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Campaign Proposal
December 15, 2014
Rachael Kline X____________________________________
Giovanna Roselli X____________________________________
Patrick Devine X___________________________________
Tom Krankowski X___________________________________
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InfYOUsion Media Group
5050 Main Street
Los Angeles, CA 90015
(937)­555­555
Reed Hastings
100 Winchester Circle
Los Gatos, CA 95032
October 21, 2014
Mr. Hastings:
Enclosed is the 2015 all­inclusive campaign proposal for Netflix Inc. The proposal addresses
the recent threats Netflix faces from competitive advancements, as well as U.S. decline in
sales growth. A thorough target audience analysis, strategic primary research, situation
analysis, and campaign goals serve as the foundation for upcoming recommendations. If you
have questions or concerns please contact us.
Regards,
InfYOUsion Media Group
Rachael Kline X____________________________________
Giovanna Roselli X____________________________________
Patrick Devine X___________________________________
Tom Krankowski X___________________________________
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Table of Contents
Executive Summary 4
Introduction 6
Netflix in the News 7
Situation Analysis 10
SWOT 12
Target Audience Analysis 14
Primary/Secondary Research 16
Marketing Goals 21
Communication Goals 22
Campaign Timeline 25
Benchmark Strategy 26
Budget 29
Media Strategy and Tactics 41
Creative Strategy and Executions 43
Summary 55
References 56
Appendices 59
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Executive Summary
Recently, Netflix Inc., the leading internet television provider in the world, faced a
concerning decline in subscribers for the third quarter. This rapid plunge is attributed to
a price increase for the preferred, formerly $7.99, streaming package (“Netflix Shares
Plunge as Growth Disappoints”). Netflix faces fierce competition from primary
competitor HBO. HBO announced their direct­to­consumer stand­alone streaming
service, set to launch in 2015 (“HBO to Launch Standalone Streaming Service”). The
service allows users to watch HBO sans cable subscription. Price increase and
competitive threats prove concerning to the growth of Netflix, however opportunities
within the brand exist.
Secondary research finds that about 19% of American households live without cable
(Wall Street Journal). For all demographics, online viewing peaks in the evenings and
87% of online original video watchers only view at home (Nanji, Ayaz). From this
evidence we conclude that the current 18­34 year old target is interested in watching
primarily at home and at night time.
Primary research looks to confirm the 18­34 target audience is highly receptive to
technology trends and online social relationships. The goals of the primary research
include: establishing preferred social media, associations of Netflix compared to
competition, and most intriguing rewards offerings.
The campaign strives to improve customer loyalty. With over 50 million subscribers in
50 different countries (“Netflix”) and threatening competition, it is imperative to maintain
the market share. Maintaining market share will be done through building a relationship
with interactive social media. Netflix latest campaign serves as a clear method of
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communication to listen to customers, implement their ideas, and reward them with
prizes they are guaranteed to enjoy.
The goals will be achieved via a three­tiered social media plan, a rewards program and
personalized marketing. The overall creative strategy focuses on building personal
customer relationships, encouraging social media sharing and facilitating conversation
about Netflix original content. Creative spots include a Live Tweet feature on Orange is
the New Black and House of Cards, a #Netflixing Twitter campaign, and student
ambassador program.
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Introduction
Netflix has proven to be a growing successful digital success story. Starting out almost
15 years ago as a predominantly DVD subscription service, Netflix has innovatively
focused on evolving mobile technology and becoming one of the largest distribution
networks on the planet (Smith 2014).
The company now prides itself on pulling in “cord­cutters” and inducing “binge watching”
in their customers. Cord cutting is avoiding the steep monthly cable or satellite bill and
instead watching video online. The number of cord­cutters, which Experian Marketing
Services considers “people with high­speed Internet who've either never subscribed to
or stopped subscribing to cable or satellite”, has risen from 5.1 million homes to 7.6
million homes, in just three years (Stenovec, Apr. 2014). Netflix used this rise to their
competitive advantage. Binge watching is the practice of watching multiple episodes of
a television program in a very rapid succession. According to Digital Marketing
Ramblings, 61% of Netflix users’ binge­watch shows at least every few weeks.
In October 2014, Netflix shares collapsed due to slowing subscriber growth. According
to Reuters, the company’s shares were down as much as 27 percent in extended
trading. Netflix added a net of about 3 million customers worldwide in the third quarter
ended September 30, below its forecast of 3.7 million (Reuters 2014). The company,
after over­projecting their successes, is now in the process of digging out of this crash.
Netflix management cited the slight price increase they implemented earlier this year as
being the reason for their misses on subscriber growth (Jones 2014).
The recommended advertising campaign contains carefully­selected elements which
will help the company’s shares increase again. The campaign will focus on enhancing
interaction among consumers to ultimately increase usage and connection to the brand.
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Netflix will be the tie to socialization. Talking about content, both online and at popular
social venues, and assuring a consistent and valued price are among the projected
traits for the company.
Netflix in the News
A recent data leak from Sony Pictures Entertainment reveals an accusation that Netflix
has breached its licensing contract with Sony Pictures by allowing customers overseas
to use virtual private networks (VPN) to stream Sony television (Gallagher). This breach
implies piracy that Sony argues is “semi­sanctioned by Netflix.” Overall, Sony Pictures
believes Netflix is not controlling its service usage adequately, and questions the
integrity of membership rights, specifically in foreign markets.
In other Netflix news, a Huffington Post article released December 9, 2014 noting that
“Netflix isn’t fooling around with this whole original programming thing” (Whitney). A
company conference on Monday informed the public that Netflix plans to roll out up to
20 original series or seasons of original shows per year. Chief Content Officer, Ted
Sarandos notes that the company’s five year goal is to “premiere a new show or season
every two­and­a­half weeks” (Whitney). These shows plan to cater to specialized
audiences, and expert David Poltrack of CBS estimates this will continue contributing to
the “3 percent decline in television viewing so far this season.
According to the Huffington Post, all ten seasons of ”Friends” will be available to stream
starting Jan. 1, 2015. This addition is predicted to help to initiate more binge watching
on Netflix (Marcus). Additionally, Netflix continue to enhance its content portfolio by
announcing that the star comedian, Adam Sandler, agreed to produce and star in four
feature films that will be released exclusively on the streaming video service. "His
appeal spans across viewers of all ages ­­ everybody has a favorite movie, everyone
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has a favorite line ­­ not just in the U.S., but all over the world," said Ted Sarandos, the
company's chief content officer. (CNN Money).
Just recently, on Dec. 9, 2014, news has struck regarding Netflix providing Discovery
channel content on its platform. According to The Hollywood Reporter, Discovery
Communications has established a deal with Hulu which will stream a number of the
Discovery Channel’s popular programs as well as have exclusive subscription
video­on­demand rights to the Channel’s hit series Deadliest Catch starting Jan. 1.
Discovery previously had streaming deals with Netflix ­ “At an investor conference on
Tuesday, DIscovery CEO David Zaslav said the company’s still talking with Netflix about
a new licensing deal saying that it is currently a question of value.” Netflix removed
Discovery’s shows in early October (Lewis).
Discovery previously had streaming deals with Netflix and Amazon Prime. Discovery
inked a two­year non­exclusive agreement with Netflix in 2011 covering prior­season
series and specials. That deal covered Say Yes to the Dress and Man vs. Wild, among
other programs. In 2012, Discovery made prior seasons of its hit series and specials,
including Say Yes to the Dress and Dirty Jobs, available to Amazon Prime members. At
an investor conference on Tuesday, Discovery CEO David Zaslav said the company's
still talking with Netflix about a new licensing deal, saying "it's a question of value." The
streaming platform removed Discovery's shows in early October. ­ See more at:
http://www.hollywoodreporter.com/news/discovery­communications­inks­new­distributio
n­755412#sthash.DobqYR35.dpuf
Looking down the road, Netflix CEO Reed Hastings has said he sees the future of
broadcast, and it only lasts another 16 years (Atkinson). As net neutrality becomes a
more prominent issue, Netflix works diligently to remain on top of the market. The
company will hold a summit in Utah on Friday December 12 to discuss the future of
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streaming TV and will bring together allies within the entertainment and technology
industries.
