“I am not paying extra for no value addition”
Netflix showed us how content is king by burning millions to provide its viewers triple A rated shows and direct to video movies, thus cashing in on a first mover advantage and almost establishing a monopoly.
But the streaming service also makes it clear that paying customers who pay less matter the least by making its differentiated pricing model, where subscription fees are lowest. For a big tech company, the focus on revenue through pricing and experimental tactics instead of core strengths is deplorable. I am not paying extra for no value add.
Paying customers are the best unit measure for validation. Netflix’s move to charge customers based on password sharing lacks a clear definition of how it makes this distinction. Its original subscription plan was based on the household system. And today’s families sometimes live in different places.
Any infrastructural change should be planned with an option for existing customers to opt out or complete 6-12 months of service, after which the change may be made mandatory. With this move, Netflix may be engineering its own demise.
Soham Mukherjee, 32, is the head of technology at Aetos Digilog, who doesn’t share his account.
“For a big tech company , the focus on revenue via pricing and experimental tactics instead of core strengths is deplorable” —SOHAM MUKHERJEE