Netflix just announced it is going to monetize its games

The streaming giant launched gaming 2 years ago.

In these 2 years, only 1% of their 250 Million subscriber base actually game on Netflix *shocker*

Clearly, gaming is not working for the streaming giant.

Here are 3 strategies I think are better suited for Netflix to generate more revenue:

👉 Paid games

‘Free games’ scream games that aren’t great.

According to a study, 71% of millennials game, and most of them spend $112 per month on gaming content!

Netflix, go bolder & bring in paid quality games! You’d be surprised how much a 30-year-old like me spends on Steam.

👉 Cross sell IPs

I knew Netflix missed the trick when I saw Mr. Beast’s Squid Game In Real Life. That video should have been a Netflix special.

Netflix needs to partner with influencers and launch exclusive content on Netflix.

Or embrace the anime/Pokemon strategy – partner with brands and create diverse touchpoints for hardcore fans.

👉 Create New Premium Categories

Netflix invented the category of binge-watching. A category that changed the way we consume & produce content.

*It took me 4 days to binge Breaking Bad 😬*

Netflix needs to focus on creating more premium (therefore monetizable) categories.

But, creating a new category can be challenging. You need:

i) A disruptive business model:
↳ Netflix can easily create communities of hardcore fans within the app

ii) A breakthrough offer:
↳ Link viewers with actors & directors for an authentic experience

iii) A feedback loop:
↳ To fill its gap in understanding individual household viewing habits.

Netflix just announced that it is introducing in-app ads within games. Again, not a great tactic for a premium brand.

“We want to entertain the world” is Netflix’s mission statement.

Well, entertain me with great storytelling, not cheap forgettable games.