.1%

TOTAL 100%

47
15. Do you have siblings/ friends who also likes using Netflix?

Yes 92.2%

No 7.8%

TOTAL 100%

16. Do you like the pricing of the subscription plans offered by them?

Yes 52.9%

No 47.1%

TOTAL 100%

17. Which plan do you use?

199 per month 48%

499 per month 18.6%

650 per month 8.8%

800 per month 24.5%

TOTAL 100%

18. Did you use the free one month subscription offer by Netflix?

Yes 65.7%

No 34.3%

TOTAL 100%

48
19. What made you subscribe Netflix?

Shows/Content 63.7%

Friends/ Social group 28.4%

Netflix’s Image 7.8%

TOTAL 100%

20. Why do you think Netflix is growing today?

Due to promotions 78.4%

Due to its content/shows 16.7%

Due to the cast/celebrity 4.9%

TOTAL 100%

21. Are you satisfied using Netflix?

Highly Satisfied 39.2%

Satisfied 22.5%

Not satisfied 39%

TOTAL 100%

22. What would you rate Netflix? (1 BEING BAD AND 5 BEING
EXCELLENT)

1 (Bad) 2.9%

49
2 3.9%

3 15.7%

4 38.2%

5 (Excellent) 39.2%

TOTAL 100%

50
CHAPTER-5

ANALYSIS AND
INTERPRETATION

51
1. Age group

AGE

Less than 18 18 to 30 30 to 40 More than 40

Interpretation:

This interprets the age group of the study sample.

From the above given chart it can be interpreted that 6.9% of sample population
was from less than 18 % years of age group and 88.2% of sample population was
from 18 to 30 years age group.

4.7% sample population was from 30 to 40 years age group and 0% of sample
population belonged to above 40 years age group.

52
2. Gender

GENDER

Female
49%
Male
51%

Interpretation:

This interprets the gender group of the sample studies.

From the chart it is interpreted that 51% of the population was Male and 49% of the
sample population was female.

53
3. Occupation

Occupation
77.50%
80.00%
70.00%
60.00%
50.00%
40.00%
30.00%
20.00% 10.90%
5.90% 3.40%
10.00% 1%
0.00%
Student Self Employed Business Home Maker Other

Occupation

Interpretation:

It interprets the study of occupation of the sample size.

From the chart it is interpreted that 77.5% of the sample size was Students and the least
was Home maker which was 1%. 10.9% of the population belonged to Business and
5.9% was Self employed.

54
4. Income

INCOME

79.40%

10.80%
6.90%
Nil to 15000 2.90%
15000 to
30000 30000 to
50000 More than
50000

Interpretation:

This interprets the income group of the sample population.

From the chart it shows that 79.4% of the population belonged to the category of Income
group Nil to 15000 while 2.9% of the population size belonged to the income group of
more than 50000.

10.8% of the sample was in the category of 15000 to 30000 and 6.9% of the population
is in the category 30000 to 50000.

55
5. Do you watch Television?

DO YOU WATCH TELEVISION?


Yes No

25%

75%

Interpretation:

From the above chart, it is interpreted that 75.5% of the sample population watches
television and 24.5% of the them doesn’t watch television.

56
6. Do you have access to any subscription based video streaming app like
Netflix, Amazon?

Do you have access to any subscription based video


streaming app like Netflix, Amazon?

80.00%

60.00%

40.00%

20.00%

0.00%
Yes No

Interpretation:

This interprets how much of the population owns subscription based apps.

From the chart it is interpreted that 76.5% of the population size do have access to
subscription based video streaming apps.

While 23.5% of the sample population doesn’t have access to such apps.

57
7. Do you use Netflix?

Do you use Netflix?

No

Yes

0.00% 20.00% 40.00% 60.00% 80.00%

Interpretation:

According to the above chart, it is interpreted that 71.6% of the sample population uses
Netflix.

On the other side, 28.4% of the population doesn’t use Netflix.

58
8. How did you come to know about Netflix ?

How did you come to know about Netflix ?


90.00%
80.00%
70.00%
60.00%
50.00%
40.00%
30.00%
20.00%
10.00%
0.00%
Social media Television Banners and Newspaper Other
posters

Interpretation:

Through this chart, it is interpreted that 82.4% of the sample size came to know about
Netflix due to social media being the highest and 1% by Newspaper being the least.

It is 5.9% due to banners and Posters and 8.8% by other means.

59
9. How long have you been using it?

How long have you been using it?