Technologically speaking, Netflix streaming speeds jumped 51% this year alone. Netflix
boasts “better picture quality, quicker start times and fewer interruptions.” The $1.00
price increase in May could be attributed to this improvement in speed. Revisiting net
neutrality, cable providers currently argue that Netflix should pay its fair share for the
huge amount of bandwidth it takes up. However, Netflix and other media companies
argue that broadband companies aren’t doing enough to improve their infrastructure by
broadening their pipelines for streaming video (CNN Money).
Overall, Netflix as a company continues to thrive as the market leader. Though the price
increase in May caused initial disruption with consumers, the speed increase and
announcement of astronomical content increase overshadows competitive threats.
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Situation Analysis
Netflix, with over 53 million members in nearly 50 countries, is the world’s leading
Internet television network. Enjoying more than two billion hours of TV shows and
movies per month, members can watch as much as they want, anytime, anywhere, on
nearly any Internet­connected screen. Netflix offers an “all you can eat” service,
meaning subscribers can watch anytime. Members can play, pause and resume
watching, all without commercials or obligations (pr.netflix.com). The company was
founded in 1997 and initially offered to the public in 2002.
The company targets the 18­34 male and female adult population, specifically the
“cord­cutters,” who are willing to cancel the standard cable or broadcast bill, and instead
watching video online. The number of cord­cutters has risen from 5.1 million homes to
7.6 million homes, or 44 percent, in just three years (“Yes, Netflix and Hulu are starting
to kill cable”). Simmons Data shows that 44.5 percent of the highest Internet active
group are 18­34 year olds. The most recent Simmons data pulled from 2011 notes that
31% of the target audience watches videos, TV programs or movies online. However,
over the course of the past three years, it is suspected that the 31% has increased
dramatically. This hypothesis is supported by primary research noting 42% stream
content online.
The Netflix network does not provide standard cable offerings such as live sports,
newscasts or music videos. Rather, Netflix is exclusive to movies and television, and is
nationally recognized for original content including “Orange is the New Black,” and
“House of Cards.” Although Netflix currently dominates the market, competitors
including Amazon, HBO and Hulu are quickly catching up with revamped technology.
For example, HBO now has an HBO­original series, Girls, in the same way that Netflix
has original content that is Netflix­specific. Other companies are attempting to
implement some of the same ideas as Netflix.
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Our secondary research yielded many findings that aided in the formulation of this
campaign. We surveyed 50 people between the ages of 18 and 25 (20 male, 30
female). The majority of our respondents stated that they had a Netflix account.
However, the social media findings were less encouraging. InfYOUsion also gathered
valuable information on how Netflix measured up against its competition. Statistical
tests were run, but yielded no significant relationships. All these findings and more and
explained and expanded on in the Primary/Secondary Research section.
Netflix is a familiar brand among households, communities and schools. This familiarity
illuminates brand problems including: binge watching, limited recent content, narrow film
selection and minimal social media engagement. Netflix prides itself on flexibility,
exclusivity and convenience, and offers content suitable for all ages.
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SWOT Analysis
Strengths
Netflix serves as the industry leader across the globe for internet television. Because it
is the leader in the industry and used by so many people, Netflix brand awareness is so
strong that technology now integrates the brand into their products. Smart televisions
and Xbox consoles are now available with a designated Netflix button on their
controllers for immediate access. The flexible “all you can eat” service means there is
no limit on how much or when a user can watch content. Netflix original content boasts
a record 31 nominations for Emmy awards. Netflix uniquely privatizes the ratings of their
content, which prevent their competition from accurately gauging their popularity. With
both Netflix subscription packages offered under $15.00/month, the company offers a
huge selection of content for less than half the average cable bill. Additional strengths of
the brand include the simplicity of the webpage with clear, bold titles, no advertisements
and easy scrolling.
Weaknesses
Netflix now allows users to privately share or recommend movie/TV with Facebook
friends in a private message. The integration launched in September 2014 and has
received minimal usage and negative feedback. A common complaint of Netflix users is
the narrow selection of films offered in the category. In 2013 due to licensing issues,
Netflix lost nearly 2,000 movies (Warren). Subscription exclusiveness is a prominent
problem, the Huffington Post estimates “10 million people have been accessing the site
through credentials shared with them by friends and family members” (Chaves). For a
brand that targets millennials, only 6% of their consumers “like” their Facebook page,
with Facebook being the highest performing social media platform.
Opportunities
As seen in the strengths section, Netflix performs incredibly well in several categories.
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Thriving in 50 countries, Netflix has opportunity to continue rolling out in a new cluster of
nations. With a fan base of 50 million, Netflix has opportunity to interact with a huge
audience on social media and improve their platform fan base. With 19% of American
Households cutting the cord, experts predict this trend will continue to increase,
providing Netflix with further opportunity for customer retention.
Threats
Currently, Netflix’s strongest threat is HBO, having recently launched a stand­alone
streaming service. This launch directly affects Netflix financials, “almost as soon as
CEO Reed Hastings released a letter to investors Wednesday, Netflix’s stocks took a
nose dive in response to HBO’s announcement.” In just one day, Netflix stock dropped
23% (Williams). Additional threats stem from the rising popularity of competitors original
content, such as HBO “Girls” and Amazon’s “Transparent.”
Strengths:
● Industry leader
● “All you can eat” service
● Award­winning original content
● Private ratings
● Affordability
● Site simplicity
● Commercial free
Opportunities:
● Further global expansion
● Cord­cutters
● Customer loyalty
● New releases
● Original content
● Social media rapport
Weaknesses:
● Recommendation tool
● Binge watching
● Limited film selection
● Social media interaction
● Account sharing
● DVD system
Threats:
● Amazon series: “Transparent”
● HBO stand­alone service
● HBO original content (Girls)
● Hulu film selection
● Price changes
● Internet piracy
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Target Audience
The 18­34 year old cord­cutting target audience was born into the technological
revolution. Psychographically, these millennial are savvy, engaged multi­taskers. Born
into the internet, they are the first generation to utilize social media, making sure their
voices are heard. Companies across the globe study motivations behind millennials.
Corporate trainer, Bruce Mayher notes this generation thrives from frequent feedback,
social engagement, “respectful flexibility”, and self­defined projects (“How to Motivate
Millennials”). These concepts are applied within the Netflix campaign, through social
media interaction and rewards programs, truly making sure the consumer’s voice be
heard. On a psychographic level, the campaign targets highly involved college students,
modern young professionals, and extroverts.
Demographic information collected from the Simmons database validates the claim that
the 18­34 year old target audience are heavy internet users and television viewers.
Among the heaviest internet users, 18­34 year olds account for 43% of the highest two
quintiles. Simmons data also illuminates the fact that out of all Netflix users, 21% of the
target audience has visited the site in the past thirty days. Additionally, out of all 18­34
year olds, 45% have visited the site in the past thirty days. Within the target audience,
Simmons finds that 68% have visited Facebook in the past thirty days. Of all movie
downloaders, over 50% come from the 18­34 year old target.
Elwood Watson, a prominent blogger of the Huffington Post dives into the negative
associations related to millennials. Primarily, millennials boast a sense of entitlement
(Watson). Watson continues onto the impact the poor economy in the last decade has
had on the generation, with many 30 year olds struggling to establish financial
independence. Additional characteristics of the target include a focus on the needs of
the self. Forbes magazine notes appearance, achievement and recognition are some of
the most defining traits (Walton). This sense of individualism has brought an onslaught
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of anxiety, depression and loneliness. Upsides to this self­importance include a decline
in prejudice and growth in equality. In terms of consumption, millennials will account for
one third of all retail spending in five years (Watson).
