How does Netflix make money ?

[Spartan]

7 minutes ago, CherryGaru said:

Don't they need the money for USA new TV and Movies ?

there are many other large production house companies who can cover it for them.

India lo mottam dabbul manake kavali..pakkaodiki enduku ani.

[Spartan]

even in US kottavi vachestunnai streaming options..

Paramount+

Disney

Hulu

HBO Max

anduke Netflix will start loosing money.

[hunkyfunky2]

2 hours ago, bhaigan said:

Telugu producers Netflix ni already bakara ni chesaru

Not just Netflix, prime also....

Karan Johar etc literally looted Netflix - daytime robbery 

[hunkyfunky2]

1 hour ago, Dabbakai said:

karan johar gadu NF ni bakara chesindii 
telugu producers chsindii prime ni 

SSR movie, right? He sold that crap for 30 or 40 crores..made with 2C + remuneration of another 5C max...

 

[Dabbakai]

10 minutes ago, hunkyfunky2 said:

SSR movie, right? He sold that crap for 30 or 40 crores..made with 2C + remuneration of another 5C max...

 

not just SSR movie 

faboulous lives of bollywood wives ani oka bull crap show, also some wedding or dating show, inka chala cringe shows teesadu ley; 
aa budget antha mallu movies ki ichchinte full revenue ostunde netflix ki 

[Warangalbidda]

The streaming companies mobilize funds and improve their brand.So brand ni sell chesetappudu market lo brand ni batti purchase chestaru..ee subscription fees tho company ni run chestaru

[CherryGaru]

4 hours ago, CherryGaru said:

Every year spending around 200-300 crores on buying(10-20 big/medium budget movies) telugu movies , how are they making money ?

Is it why Netflix lost 100 billion dollars in Market cap 3 days back ?

Isn't telugu audience subscriptions already saturated ? I mean whoever want to get Netflix probably already got it , no ?

My point is basically when Netflix is buying these useless movies, how are they pricing them before buying them ? Who is making decisions.. The Executive/Employees are overpricing and paying the movie producers with white money. The Employees are also probably making money on side lines.. Netflix and Amazon being multinationals , do they have any idea about buying with right price in mind for the market they are serving ?

[hyperbole]

19 minutes ago, CherryGaru said:

My point is basically when Netflix is buying these useless movies, how are they pricing them before buying them ? Who is making decisions.. The Executive/Employees are overpricing and paying the movie producers with white money. The Employees are also probably making money on side lines.. Netflix and Amazon being multinationals , do they have any idea about buying with right price in mind for the market they are serving ?

They need content and customer engagement which is critical for their business. 

Views and customer engagement = money, they anticipate the viewership based on a director, actor, production house etc and accordingly adjust the price. there are 4.5 million customers alone in India, which means 200 crore recurring income, they will want to keep the existing happy while add new ones. Most if indian customers might be for overseas  content when compared to other ott providers in india.
 

for example korean series squid games brought $1billion profits to NFlX if measured by box office terms, it is a Japanese cartoon but they paid $21 million to make it and it got viewers from all over. they are not buying Indian content just for Indians but overall, the viewers will come from places unknown like we watch Korean or Malaysian movies. Also some of the netflix Indian series were run away hits not just among Indians.

if not for the content NFLX would have been long bankrupt. In USA, most of the content used to be owned  by TV studios  like CBS, HBO, Disney and showtime etc. nflx was held hostage during contract negotiations and that made them establish their studios and buying content. I feel the quality of content on Netflix is better than on any other OTT platform.
 

 

 

[kevinUsa]

2 hours ago, Dabbakai said:

not just SSR movie 

faboulous lives of bollywood wives ani oka bull crap show, also some wedding or dating show, inka chala cringe shows teesadu ley; 
aa budget antha mallu movies ki ichchinte full revenue ostunde netflix ki 

anta enduku aa paisal lo oka 50l  aa sriram srikanth ichina chala manchiga testadu 

 

[anna_gari_maata]

Simple logic...no content no company

[CherryGaru]

2 hours ago, hyperbole said:

They need content and customer engagement which is critical for their business. 