70.00%

60.00%

50.00%

40.00%

30.00%

20.00%

10.00%

0.00%
Few months 1year More than a year

Interpretation:

This chart interprets that most of the population has been using Netflix only from few
months.

There are 16.7% of the population using Netflix from 1 year and 23.5% of the
population is using it for more than a year.

60
10. What do you like watching in Netflix?

What do you like watching in Netflix?

12% 4%

Series
Movies

84% Others

Interpretation:

This chart interpreted that most of population preferred watching which is 84%.

12% of the sample size preferred watching movies and 4% preferred others on Netflix.

61
11. What was the recent show/ movie you saw?

What was the recent show/movie you saw?

80.00%
70.00%
60.00%
50.00%
40.00%
30.00%
20.00%
10.00%
0.00%
Stranger things
Sacred games
13 reasons why
Others

Interpretation:

According to the chart, Most of the population group watched Sacred Games recently
which was by 13.5%.

Stranger things was viewed by 3.8% of the population and 8.8% of the population saw
13 reasons why. While the 73.5% of the population preferred others.

62
12. What do you use the most?

What do you use the most?


60.00%

50.00%

40.00%

30.00%

20.00%

10.00%

0.00%
NETFLIX HOTSTAR AMAZON OTHER

Netflix Hotstar Amazon Other

Interpretation:

From the chart it is interpreted that most of the sample size ie, 55.9% preferred using
Netflix the most.

Hotstar and Amazon is preferred 21.6% and 14.7% respectively. While rest of the
population ie, 7.8% of the population preferred others.

63
13. What is the average time you spend on Netflix?

What is the average time you spend on Netflix?

More than an
hour
About an hour

About an hour More than an hour

Interpretation:

The above chart interprets that 54.9% of the sample population spends about an hour
on Netflix.

45.1% of the Population spends more than an hour on Netflix.

64
14. Do you have siblings/ friends who also likes using Netflix?

Do you have siblings/ friends who also likes using


Netflix?

No
8%

Yes
92%

Yes No

Interpretation:

From the chart it is understood that 92% of the population have social groups and family
that also prefer watching Netflix.

8% of the population doesn’t have any friends or siblings using Netflix.

65
15. Do you like the pricing of the subscription plans offered by them?

Do you like the pricing of the subscription plans offered


by them?

54.00%
52.00%
50.00%
48.00%
46.00%
44.00%
Yes No

Series1

Interpretation:

From the above chart, it is interpreted that 52.9% of the population actually like the
subscription plans offered by Netflix.

47.1% of the sample size doesn’t think that the plans offered by them are suitable for
them.

66
16. Which plan do you use?

Which plan do you use?

24%
199 per month
499 per month
48%
650 per month
9%
800 per month

19%

Interpretation:

From the above pie diagram, it is understood that most of the population preferred
purchasing plan of 199 per month which was 48%

19% of the population preferred 499 per month plan while 9% of the people preferred
650 per month plan.

Second highest plan preferred was 800 per month which is used by 24% of the sample
size

67
17. Did you use the free one month subscription offer by Netflix?

Did you use the free one month subscription offer by


Netflix?

No 0.343

Yes 0.657

Interpretation:

From the above bar diagram it is interpreted that 65.7% of the sample population
actually used the free one month subscription plan offered by Netflix.

34.3% of the population didn’t use the plan offered.

68
18. What made you subscribe Netflix?

What made you subscribe Netflix?

0.637

0.284
0.078

Shows/Content Friends/ Social Netflix’s Image


group

Interpretation:

From the chart, it is interpreted that most of the population ie, 63.7% of the sample size
actually subscribed Netflix was due to it’s shows and content.

28.4% of the population’s subscription decision was based on Friends/ Social Group
and 7.8% of the sample is influenced by Netflix’s Image.

69
19. Why do you think Netflix is growing today?

Why do you think Netflix is growing


today?

5%
17%
Due to promotions
Due to its content/shows
Due to the cast/celebrity

78%

Interpretation:

The above pie diagram shows that most of the population ie, 78% actually thinks the
reason for Netflix’s growth is due to promotions.

17% of the population thinks that the growth in Netflix is due to it’s content/ shows and
5% of the population thinks reason would be cast/ celebrity.

70
20. Are you satisfied using Netflix?

ARE YOU SATISFIED USING NETFLIX?

Not Satisfied

Satisfied

Highly Satisfied

0.00% 5.00% 10.00% 15.00% 20.00% 25.00% 30.00% 35.00% 40.00%

Are you satisfied using Netflix?

