We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Netflix (NFLX) Ramps Up Effort to Diversify Content Library
Read MoreHide Full Article
Netflix (NFLX - Free Report) is looking to diversify its content portfolio by including original programs from Africa. Reportedly, the company will order original shows from the continent in 2019.
In Africa, the streaming giant has already forayed into Nigeria, the world’s second-biggest movie industry by volume, after purchasing worldwide rights to Lionheart. We expect Netflix’s investments in the region to help it strengthen its position against Africa’s cable TV provider, Multichoice.
Focus on unique original series has been the main driver behind Netflix’s global subscriber growth. Moreover, the company’s effort to strengthen regional programming has been a major growth driver behind international expansion. Notably, Netflix is working on projects across India, Mexico, Spain, Italy, Germany, Brazil, France, Turkey and the entire Middle East.
In addition to its original content investments, Netflix is also looking to distribute its content outside its streaming platform to gain wider audience appeal.
Netflix’s New Content Distribution Strategy to Aid Growth
In a unique move, Netflix will release three high profile films — Roma, The Ballad of Buster Scruggs and Bird Box in a few theaters in the Unites States and overseas, ahead of their release on the streaming platform, per Reuters.
This comes after major directors, exhibitors and others reportedly expressed concerns over how their content is made available only on small screens. We expect Netflix’s new strategy to win projects that require theatrical releases, which may not see enough success on small screen.
Additionally, theatrical releases are expected to boost the company’s merchandising business aimed at promoting consumer products related to its popular titles. The company is following the footsteps of Disney (DIS - Free Report) , which is boosting merchandise sales on the back of blockbuster franchises.
However, Amazon (AMZN - Free Report) has a first-mover advantage as it has already released movies in theaters prior to their release on Prime. Moreover, the e-commerce giant’s plan to acquire Landmark Theatres, which has more than 50 theaters in the United States, is likely to disrupt Netflix’s dominant position in the market.
Further, Apple (AAPL - Free Report) is likely to launch a low-cost streaming TV dongle to support its upcoming streaming service to sell a standalone subscription for its original content.
We believe Netflix’s strategy to focus both on content and distribution techniques may help it strengthen its global subscriber base amid stiff competition.
Zacks has just released a Special Report on the booming investment opportunities of legal marijuana.
Ignited by new referendums and legislation, this industry is expected to blast from an already robust $6.7 billion to $20.2 billion in 2021. Early investors stand to make a killing, but you have to be ready to act and know just where to look.
Image: Bigstock
Netflix (NFLX) Ramps Up Effort to Diversify Content Library
Netflix (NFLX - Free Report) is looking to diversify its content portfolio by including original programs from Africa. Reportedly, the company will order original shows from the continent in 2019.
In Africa, the streaming giant has already forayed into Nigeria, the world’s second-biggest movie industry by volume, after purchasing worldwide rights to Lionheart. We expect Netflix’s investments in the region to help it strengthen its position against Africa’s cable TV provider, Multichoice.
Focus on unique original series has been the main driver behind Netflix’s global subscriber growth. Moreover, the company’s effort to strengthen regional programming has been a major growth driver behind international expansion. Notably, Netflix is working on projects across India, Mexico, Spain, Italy, Germany, Brazil, France, Turkey and the entire Middle East.
In addition to its original content investments, Netflix is also looking to distribute its content outside its streaming platform to gain wider audience appeal.
Netflix, Inc. Price and Consensus
Netflix, Inc. Price and Consensus | Netflix, Inc. Quote
Netflix’s New Content Distribution Strategy to Aid Growth
In a unique move, Netflix will release three high profile films — Roma, The Ballad of Buster Scruggs and Bird Box in a few theaters in the Unites States and overseas, ahead of their release on the streaming platform, per Reuters.
This comes after major directors, exhibitors and others reportedly expressed concerns over how their content is made available only on small screens. We expect Netflix’s new strategy to win projects that require theatrical releases, which may not see enough success on small screen.
Additionally, theatrical releases are expected to boost the company’s merchandising business aimed at promoting consumer products related to its popular titles. The company is following the footsteps of Disney (DIS - Free Report) , which is boosting merchandise sales on the back of blockbuster franchises.
However, Amazon (AMZN - Free Report) has a first-mover advantage as it has already released movies in theaters prior to their release on Prime. Moreover, the e-commerce giant’s plan to acquire Landmark Theatres, which has more than 50 theaters in the United States, is likely to disrupt Netflix’s dominant position in the market.
Further, Apple (AAPL - Free Report) is likely to launch a low-cost streaming TV dongle to support its upcoming streaming service to sell a standalone subscription for its original content.
We believe Netflix’s strategy to focus both on content and distribution techniques may help it strengthen its global subscriber base amid stiff competition.
Netflix currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Looking for Stocks with Skyrocketing Upside?
Zacks has just released a Special Report on the booming investment opportunities of legal marijuana.
Ignited by new referendums and legislation, this industry is expected to blast from an already robust $6.7 billion to $20.2 billion in 2021. Early investors stand to make a killing, but you have to be ready to act and know just where to look.
See the pot trades we're targeting>>