Archives tagged: Netflix

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SPIN Selling and Value-Based Pricing – Friends or Foes?

By Tim J. Smith, PhD April 1, 2012

Is pricing out of touch with the market? Are salespeople frittering away profits? Are these two groups really at war with each other? Or, are they aiming for the same goal but language differences are preventing proper teamwork? Let’s review SPIN Selling from a pricing perspective.

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The Resurrection of the Golden Goose

By James T. Berger February 1, 2012

A few months ago, the future of Netflx looked quite bleak after a serious of pricing mistakes and the creation and destruction of a separate company for streaming videos without the mail component. Is there hope yet?

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Killing the Golden Goose – Part 2

By James T. Berger November 3, 2011

Reed Hastings, the CEO of Netflix (NFLX) has cemented his position on my Hall of Shame. Whether hubris (outrageous arrogance) or stupidity, Netflix has taken an ill-advised price increase and transformed it into a runaway train that threatens to jeopardize the company. The story began when Reed Hastings and his management team, after doing apparently no market research, decided to raise their prices by approximately 60 percent. This action was taken amidst a continuous stream of record earnings, customer loyalty and a growing customer base.

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Top 6 – November 2011

By Tim J. Smith, PhD November 3, 2011

“The only profit center is the customer” Peter Drucker Corporations are psychopaths? Pricing errors, specifically price communication errors, are deadly for career…

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Killing the Golden Goose

By James T. Berger October 6, 2011

In a marketing blunder that rivals Coca Cola’s (temporary) abandonment of its original formula in favor of the sweeter “New Coke,” Netflix (NFLX), despite its incredible success and customer affection, decided to raise its prices 60 percent. Stock tumbled 19 percent. One million customers instantly abandoned Netflix. Was this incredible greed, stupidity or just plain ignorance?

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Infographic: How Netflix is Destroying Blockbuster

By Tim J. Smith, PhD March 2, 2011

 

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Borders and Blockbuster: Throwing Money Down a Rat Hole

By James T. Berger February 3, 2011

It now appears that Border’s and Blockbuster will get their life-saving transfusions of cash and will live to fight another day. As P.T. Barnum once said: “There’s a sucker born every minute.” Neither of these companies deserves to survive.

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The Revolution in Knowledge Delivery Systems

By James T. Berger September 1, 2010

Are you ready for the new paradigms? Do you have a Kindle or iPad for reading books? Do you read your daily newspaper on-line? What kind of home entertainment system do you have connected to your High Definition TV that will allow you to see movies, previously available only at the video store or from a vending machine? What must a successful company do to survive and thrive in this environment?.

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Professorial Musings form the World of Marketing

By James T. Berger March 4, 2010

Recent issues of the New York Times and Wall Street Journal have been particularly rich in their commentaries of heretofore magnificent corporations who have fallen on hard times. In particular: Toyota, Palm and Blockbuster. ?

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Sony’s Blu-ray Triumphs over Toshiba’s HD-DVD

By Tim J. Smith, PhD March 1, 2008

Competitive Equivalence, Competitive Advantage, and the Role of Price The four-year war over the next-generation DVD format for home videos that deliver…

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