Strategic Brand Management Analysis for Netflix Company

This report provides a comprehensive analysis of Netflix's strategic brand management, exploring various frameworks and models used by the company. It begins with an introduction to strategic brand management and the background of Netflix as a streaming service provider. The report delves into PESTLE and SWOT analyses to assess the external and internal factors impacting Netflix's operations. Porter's Five Forces model is used to evaluate the competitive landscape, while the marketing mix is examined to understand Netflix's product, pricing, place, and promotion strategies. Furthermore, the report includes an STP analysis to identify Netflix's target market, a competitor analysis to understand the competitive environment, and a discussion of the sources of brand equity. Finally, it outlines strategies for effective brand management and concludes with a summary of the key findings. The report aims to provide insights into Netflix's approach to brand management and its impact on the company's market position and success.

Strategy and Brand
Management

Table of Contents
INTRODUCTION...........................................................................................................................3
TASK ..............................................................................................................................................3
Background of the company...................................................................................................3
Pestle analysis.........................................................................................................................4
Swot Analysis.........................................................................................................................5
Porter five forces model ........................................................................................................6
Marketing mix........................................................................................................................7
STP Analysis..........................................................................................................................8
Competitor Analysis...............................................................................................................8
Sources of brand equity..........................................................................................................9
Strategies for brand management ........................................................................................10
CONCLUSION..............................................................................................................................11
REFERENCES..............................................................................................................................12

INTRODUCTION
Strategic brand management is the process which helps the organisation in improving the
overall position in the market. They can achieve the long term goals in an effective manner with
the help of right strategic methods and techniques (Anees-ur-Rehman, and et.al 2018). The report
aims to analyse about understanding the brand management for the particular organisation.
Netflix is and American corporation which provides the streaming services to the customers. The
organisation is been established in Los Gatos California. There are multiple distribution deals
which is been provided by the company in order to attract new customers. There are various
methods which is been used by them in order to generate more profits in the market. On the other
hand, in this report there will be brief discussion about various models which is been used by the
organisation in order to achieve a significant growth in the market. It includes the models like
Pestle and swot analysis which will help the firm to analyse about multiple forces which is been
evolving in the market. Along with that, the main focus of the report is to use the marketing mix.
There are multiple factors in this framework which could help the company to launch the new
products in the market. For further instance, the use of STP model will help the firm to analyse
the target market. They can attract the customers which they want to sell the products and
enhance the overall sales of the brand.
TASK
Background of the company
Netflix is an American intentional Corporation which provides various streaming services
to the customers. They company is also doing production deals and offers new series and other
services to the customers. The own production company is also known as Netflix originals. The
organisation is significantly growing at a rapid pace. Netflix has 220 million subscribers
worldwide (Cao, Ren, and Du, 2022). The organisation has also played a prominent role in the
film distribution. Most of the customers use the application of Netflix on their phone it can also
been accessed with the help of web browsers. The organisation has expanded their business in
several regions and attracted a majority of audience. The management is implementing new ideas
to become more more competitive with the other streaming platforms which includes Amazon,
Hulu etc. The management is also certainly focusing on new aspects which will help them to
become more better. They are also expanding their business in multiple regions in order to

enhance the overall sales in an effective manner. These are the ways through which they can
attract the audience.
Pestle analysis
This is the framework which is been used by the organisation in order to achieve more
competitiveness as per the new marketing trends. They can carry out the strategic operations in a
significant manner. There are multiple stages in this framework which is been described below:
 Political factor – This is the factor which tends to carry multiple forces. It includes the
legal obligations and political factors which can affect the business operations and create
various uncertainties the workplace (Cárdenas, an et.al 2021). Netflix is following the
policies which has the direct influence of the government in various regions. In various
regions the organisation is facing the problems of censorship. The management is using
new ways to ensure that they are getting the right results in the market.
 Economic factor – This stage suggests about the determinants which has seen a rise over
a period of time. It directly affects the long term goals and operations of the organisation.
The fluctuating change in the exchange rates is also the problem for the brand like
Netflix. The organisation also needs to to become effective and operate their business in
various regions. They need to make the loyal customer base and understand about the
competition in the streaming services.
 Social factor – There are various social environmental factors which needs to be fulfil by
the organisation. This will certainly help to fulfil the needs of the society in an effective
manner (Chalayan, 2021). The social cultural background has been an effective growth
over a period of time. In relation to Netflix the organisation has the generous nature and
provide the healthy working environment to the employees. The company has also taken
special measures which includes health and safety of the employees.
 Technological factor – The organisation needs to heavily invest in the technology which
helps them to become more profitable in the market and leads to higher outputs. Netflix is
optimising their streaming services and application with the help of better data outputs.
The organisation is providing various advantages to the customers. They can stream the
movies and web series with less data spent. This is the main area in which the company is
improving in the range of their services.

