Netflix SWOT Analysis

Netflix Strengths

1. Netflix is one of the most popular streaming service consisting of shows, movies, documentaries, biographies and other forms of content
2. One of the biggest strengths of Netflix has been the originals
3. There are multiple plans as per user's convenience and device type used. e.g. There are mobile only plans for markets where consumers watch content through phone primarily
4. Netflix's Content can be accessed on any device (Smart TV, PC, mobile, tablet etc.) based on the plan 
5. Netflix is available in many countries and is becoming leader in the OTT services across the globe
6. It had more than 200 million subscribers as of 2021
7. Netflix is available in multiple languages catering to local markets as a lot of subscribers prefer and consume content in local languages
8. Netflix was able to cope up during the Covid-19 pandemic situation, it had cut down on HD content at some locations though
9. Netflix has made its service affordable to many as compared to its early days when it had less number of plans and was perceived expensive.
10. Netflix has high brand recall and awareness levels and is seen as pioneer of the OTT industry
11. Some Netflix shows like House of Cards, Stranger Things, Money Heist etc. have brands of their own
12. Netflix has adapted well over the years as the business started from being a CD/DVD rental service and has now become the biggest OTT platform globally

Above are the strengths in the SWOT Analysis of Netflix. The strengths of Netflix looks at the key internal factors of its business which gives it competitive advantage in the market and strengthens its position.

Netflix Weaknesses

1. Services like Netflix is available through high speed internet which is not available to everyone and across all countries
2. With pressure increasing for producing high quality content, the costs to produce originals is rising 
3. Netflix rates are still very high for many geographies as compared to its biggest competitors
4. No user generated content is allowed on the platform which can be a weakness though Netflix controls the content quality themselves.

These were the weaknesses in the Netflix SWOT Analysis. The weaknesses of a brand are certain aspects of its business which it can improve.

Netflix Opportunities

1. Netflix can consider possibility to tie up with telecom providers to offer bundled packages to subscribers
2. It can also tie up with conventional media houses and TV channels to showcase their content to target audience
3. Netflix should produce more local content for specific countries
4. Possibility of Netflix phone or tablet can be considered
5. Netflix opportunities would definitely including collaborating with local content producers for certain geographies to have more loyal and diverse audience
6. Gaming and related content is one area where Netflix can diversify

Above we covered the opportunities in Netflix SWOT Analysis. The opportunities for any brand can include prospects of future growth.

Netflix Threats

1. Threat from other streaming competitors
2. Government regulations can create issues for services like Netflix
3. High monthly cost of Netflix can be a threat 
4. Services like games can take the timeshare

The threats in the SWOT Analysis of Netflix are as mentioned above. The threats for any business can be external factors which can negatively impact its business.

Hence this concludes the Netflix SWOT analysis.

About Netflix

The table below gives the brand overview along with its target market, segmentation, positioning & USP

This article has been researched & authored by the Content & Research Team which comprises of MBA students, management professionals, and industry experts. It has been reviewed & published by the MBA Skool Team. The content on MBA Skool has been created for educational & academic purpose only.

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