(Preview) Why Netflix Will Keep Raising Prices, The Spotify Model in Hollywood, Twitter’s Inexplicable Rebrand and WeChat Dreams
Sharp Tech with Ben Thompson
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Netflix's Primary Growth Mechanism: Increase Average Revenue Per User
Netflix's primary growth mechanism is going to be increasing their average revenue per user. If you raise prices and people stay great, you're getting more revenue per member. I think the ideal position in the long run is actually free and ad supported and then expensive and ad support. That's the model that makes the most sense in the longrun.
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