Interpretation:

From the bar graph, it is interpreted that 39.2% of the population is actually highly
satisfied using Netflix.

22.5% of the population are satisfied using Netflix and 39% of the population actually
are not satisfied using Netflix.

71
21. What would you rate Netflix? (1 BEING BAD AND 5 BEING
EXCELLENT)

What would you rate Netflix?

40.00%

35.00%

30.00%

25.00%

20.00%

15.00%

10.00%

5.00%

0.00%
1 (Bad) 2 3 4 5 (Excellent)

1 (Bad) 2 3 4 5 (Excellent)

Interpretation:

As it is seen in the bar graph, most of the population, ie, 39.2% have rated Netflix 5
which is excellent and 38.2% of the sample rated Netflix 4.

2.9% and 3.9% of the sample population has rated 1 and 2 respectively.

15.7% or the sample have rated Netflix 3.

72
CHAPTER-6

FINDINGS

73
FINDINGS

From our overall study we found that:

 According to the study the majority of the respondents were from the age group
18 to 30 ie, 88.2%
 Male respondents were high ie, 51% compared to females respondents ie, 49%
 77.5% of the respondents belonged to the Students category.
 On basis of survey, income group Nil to 15000 had highest respondents ie,
79.4%
 The sample population responded that they watch television was around 75.5%
 76.5% of the people also has subscription based video streaming apps like
Netflix, Amazon, etc.
 71.6% of the respondents actually responded that they use Netflix.
 Most of the population ie, 82.4% came to know about Netflix through Social
Media.
 59.8% of the people said that they have been using Netflix only from few
months.
 People actually prefer watching Series the most, ie, 84.3%
 Sacred Games was the highest liked and recently watched series. It comes
around 13.5% while other respondents had various opinions.
 The most and daily used app is Netflix. Around 55.9% of the respondents
actually prefers watching Netflix more than others.
 On asking the average time spend by the respondents on Netflix, 54.9% of them
responded that they spend about an hour on Netflix.
 92.2% of the people actually have Siblings and friends who also prefer watching
Netflix.
 52.9% of the respondents answered that they like the pricing of the subscription
plans offered by Netflix.

74
 On asking about the plans the respondents have subscribed, 199 per month plan
is the most subscribed plan among the others, ie, 48%

 65.7% of the people actually liked and have used the one month free
subscription plan offered by Netflix.
 When asked about the reason that they think Netflix is growing, 78.4% of the
respondents have answered it due to Promotions.
 63.7% of the people think that the reason behind subscribing Netflix is its shows
and content.
 39.2% of the respondents are highly satisfied using Netflix and 22.5% of the
people are just satisfied.
 39.2% of the people actually like Netflix very much and rated it 5. Also 38.2%
of the people have rated it 4.

75
RECOMMENDATIONS AND
SUGGESTIONS

76
RECOMMENDATION AND SUGGESTIONS

1. More variety in subscription plans:

Subscription plans offered currently are 199, 499, 650 and 800 per month
which provides 1 screen (Not HD and only for mobile), 1 screen (Not HD),
2 screens (HD) and 4 screens (HD and 4K) respectively. They should have
more variations according to the customer base in India. It should try bring
offers for Single payment for a year subscription plans.

2. More region based Content and shows:

As Netflix offers many series and movies, there should be more of Indian
content for offering Indian customers. The hype created by Sacred Games
was so much that every customer has seen it. Such series should be created
which would make them more comfortable with the customer base. More
regional offerings would lead to greater Customer Satisfaction.

3. Use of different means of promotions:

Most commonly used means of promotion for Netflix is Social Media. There
should be more promotions through other means too. Television is one great
advantage for this industry. Hence it can be used to a great extent.
Promotions through various apps, posters would also help in increasing
awareness of the company.

77
4. Low pricing of the plans:

Netflix’s biggest competitor is Amazon Prime. It provides 999 for year plan
and 129 per month plan. In comparison, Netflix has costlier plans. It should
try and bring more plans suitable to the customer in India. It should try using
plans which would be cheaper. It can provide offers like 199, 149 per month.
It can also include plans for paying for a year. Currently it doesn’t provide
any plans for 1 year.

5. More added benefits:

Netflix doesn’t have any other benefits like Amazon’s prime delivery. It
should try providing loyalty points that can be redeemed during payments.
This can help in retaining customers. It can also provide offers during
specific period for payment. Eg: September offer- Pay for September and
get Next month free. Various offers can be clubbed together.

