Netflix is witnessing a rather open-arm welcoming in India and Singapore. A UBS report, that comes barely a couple of months after the service expanded its reach to over 130 new markets in a single day, pointing towards an extremely ambitious, yet successful expansion bid.
Calling the 130 country-wide expansion, that took Netflix’s reach to a total of 190 countries across the world, may be a bit of an overstatement — after all, it has withheld from committing the full breadth of its resources and providing all of its services in many of these markets. Instead, the company has adopted a test-the-waters first strategy under which, it is launching a limited suite of services with further expansion depending upon the amount of traction it receives.
That being said though, the strategy has left it with a presence in almost all major markets except China. The company can now grow and expand at its own leisure.
Meanwhile, the company’s performance in its chosen countries is exhibiting a fantastic range of variations with English speaking countries, such as India, showing particularly strong performance. The same is also validated through data from USB, which used app downloads as a proxy for new subscribers.
The company has received mixed response in its test markets although, the overall performance can be said to be more positive than negative. While countries like Russia, Thailand, and Turkey exhibited drops in subscription, countries with significant English-speaking populations, including South Africa, India, and Singapore, served to act as counterweight with their positive performances.
While some critics have put it down to the unavailability of same amount of content across the markets, i humbly disagree. Sure, the content along with the number of available titles may play an important role in deciding the adoption of the service, however it is not the only parameter. I mean while the disparity between US adoption and Russia adoption is understandable, which have 5,684 and 1025 titles respectively — How do you explain the fact that India with only 949 titles, is one of the strongest emerging markets.
So yes, content and titles are a factor, but so are a lot of other things including the amount of local material along ith the handling of the expansion in that particular area.
To get a country by country detail of Netflix’s performance, you can visit this blog.