 Legal factor – There are certain rules and obligations which is been abided by the
government. The organisation needs to follow these laws in various regions in order to
expand their business in the market. There are multiple problems which is been arise in
Netflix due to the sudden hike in the prices of subscription. The customers have filed
complaint about these particular issue. This certainly affecting the brand image in the
market.
 Environmental factor – In this stage it suggests about the factors which is been
surrounding the environment (Fetscherin, and Sampedro, 2019). The organisation needs
to preserve the environment in an effective manner by attaining the sustainable
performance for the future. Netflix has recently join hands with the EPA showcase in
order to preserve the environment. They are now a huge source of renewable energy
Swot Analysis
This is the tool which is been used by the organisation in order to gain a competitive
advantage in the market. There are multiple factors in this tool which is been described below:
Strengths – This is the factor which help the
firm to capitalise on their strengths and through
this they are bale to perform better in the
market.
 Netflix has strong brand image in the
market. This is the major source of
attraction which leads to higher
profitability in the market.
 Netflix is also constantly adjusting and
fulfilling the desires of the customers
by providing them new content on the
streaming platform services.
Weakness – The organisation needs to asses
their critical areas in which they are lacking
and needs to improve it in an effective manner.
 Netflix has restricted copyright which
is affecting their growth in the market.
It is also creating a negative impact on
their earnings.
 Die to the sudden growth the
organisation needs to adapt with the
new situations. The executives of
Netflix is lacking is providing the
essential services to the customers.
Opportunities – With the changing market
scenario there are various opportunities which
is been arise for the organisation. They need to
Threats – There are multiple threats which
could affect the performance of the
organisation in the market.

capitalise on the opportunities which are
present in the market.
 With the changing trends of the market
and a sudden rise of the digital
platforms. The company can achieve a
effective growth in the market by
enhancing the overall profits.
 Netflix ca launch the movies and webs
series which is customer centric and
help them to engage the audience and
create anew loyal customer base in the
market.
 The regulations in various countries has
been the major threat for Netflix. They
need to follow the laws and regulations
which is been abided by the
government.
 Content piracy is also the major threat
for Netflix (Santiago, 2020). The shows
and eb series is available on third party
platforms which is been affecting the
organisation business in a negative
manner.
Porter five forces model
This is the model which is been used by the organisation which analyse the five
competitive forces which is been present in the market. There are multiple forces in this model
which is been described below:
 Competition in the industry – This is the stage which is been used by the organisation
in order to asses the competitor which is been present in the desired industry. There are
various plans which needs to formulated by the firm in order to achieve a positive growth
in the market (Gardini, 2020). They can see the desired results if the strategies are correct
and it could create a positive impact on the workplace. There are multiple competitors
which is been present in the entertainment industry. They are making new and exciting
content to attract the audience. Netflix needs to focus on providing new content which
helps them to attract multiple customers in the market in a strategic manner.
 Potential of new entrants into the industry – This is the trend which certainly depends
on the industry in which the organisation carry out the operations. Netflix main USP is
the content which they are offering to the customers. The organisation needs to engage
the customers with newer contents in order to gain a competitive advantage in the market.
 Power of suppliers – The organisation needs raw material in order to make the goods
and provide the excellent services to the customers. There are various advantages could

