Netflix drives how we think about so much: dating, friendship, introversion, internet memes. But I’m a total dork, so when I think of Netflix, the first thing I focus on is content strategy.
In a book I co-wrote with Contently founder Shane Snow that’s being published this fall 1, we write about Netflix’s foray into original programming. In 2011, Netflix did something unprecedented for a technology company—it invested $100 million in a show called House of Cards. Even though famed director and producer David Fincher was attached to the project, most people thought Netflix was crazy. But they didn’t know the company had a secret weapon: data.
Netflix knows everything about how its users watch video. What they watch and for how long. When they rewind. When they skip. What they watch next. And Netflix knew three things: People who watch Kevin Spacey movies love Kevin Spacey movies. People who watch David Fincher films watch all David Fincher films. And people binged hard on the original British House of Cards.
Netflix wasn’t crazy. What was House of Cards besides a David Fincher project starring Kevin Spacey based on the original British House of Cards?
Compared to the blind bets that most TV execs make based on vague Nielsen data and statistically insignificant focus groups, Netflix’s decision was incredibly informed and logical. According to analysis by The Atlantic, the $100 million bet paid off in three months based on new subscribers. It’s a formula the company has repeated with original series like Orange is the New Black and Stranger Things, which is a big part of why Netflix shows get renewed at twice the rate of network programming.
I love this story because it illustrates how we need to think about content strategy. At many organizations and agencies, strategy is as outdated as how TV networks green light shows. Insufficient inputs inform decisions—a few user interviews, some misguided assumptions (“millennials hate Facebook!”), a bloated content audit, and a helping of overpriced “creative brainstorms.” Given all the powerful data and tools at our fingertips, this is a total waste of resources.
Finding your inner Netflix
Content audits are the absolute cornerstone of content strategy. It’s hard to get your content program on solid footing without a sense of all the assets at your disposal. Then once you find everything, you can start asking important questions….
