Media and Culture
Case Study Essay
S1846152
Pattamon Samalapa
Does Netflix affect people’s behaviour when consuming entertainment media, and what will happen in future?
In recent years, significant developments in technology—such as smartphones, the internet, and social media—have gradually altered how people perceive and consume media. Over-the-top (OTT) services are platforms that use the internet to supply viewers with various movies and TV series as an alternative to mediums like cable or satellite television (McDonald and Smith-Rowsey, 2016). Netflix is one of the best-known OTT providers. This streaming service provides its subscribers with various kinds of content, allowing them to watch this content without limits.
Due to the convenience Netflix offers to users, as well as other significant strategies that it uses, there are arguments that Netflix encourages negative behaviour and affects the way people consume entertainment media, such as binge viewing (Jenner, 2016).
In this essay, I will delve into how Netflix influences viewer behaviour based on related publications and an interview with Kalila Shapiro, who provides a personal perspective of her experience using Netflix. I will also seek the reason for why viewers choose Netflix over other streaming services and the key factors that make Netflix more popular in some countries than others. The binge behaviour, the criteria for binge viewing, and the key strategies that Netflix uses that may encourage this behaviour will be evaluated. Furthermore, I will examine the potential of Netflix’s features, such as the suggestion of content. Finally, I will then turn to possibilities for Netflix’s features and speculate about the future of the entertainment industry.
In 2013, the proportion of users subscribing to streaming services like Netflix rose from 35 to 40 percent (Lindsey, 2016). This trend was confirmed by the Neilson Total Audience Report for 2014, which claimed that around 2.6 million Americans subscribed to broadband platforms such as OTT services, online platforms, or apps, showing a dramatic rise of 113 percent since 2013 (Nielsen, 2014). This means people are more interested in OTT services than in the past, and the numbers indicate substantial growth in this business. Even though there are numerous streaming services, Netflix is one of the best-known companies. As Lindsey (2016) indicates, Netflix has several strong points that make it stand out from other competitors, such as its original content and commercial advertising.
After analysing related publications and the interview with Kalila, a common point I found was content. The high-quality content available exclusively to Netflix subscribers is considered one of the strongest selling points of Netflix (Lindsey, 2016). Similarly, Kalila claims that she chooses a streaming service based on the content it has, and Netflix provides her with various types of media that mostly cover her preferences. Furthermore, she also believes that popular Netflix Original series, such as Orange Is the New Black, represent another reason why people tend to subscribe to Netflix. In other words, both the literature and the user’s perspective agree that content is the main factor persuading people to subscribe to Netflix.
The next beneficial point of using Netflix is how it features less commercial advertising than some other streaming services. Lindsey (2016) points out how some other streaming services like Hulu force users to sit through commercials before, or even in the middle of, content. This causes an unpleasant experience and sometimes annoys the viewers. Likewise, Kalila argues that another reason why she prefers Netflix is because she does not have to deal with commercials during shows. She explains that she would be frustrated and upset if commercials constantly appeared while she was trying to enjoy her shows. Indeed, Netflix has provided a new experience to users, one where they can consume media without commercials, and this has slowly caused users to lose patience while watching advertisements. It cannot be denied that this platform has built up a specific behaviour in viewers where they have got used to commercial-free viewing. This makes it more difficult for them to engage with other streaming services or unsubscribe from Netflix.
It is impossible for a streaming service to provide all shows to their subscribers. Even though Netflix also has this limitation, such as in its movie choices, it is still popular. Kalila identifies that there is a better variety of shows on Netflix compared to others. Even if it does not include some specific shows that she likes, this does not mean it makes Netflix less popular. Moreover, all the shows already on Netflix may be enough to satisfy other users.
Apart from their numerous media genre contributions, Dwyer, Shim, Lee and Hutchinson (2018) also point out other several key features that make Netflix more popular in Australia than South Korea, such as price and payment method, language, and local content.
One factor that makes Netflix less popular in South Korea is the competitiveness of OTT pricing. The average cost of TV services in Australia is around 70 US dollars per month, while Netflix’s monthly cost is 13.99 US dollars (Moon, 2015). In comparison, TV services in South Korea cost around 7 US dollars, slightly lower than South Korea’s Netflix monthly price of 7.99 US dollars. Moreover, video services in South Korea offer very low prices to users, sometimes even being free of charge (A Case Study, 2016). This means that Australians tend to subscribe to Netflix because it provides better value to them. In contrast, most South Korean users are more attracted to local TV services than Netflix. Another related issue is the payment method. South Korean customers are familiar with using pay-per-view (Dwyer, Shim, Lee and Hutchinson, 2018), so their watching habits contrast with Netflix’s monthly subscription model. This means Netflix experiences difficulties in expanding its market into South Korea.