Forbes magazine finds that millennials want to make the most of their leisure time, are
not brand loyal, but are willing to share opinions and experiences via social media
(Powell). Matt Powell, contributor to Forbes notes that millennials want to interact with
brands, co­create products and participate in brand experience. They desire to use
products approved by their peer group, and look for relevance and authenticity.
“Millennials seek out brands that make them feel unique” Powell notes, because “they
don’t feel the need to be loyal to your brand.” There are more brands in this information
environment than ever before, meaning products have to prove themselves every single
day. Millennials want transparent brands that give them what they want, when they want
it, without a hidden agenda. Netflix does just that. Millennials are so digitally engaged,
having shared so much knowledge with their peers, that they are early adopters of new
ideas, concepts and products, driving the speed of change (Powell). This research
suggests a high receptiveness to new Netflix features.
The primary opportunity for Netflix is not to market to its audience, but to engage.
Listening well, responding, and providing value to the target is essential to success.
Seeking interaction, and not reaction will lead to brand loyalty. Netflix has the advantage
of affordability, something of the utmost importance to millennials swimming in college
debt.
The primary problem with the target is their access to instant information, resulting in
high turnover rates, motivated by change, always willing to try a new product or service.
Although Netflix allows consumers to watch what they want, when they want, at their
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convenience, HBO, Amazon and Hulu also provide this. The expectation for instant
gratification puts brands in a bind for immediate quality feedback.
Primary/ Secondary Research
With the current situation of Netflix in mind, the research aims to assess Netflix’s
strengths, weaknesses, and where opportunities can be exploited and grown. Based on
Netflix success of its current target, males and females between the ages of 18­34
remain to be the best target. All respondents must be legal adults and answer “yes” to
the question asking if they are 18 years or older. This target was chosen because it falls
into the demographic that continuously drives cord cutting with a drop in traditional TV
viewership of 11.7% in 2014 (Marketing Charts). In order to gather effective information
to reach the goal of Netflix becoming a share­oriented community, a phone survey was
conducted that consisted of 50 respondents. The original goal was to have an equal
amount of males and females. Although the divide in gender was not equal, it was close
with 30 females and 20 males (Appendix A ­ 1.6). The goal was not only to understand
the motivations and feelings a user harbors by choosing Netflix, but also to understand
the same motivations and feelings a nonuser has behind not choosing Netflix. By
learning this, ultimately the goal of developing a share­oriented community can be
achieved.
The phone survey of 50 respondents consisted of 28 questions including multiple
choice, Likert scaling, rank scaling, and open­ended questions that focus on key words.
The goal of the survey was to gauge users’ and nonusers’ attitudes associated with
Netflix, video entertainment media, and social media. The survey was conducted from
October 20, 2014­October 31, 2014.
In order to understand the motivations and attitudes of users and nonusers, the survey
first asked whether or not the respondent has a Netflix account. If he or she did, they
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were directed to a series of ten questions that will gauge consumer habits, attitudes,
and feelings towards Netflix. These questions included asking how long the respondent
has had a Netflix account, how often they use it, how they feel about the content, and
how likely they are to renew their subscription. If the respondent answered that they do
not have a Netflix account, the prior series of questions were skipped and the
respondent is instead asked the open­ended question “Have you ever once used
Netflix, and decided to discontinue use? Why?” The respondents’ answers to the survey
proved crucial in understanding how the user engages with Netflix and how they view
the service. With this data, Netflix will be able to solidify the communication goals in
order to solidify the creative strategy tailored to what matters most to the user.
The survey aimed also to measure the respondent’s emotions towards competing
brands. Netflix’s three main competitors in the online video streaming market include:
Hulu, Amazon Prime, and HBO Go. The primary research indicated that HBO Go is the
strongest competitor (Williams). This portion of the survey first asked which of these
services the respondent has heard of or used (including Netflix). Next, the respondent
was prompted by a series of Likert scale questions that work on a 1­10 scale, with 1
being the lowest and 10 being the highest. These scale questions asked the respondent
to rank the streaming services on this 1­10 scale based on their convenience, content,
and price.
The survey concluded with seven questions regarding the respondent’s preferred social
media platforms, usage, and how they like to spend their free time. When it comes to
social media, Netflix faces a problem that can be an opportunity. Netflix recently
integrated a system in which the consumer can link his or her Facebook account with
their Netflix account. The goal of this was to increase customer interaction while
creating a community where friends would recommend content to each other.
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Unfortunately, it has yet to find its footing. Therefore, the data collected here is among
the most important in the survey.
The respondent was then asked to rank their preferred social media platform in order on
a 1­5 scale, if they were aware that Netflix and Facebook can be linked accounts, and
whether or not they would share their viewing habits with their friends online. The
survey also asked what would personally incentivize them to interact with Netflix’s social
sharing features listing several sample prizes. This data was used to create the most
effective strategy that will encourage a share­based community, drive user
engagement, and act as a unique selling proposition against the competition.
Statistical analysis will be conducted to find significant relationships if they exist via
SPSS. The main goal is to examine the relationships between users and nonusers. In
order to find these relationships, chi­square will be employed to understand and draw
conclusions from this nominal data. In order to gain insight to the competition, t­tests will
be used to dissect the Likert scale questions. By having a greater grasp on the
competition’s position, Netflix is able to make better­informed and effective decisions in
the campaign strategy.
Survey questions and statistical analyses serve as the foundation to understanding the
target audience and how to effectively appeal to them specifically. The survey will be
used to compare the findings to the primary research and initial assumptions. As of
now, the target is believed to be aware of Netflix and enjoy the service. However, there
is low social media engagement. HBO Go is expected to be verified as Netflix’s most
threatening competition. The survey will serve to provide insight into what currently
works with Netflix and why people chose to subscribe or not subscribe, as well as share
or not share.
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Findings
Our secondary research yielded many findings that aided in the formulation of this
campaign. We surveyed 50 people between the ages of 18 and 25 (20 male, 30 female)
(Appendix A – 1.6). Of those people, an 86% majority had Netflix accounts (Appendix A
– 1.6). This was an encouraging finding and reinforced that our chosen target audience
were Netflix users. However, of those same people, only 36% were aware that Netflix
and Facebook could be linked accounts (Appendix A – 1.6). This finding was expected
as we originally stated that Netflix’s main communication problem was a lack of
interaction with its customers, especially in the social media sphere. Similarly, only 32%
of respondents said that they had any social media accounts linked (Appendix A – 1.9).
This can be seen as an opportunity for Netflix though. Since most respondents don’t
have social media accounts linked, this means that they are also not linking with our
competitors. Through this campaign, Netflix has the opportunity to connect with their
users through social media integration while simultaneously differentiating itself from the
competition as a share­oriented community.
The survey also yielded valuable information about Netflix’s competitors. The Likert
scale questions showed that HBO Go is the strongest competitor, with its mean scores
for convenience, content, and price being 6.7, 8.0, and 5.1 respectively (Appendix A –
1.4). In addition, 52% of the respondents indicated that HBO Go would be their next
choice if they were to switch services (Appendix A – 1.7). Amazon Prime was found to
be the weakest competitor, scoring a 6.9, 6.9, 6.3 in convenience, content, and price
(Appendix A – 1.4). More importantly, Amazon had the least amount of respondents,
with half of the respondents opting to not answer the questions.
Hulu was found to be a secondary competitor, scoring 6.5, 6.8, and 5.2 in convenience,
content, and price (Appendix A – 1.4).
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Netflix by far had the highest mean scores out of all the streaming services. In
convenience, content, and price, Netflix scored a healthy 9.1, 8.1, and 8.0 (Appendix A
– 1.4). Almost all of the respondents answered the questions, implying that they are
familiar enough with Netflix to score the service. The competitor scores reaffirmed our
original hypothesis that Netflix was the industry leader in online streaming.
