By Sofia Urbina
Gone are the days of packing the family in the car to head to your local video store on a Friday night. The endless arrays of film and video game options organized by aisles, the various snacks displayed by the checkout queue, or racing to return your copy from last week to avoid any late fees. All of that changed after Netflix released its on-demand streaming feature in 2007, the way we consume films and TV shows would never be the same again. How did Netflix become so successful? The streaming platform took a socially liberal approach to how Netflix would be marketed to ensure maximum success. Originally Netflix provided mail-in DVD services, so they already had a consumer base that could potentially follow them into their new era of online streaming. To keep their loyal customers, the streaming platform would have to cater to their wants and needs. No more late fees, zero commercials, the luxury of browsing for a film in the comfort of their own homes, and original content, all they needed to do was pay a monthly fee. Neoclassical economists argue that human interest and the power of individual choice drive the economy. And in the time of a recession, a monthly subscription to access hundreds of titles instead of spending the same amount for a couple of films seemed the more plausible choice. Thus, a streaming giant was born.
Nowadays, Netflix is regarded as one of the biggest streaming platforms in the United States. I am currently under my family’s plan, so I don’t pay, I just reap the rewards of an automatic payment plan. As I was browsing through the different profiles on our Netflix account, I noticed the film and series titles currently suggested to each of us, depending on our viewing history. For example, my account recommends romcoms from the 2000s I’ve watched a million times, while my little sister’s account is filled with horror movies that should probably have never seen the light of day. The algorithm embedded in Netflix’s digital machinery uses consumer data to deter any “churning” and keep subscribers happy while trying to find ways to gain new subscribers constantly. Original series and films seem to be Netflix’s greatest asset in keeping subscribers at bay. Shows like House of Cards (Netflix’s first original series) and Stranger Things illicit widespread discussions on social media that garner millions if not billions of views. I’ve noticed that social media has the unique power to make people want to be a part of pop culture moments that they weren’t privy to until they opened up TikTok or Twitter (as it was formerly known). I know I have been easily influenced to watch a TV show because I wanted to understand what the mass hysteria was all about.
On top of this, the digital globalization of Netflix has fostered content from countries like Mexico where viewers based in the US can also expand their watchlists. Roma and Mexico’s spin-off of Narcos are huge examples of this. As Netflix’s market expanded, the want for content produced by creators outside of the US did too. Not only that but Netflix was also aiming for an increase in Mexican subscriptions. Roma, directed by Alfonso Cuaron, paved the way for how international content is distributed and marketed by Netflix. Before its release on Netflix, the film was distributed to hundreds of theatres in the United States and became a contender for the Academy Awards. We now expect Netflix originals to make the rounds during award season. Further cementing itself as the reigning king of American streaming platforms.
Streaming services changed the game of film and TV consumption. As new groundbreaking shows surface and subscription fees rise, it will be interesting to see where the future of streaming goes.