Why Netflix Is Winning—and How Hulu and Amazon Prime Can Catch Up
Netflix is clearly the dominant subscription video-on-demand service, but why is it so far ahead of the competition? To find out, consumer insights firm iModerate questioned 2,500 U.S. viewers and found they have a far rosier perception of Netflix than Hulu or Amazon Prime.
Not only do respondents enjoy Netflix programming, they see it as a true pay TV disrupter, able to replace cable or satellite service all by itself: 20 percent believed Netflix could replace other video viewing options. Many predicted it would set a new standard for affordable, on-demand video.
Variety of content is Netflix's biggest asset, iModerate found, with people praising its range of movies, TV shows, and originals. Many of those surveyed enjoyed spending a day binge-watching, either alone or with friends.
While those in the industry might see Netflix, Hulu, and Amazon Prime as more alike than different, the public-at-large doesn't. Respondents were turned off by Hulu's commercials, believing that paid subscribers shouldn't have to sit through commercial interruptions. They see Hulu more as a catch-up service for network TV shows. For Amazon Prime, they don't see any differentiator at all, unsure of what makes it valuable. Many respondents spoke about the free two-day shipping when asked about Amazon Prime. Viewers who had tried Amazon Prime Instant Video called it slow, annoying, and short on value.
The full study is available for free download (registration required)
As early as December, Amazon Prime customers will be able to sign up for other streaming video services from within their Prime accounts.
It's a price war in the Pacific, with Amazon Prime Instant Video selling for half of Netflix's lowest-priced tier.
The SoftBank Group will help Netflix make an entrance by offering streamlined sign-up and billing to its customers.
When Netflix Subscribers click on a title for more information, they'll see a video preview so they know exactly what they're getting.
While Netflix has been the biggest name is SVOD since its online debut, its momentum will soon make it the country's biggest broadcaster.
Original series and movies are proving crucial for video-on-demand services, so Amazon is doubling down from its $1.3B 2014 budget.
A homepage link now lets visually impaired subscribers discover TV shows and movies that have an audio narration track.
The world's most populous country is an attractive target for Netflix, yet the streamer faces unique hurdles before it can begin offering service.