Out of all the stat tests InfYOUsion ran, none of them denoted a significant statistical
relationship. The tests that were most pertinent to the campaign were the ones that
focused on social media. There was found to be no significant statistical relationship
between a user’s preferred social media platform and how likely they’d be to watch a
recommendation from a friend (Appendix A – 3.1). Similarly, there was no significant
statistical relationship between a user’s awareness that Netflix and Facebook can be
linked accounts and whether they have any social media accounts linked to post
simultaneously (Appendix A – 1.7). This finding was useful however in showing that
since there is no significant relationship between the two, that means that the
discouragingly low amount of respondents who answered that they don’t have linked
accounts doesn’t factor in to whether they are aware of Netflix’s Facebook integration.
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Marketing goals
InfYOUsion Media recommends three major marketing goals to produce brand­loyal
behavior in consumers. Assuring that the brand fulfills the necessary price, product,
place, and promotion is crucial to success. The focus of Netflix campaign centers
around:
1. Increasing Social Media interaction
Netflix does not currently utilize social media in the best way possible.
InfYOUsion recommends an increase in social media interaction as a strong
strategy to keep the current market by making them less likely to leave Netflix.
Hashtags, words or unspaced phrases prefixed with the hash character, #, to
form a label, are an efficient way to make Netflix a constant topic of conversation.
Some of the hashtags we recommend sharing on social media outlets
(Facebook, Twitter, Instagram) are “#Netflixing” and “#Getflix.”
a. Increase Facebook likes by 5% (equivalent to 518,000 new users)
b. Increase Twitter followers by 10% (equivalent to 106,000 new users)
c. Qualify campaign hashtags as Twitter “trending” by generating at least 1.5
million mentions of #Netflixing and #Getflix over Q1­Q4
d. Launch SnapChat account utilizing brand new advertising features. As
seen in a November 2014 article published by AdAge, “Snapchat is
looking to sell sponsorships of individual “Our Stories” as well as letting
advertisers pay to have branded snaps appear within the live­event
collections, the people said” (Peterson). Netflix will appear in “Our Story”
during each season premiere of original content, season finale, and during
campus ambassador Netflix sponsored events, similar to Penn State’s “My
Campus Story.”
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2. Generating positive behavioral changes
Encouraging user interaction through social media helps consumers to stay
engaged with the brand more frequently. By creating this sense of community
and interactive social experiences, consumers have something tangible to
associate with the brand. 34% of the surveyed sample was willing to share
viewing habits on social media. The goal is to increase this percentage by 26% to
60% at the end of the campaign.
3. Generating 10,000 college student subscribers through College
Ambassador Program
27.2% of 18­34 year olds attended college 1­3 years; 24.7% of 18­34 year olds
have graduated college or more. College students are a solid portion of the target
audience therefore reaching students on their college campuses directly in
person is an effective method to get college kids “socializing” about Netflix. The
goal of this program is to transfer passionate customers into campus marketers.
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Communication Goals
InfYOUsion Media recommends five major communication goals to raise overall
awareness of Netflix’s interactive presence on social media sites through traditional and
non­traditional advertising media. Through social media, sponsorships, events, and
product placement Netflix will effectively communicate a sense of community.
1. Generating unaided recall for Netflix non­traditional advertising
The ultimate goal is to cause consumers to gain knowledge and awareness of
the brand without prompting. The desired behavior of the consumer is to encode,
store, and recall the information. Consumers should be familiar with Netflix for at
least six months after the launch.
2. Increasing progress of interactivity among Netflix users by screening the
use of Netflix hashtags, Netflix Twitter handle mentions and discussion of
Netflix original series
By screening the use of hashtags, we will be able to note what exactly is
provoking the increased progress. For example, discovering what times of the
day consumers are most likely to tweet and join the conversation, which shows
are most talked about, and how often they are discussed. Learning the content of
the ongoing Netflix conversation will allow us to determine the effectiveness of
the hashtags. The goal of these hashtags is ultimately to enhance interactivity
among users.
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3. Informing current Netflix users that the platform is the first of its kind to
infuse social media into experience
By staying consistently innovative and continuing to produce groundbreaking
assets to the brand, consumers will understand that Netflix stands alone. The
social media aspect of the brand and interactive creative executions give the
consumer an unmatched online streaming experience.
4. Emphasizing affordability and breadth of brand in comparison to primary
competitors
By producing a sense of physical and psychological continuity, consumers will be
constantly reminded of the value and affordability of the brand. By putting
something physical in each ad that leaves a similar impression, consumers will
have a stronger recall of the brand. Consumers remember advertisements longer
when a common thread­ in Netflix’s case: affordability­ tie together the ads in a
campaign. All creative executions promote the cohesive message that
consumers “Pay monthly. Watch daily. Share seamlessly.” This link is what sets
the brand apart from competitors: Hulu, HBO, and Amazon. Psychologically
continuous, all of the advertisements embody a unanimous underlying theme:
consumers are able to afford the service, enjoy the content, and share with
friends.
5. Generating affective connection to consumers
Brand loyalty results from consumers believing that Netflix is the brand that
“everyone” is using. This mindset will be instilled in consumers by encouraging
notion that while Netflix is not the only online streaming service, it is the service
all of your friends and family have.
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Recommended Campaign Timeline
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I. Benchmark Strategy
See above figure for benchmark measurements relative to social media interaction.
Social media interaction in line with our marketing goals will achieve the above
measurements throughout the campaign in order to be deemed successful.
We will also be conducting two more surveys among the target. First will be done
halfway through the campaign and the second will be done at the end of the campaign.
These measurement tools will be utilized in order to ensure that all marketing goals are
met successfully. In the case that these goals are not met throughout the campaign, we
recommend that the following actions be taken depending on the specific measurement
that has fallen short of the projected outcome.
Student subscriber measurement
In the event that the projected amount of student subscribers is not on pace to achieve
the marketing goal( at least 5,000 new subscribers by the end of the first semester)
halfway through the campaign, we recommend expanding the student ambassador
program to 100 campuses rather than the original 50. Aiming to increase exposure and
results. If this expansion still does not yield results that are anticipated, we will shape a
question into our post campaign survey aiming to better understand the purchase habits
of college students, more specifically if their purchasing habits are influenced by outside
factors. For example, if they are using a Netflix already that they do not have to pay for
that has been purchased and shared by family and friends.
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“Willingness to share viewing habits on social media”
In the event that our halfway­point­survey does not yield the results that are anticipated
regarding the increase of consumer’s likelihood to share their Netflix habits directly to
their social media (15% increase in willingness to share watching habits on social
media), we recommend the implementation of live tweet events during the second half
of the campaign. These live tweet events are aimed to increase user interaction and
willingness to share; making them ideal for use in this situation.
Follower/Like Increase
In the event that the benchmark goals for increased social media interaction in the form
of Facebook likes, Twitter followers, and hashtag mentions; we recommend the
implementation of social media contests in order to entice individuals to join our social
media community that is being constructed. By providing consumers who are not apart
of our community value in exchange for their participation we anticipate an increase in
interaction thanks to prizes and giveaways. The contest which we will run entails the
use of the #Netflixing hashtag, in which contestants post a selfie of themselves
watching Netflix. Winners will be provided with prizes such as Smart TVs and gaming
consoles.
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Budget and Contingency Fund
I. Overall Recommended Budget: $60 million.
Rationale: Thorough analysis of Netflix annual expenditures paired with
evaluation of the recommended target as the main demographic for Netflix
sales justify the campaign budget. Statistics from 2012 show that the
18­34 target makes up 40% of the viewership for Netflix, with the number
likely having spiked in the past two years. In 2013, Netflix spent
approximately $120 million on total advertising (Ad Spender) with 40%
(18­34 users) budgeting out to $48,000,000. A recommended increase to
50% of the budget, $60,000,000 is supported by the dominating 18­34
user segment and the hypothesized increase in users since 2012.