Another critical factor that Netflix needs to consider when enlarging its overseas market is language. Stiegler (2016) claims that Netflix provides users around the world with various programmes in other languages, including high-quality subtitles or even dubbed audio in native languages like German. This makes Netflix stand out from other competitors. However, Choi, Strabharr and Tamborini (1988) argue that the quality of Korean subtitles often varies. Even though Korean people like to watch Hollywood movies, they usually watch them with Korean subtitles. Australia obviously does not have the same issue because they are native English speakers. In summary, while it is true that Netflix offers better standards for subtitles and audio dubbing in some countries, in South Korea specifically, the quality has not met the expectations of Koreans. It is undeniable that language is another barrier holding back the growth of Netflix in South Korea.
Another area that helps Netflix maintain its Australian subscriber base is the local content it produces. Although Australians enjoy blockbuster movies, they also like to support local content like Mako Mermaids. In contrast, Netflix does not contribute to local content in South Korea in the same way, while Korean TV channels can supply a large amount of appealing local content to their viewers (Dwyer, Shim, Lee and Hutchinson, 2018). That is to say, Netflix acts as a seminal local content provider in Australia more than it does in Korean, where it cannot compete with the established South Korean entertainment industry. This is another reason why Netflix is more popular in Australia than Korea.
Since streaming services like Netflix began, the rate of binge-viewing behaviour has rocketed. McCormick (2016) defines binge viewing as watching more than two to three episodes within one sitting. He indicates that binge viewing is not a new circumstance—it began a long time ago with DVDs, for example. However, he argues that streaming services like Netflix have substantially expanded this behaviour over the past few years. When using Netflix services, convenient features like the “Auto Play” function give smoother experiences that subconsciously encourage users to continue watching. Watching DVDs, in contrast, requires users to change a physical medium.
Despite the fact that Kalila believes that binging is a natural human behaviour, Netflix amplifies it. She also suggests that because of the Netflix format, it makes it more convenient for users to interact with media, which eventually leads to users becoming binge viewers. Aside from that, Netflix offers multiple choices of devices for users to connect to its services, so users are not limited to just a TV when watching shows. They can use laptops, smartphones, and even tablets, so users can literally enjoy streaming content anytime and anywhere.
It is obvious that while both perspectives agree that Netflix did not create binge behaviour, it nevertheless rapidly developed it through its platform’s smooth experience and connection.
When the Netflix Original series House of Cards (2013) was launched, it grabbed the attentions of both Netflix and other viewers, and this later became a trend at the time. With its success, it introduced a massive binge phenomenon to the American people. The key strategies that McCormick (2016) believes Netflix used to make viewers excessively binge to this series include the method of distribution, the time interaction between the storyline and the real world, and finally the use of direct messaging.
One of the most effective strategies that Netflix uses to develop binge viewing is distribution. According to Stelter (2018), before Netflix launched the series, Netflix showrunner Beau Willimon stated, “Our goal is to shut down a portion of America for a whole day.” After that, they released the entire House of Cards season, thirteen episodes, all at once. This meant that people could watch the entire series from beginning to end in just a day. Due to its continuity, viewers can easily immerse themselves in the complete series without a break. Likewise, Kalila indicates that this strategy is a key tactic because House of Cards was a new series with fresh content. Normally this increases viewer curiosity about what will happen next. Another interesting aspect is how people want to finish a season as fast as they can, so that they can feel relevant while having related conversations with their friends. In other words, Netflix’s distribution strategy definitely offers viewers the opportunity for extreme viewing, thus escalating the rate of binge viewing.
Another key strategy to consider is the relation of time between the storyline and the real world. McCormick (2016), claims that Netflix intentionally chose a release date that was close to the beginning date in the series. While watching the show, people feel that the show is driving them into the future. While Kalila argues that many shows nowadays often use this trick and admits that this strategy makes a show more relevant, it may not be the main factor causing people to show binge behaviour. In other words, this method might be practical when a whole season is released at once, but it may not apply when a show is released weekly.
