On Wed, Jun 28, 2017 at 11:36 PM, Steve Timko <[email protected]> wrote:

> I think that's the opposite of what they are thinking. If a show draws
> enough viewers to pay for itself, and it's the only reason people watch
> Netflix, then it stays. I think a show is more vulnerable if people also
> enjoy other Netflix shows.
>

A show can never draw enough new viewers to pay for itself. That is because
Netflix is a subscription service and they only make money when subscribers
stay on for months or years. If a new subscriber comes on, and Netflix has
traditionally been free for the first month, and watches all 10 episodes of
a show in one day, two days, a week or any time under a month, and then
quits the subscription, Netflix loses money. The only way they can make
money is the subscriber finds so much else to watch that they keep the
subscription going.

There was a time during their startup phase that Netflix could use one new
series to bring in new subscribers. Today they have so many subscribers
that they have to make more intensive and expensive efforts to bring in new
ones at any scale. Any demographic or pool of people who can get Netflix
(access to broadband and can afford a device) knows what Netflix is and the
kind of content they have.

If you are thinking about something like HBO and The Sopranos, where people
would subscribe just before a new season started and quit at the end,
Netflix puts all episodes up at once. If HBO had done that, people would
subscribe on Friday and cancel the subscription the following Monday. That
would be unsustainable for HBO so Netflix is not following that model.

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