II. Overall Social Media Budget: $20 million
1. Rationale: 22.7% of target fall into first quintile for internet use
(index 150) 19.6% for second quintile (index 129)
2. Twitter: $5 million
Rationale:
1. 248 million users
2. Conversation based social platform
3. Twitter can be linked to simultaneously to Facebook and
Instagram.
4. Target accounts for 61% of users (Simmons.)
5. Sponsored posts cost $120,000. Recommended 40 targeted
days.
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3. Facebook: $10 million
Rationale:
1. 1.35 billion users
2. Sidebar ads ($1/click)
3. Sponsored stories ($.50/click)
4. Promoted posts ($5/1,000 views)
5. Linkable to Netflix account.
6. Primary research shows that Facebook is second most used
social media within demographic.
7. Simmons data shows heavy usage among target: 44% of all
users.
4. Instagram: $3 million
Rationale:
1. 200 million users
2. Sponsored posts: $500,000/month (recommended six
months)
3. Most popular social media platform in demographic based
on primary research.
4. Most frequently linked social media account.
5. Image­based platform lends itself well to short image clips of
new content
5. Snapchat: $2 million
Rationale: estimate based on minimum information available at this
time.
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1. 26 million users
2. Pew Study: 26% of 18­29 year old usage
3. 26 million users send 350 million photos a day
4. Photos disappear under ten seconds, can use brand without
risk.
5. Geotagged stories highly compatible with campus ambassador
program.
6. Sponsored stories encourage joining the conversation regarding
new content and season premieres/finales.
7. Ads conducive to instant gratification in a minimally cluttered
and largely untouched space.
III. Display Advertising: $3.1 million
Rationale: Pay per click advertising system, cost dependent upon bid words.
1. ESPN.com: 66% of users 18­34, coincide with gym campaigns.
(Simmons)
2. IGN.com: 68 million unique users in target. (Simmons)
­ 513 million page views a month
3. YouTube: More than 1 billion unique users visit YouTube each month
(YouTube.com).
­ According to Nielsen, YouTube reaches more US adults ages
18­34 than any cable network (YouTube.com).
­ https://www.youtube.com/yt/press/statistics.html
­ Rationale: Digital display ads will make up a small
percentage of the budget. The display ads main purpose will
be to accompany the social media campaign and add
top­of­mind awareness when consumers come across them
on the various sites that they are displayed on.
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IV. Video Games: $2 million
1. Utilize dynamic in­game advertising
2. “Advertising inside of video games that can be implemented, updated,or
changed in real­time. It popularly takes the form of placements such
as billboards, posters, and banners situated throughout the video game
environment” (rapidfire.com).
3. Cost priced on a cost­per­thousand scale.
4. 18­34 year olds are 135% more likely to notice brand name products in
video games.
5. 18­34% year olds are 133% more likely to have video games as their
main source of entertainment.
6. 18­34 year olds are 129% more likely to spend money video games
than music or movies.
7. 18­34 year olds are 141% more likely to have purchased video games
in the last twelve months (Simmons).
­ Specific video games we recommend pursuing advertisements in:
­ Current (Top 10 selling video games of 2014)
­ Call of Duty: Advanced Warfare; Destiny; Grand Theft Auto V; Sports
games (Madden 15, NBA 2k15, FIFA 15, NHL 15); Super Smash Bros
­ New Releases in 2015 to target:
­ Mortal Kombat; Batman: Arkham Knight; Call of Duty Releases (announce
partnership at ComicCon 2015); 2016 Sports games releases throughout
the year.
­ By targeting these top­selling video games, we can guarantee the
highest possible exposure through in­game advertising. These
games already have a strong following so by inserting Netflix into
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the already flourishing conversation about these games increases
social exposure.
V. Promotions: $20,200,000
1. Netflix Homepage Remodel: $200,000
1. Cost estimate: initial $50,000 web design company cost with
$150,000 maintenance cost over 12 months
2. Objective: Promote the #Getflix hashtag, encouraging users
to share their viewing behaviors in the live stream.
2. Digitally Place Based Screens: $20 million
1. Netflix screen placement in popular bars across United
States.
1. Select cities: Atlanta, Boston, Chicago, Dallas,
Detroit, Houston, LA, Miami, New York, Philadelphia,
San Antonio, San Francisco, Washington DC, New
York
2. 5,000 bars selected 50­inch HD TVs: $3 million
3. 5,000 free Netflix subscriptions for viewing at bars:
$5,000
4. 18­34 year olds 71% more likely to spend leisure time
at bars/night clubs.
3. Netflix screen placement within gyms across United States.
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a. 15 inch HDTV screens for mounting on cardio equipment.
b. Select cities: Atlanta, Boston, Chicago, Dallas, Detroit,
Houston, LA, Miami, New York, Philadelphia, San Antonio,
San Francisco, Washington DC, New York
c. 10,000 TVs: $1 million
d. 10,000 free subscriptions: $100,000
e. 18­34 year olds are 69% more likely to use a cardio machine
than average (Simmons).
4. Netflix screen placement inside coffee shops across United
States.
a. Personal 15 inch HDTV’s placed in booths and tables at
coffee shops.
b. Select cities: Atlanta, Boston, Chicago, Dallas, Detroit,
Houston, LA, Miami, New York, Philadelphia, San Antonio,
San Francisco, Washington DC, New York
c. 5,000 HDTVs: $500,000
d. 5,000 free subscriptions: $5,000
e. 18­34 year olds are 127% more likely to use internet in
coffee shops with Starbucks as the leading coffee retailer
(Simmons).
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5. Netflix screen placement throughout public transit systems.
a. 32 inch HDTVs embedded into subway stops with protective
plexiglass, weather proof screens.
b. Select Cities: Atlanta, Boston, Chicago, Dallas, Detroit,
Houston, LA, Miami, New York, Philadelphia, San Antonio,
San Francisco, Washington DC, New York
c. 5,000 screens: $1,250,000
d. 5,0000 free subscriptions: $5,000.
e. 18­34 year olds 31% have used public transportation within
past 30 days.
VI. Events and Sponsorships: $10 million
1. College Student Ambassador Tour: $445,836.00
1. 27.2% of 18­34 year olds have attended college for at least
1­3 years (Simmons).
2. 24.7% of 18­34 year olds have graduated college
(Simmons).
3. Extensive application and interview process selects
ambassador candidates with a passion for the brand. This
passion will be cultivated through Netflix program.
4. Main objectives of student ambassador: Increase campus
Netflix subscription using personalized discount code
(makes sign­up traceable to specific ambassador.) Increase
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trending of #Netflixing and #Getflix in geo­targeted areas
relative to campus ambassadors.
5. Three events per semester across campus.
6. 100 brand ambassadors across 50 universities
7. Free subscription for ambassadors: $800.00
8. Total ambassador stipend: $50,000.
2. Incentive Prize (Smart TV and free Netflix) Giveaways: $54,000
1. Merchandise giveaways: (clothing, pens, laptop stickers,
iphone cases, sunglasses): $50,000
3. Snapchat Campus Story: Ambassador responsible for
updating Netflix Campus story via geotag.
3. “Tune In” Netflix Concert Series: $9.5 million
1. Objective: Promote Netflix original content and social
media campaigns to target audience during leisure
time spent at popular music festivals across country.
2. Pop­up watching stations with beanbag chairs and
drink machines.
3. Netflix establish stage­naming rights across music
festival venues.
4. Rationale: “Premier music festivals can rake in $1
million or more by selling stage­naming rights to
corporate sponsors. In most cases, festivals work with
brands to create sponsorships that jibe with the spirit
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of the event” (Adage.com, Sebastian).
5. 25% of U.S. population who are concertgoers* are
educated with higher incomes and very active online.
6. Concertgoers are 26 percent more likely to be
Millennials (ages 18 to 29) and are 31 percent more
likely to be men.
