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What's New in the US Media Industry: Netflix, Comcast, and Disney

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Part 4
What's New in the US Media Industry: Netflix, Comcast, and Disney PART 4 OF 20

Netflix Looks to Replicate Its US Perception Abroad

Netflix preferred to rivals

A recent survey of US (SPY) digital video consumers showed that Netflix (NFLX) is preferred to its rivals in several respects. The survey was performed by Forrester Research and captured the views of American adults with current subscriptions to several video streaming services, including Amazon (AMZN) Prime Video.

The survey sought to identify consumer perceptions of five issues:

  • ease of use on television
  • ease of use on other devices
  • whether the company offers interesting original programming
  • service reliability
  • whether the service is too expensive

Netflix Looks to Replicate Its US Perception Abroad

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Netflix (NFLX) garnered the highest positive scores in all five questions. For example, 72% of the respondents said it was easy to watch on television, topping Hulu’s score of 63%, HBO NOW’s score of 55%, and Amazon Prime Video’s score of 54%. 

Other streaming services captured in the survey were Seeso by NBC and All Access by CBS (CBS).

Netflix perceived as least expensive

On the basis of cost, respondents cited Netflix as the least expensive, with only 5% saying the service was too expensive. In comparison, 24% of the respondents stated that Seeso was too expensive. The chart above illustrates the ranking of the streaming service providers on the basis of consumer perception of relative cost.

Achieving similar ratings overseas

For Netflix to attain its goal of dominating the subscription digital video market, the company would like its perception by international consumers to replicate the perception by American consumers, as detailed in the Forrester Research survey. 

For example, Netflix costs $10 per month, a price that is palatable to many Western consumers. However, that price could be prohibitive to many consumers in emerging markets (EEM) in Asia and Africa.

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