No advertising. No live sports. No action against users who share their account with others. That was Netflix CEO Reed Hastings’ mantra less than five years ago. The streaming company settled on its fixed stars: unique content that customers are willing to pay for; The company believed that it knew the audience’s preferences quite precisely through detailed data analysis. So it’s a simple calculation, although Hastings already said back then that growth and pop culture relevance wouldn’t be enough: “Ultimately, the currency is sales.”
Comment: Netflix manages to reinvent itself – economics