7. 18­34 53 percent of Concertgoers own a Smartphone
and 19 percent own a tablet
5. Spot Market Lineup
1. Mile High Music Festival, Denver CO. September
Rated #3 market for concert­goers ages 18­34
2. Las Vegas Life is Beautiful Music Fest, October
Rated #5 market for concert­goers ages 18­34
3. San Francisco Outside Lands Music Festival, August
Rated #7 market for concert­goers ages 18­34
4. Coachella Music Festival, Location Varies. “Coachella
is the most profitable festival in the United States.
Last year it sold 158,000 tickets and pulled in $47.3
million in revenue” (Billboard Boxscore).
C. Comic­Con International San Diego Sponsorship July 2015
1. Objective: Create Netflix watching stations that will
feature popular comic shows and movies throughout
event, encouraging attendees to Tweet their watching
with #GetflixComicCon
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2. Current comic­con sponsors include Netflix indirect
competition: MTV, NBC, FX, SHOWTIME, HBO, Sony,
Warner Brothers.
3. Rationale: 2012 ComicCon featured massive
programming schedule with over 600 separate events
including comis, popular arts, hands­on workshops,
educational and academic programming and anime
screenings. On average, the events sees roughly
150,000 attendees (http://www.comic­con.org/about).
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VII. Contingency Fund
The contingency plan has been designed in the event of changing
economic conditions, changing sales results and/or changing
competitive activity (Parente). These events are highly unpredictable,
particularly with competition on the rise, it is possible media objectives
will be adjusted at benchmark points throughout the campaign.
1. 10% of total budget: $6 million
2. Objective: Contingency fund will be used to touch
marketing goals that were not included in initial
conservative media mix budget. Additional marketing
goals:
3. Monthly live­tweeting events in correspondence to
newly­added content. Example: Adam Sandler live­tweet
Q&A during new movie release on Netflix.
4. Acquire 500,000 social media posts from an “Are You
Still Watching?” screen during binge­watching session.
5. Maintain 89% market share (Protalinkski).
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Media Strategy and Tactics
A. Assorted Media Mix
a. Marketing dollars spread across large base of media opportunities.
b. Rationale: stronger effect on target audience via assortment of media.
Variety facilitates more direct reach positioned strategically at specific
touchpoints when target is most engaged in behavior. Additionally, varied
media can deliver message content in in different psychological contexts
at different points in the communication cycle, ie. while watching video
games, versus streaming Netflix. Overall, assorted media mix provides
more exposure opportunities (Parente).
B. Seasonality: A pulsed media schedule allows advertising exposure year­round,
with heavier concentrations during purchase­repurchase cycle at the end of each
month when subscribers accounts are renewed.
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a. We recommend a pulsed schedule for the entirety of this campaign in
order to allow for a continuous market presence, with the ability to
increase exposure in spot markets and during months with heightened
relevance to the campaign.
b. Months with social media contests and large sponsored events are
scheduled will receive a higher portion of the agreed upon budget in
comparison to months that have been outlined with just social media posts
and traditional digital advertising.
C. Ostrow Model (Appendix C)
a. We have completed an Ostrow Model which outlines the projected
frequency goals that we will aim to attain throughout this campaign.
D. Digital Ads Reach and Frequency
a. Digital ads represent a small portion of the budget and are solely being
implemented in order to compliment the social media presence online.
Through the use of targeted, general, and mobile site advertising we aim
to achieve between a 20­25% reach with a frequency a little less than 2.
(Media Flight Plan measurements) Again, these numbers may seem low
but in the grand scheme of this campaign these ads are being used to
create top of mind awareness as users surf the web but the bulk of the
reach and frequency goals in this campaign will be met through
nontraditional advertising and social media.
E. Social Media Reach and Frequency goals
a. Reach and Frequency of social media dependent on following and number
of posts. We are recommending daily posting and multiple interactions
with followers per day, as the social media followers and ‘likers’ increases
throughout the campaign so will the reach and frequency of targeted
messages.
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b. Promoted and sponsored posts through Facebook and Twitter will reach a
guaranteed amount of the target, the percentage of the budget set aside
for social media will cover the costs of these targeted posts, with specific
dollar amounts fluxuating through negotiation with Facebook and Twitter.
We recommend a sponsored post on each social media site once a month
for the entirety of the campaign.
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Creative Strategy and Executions
I. Tagline: “Pay monthly. Watch daily. Share seamlessly.”
­ This tagline brings together all aspects of our recommended campaign,
emphasizes the ‘efficient affordability’ of netflix subscription while also
introducing the social sharing aspect that Netflix is beginning to offer.
II. Overarching objective: Emphasize affordability and breadth of brand in
comparison to primary competitors synthesized through slogan.
­ This objective gives continuity to the campaign, giving all individual
creative executions a connection to each other and the overall goals
of the campaign.
III. USP: Only online streaming service with a social community that surrounds the
user’s viewing experience.
1.1 Example Netflix Facebook Post
Objective: Accomplish the communication goal of developing sense of
community and facilitating conversation around Netflix brand.
→ Posts that resemble the
image to the left will incorporate
lighthearted humor along with
promotional qualities that reach
out to followers asking them to
engage directly with Netflix on
social media.
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1.2 Example Netflix Promoted Tweet
Objective: Track usage of promoted Netflix hashtags and encourage sharing to
get #Netflixing trending organically.
→ Posts similar to the image above will use lighthearted humor and aim to engage followers
directly. By providing a specified call to action, posts can be expected to generate interaction
among the target. These sponsored posts will accompany the daily tweets that @Netflix
twitter page will produce throughout the year.
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1.3 Event Signage Templates
Objective: To increase interactivity with the #Netflixing hashtag at sponsored events,
such as the Netflix “Tune in” concert series. This signage aims to generate unaided
recall while presenting the interactive qualities Netflix has developed. The use of the
“Pay monthly. Watch daily. Share Seamlessly.” tagline reminds those viewing the poster
of the overall affordability and breadth of brand through physical and psychological
continuity.
→ Signage will emphasize the hashtag #Netflixing while on display at concerts and
other sponsored events. These signs give Netflix a social presence at all events,
pushing those who view it to social media platforms.
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1.4 College Ambassador Program Promotional Materials
Objective: Generate affective connection to target audience. Netflix appreciates
their customers and wants to thank them. When students use branded
promotional item, reach and frequency opportunities expand.
→ Campus reps will be armed with
an array of giveaway materials
ranging from bottle openers to free
t­shirts. The college ambassador
tour will exclusively utilize the “binge
responsibly.” tagline. This tagline
connects directly to the target on
college campuses and aims to
create a buzz that leads to unaided
recall.
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1.5 Digitally Place Based Advertising Samples
Objective: Generate conversation around Netflix and unaided recall when
discussing Netflix non­traditional advertising tactics.
Bar Viewing Screens
→ Viewing stations in bars that are positioned in spot markets across the country give
Netflix the opportunity to be a conversational topic in some of the most social
atmospheres available to the target. Accompanied by branded materials with the
#Netflixing hashtag and “Pay monthly. Watch daily. Share seamlessly.” tagline, these
viewing stations will create a buzz while pushing conversation from the bar to social
media.
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Treadmill viewing screens:
→ Simmons Data has proven that the 18­34 target has a strong presence in gyms
across the country. By supply spot market areas with branded treadmills and viewing
screens, Netflix enters the target’s daily routine from yet another angle. These viewing
stations contribute to unaided recall and push users to social media through the
presence of the #Netflixing hashtag and the “Pay monthly. Watch daily. Share
seamlessly.” tagline.
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Coffee Shop Viewing Screens
Along with gyms and bars, coffeeshops are one of the highest indexed hangouts among
18­34 adults. (Simmons). This is why we have selected coffee shops as an area which
our viewing screens will be most effect. Creating a buzz about the #Netflixing hashtag is
important to our campaign and with an index of over 200 in regards to where 18­34 year
olds use the internet, coffee shops supply Netflix with an arena that they can assuredly
make an immediate impact on social conversation, both in­person and on the web.