be taken by the company if they adequate supply of raw materials. Netflix is making new
and unique content. The brand has collaborated with different directors they have
licensed and provide the exclusive content to audience.
 Power of customers – The customers can affect the organisation growth in the market. It
can be positive or negative it certainly depends on the organisation way of carrying out
the operations (Iyer, Davari, and Paswan, 2018). Netflix has a huge name in the market.
They need to use the new opportunities which will help them to become better in the
market
 Threat of substitute products – This is the most common threat which could faced by
the company. There are various products present in the industry every company needs to
make their products more better in order to minimise the threat of substitute in the
market. Netflix is been providing the personalised content to the customers. They are
doing certain development in order to gain competitive advantage over other competitors.
Marketing mix
It refers to the key elements which is been helping the organisation in a positive manner.
There are basically four P's of marketing which is been discussed below:
 Product – The organisation needs to provide the products which fulfil the essential needs
of the customers in an effective manner. Netflix is been providing new services and
content to the customers which is the major reason for their growth in the market.
 Price – The organisation needs to set the competitive prices of their products in order to
attract new target customers (Kostelijk, and Alsem, 2020). Netflix is been using the
Value based pricing in which the streaming services provide various subscription offers
to the customers. There are range of services from which the customer can choose in an
effective manner.
 Place – This is the place in which the organisation is selling their products and services in
the market. The customers can buy the products from various alternatives. Netflix is been
operating their services in 130 countries. The organisation is also adapting to the new
changes and attract multiple customers in the newer regions with their content.
 Promotion – There are various channels of promotion which can be used the firm. With
the changing the organisation is certainly focusing on the online platforms in order to
attract the customers in the market (Rahman, Rodríguez-Serrano, and Lambkin, 2018).

The fundamental promotion technique for Netflix is that they use various platforms in
order to promote their content. There are various promotion channels which has been
established by the management in order to attract the audience.
STP Analysis
This is the analysis which is used by most of the companies in various industries. It helps
the firm to understand about the position market and the customers which they want to target in
an effective manner. There are generally three factors in this analysis which is been described
below:
 Segmentation – This is the stage in which the organisation segment their customers
which they want to sell their products in the market. Netflix is been segmenting the
customers with the help of various methods (Li, 2021). The organisation provides the
content on the basis of age, gender and other geographical conditions.
 Targeting – The organisation needs to target the desired customers which they want to
sell the good an services. There are various differentiation techniques which can be used
by the the in order to provide the products in a better way to the customers. Netflix is
been focusing on the mass business sector. They are providing the membership services
at low prices in order to attract various customers.
 Positioning – This is one of the most important stage it helps the firm to position
themselves better as per the marketing conditions. They need to create a unique selling
proposition with the desired products and services. Netflix top decision is to provide the
client with superior content (Notteboom, Satta, and Parola, 2020). They can customise
their content with the majority of new contenders present in the market.
Competitor Analysis
There are multiple competitors which is been present in the streaming industry. The main
competitors of Netflix is Hulu and Amazon prime and Hbo max which is also focusing on the
customer centric content. In order to attain competitive advantage Netflix is making new
strategies and methods in order to provide better services to the customers (Majerová, Klepek,
and Križanová, 2021). They are evolving with the changing marketing trends by analysing the
customer criteria while making the content. There are various advantages which can be taken by
the Netflix in order to compete with other individuals. The organisation is been inheriting new
policies in order to expand their business in multiple regions. The organisation has been achieved

