Thursday, November 10, 2011

Reed Hastings of Netflix should sell ads to offset costs...

Reed Hastings of Netflix should sell ads to offset costs for streaming. The basic way that competitors rake in money are by both subscriber fees and advertising dollars. What Reed Hastings should do is sell advertising space in their original programs as well as on their page space. Youtube makes a billion a year with a simple banner on each of their viewers page, and Netflix Reed Hastings has 4 times more viewers (and growing) than Youtube does. Reed Hastings should make an announcement about this new business model and explain how billions of dollars in new advertising revenue streams will propel Netflix to new heights.

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