The final tactic that Netflix applied to this series was the use of direct messaging. This method is used in the series by the character Frank, who often looks into the camera and speaks to it, such as to say, “Welcome to Washington”. When viewers watch the series, this makes them feel like the character is talking to them. At this point, an intimate relationship between the character and the viewers was built (McCormick, 2016). In contrast, Kalila points out that this technique is outdated and has been used in the movie industry for some time, such as in the movie Ferris Bueller’s Day Off, which employed a similar method in 1986. In other words, the intimacy connection that was developed based on this strategy made viewers attracted to the series, but it is clear that it is less appealing when compared to the past.
In my opinion, I believe that each tactic that Netflix employs does promote binge behaviour at different levels. While the key factor is perhaps the distribution method, it seems to me that the most effective way to foster the binge phenomenon would be to combine all of these strategies together, just as Netflix did.
Normally, Netflix subscribers are used to seeing suggested content on the landing page. Alexander (2016) claims that this feature has been in development since 2000, and the key function is to analyse user behaviour and suggest content choices that users may enjoy. He also points out how the system tracks the interactions between the service and its users, so the algorithm can generate results for an individual user that will be shown the next time they log into Netflix. Of course, the purpose of this feature is to propose a broader range of media choices that users may enjoy. While Kalila agrees that this feature is useful in the times when she cannot find the show that she wants to watch on Netflix, due to Netflix constantly removing shows, she claims that most of the suggested shows are absolutely not relevant to her preferences.
Furthermore, in the interview, I raised a conspiracy theory about Netflix using the suggestion feature as a tool to promote their own original series. Kalila absolutely agreed, explaining how she recalled seeing the Netflix Original logo, normally visible on the top right corner of the show’s thumbnail, on most of the shows that Netflix recommends to her.
In other words, while the suggestion feature may not generate enough productive results to satisfy users, it is an interesting way to introduce new content to Netflix subscribers, even though most will be its own original series.
After considering binge behaviour and Netflix’s popularity and strategies, we then probed the future possibilities for Netflix and entertainment media. From Kalila’s point of view, she speculates that in future, users will use less cables and wires, but the actual television will still exist. There will also be more products like Apple TV where users can select from providers like Netflix, Amazon Prime and Hulu. She assumes that the connection between devices will be sufficient and making the shift from one device to another while watching media will be more convenient and simpler than it is now.
In 2017, Netflix has launched, especially for children, the interactive story Puss in Book. This animated movie provides options for users to select from, with each choice affecting the movie’s storyline. Moreover, according to Robinson (2018), Netflix will release another interactive series, this time targeting adult audiences, called Black Mirror in 2018. In short, Netflix is creating the opportunity for viewers to participate and become immersed in a story that they can manipulate, controlling the outcome through each option they select.
From my point of view, I believe Netflix will gain popularity by launching this platform, because it is a new way for the media industry to present content and engage people with the story. Indeed, many people may enjoy watching and participating with this platform, but they must spend two to three times more time than they would for one episode of a series, so binge behaviour may escalate further.
Kalila agrees, and she points out that users would explore several other options that they did not choose the first time. They may be keen to learn what would have happened if they selected different options. While Kalila admits that there are massive possibilities that we will increasingly encounter with this platform in future, she personally considers that the idea may not suit her lifestyle. This is because Kalila usually uses Netflix to provide her with background noise while she is working. If something requires her interaction, it will definitely annoy her.
Another significant issue that Kalila raises is that parents may use this platform to entertain their children, while they need to rest. As a consequence, this will definitely affect, especially, young children developments in various aspects such as physical, mental and thinking. It would be benefits to the children if they spent their time playing around and building their own imagination rather than sitting and focusing on only the TV and keep select what the character would do next.
In other words, interactive features will clearly suit some types of users. I believe Netflix could provide a better way to supply a smooth interaction experience to users by releasing both non-interactive and interactive versions. In this way, users can select their preferred format at the beginning based on their own situation and what they expect to encounter. Some people might need to enjoy what the show provides them in their leisure time, but on the other hand, they might feel excited and enjoy interacting with this platform.
This essay argues that Netflix affects people behaviour when consuming entertainment media. First, it considers the reasons why users prefer Netflix over other streaming services and the key reasons for why Netflix is more popular in Australia than in South Korea. It is clear that binge behaviour has rapidly developed due to the numerous strategies that Netflix uses, such as providing its own original contents, it distribution method, the choice of timing for releasing shows, the direct messaging technique to build intimate relationships, and its new interactive feature.
While Netflix does give their subscribers a pleasant experience when using its service, this has also led to the rapid development of binge behaviour in its users at the same time. In my opinion, binge viewing will expand further and become the norm as Netflix and others enhance the technology and offer more engaging platforms with different specific approaches for diverse groups of people.
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