a great numbers of subscribers due to the outstanding growth. It subscribers stands at 220 million
subscribers.
Sources of brand equity
Brand equity can be described as the company's reputation which is been present in the
market. There are various methods which is been used by them in order to perform better in the
new marketing conditions (Maldonado-Guzman, Pinzon-Castro, and Rodriguez-Gonzalez,
2018). The organisation provide the excellent products to the customers which will help them
gain maximum cumbersome satisfaction and improve the brand image in the market. There are
multiple elements in brand equity which is been described below:
 Brand Awareness – This is the step in which the organisation evaluate the customers
which they are targeting in order to enhance the sales volume an provisioning the quality
products. Netflix has been targeting every audience they are creating the new content
which helps them to engage the audience in an effective manner.
 Perceived Quality – This is generally the status for the brand the products and services
needs to be considered on the best quality in order to establish a positive mindset among
the customers. Netflix is been providing the excellent services to the customers in order
to attain excellent customer satisfaction in the market.
 Brand association – The customers has several perceptions about the brand and other
aspects. There are various customers which make the association in regards to the quality
of the products and understand about the true motive of the organisation. Netflix is being
customer oriented for a longer period of time. They are growing organically which will
help them to become more prominent in the market.
 Brand Loyalty – The customer is loyal towards to the brand of the organisation is
serving their excellent products and services in the market. The repetitive purchase
behaviour of the customers could be arise when they see that the brand is established in
the industry. The organisation needs to attain maximum customer satisfaction to
dominate the industry for a longer period of time (Mogaji, 2021). Netflix has been also
created the various brand strategies to attain maximum customer satisfaction. They are
collaborating with multiple directors in order to create the engaging content. They are
focusing on becoming better in every possible manner. Through this they are able to

capitalise on multiple opportunities which is been present in the market and using new
ways to making it better.
Strategies for brand management
Brand management strategies used by Netflix
Brand management is process of formation, estimate and managing the brand image and
value to generate more revenue and achieve long term business objectives. Brand management
help business to grow and earn more at specific demographic areas. It also improves the
companies perception in consumers through increasing trust, improving companies customers
services and many more (Wu, Zhang, and Zhou, 2022). Some of the strategies that has been used
by Netflix for brand management are explained below -
Personalized content – It contains the use of personal information of consumers which help in
implementing a unique experience between the company and customer. Netflix has used this
strategy in effective manner and provides the home page of application which is completely
personalised according to the requirement of consumer. This feature allows consumers to
enhance their experience.
Multi mode experience – In this strategy, allows customers to use multi devices by customers
while visiting the website and mobile edition of Netflix. This was beneficial strategy for the
consumers which allows to stream Netflix at TV's or smart phones at a time.
Blend of technology with marketing – This refers to the combination of technology and
marketing strategy at same time(Yang, and Mundel, 2021). Netflix have suggestions and
recommendations sections which is totally based on activity of consumer and it is
continuously changing according to the customers preferences. This strategy is beneficial for
the Netflix as it continuously gains the customers engagement.
Marketing channels – Netflix has used the E-mail marketing strategy with more consideration
rather than other. Netflix is using more data and preferences of consumers which can be
further used to provide relevant recommendations to their old users. E-mails have been used
to target customers with different segment based on information.
Better interactions – Netflix always think out the box content to attract more customers and to
catch fast attention of consumers. Netflix have plans to launch stand alone products and
provides better experience to customers that is unmatched before.

Creating a Buzz – This is effective strategy that is being used by Netflix. It include person with
social setting are more perceived trustworthy among others. Buzz marketing is strategy used
in building the perception of company in the mind of people.
Ad free content – Netflix allows his customers to see movies and online program totally ads
free. This will lead to more satisfaction and prevent annoying content to its users while
watching Netflix.
Strategy of original Content – Netflix had 85 % of its total spend for the original content which
has worth over 12 billions in market. Investment on the original content is great idea and can
be used as major strategy for marketing purpose of Netflix.
Different options – Netflix provides various options of watching movies, TV shows and
biographies and documentaries. Netflix provides this service to make consumer more busy
with the different genres available at online application.
All the features above provides better watching experience to its customers and make them
engage and reflects the strategic brand management of company (Veloutsou, and Delgado-
Ballester, 2018). Netflix used the different strategies like recommendations, through their various
options available and genre of movies binds them all together.
CONCLUSION
From the above report, it has been concluded that the brand needs to use various viable
strategies which could make them more prominent in the market. They can achieve great results
and by providing excellent quality products they are able to enhance the overall sales in a
significant manner. On the other hand, in this report there is evaluation of multiple frameworks
which is been used to understand the brand growth and position in the market. There are multiple
advantages which can be taken by the the firm in order to gain a competitive advantage over a
period of time. Along with that, the competitor analysis will help the firm to get a clearer picture
towards the areas in which they are lacking. They can improve the areas in an effective manner
in order to attain growth and creates a viable situation in the market.

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