Netflix has permanently changed the entertainment industry and is continuing to do so, despite a dismal last year.
Key Details
- Streaming services have taken over—85% of U.S. households have at least one streaming service, and the average house has four.
- Netflix is the number-one service, with more than 223 million active subscribers.
- The streaming service stepped on the scene and changed the entertainment industry with original content, large media, and extensive data research.
- Netflix has skyrocketed in popularity, causing others in the entertainment industry to follow suit.
Why it’s news
Netflix has completely changed the entertainment industry with its original content, extensive media library, and how it uses users’ data to help find the content they would enjoy.
The streaming service has caused other industries to change behavior. The Hollywood movie scene has been the same for generations, but now that original content from Netflix is making it to the big screen, it has others sweating.
“A lot of people in entertainment are perpetually mad at Netflix because they came, and they changed the way of life for this sort of cozy, clubby way that people have done business in Hollywood for a long time,” says industry insider Janice Min.
In 2021, an estimated 5.2 million households ended cable subscriptions opting for streaming, and an estimated 4.9 cut ties this year.
As the company continues to skyrocket in popularity, it has become a trendsetter across the market. Others have tried to cash in on the rage, with many large companies creating their own streaming services such as Disney and Amazon.
In the U.S., 85% of households have at least one streaming service, while the average family has four.
One of the main things that keeps Netflix on a winning streak—it’s constantly changing. The company listens to what customers want and tries to cater to them.
Netflix looks heavily into user data to better create a personalized list for them and understand how to cater to the needs of the mass audience. The data shows the company what shows and movies are in high demand and what it can do to keep users returning.