Views and customer engagement = money, they anticipate the viewership based on a director, actor, production house etc and accordingly adjust the price. there are 4.5 million customers alone in India, which means 200 crore recurring income, they will want to keep the existing happy while add new ones. Most if indian customers might be for overseas  content when compared to other ott providers in india.
 

for example korean series squid games brought $1billion profits to NFlX if measured by box office terms, it is a Japanese cartoon but they paid $21 million to make it and it got viewers from all over. they are not buying Indian content just for Indians but overall, the viewers will come from places unknown like we watch Korean or Malaysian movies. Also some of the netflix Indian series were run away hits not just among Indians.

if not for the content NFLX would have been long bankrupt. In USA, most of the content used to be owned  by TV studios  like CBS, HBO, Disney and showtime etc. nflx was held hostage during contract negotiations and that made them establish their studios and buying content. I feel the quality of content on Netflix is better than on any other OTT platform.
 

 

 

 I am not talking about adding content , I am talking about price being paid for the content..

Telugu movie content is way way way overpriced for the audience they are serving. They are making expensive purchases, so the profits are obviously going to fall.. Just like the market cap fell by 100 billion couple of days back.

[Raven_Rayes]

23 minutes ago, CherryGaru said:

 I am not talking about adding content , I am talking about price being paid for the content..

Telugu movie content is way way way overpriced for the audience they are serving. They are making expensive purchases, so the profits are obviously going to fall.. Just like the market cap fell by 100 billion couple of days back.

Its a bs business model. most modern businesses are like that.

there'll be some who can extract value out of this model. like RGV, Karan Johar.

But overall, when anything is commoditized, only monopolists can extract value from such commoditization.

Allu Aravind is gonna sell his platform for $10b, and then people will praise him for being shrewd. Its the only way to profit from this madness.

But its still preferable to when very few people made movies, because there was not much cheap access to money lying around. Someone is gonna end up holding the bag. Its inevitable in a market economy.

 

[hyperbole]

28 minutes ago, CherryGaru said:

 I am not talking about adding content , I am talking about price being paid for the content..

Telugu movie content is way way way overpriced for the audience they are serving. They are making expensive purchases, so the profits are obviously going to fall.. Just like the market cap fell by 100 billion couple of days back.

It was a over reaction due to market conditions, they didn’t miss revenues but it was because of forecast/guidance, they beat earnings and they make about $10 billion in profits per year which is massive.

Telugu/Tamil/Malayalam are content creators in grand scheme of things, not every movie is paid $25 crores, for example bahubali 1 and 2 which is massive hit got bought for 25 crores. 25 crores will have then hold their OTT rights for ever.These movies would be watched even after 20 years at that time people will watch it for the content worth known by the IMDb rating.

Al vaikuntapuramulo was rumored to be bought for a couple of crores

https://www.thehansindia.com/amp/cinema/tollywood/how-much-did-netflix-pay-ala-vaikunthapurramuloo-makers-for-online-streaming-rights-608677

In comparison a Netflix exclusive holllywood production costs somewhere between $160-$400  million.

[Raven_Rayes]

30 minutes ago, CherryGaru said:

 I am not talking about adding content , I am talking about price being paid for the content..

Telugu movie content is way way way overpriced for the audience they are serving. They are making expensive purchases, so the profits are obviously going to fall.. Just like the market cap fell by 100 billion couple of days back.

inflation all around, dude. someone asked where all the money printed is going into.

Its going into every transaction outside of basket of cpi goods. It's the thing that inflated your salaries. the home you bought.

Its a carefully curated economy dude. you are trying find where you can extract value for yourself in this economy. Its not that easy. Its an insider's game.

 

[Raven_Rayes]

1 minute ago, hyperbole said:

It was a over reaction due to market conditions, they didn’t miss revenues but it was because of forecast/guidance, they beat earnings and they make about $10 billion in profits per year which is massive.

Telugu/Tamil/Malayalam are content creators in grand scheme of things, not every movie is paid $25 crores, for example bahubali 1 and 2 which is massive hit got bought for 25 crores. 25 crores will have then hold their OTT rights for ever.These movies would be watched even after 20 years at that time people will watch it for the content worth known by the IMDb rating.

Al vaikuntapuramulo was rumored to be bought for a couple of crores

https://www.thehansindia.com/amp/cinema/tollywood/how-much-did-netflix-pay-ala-vaikunthapurramuloo-makers-for-online-streaming-rights-608677

In comparison a Netflix exclusive holllywood production costs somewhere between $160-$400  million.

so bahubali guys gave away rights for 20yrs for just 25cr, you think?