Netflix is considering a major shift in its strategy by screening a dozen movies in theaters for about 45 days before releasing them on its streaming service. This move is seen as a way to market the movies effectively and potentially boost subscriber growth. Netflix is reevaluating its long-held beliefs, including advertising, curbing password sharing, and introducing live television. The company has been meeting with major theater chains to discuss exclusive theatrical releases of its movies. Theater chains are interested in partnering with Netflix but expect the company to actively market the theatrical releases. This shift in strategy comes as Netflix aims to recover from a subscriber downturn and theaters look for more movies to show to compensate for the decline in box office revenue.
| Signal | Change | 10y horizon | Driving force |
|---|---|---|---|
| Netflix considering theatrical release | Shifting from streaming-first model | More Netflix movies released in theaters | Marketing and subscriber growth |
| Netflix reevaluating long-held beliefs | Considering advertising and live television | Changes in Netflix’s business model | Growth and adaptation to market |
| Netflix meeting with theater chains | Exploring exclusive theatrical release | Increased collaboration with theaters | Revenue generation for theaters |
| Netflix looking to jumpstart growth | Seeking to increase subscriber base | Expanded movie releases and revenue generation | Market competition and growth opportunities |