According to the textbook marketing mix are “four marketing activities – product, pricing, distribution, and promotion – that a firm can control to meet the needs of customers within its target market” (Ferrell 6). Netflix’s product was at the beginning offering mailed DVD’s at a monthly fee and as said in the book that although they still rent DVD’s by mail, customers can also stream movies and shows. Because of this traditional movie rental stores like blockbuster couldn’t and chose not to compete. Netflix also developed a product strategy that involves expanding their library collection and adding more recent movies, shows, and stream sports instantly. Therefore, customers believe they are getting more medium for the amount they pay monthly. Now that I’m mentioning the monthly fee, customers only pay $7.99 monthly and the fee doesn’t change or fluctuate in the number of shows or movies you watch. Compared to blockbuster to rent one movie for the night the price was $7.99 and plus. To set the best price for a DVD Netflix would have to know their customers base, what they might want, need, beliefs and values. The way Netflix is distributed is not offered through a specific shop or place. The way it works via mail is the customer gets it conveniently shipped to his or her desired location. Netflix now a day is download through an app, laptop, desktop, tv, (etc…) It defeats the old fashion way of wasting time and gas going to a blockbuster. As far as promotion, Netflix was mostly done through television ads. However, in recent years it has decreased the amount of money spent on television and radio because its moving more dollars towards online mobile devices to better target their audience. Therefore, Netflix chooses to boost promotion by posting through social media such as Instagram, Facebook, and Twitter. In result, Netflix was created with a unique service and product and because Netflix had developed and continues to develop a successful marketing mix it allowed them to not only compete but dominate their rivals such as blockbuster.

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