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1.6 Netflix Homescreen Social Media Link Page
Objective: Increase progress of interactivity among Netflix users by screening the use
of Netflix hashtags, Netflix Twitter handle mentions and discussion of Netflix original
series.
Editing the Netflix intermission screen between episodes and at the end of movies
allows for Netflix to reach users at a break in the action, providing them the opportunity
to post directly to social media pages from Netflix, something unprecedented in the
online streaming marketplace. With both facebook and twitter posting options, users
have the ability to sign in and link their profiles creating a seamless sharing process.
The presence of both the #Netflixing hashtag and “Pay monthly. Watch daily. Share
seamlessly.” tagline creates a call to action supported with copy and capabilities.
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Additional Creative Executions:
Sponsored Concert Stages at Select Music Festivals:
This creative execution is extremely similar to the above image of a Chevy sponsored
music stage at the CMA’s. When the opportunity presents itself at the selected concerts
in the Netflix “Tune In” concert series, we recommend the branding of stages at the
events. Most importantly is the presence of the #Netflixing hashtag and the “Pay
monthly. Watch daily. Share seamlessly.” tagline. These continuities attach the branded
stage to the rest of the campaign and raise awareness of Netflix’s online sharing
capabilities. Also in the place where the two side banners above have the cars with
headphones on them, we recommend the use of two live tweet walls that have tweets
with the #Netflixing hashtag in them as well as tweets that have event specific hashtags
streaming for the entire crowd to see. This introduces yet another interactive quality to
Netflix’s sponsorship, raising awareness of the unprecedented development of Netflix’s
social sharing system.
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In­game Advertisements :
Video games are a leading leisure activity of the target market, pushing advertisements
in front of them while they are playing games (most of the times in an online setting)
allows Netflix yet another touch point. Examples of in­game advertising are pictured
above, and through partnership with the games listed in the budget, Netflix has the
ability to further expand its reach and social presence.
­ Another opportunity that presents itself when dealing with video game advertising
the the opportunity to partner with video games directly. Currently Mountain Dew
and Doritos are extremely active with Call of Duty. Joining them and partnering
with Call of Duty allows for Netflix to ride the coattails of an already successful
marketing strategy.
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Display Ads
­ Display ads will represent a small part of the budget (~5%) and will be utilized in
order to continue top of mind awareness as well as accompany the social media
campaign. These ads will emphasize both the #Netflixing hashtag and “Pay
monthly. Watch daily. Share Seamlessly.” tagline. Ads will push users to social
media sites while also generating a higher level of unaided recall amongst the
target; reminding them that Netflix is remains cost effective while also developing
an unprecedented social presence.
Netflix homepage live #Getflix feed
­ The continued presence of social media throughout the user experience is an
important part of this campaign. Because of this, we recommend the
implementation of the #Getflix live feed on the Netflix homepage. As users
search and skim through the viewing options provided to them on the Netflix
homepage, a new aspect they will come across is the #Getflix live twitter feed.
­ This feed will feature tweets monitored by Netflix that recommend and review
shows and movies that are available to watch while utilizing the #Getflix hashtag.
Placing this live feed in the periphery of the homepage gives users the ability to
not only use the feed for information regarding what they may want to watch, but
also the feed gives users the ability to have their tweets posted to the feed and
seen by millions of users.
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­ The #Getflix feed further emphasizes Netflix’s unprecedented social viewing
experience within the online streaming marketplace.
Geofilters for snapchat
­ As Netflix develops a snapchat marketing plan, interacting with users on one of
the newest and fastest growing social mediums (snapchat.com), one important
aspect that we recommend Netflix taking advantage of is the use of geofilters.
“Geofilters are a fun way to share where you are through filter overlays”
(Snapchat support). By creating and implementing a geofilter in partnership with
our campus tour, Netflix gives college students the ability to filter photos that they
take with a branded filter emphasizing the #Netflixing hashtag. For example, as a
student sits down to watch Netflix they can snap a photo of themselves and
share with friends using the #Netflixing geofilter. The geofilters are location
specific so they will be exclusively linked to the campuses that have Netflix
representation on them. These geofilters continue to raise awareness of Netflix’s
unprecedented social experience in the online streaming marketplace.
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Creative Summary
After thorough analysis of the overarching marketing and communication goals for this
campaign, we have developed this creative outlook in order to touch on all of the goals
presented and ensure the overall success of this campaign. Each of the creative ideas
presented above emphasizes different aspects of the communication goals. Most
importantly though the physical and psychological continuity of the entire campaign
comes together through the constant reference to the #Netflixing hashtag and “Pay
monthly. Watch daily. Share Seamlessly.” tagline.
Summary
As of now, Netflix is a household name in the world of online video streaming with over
50 million U.S. customers. In order to maintain the current market dominance, Netflix
must engage its customers through social media; particularly the 18­34 market
(millennials). With competition quickly catching up (ie: HBO Go), Netflix must develop a
point of difference from the competition through online interaction and the development
of a share­based community.
Through interactive creative executions, Netflix will be able to increase social media
interaction, generate positive behavioral changes, and succeed with the campus
ambassador program. Inserting Netflix in the daily lives of the target audience will make
them more consumed with the brand. The more consumed the customer is with the
brand, the more likely they are to become brand loyal. By executing these ideas and
achieving the marketing and communications goals, Netflix will be able to remain at the
forefront of online video streaming.
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Stenovec, Timothy. "Yes, Netflix And Hulu Are Starting To Kill Cable." The Huffington
Post. TheHuffingtonPost.com, 17 Apr. 2014. Web. 20 Oct. 2014.
Walton, Alice. "Millennial Generation's Non­Negotiables: Money, Fame And Image."
Forbes. Forbes Magazine, 19 Mar. 2012. Web. 20 Oct. 2014.
Warren, Christina. "Netflix Will Lose Almost 2,000 Movies Wednesday."Mashable. N.p.,
30 Apr. 2013. Web. 20 Oct. 2014.
Watson, Elwood D. "We Need to Deal With the Millennial Problem Now." The Huffington
Post. TheHuffingtonPost.com, 24 Oct. 2013. Web. 20 Oct. 2014.
Whitney, Erin. "Netflix Plans To Premiere 20 New Shows A Year." The Huffington Post.
TheHuffingtonPost.com, 09 Dec. 2014. Web. 10 Dec. 2014.
Williams, Lauren. "How Netflix Is Taking The News Of HBO’s Streaming Subscription."
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Comments. N.p., 16 Oct. 2014. Web. 20 Oct. 2014.
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Appendix A
I. Competitive Findings
1.1 Amazon Convenience, Content, Price
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59.
1.2 HBO Convenience, Content, Price
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60.
1.3 Hulu Convenience, Price, Content
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1.4 Hulu, HBO, Netflix, Amazon Comparison
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1.5 Netflix Convenience, Content, Price
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II. Frequencies
1.6 Demographics
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64.
1.7
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65.
1.8 Incentive, Multitasking, Social Media Linkage, Switch Choice
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1.9 Multitask, Share Watching Behaviors
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2.0 Primary Platform for Viewing
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III. Media Usage
2.1 Viewing Frequency/ Preference
IV. Statistical Tests
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2.3 Netflix Facebook link awareness
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2.4 Link Chi Square
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2.5 Type of Content
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2.6 Netflix Gender Split
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2.7 Netflix Incentive Prize
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2.8 Subscription Renewal
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75.
2.9 Recommendation Likeliness
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3.0 Renew/Recommendation Correlation
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77.
3.1 Preferred social media/recommendation correlation
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Appendix B: Survey
Netflix Survey Questions
Hello, my name is ________. We are looking to learn about media habits to develop a marketing
communications plan. This survey will take about 7 minutes, and the responses will remain confidential. We
appreciate your time and insight.First, we must ensure that you are at least 18 years of age, due to Penn
State University’s standards of research ethics.
