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freehe
freehe
10/17/2017 9:34:00 PM
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@Aditya Kishore, Great article. This really put content in other countries. into perspective compared to the United States. We complain about $50 - $60 for content. I would love to pay just $3 - $5.

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afwriter
afwriter
10/17/2017 1:51:50 PM
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Re: $3 - 5!!!
There are a couple services here like that, one of which I use fairly often. It is funny that Netflix and Amazon took us away from the ad-based model, but some companies are finding their way back to it with success. 

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Ariella
Ariella
10/17/2017 8:58:12 AM
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Re: Kolodyuk European Success
@Adi Exactly. It's the thing I always notice about thriller plots. The villains always want to take over the whole world. That overreaching is what makes them fail in the end. World domination is generally not a realistic goal for any single entity. Businesses are better off knowing where their customer base is and giving them what they want.

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Adi
Adi
10/17/2017 8:46:13 AM
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Re: Kolodyuk European Success
Ariella - very true. Netflix is already a global giant, just with its success in NA and western Europe. I'm sure there will be additional geographies where it dominates, and others where it might be more of a secondary player -- but that's still revenue. Even if it flops here and there, overall it's still highly successful.

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Ariella
Ariella
10/17/2017 8:27:45 AM
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Re: Kolodyuk European Success
@Adi so long as they're content with their success and don't pin it on conquering the whole world, they can be fine. It's really difficult for any single company to succeed in every single market. Perhaps one is better off accepting that some markets just will remain beyond their reach.

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Adi
Adi
10/17/2017 4:46:54 AM
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Re: Kolodyuk European Success
Ariella - Yes, susbcriber growth continues unabetd for Netflix. But I think very little of that came from eastern and central Europe. It's proving to be a tough market -- and if they get booted out of Russia, that's the biggest market in the region gone for them.

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Adi
Adi
10/17/2017 4:45:34 AM
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Re: $3 - 5!!!
That's a great point, afwriter. In fact, that is what Viu is doing in its Asian markets -- it's base tier is ad-supported (with a premium SVoD tier) because it just feels that with low willingness to pay and high piracy, it's better off with a free service.

Personally I think OTT is far more evolved in Asia than in Eastern Europe. They are still getting their head around it. But as Google/Doubleclick presented at the event, there are efforts to get more ad funded services out.

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afwriter
afwriter
10/16/2017 11:02:04 PM
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Platinum
$3 - 5!!!
I know the conversion rate is different but is it that different? Netflix is reaching $20+ here in the states and, everyone -including myself - will just deal with it because the service is still deemed worth it. I understand that a local OTT wouldn't have the library Netflix has but I feel like $3-5 is low. At that point why would you source local content and create an ad based OTT service?

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Ariella
Ariella
10/16/2017 5:48:24 PM
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Re: Kolodyuk European Success
But you don't need to worry about Netflix's future for now. The WSJ reported today that it beat its forcasts for subscribers. 

Netflix Inc. NFLX 1.60% continued to exceed its subscriber-growth estimates, both at home and abroad, as the company said it expects to spend even more on original programming next year to help lure viewers amid an increasingly competitive streaming market.

The Los Gatos, Calif., company ended its third quarter with 104 million paid streaming subscribers globally. It added 5.3 million streaming users in total, outpacing the 4.4 million it had projected.


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Ariella
Ariella
10/16/2017 5:35:55 PM
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Re: Kolodyuk European Success
Certainly, it takes a different approach than Netflix with its focus on local content.

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