6. Collaboration with other companies:

Because the services provided by Netflix seems to be costly, it can try


collaborating with different companies and offering various services to the
customers. Customers like seeing variety in their services. Hence it should
try collaborating with other companies of same or different industries.

78
CONCLUSION

79
CONCLUSION

At last from the project we can conclude that even after late introduction of Netflix in
2016 has acquired great success in India. People have good amount of awareness and
like the services by Netflix. They choose economic plans and hence the demand is
growing. Netflix has more demand than it’s competitors due to its shows and content.
Netflix is growing more due to it’s regional content in India. Sacred Games was a hit
in India. Thus such series are more in production. Due to it’s promotion people have
know it to a greater extent today. Most youngsters prefer watching Netflix more than
any other app.
It is entirely changing today’s scenario in Entertainment Industry. Youngsters prefer
watching TV less and subscription based video streaming apps like Netflix Amazon
more. It is innovating to be on top in the market. It has given it’s customer the be flexible
and adapt itself in their own way. People are willing to pay more because they do not
have to go through advertisements. It had updated itself with smart TVs and customers
love watching it.
Pricing and promotions strategies used by Netflix is very smart and has been effective
to place itself at the peak of market. It has successfully promoted itself in such a way
that customer’s perspective about Netflix is entirely different today compared to it’s
competitors.

From the project, we studied the marketing tools opted by Netflix through pricing,
promotion and awareness among people by analyzing it’s growth since 2016 in India
and its affect on youth.

80
81
ANNEXURE:

QUESTIONNAIRE

Dear Respondent,
As a part of my university study, I'm conducting survey on AWARENESS AND
MARKETING TOOLS OPTED BY NETFLIX. Kindly help me out in completing my
survey. Thank You!

1) Name___________

2) Age

 Less than 18 years


 18 to 30 years
 30 to 40 years
 More than 50 years

3) Gender

 Male
 Female
 Other

4) Occupation

 Self-employed
 Business
 Home maker
 Student

82
5) Income

 Nil to 15000
 15000 to 30000
 30000 to 50000
 More than 50000

6) Do you watch television?

 Yes
 No

7) Do you have access to any subscription based video streaming app like Netflix,
Amazon?

 Yes
 No

8) Do you use Netflix?

 Yes
 No

9) How did you come to know about Netflix?

 Social media
 Television
 Banner and posters
 Newspaper
 Others

83
10) How long have you been using it?

 Few months
 1 year
 More than a year

11) What do you like watching in Netflix?

 Series
 Movies
 Others

12) What was the recent show/ movie you saw?

 Stranger Things
 Sacred Games
 13 reasons why
 Others

13) What do you use the most?

 Netflix
 Hotstar
 Amazon
 Other

14) What is the average time you spend on Netflix?

 About an hour
 More than an hour

84
15) Do you have siblings/ friends who also likes using Netflix?

 Yes
 No

16) Do you like the pricing of the subscription plans offered by them?

 Yes
 No

17) Which plan do you use?

 199 per month


 499 per month
 650 per month
 800 per month

18) Did you use the free one month subscription offer by Netflix?

 Yes
 No

19) What made you subscribe Netflix?

 Shows/Contents
 Friends/ Social Group
 Netflix’s Image

85
20) Why do you think Netflix is growing today?

 Due to promotions
 Due to content/ Shows
 Due to cast/celebrity

21) Are you satisfied using Netflix?

 Highly Satisfied
 Satisfied
 Not satisfied

22) What would you rate Netflix? (1 BEING BAD AND 5 BEING EXCELLENT)

 1( Bad)
 2
 3
 4
 5( Excellent)

86
BIBLIOGRAPHY

WEBSITES:

1. https://www.ibef.org/industry/media-entertainment-india.aspx
2. https://www.google.co.in/amp/s/fossbytes.com/best-video-streaming-services-
india/amp/
3. https://www.flickzee.com/blog/altbalaji-free-subscription-trial-period-watch-
online
4. https://www.investopedia.com/articles/investing/060815/how-netflix-
changing-tv-industry.asp
5. https://www.comparably.com/companies/netflix/mission
6. http://www.valueline.com/Stocks/Highlights/Netflix__A_Short_SWOT_Anal
ysis.aspx#.XWi9AiThWaM

BOOKS:

1. An Introduction to the Entertainment Industry- By Andi Stein, Beth Bingham


Evans
2. Research Methodology: Methods and Techniques- By C. R. Kothari

NEWSPAPERS:

1. FORBES INDIA http://www.forbesindia.com/article/top-consumer-tech-


brands/behind-netflix-indias-audacious-plans/56513/1

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