Are you 18 years of age or older? (nominal)
a. Yes
b. No
We would like to ask you a few questions about your media use. These questions will allow us to
better understand how you view online streaming.
1. Out of the following, pick one medium you spend the most time watching programs on. (nominal)
a. Television (broadcast)
b. Online streaming (paid service)
c. Online streaming (unpaid service)
d. Torrenting
e. Cable provider’s on­demand service
2. I’m going to read a list of media platforms, please let me know which you had heard of, or used.
a. Netflix Heard Used (circle)
b. Hulu Heard Used (circle)
c. Amazon Prime Heard Used (circle)
d. HBO Go Heard Used (circle)
3. Based on the media you have heard of or used, please rank the following on convenience, content
and price.
HBO Go
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Convenience 1 2 3 4 5 6 7 8 9 10
Content 1 2 3 4 5 6 7 8 9 10
Price 1 2 3 4 5 6 7 8 9 10
Hulu
Convenience 1 2 3 4 5 6 7 8 9 10
Content 1 2 3 4 5 6 7 8 9 10
Price 1 2 3 4 5 6 7 8 9 10
Netflix
Convenience 1 2 3 4 5 6 7 8 9 10
Content 1 2 3 4 5 6 7 8 9 10
Price 1 2 3 4 5 6 7 8 9 10
Amazon Prime
Convenience 1 2 3 4 5 6 7 8 9 10
Content 1 2 3 4 5 6 7 8 9 10
Price 1 2 3 4 5 6 7 8 9 10
4. Of the services which you stated you currently use, which do you use the most and why?
____________________________________________.
To learn more about your watching habits, we’d like to ask some behavioral­based questions.
5. Thinking about your day, which one point do you find yourself most likely to watch
programming.
a. Early morning (Before work/class)
b. On the go (commute/travels)
c. In the middle of the day (break from work/class)
d. Before going to bed (After you have fulfilled responsibilities of the day)
e. Other:_________________
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6. Have you ever binge­watched a series (watching between 2­6 episodes or more of the same
TV show in one sitting)?
a. Yes
b. No
7. Do you find yourself multitasking on other devices while streaming content?
a. Yes
b. No
If yes, what are you typically doing?
8. Do you have a Netflix account?
a. Yes
b. No
(If the answer is NO, proceed to question 1a.)
9. How long have you had Netflix?
a. 0­6 months
b. 1 year
c. 2 years
d. 3 years or more
10. How many people do you share a Netflix account with? (CONSUMER HABITS)
_______________________
11. How often do you use your Netflix account? (MEASURABLE: CONSUMER
HABITS/IMPULSIVES) ratio?
a. multiple times a day
b. once a day
c. once a week
d. once a month or less
12. Which one of the following kinds of content do you primarily use Netflix for? (CONCEPTUAL:
WHAT USE DOES NETFLIX HAVE)
a. TV shows
b. Movies
c. Documentaries
d.Other___________
13. Have you ever watched any of Netflix’s original content (House of Cards/Orange is the New
Black/etc)? (MEASURABLE: BRAND QUALITY/WORTH/) nominal
a. Yes
b. No
If so, have you completed the entire season? YES NO
14. On a scale of 1(lowest)­5(highest), how would you rate the quality of Netflix’s original
content? (MEASURABLE: POSITIVE USER EXPERIENCE) interval
___________
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15. On a scale of 1(lowest)­5(highest), how important is Netflix’s original content to you?
(MEASURABLE: CONSUMER PERCEPTIONS) interval
___________
16. On what device do you watch Netflix most often? (MEASURABLE: CONSUMER HABITS)
a. Mac/PC
b. Ipad/tablet
c. Iphone
d. Smart TV
e. Gaming console
18. Once your Netflix subscription expires, how likely are you to renew your subscription?
(MEASURABLE: BRAND LOYALTY)
a. Very Likely
b. Somewhat Likely
c. Neutral
d. Somewhat Unlikely
e. Very Unlikely
19. If you were to switch from Netflix to another streaming service, what would be your next
choice, and why? (CONCEPTUAL: WHAT SERVICES DO PEOPLE PREFER) (ordinal)
a. Hulu
b. Amazon Fire
c. HBO GO
d. Other ______________
Non­Netflix Customers Questions
1a. Have you ever once used Netflix, and decided to discontinue use? Why?
__________________________________________________________________
Lastly we would like to ask you a few questions regarding your preferred social media usage, and
how you prefer to spend your free time.
21. Rank your preferred social media platform from 1­5?
a. Facebook
b.Twitter
c. Instagram
d. tumblr
e. Other: __________
22. Do you have any of your social media accounts linked to post simultaneously
a. Yes
b. No
If yes, which ones… _____________
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22. How often do you access social media while participating in other media (ex: while watching TV)
(ordinal)
a. Never
b. Sometimes
c. About half the time
d. Often
e. All the time
23. Are you aware that Facebook and Netflix can be linked accounts?
a. Yes
b. No
24. Would you share your watching behaviors with friends on social media? i.e. movies watched,
series watching.
a. Yes
b. No
25. If you were to receive a recommendation of a show from a friend, how likely is that you would
watch it?
Highly Unlikely 1 2 3 4 5 Very Likely
26. Of the following choices, what would most incentivize you to interact with Netlflix social sharing
features?
a. Smart TV
b. Free year subscription
c. Tablet
d. Meet and Greet with a Netflix original show cast member
e. Original content memorabilia
Before I let you go, I have a couple demographic based questions to help us better categorize your
answers throughout this survey.
27. What is your gender? (nominal)
a. male
b. female
c. other
28. What is your age? (nominal)
_________
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Appendix C: Reach and Frequency Goals
1.1 Ostrow Model
Established Brand -.2 -.1 +.1 +.2 New Brand
High Market Share -.2 -.1 +.1 +.2 Low Market Share
Dominant Brand in
Market
-.2 -.1 +.1 +.2 Smaller, less well-known brands
High Brand Loyalty -.2 -.1 +.1 +.2 Low Brand Loyalty (Double
points)
Long Purchase Cycle -.2 -.1 +.1 +.2 Short purchase cycle (high
volume segments)
Product used
occasionally
-.2 -.1 +.1 +.2 Product used daily
n/a +.1 +.2 Needed to beat competition
n/a +.1 +.2 Advertising to older consumers,
or children
Copy Factors that Affect Effective Frequency
Simple copy ­.2 -.1 +.1 +.2 Complex copy
Copy more unusual than
competition
-.2 ­.1 +.1 +.2 Copy less unusual than competition
Continuing campaign -.2 -.1 +.1 +.2 New copy campaign
Product sell copy -.2 -.1 +.1 +.2 Image type copy
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Single kind of message -.2 -.1 +.1 +.2 More different kinds of messages
New messages -.2 -.1 +.1 +.2 Older messages
Media Factors That Affect Effective Frequency
Lower ad clutter -.2 -.1 +.1 +.2 High ad clutter
Double point value was added
to the above category due to
importance.
Attentiveness high -.2 ­.1 +.1 +.2 Attentiveness low
Continuous advertising -.2 -.1 +.1 +.2 Pulsed or flighted advertising
Few media used -.2 -.1 +.1 +.2 Many media used
Opportunities for media repetition ­.2 -.1 +.1 +.2 Fewer opportunities
1.3 + 3.0 = 4.3 Frequency goal.
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1.2 Media Flight Plan: Digital Media
Year At A Glance/Flowchart:
continued...
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Appendix D: Simmons Data
1.1 → 18­34 leisure activities:
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1.2 → 18­34 year olds who have played video games in the past 6 months.
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1.3 → 18­34 most populated cities:
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1.4 → 18­34 year olds lifestyle statement:
93