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Netflix on Q2 2012 results; Future plans for UK & Ireland Content


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Old 24-07-2012, 22:10
BigFoot87
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http://files.shareholder.com/downloa...2007.24.12.pdf

6 months ago, we launched Netflix in the UK and Ireland, and today we are one million members strong. We believe we have pulled ahead of LOVEFiLM in every important streaming-related metric. Going forward, competing effectively with Sky is our core and substantial challenge.

Following our successful launch in the UK and Ireland in Q1, we are encouraged by the continued strong growth of the service and today have one million members. This growth has been driven, in part, by our investments in content.

Over the past quarter, we have added great movies to the service, including the critically acclaimed “Drive” and the family comedy “Zookeeper” in the Pay 1 TV window and recent blockbusters “Cloudy with a Chance of Meatballs”, “Transformers” and “Mission Impossible III”. We have also strengthened our TV offering. Over the past three months, we launched all six seasons of the hit series “Lost”, premiered the third season of the gritty drama “Breaking Bad”, and became the exclusive home in the UK and Ireland of the indie comedy series “Portlandia”.

We will continue to expand and refresh our content offering in the coming quarter. Notable new titles will include the action-adventure film “Abduction”, the sentimental buddy comedy “50/50” and blockbusters “2012” and “Iron Man 2.” Through our recently announced deal with Twentieth Century Fox, we will be making available several top US TV series in Q3, including “Sons of Anarchy”, “The Killing” and the Emmy-winning “Modern Family”. Subscribers can also look forward to the next seasons of “Breaking Bad” and “Damages” exclusively on Netflix.

As with all of our markets, our content additions are targeted to deliver incremental viewing, and therefore drive higher engagement and retention of our members.

Looking past Q3, we feel our existing partnerships with local broadcasters and producers, US studios and networks, and independent partners will continue to provide us access to compelling content. For example, our upcoming Pay 1 feature films account for 16% of UK Box Office year-to-date, compared to an estimated 5% for LOVEFiLM’s streaming service.

When we launched, we said Sky would be our primary competitor in the UK, and now we potentially face increased competition from Sky’s new OTT service “Now TV” at £15 per month, more than double our price. This is Sky’s first foray into a pure-play OTT streaming product and will likely be marketed aggressively. Our content libraries are mutually exclusive with no overlap of titles; as such, many households may subscribe to both services.
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Old 25-07-2012, 21:10
BigFoot87
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http://paidcontent.org/2012/07/25/ne...paidContent%29
In just two quarters and two countries (UK & Ireland), Netflix has gathered an online customer base equal to half of that which Lovefilm, which also rents out DVDs and games, has amassed in five countries and over a decade.

The company doesn’t even have a UK office.

Netflix has invested very heavily in a UK and Ireland marketing campaign that includes multiple high-rotation TV ads and direct mail, and which has driven mainstream awareness for over-the-top movie subscriptions as a segment.

That investment hurts Netflix’s bottom line, but one million subscribers paying £5.99 per month gives Netflix monthly UK and Ireland revenue of £5,990,000 or £71,880,000 per year, and it’s only growing.
That's pretty impressive growth. Almost £6m per month. And some people didn't think they would be successful over here.
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Old 25-07-2012, 21:42
Sniffle774
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That's pretty impressive growth. Almost £6m per month. And some people didn't think they would be successful over here.
I was one, then I tried a free months rental and now I think its brillant.
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Old 26-07-2012, 17:35
johnnybgoode83
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http://paidcontent.org/2012/07/25/ne...paidContent%29


That's pretty impressive growth. Almost £6m per month. And some people didn't think they would be successful over here.
This is a win for pricing common sense. More people paying a lower price gets you more money than few people paying a higher price.
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Old 29-07-2012, 21:26
azimo
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Netflix is OK but Lovefilm is better and I subscribe to both and still save £4 per month compared to NOW TV.
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Old 29-07-2012, 21:51
carguy143
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I'm glad to see Netflix takes the UK market seriously enough to keep investing. I love paying for their content as it's at a great price. In fact since I got Netflix I don't download as much using torrents any more.
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Old 02-08-2012, 12:14
magikmax
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I took a Netflix trial out via a cashback offer on Quidco, and have to say that it's been well used in our house, and we'll continue to subscribe. The kids love the kids programmes available, and know how to access the content through our Wii, and I've found it handy to watch out and about on my iPhone.
In fact, by coinsidence, I received a letter from TalkTalk offering me a year's subscription to LoveFilm Instant about a week later through the post. I don't have a PS3 or smart TV to watch it downstairs, so I'm going to invest in an wi-fi enabled Blu-Ray player this month to get the best of both of them.
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Old 03-08-2012, 14:02
Sukim
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there is a lot more content that you can find on torrents than on netflix I think, but the quality is far better on netflix. I've also been using it for a little while and it's ok, I can find a lot of good titles though not all of them very recent. and yeah, if you guys want a tip, you can use the video streams on netflix offline as well without havign to pay for their dvd service; there are computer softwares that can simply record the stream, convert the file and basically transfer to whatever device you have to play it offline for example (like this moviebox soft which Im also using: http://audials.com/en/how_to_record_...m/netflix.html)
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Old 05-08-2012, 16:45
Gordie1
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I was one, then I tried a free months rental and now I think its brillant.
cough Unblock-us cough
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Old 17-08-2012, 15:24
Sniffle774
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cough Unblock-us cough
Deffo
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